GERMANY'S DZ BANK SEES PRE-TAX PROFITS JUMP 30% IN 2025

Germany's DZ Bank Group saw pre-tax profits jump by around 30% to €4.3 billion ($5 billion) in 2025.

Chief executive Cornelius Riese on Tuesday said the Frankfurt-based bank enjoyed "extraordinary tailwinds," particularly at subsidiary R+V Insurance, which increased its pre-tax profit by three-quarters to just over €2.1 billion.

The insurance business thus contributed almost half of the DZ Bank Group's earnings.

"This was mainly due to very good operating performance and significantly lower claims dynamics in property and reinsurance," the bank said in a statement.

Business with corporate customers and on the capital market also performed well. In the cooperative and commercial banking segment, DZ Bank earned €864 million before taxes – almost 85% more than a year ago.

The group's second-largest profit driver remains the fund business, even though the pre-tax profit of the Union Investment fund division fell slightly to just under €1.2 billion.

In construction financing, the market is recovering as consumers are once again taking out more loans thanks to stable interest rates and rising incomes. The Schwäbisch Hall building society, which belongs to the group, almost doubled its pre-tax profit to €122 million.

Nevertheless, Riese was cautious about the new year. He expects pre-tax profits of only around €3 billion in the current financial year, down from the previous two years.

However, DZ Bank is known for its conservative forecasts. Last summer, Riese had predicted pre-tax profits of only €2.5 to €3 billion for 2025.

2026-03-03T10:24:20Z