Societe Generale reported a record second-quarter group net income of €1.8 billion for the three months to end-June, with return on tangible equity of 12.2%, as revenue growth of 4.5% combined with a 4.1% reduction in costs to lift quarterly group net income to a record level, up from €1,453 million a year earlier.
The result, disclosed in the group's second-quarter and first-half results release, was described by chief executive Slawomir Krupa as illustrating "the strength and continued growth of our financial performance, reflecting the disciplined execution of our strategic plan".
COST DISCIPLINE DRIVES THE JUMP
The 58.6% cost/income ratio for the second quarter compares with 63.8% a year earlier. With revenue up 4.5% and costs down 4.1%, the bank reported strong positive jaws in the quarter.
Cost of risk was 27 basis points. The bank raised its 2026 RoTE target to around 11% from more than 10% and now expects costs to fall by around 4% from 2025, compared with around 3% previously.
CAPITAL POSITION STRENGTHENED
The group's common equity tier 1 ratio stood at 13.2% at end-Q2 2026, around 290 basis points above the regulatory requirement, after the extraordinary share buyback. The bank announced a €1.5 billion extraordinary share buyback, launching on 3 August, and an interim dividend of €0.751 per share, up 23% on 2025.
First-half group revenue reached €14.2 billion, up 2.4% year on year, and first-half group net income reached a record €3,487 million, with RoTE of 12.0%.
Krupa said the group would present a new strategic and financial roadmap at its Capital Markets Day on 21 September.