Bigbank’s Unaudited Financial Results for Q3 2025

Bigbank’s total gross loan portfolio was at a record high of 2.58 billion euros, up 142 million euros (+6%) quarter on quarter and 521 million euros (+25%) year on year. As usual, the main growth drivers were the strategic product lines of business loans and home loans. Growth in the consumer loan portfolio was more modest. During the quarter, the business loan portfolio increased by 74 million euros (+9%) to 937 million euros, while the home loan portfolio grew by 55 million euros (+8%) to 772 million euros and the consumer loan portfolio by 18 million euros (+2%) to 878 million euros.

The Group’s deposit portfolio also increased, mainly through the savings deposit portfolio, which grew by 85 million euros to 1.4 billion euros (+7%) in the third quarter. The term deposit portfolio decreased by 11 million euros to 1.3 billion euros during the quarter. In August, Bigbank started offering current accounts to retail customers in Lithuania. Like Estonian customers, they can now use Bigbank for everyday payments on the best market terms: available funds earn interest at the rate of 2% per year and there are no transaction fees. Customers’ current account balances grew by 6 million euros over the quarter, reaching 9 million euros. The Group’s total deposit portfolio grew by 80 million euros (+3%) quarter on quarter and by 462 million euros (+20%) year on year, rising to 2.7 billion euros.

Bigbank’s net profit for the first nine months of 2025 amounted to 30.2 million euros. Net profit for the same period in 2024 was 27.6 million euros. In the third quarter, Bigbank earned a net profit of 11.5 million euros, which is 0.3 million euros less than in the third quarter of 2024 (-2%).

Interest income for the third quarter amounted to 46.5 million euros, an increase of 0.5 million euros (+1%) year on year. Interest expense remained at the same level as in the third quarter of last year, because the decline in deposit rates offset the growth in the deposit portfolio. As a result, Bigbank’s net interest income grew by 0.6 million euros (+2%) year on year, reaching 27.4 million euros.

The quality of the loan portfolio remained stable in the third quarter. Expenses on the net allowance for expected credit losses and provisions decreased by 0.8 million euros year on year, reaching 2.5 million euros. The credit quality of consumer loans continues to improve, while that of home loans is very good and that of business loans is stable. In absolute terms, the volume of stage 3 (non-performing) loans remained stable quarter on quarter, but their share of the total loan portfolio fell to 4.4% (-0.3 pp from the end of the previous quarter). The relatively high proportion of stage 3 loans is mainly due to a small number of larger loans that are well secured and, therefore, do not increase expected credit loss expenses.

Bigbank’s strong team, which is the driving force behind growing business volumes, has expanded significantly year on year. Compared to the end of the second quarter, however, headcount has remained stable. Bigbank had 613 employees at the end of the third quarter: 378 in Estonia, 104 in Lithuania, 90 in Latvia, 22 in Finland, 15 in Bulgaria and 4 in Sweden. Salary expenses for the third quarter totalled 8.7 million euros, up 1.9 million euros year on year (+29%).

At the end of the third quarter, the value of the Group’s investment property portfolio stood at 82.3 million euros, an increase of 10 million euros on the previous quarter. Growth was driven by additional investments of 6.6 million euros in agricultural land, an increase of 2.0 million euros in the value of the agricultural land in Estonia and the reclassification of 1.4 million euros of office space as investment property. The level of transaction prices in the market rose during the third quarter, prompting a remeasurement of agricultural land. The increase in portfolio value resulting from the revaluation of agricultural land was roughly equivalent to the decrease caused by the write-down of agricultural land in the second quarter.

One bond issue was carried out in the third quarter. In September, Bigbank issued Additional Tier 1 (AT1) bonds totalling 2.54 million euros, thereby increasing its Additional Tier 1 capital by the same amount.

On 26 August 2025, an intragroup merger took effect between Balti Võlgade Sissenõudmise Keskus OÜ (a subsidiary of Bigbank AS and the acquiree) and OÜ Rüütli Property (a subsidiary of Bigbank AS’s subsidiary OÜ Rüütli Majad and the acquirer). As a result of the merger, Balti Võlgade Sissenõudmise Keskus OÜ was deleted from the commercial register as of 26 August 2025. As Balti Võlgade Sissenõudmise Keskus OÜ was inactive, the merger did not bring about any changes in the Group’s operations.

Compared to the unaudited financial results published for Q3 2024, the net interest income and the net allowance for expected credit losses for the first nine months of 2024 have been adjusted, both reduced by 2.2 million euros. The adjustment is related to an identified error, where interest income from impaired financial assets had been accrued on the gross exposure of the financial assets, rather than on net basis. This correction does not impact the net profit for the first nine months of 2024.

Commentary by Martin Länts, chairman of the management board of Bigbank AS:

The third-quarter financial results confirmed the strength of Bigbank’s strategy – the loan portfolio grew to a record 2.58 billion euros, with business and home loans contributing the most. Our deposit base continued to grow as we offered attractive terms to customers. While quarterly profit remained at last year’s level, the nine-month consolidated results are clearly positive. In the third quarter, we expanded daily banking services to the Lithuanian market, and by the end of September, Bigbank had over 9,900 customers with a bank account in Estonia and Lithuania combined. In the next quarter, we plan to start offering bank account services to customers in Latvia. Overall, we remain focused on profitable growth and the development of customer-centric solutions.

Bigbank AS (www.bigbank.eu), with over 30 years of operating history, is a commercial bank owned by Estonian capital. As of 30 September 2025, the bank’s total assets amounted to 3.2 billion euros, with equity of 292 million euros. Operating in nine countries, the bank serves more than 177,000 active customers and employs over 600 people. The credit rating agency Moody’s has assigned Bigbank a long-term bank deposit rating of Ba1, along with a baseline credit assessment (BCA) and an adjusted BCA of Ba2.

Argo Kiltsmann
Member of the Management Board
Telephone: +372 5393 0833
Email: argo.kiltsmann@bigbank.ee 
www.bigbank.ee 

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