IKB Deutsche Industriebank AG IKB Deutsche Industriebank AG Increases New Business by 23% and Confirms 2026 Earnings Guidance

IKB Deutsche Industriebank AG Increases New Business by 23% and Confirms
2026 Earnings Guidance

• New business volume increased to €1.6 billion (H1 2025: €1.3 billion)
• Consolidated profit after taxes remained stable at €36 million (H1 2025: €38 million)
• Return on equity after taxes improved to 10.8% (H1 2025: 10.3%)
• Administrative expenses reduced to €67 million (H1 2025: €77 million)
• Higher risk provisions of €29 million (€4 million net release in H1 2025) with a low NPA ratio of 2.1% (31 December 2025: 2.0%)
• CET1 ratio increased to 17.7% (31 December 2025: 17.2%)

 

[Düsseldorf, 28 August 2026] IKB Deutsche Industriebank AG continued its positive business momentum in the first half of 2026 despite a challenging geopolitical and economic environment. New business volume rose by 23% year-on-year to €1.6 billion from €1.3 billion. Consolidated profit after taxes reached €36 million, matching the prior-year level. Return on equity after taxes increased to 10.8% from 10.3% in the previous year. The CET1 ratio improved to 17.7%, underlining IKB’s strong capital position. “Today’s results confirm that we remain on track. We significantly expanded new business in the first half despite continued subdued investment activity among German mid-cap companies. At the same time, we maintained strict cost discipline. Supported by positive business performance and a robust capital base, we are well positioned to achieve our targets for the 2026 financial year,” said Dr. Michael Wiedmann, Chief Executive Officer of IKB.

Continued New Business Growth and Cost Reduction

Net interest and commission income totalled €82 million, compared with €102 million in the prior-year period. The decline mainly reflected lower contributions from derivatives and the disposal of the credit default swap business in December 2025. Lending result remained stable. As a significant portion of new business was disbursed towards the end of the reporting period, the related interest income is expected to be recognised largely in the coming quarters.

IKB continued to execute its efficiency programme. Administrative expenses declined by approximately 13% to €67 million from €77 million in the previous year. Personnel expenses remained largely stable at €41 million. Other administrative expenses decreased significantly to €25 million from €37 million. The cost-income ratio stood at 80.9% in the first half of 2026, compared with 76.0% in the prior-year period. The increase mainly reflected lower net interest and commission income, while operating costs continued to decline.

Loan loss provisions amounted to €29 million. This included a single external fraud incident with an impact of €24 million. The effect was fully offset by one-off gains of the same amount recognised in other operating income. Excluding this non-recurring item, loan loss provisions totalled €5 million. Overall credit quality remained stable. The NPA ratio was 2.1 % and remained at a low level.

Other operating income contributed €49 million to earnings, compared with €8 million in the prior-year period. The increase was primarily driven by one-off gains offsetting the external fraud case and by positive performance from securities held in the liquidity portfolio.

Loan Book Expands to €8.5 Billion

Supported by strong new business generation, the loan book increased to €8.5 billion at 30 June 2026 from €8.2 billion at year-end 2025. Portfolio quality remained high. Approximately 82% of new business exposures carried an investment-grade rating. More than half of the loan book, representing around €4.4 billion, is refinanced through programmes provided by KfW and other public development banks. A substantial share of these facilities support sustainable investment projects. IKB’s corporate clients business continues to benefit from broad sector diversification and solid capitalisation and liquidity profiles among the clients.

Strong Capitalisation and Liquidity Position

The Common Equity Tier 1 (CET1) ratio increased to 17.7% as of 30 June 2026 from 17.2% at year-end 2025, highlighting the Bank’s strong regulatory capital base. Funding metrics also developed positively. Deposits from corporate and retail customers increased to €3.9 billion from €3.6 billion at year-end 2025. Approximately 90% of deposits are protected by deposit guarantee schemes. The free available liquidity reserve amounted to €1.2 billion at the reporting date. With a Net Stable Funding Ratio (NSFR) of 111% and a leverage ratio of 6.6%, IKB continues to exceed regulatory minimum requirements by a comfortable margin.

Outlook

Geopolitical tensions and economic policy developments in the United States continue to create a challenging operating environment. Economic growth in Germany remains fragile and continues to weigh on corporate investment activity and loan demand.

Based on business performance in the first half of 2026, IKB expects net interest and commission income for the full year to be moderately below the prior-year level.

The bank expects a stable development of RWA and CET1 ratio maintaining significant buffers above regulatory requirements.

Cost performance remains firmly on track. Administrative expenses are expected to be reduced to approximately €133 million in 2026, significantly below €146 million in 2025.

Despite lower revenues, IKB expects the cost-income ratio to remain broadly stable at the prior-year level.

Loan loss provisions are expected to exceed the previous year’s level, primarily due to the single external fraud incident recorded in the first half of the year.

IKB therefore reaffirms its guidance and continues to expect group profit after taxes for the 2026 financial year to exceed €60 million.

However, developments related to geopolitical conflicts, capital and commodity markets, as well as new regulatory requirements or interpretations, may adversely affect business performance during the remainder of the financial year

Table: IKB income statement for the first half of the financial year 2026 (Group, in accordance with German commercial law)

 Any differences in totals are due to rounding effects.

Further details on the business performance in the first half of 2026 can be found in the Half Year Report of 2026 and the investor presentation available at https://www.ikb.de/en/corporate-clients/reports-and-presentations.

Contact:
Armin Baltzer, Phone: +49 211 8221-6236, E-mail: investor.relations@ikb.de.

IKB Deutsche Industriebank AG provides small and mid-size companies with finance as well as capital market and advisory services.