Societe Generale SA (SCGLF) Q2 2026 Earnings Call

Investor webinar replay

Replay transcript excerpt

Ladies and gentlemen, welcome to the Societe Generale second quarter 2026 results conference call. I will now hand over to Mr. Slawomir Krupa, Chief Executive Officer. Sir, please go ahead. Thank you. Good morning, everyone, and thank you for joining us today. Leo and I are delighted to present to you another strong set of results. They demonstrate the strength of our execution as we enter into the final stage of our current strategic roadmap. Our high-quality financial performance during the first half of 2026 puts us ahead of our 2026 annual targets and results in a record net income for the Group of 3.5 billion euros. In light of this performance, we are pleased to announce the launch of a 1.5 billion euro extraordinary share buyback as well as an interim dividend for the first half of 2026 of 0.75 euro per share, 75 euro cents, up plus 23% versus last year. These strong results, delivered in a highly uncertain and volatile environment, demonstrate the success of our transformation over the past three years. Today we are much more efficient, focused, and profitable with a well-diversified business mix. The numbers illustrate this. Our revenues are up by plus 2.4% versus 8.25% on a reported basis. This is in line with our 2026 annual guidance of revenue growth of more than plus 2%. Our actions on costs are paying off, continue to pay off, driving greater efficiency with operating expenses down minus 5% versus H1-25. It far exceeds our original 2026 target of around a 3% reduction and delivers substantial value creation with a 7.3 percentage point of positive JAWS. This leads logically to a cost-to-income ratio of 59.7%, which is in line with our year-end target of a cost-to-income ratio below 60. With a cost-to-risk of 26 basis points, we remain at the low end of o...