Bank Handlowy w Warszawie S.A. (Citi Handlowy) reported net profit of PLN 321 million for the second quarter of 2026, reflecting a 21% return on equity and a 16% year-over-year increase in corporate lending to PLN 17.9 billion. The Warsaw-based bank, which completed its separation from consumer banking earlier this year, positioned itself as a dedicated platform for global corporate clients during an investor presentation on August 27, 2026.
Total revenue reached PLN 878 million, with net interest income declining 13% annually to PLN 459 million despite a 2% sequential rise in corporate banking NII to PLN 297 million. Fee and commission income grew 11% year-over-year to PLN 119 million, led by a 58% jump in brokerage fees to PLN 5 million and a 12% increase in custody fees to PLN 34 million. Assets under custody expanded 22%.
Deposit volumes rose 12% annually to PLN 47.1 billion, while the bank’s net interest margin contracted to 3.58% from 4.41% a year earlier, outperforming the Polish banking sector average of 3.10%. Operating expenses fell 37% sequentially to PLN 211 million, improving the cost-to-income ratio to 30% from 34% in the prior quarter.
Corporate banking revenue grew 7% sequentially to PLN 423 million, with transaction banking accounting for 54% of the segment’s income. Financial markets revenue declined 53% quarter-over-quarter to PLN 273 million, though treasury results for the first half of 2026 rose 55% year-over-year to PLN 851 million. The bank’s total capital ratio stood at 25.8%.
Risk metrics showed a normalized cost of risk of 19 basis points, excluding one-off events tied to two client relationships reclassified to Stage 3, which lifted the total cost of risk to PLN 59 million. Stage 3 loans represented 3.6% of the non-financial sector portfolio, below the Polish banking sector average of 6.1%.
Citi Handlowy’s shares fell 3.54% to $119.80 following the presentation, trading 9.2% below its 52-week high and 20.9% above its 52-week low. The bank’s P/E ratio of 9.8 remained below the 11.8 average for Poland’s eight largest banks, while its P/B ratio of 1.6 trailed the sector average of 2.0.
The lender highlighted key mandates including a PLN 2.2 billion syndicated loan for TELE-FONIKA, a PLN 1.25 billion bond issue for the European Investment Bank, and its role as global co-coordinator for Allegro’s PLN 6.1 billion accelerated share offering.
