Bigbank's Q3 2025 Financial Performance: A Growth Overview
Bigbank's Record Loan Portfolio Growth
Bigbank’s total gross loan portfolio reached an impressive 2.58 billion euros, marking a significant increase of 142 million euros (+6%) quarter on quarter and a notable rise of 521 million euros (+25%) year on year. The strategic focus on business loans and home loans played a pivotal role in this growth, while the consumer loan segment saw more modest advances. Specifically, the business loan portfolio surged by 74 million euros (+9%) to 937 million euros, and the home loan portfolio expanded by 55 million euros (+8%) to 772 million euros. In contrast, the consumer loan portfolio increased by 18 million euros (+2%) to 878 million euros.
Deposit Portfolio Expansion
Alongside loan growth, Bigbank’s deposit portfolio saw an encouraging increase, primarily fueled by its savings deposit segment, which added 85 million euros, bringing the total to 1.4 billion euros (+7%) in the third quarter. However, the term deposit portfolio saw a slight decline of 11 million euros, resting at 1.3 billion euros for the quarter. In a strategic move, Bigbank launched current accounts for retail customers in Lithuanian markets. This innovative offering allows customers to earn interest on available funds at a competitive rate of 2% per year, with the added benefit of no transaction fees. As a result, the growth in customers’ current account balances reached 6 million euros, totaling 9 million euros. Overall, the Group’s total deposit portfolio saw an increase of 80 million euros (+3%) quarter on quarter and an impressive 462 million euros (+20%) year on year, culminating at 2.7 billion euros.
Net Profit Highlights
For the first nine months of 2025, Bigbank reported a net profit of 30.2 million euros, presenting a healthy increase from 27.6 million euros during the same period last year. Although net profit for the third quarter was reported at 11.5 million euros—falling slightly by 0.3 million euros compared to the previous year (-2%)—the overall performance remains strong.
Interest Income Progress
In terms of interest income, the third quarter generated 46.5 million euros, reflecting a year-on-year increase of 0.5 million euros (+1%). Interestingly, interest expenses maintained stability from the same quarter last year, as reduced deposit rates counterbalanced the growth in the deposit portfolio. Consequently, Bigbank's net interest income rose by 0.6 million euros (+2%) year on year, hitting 27.4 million euros.
Quality of Loan Portfolio and Credit Loss Provisions
The quality of Bigbank’s loan portfolio remained robust in the third quarter. The net allowance for expected credit losses decreased by 0.8 million euros year on year, now totaling 2.5 million euros. The credit quality of consumer loans has continued to improve, with home loans performing exceptionally well and business loans demonstrating stability. The volume of stage 3 (non-performing) loans held steady quarter on quarter, but their proportion of the total loan portfolio decreased to 4.4%, down by 0.3 percentage points from the previous quarter. This relatively high percentage is primarily attributed to a limited number of larger loans that are well secured, thus not significantly elevating expected credit loss expenses.
Team Growth and Employee Expenses
Bigbank's strong workforce, a key driver for the company’s business expansion, displayed robust growth compared to last year. However, when compared to the previous quarter, overall headcount remained stable at 613 employees, distributed across Estonia, Lithuania, Latvia, Finland, Bulgaria, and Sweden. Salary expenses for the third quarter increased to 8.7 million euros, reflecting a year-on-year rise of 1.9 million euros (+29%).
Investment Property Portfolio Performance
At the close of the third quarter, the value of the Group’s investment property portfolio was 82.3 million euros, growing by 10 million euros from the previous quarter. This growth stemmed from a variety of investments, including an influx of 6.6 million euros into agricultural land and an increase in the valuation of agricultural land in Estonia by 2 million euros. The adjusting market conditions prompted a re-evaluation of agricultural land prices, reflecting increases comparable to previous downgrades.
Bond Issue Overview
During the third quarter, Bigbank successfully executed a bond issue in September, raising 2.54 million euros in Additional Tier 1 (AT1) bonds, effectively boosting its Additional Tier 1 capital to the same amount.
Corporate Activities
An intragroup merger took effect on 26 August 2025 between two Bigbank subsidiaries, which allowed for consolidation without affecting operational functions, as one entity was inactive and was subsequently removed from the commercial register.
Future Planning and Market Expansion
Martin Länts, chairman of Bigbank’s management board, shared insights on upcoming strategies aimed at solidifying the bank’s performance. He emphasized the strategic expansion of daily banking services into the Lithuanian market, which has already attracted over 9,900 customers with bank accounts in both Estonia and Lithuania. Looking forward, Bigbank plans to introduce bank account services in Latvia, continuing its commitment to customer-focused banking solutions.
Contact Information
Bigbank AS
Phone: +372 5393 0833
Email: argo.kiltsmann@bigbank.ee
Website: www.bigbank.ee
Frequently Asked Questions
What was Bigbank's gross loan portfolio in Q3 2025?
The gross loan portfolio reached 2.58 billion euros, up 142 million euros from the previous quarter.
How did the deposit portfolio perform in Q3 2025?
The deposit portfolio increased by 80 million euros quarter on quarter, reaching a total of 2.7 billion euros.
What is the net profit for Bigbank in Q3 2025?
Bigbank reported a net profit of 11.5 million euros in the third quarter of 2025.
How has the quality of the loan portfolio changed?
The quality remained stable, with a decrease in expected credit loss provisions to 2.5 million euros.
What future plans does Bigbank have for market expansion?
Bigbank plans to launch banking services in Latvia, expanding their customer base further.
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