Quarterly authorised deposit-taking institution performance statistics - December 2025 highlights

Banking

Key statistics

-December 2024December 2025Year-on-year change
Net profit after tax (year-end) ($bn)39.642.36.6%
Total assets ($bn)6,619.46,828.83.2%
Total capital base ($bn)449.6467.54.0%
Total risk-weighted assets ($bn)2,237.92,298.82.7%
Total capital ratio20.1%20.3%0.25 points
Liquidity coverage ratio132.2%130.2%-2.03 points
Minimum liquidity holdings ratio17.4%16.4%-0.97 points
Net stable funding ratio116.0%116.1%0.01 points

Financial performance

Graph showing net profit after tax in billions, with a steady increase from the beginning of the reporting period, December 2020 until December 2025
Return on equity rises to 2022, then remains broadly stable.

 

Net interest margin remains broadly stable over time.
Year-on-year change in total operating income rises from negative in 2020 to positive growth in 2021, peaks around 2023, declines to slightly negative in early 2024, then recovers to moderate positive growth by the end of 2025.
Total operating expenses rise steadily, driven mainly by personnel costs.
Bad debt charges fall sharply in 2021, then stabilise at low levels.

Asset quality

Non-performing loan ratio remains low and broadly stable.
Share of well-secured non‑performing loans increases gradually from around 70 per cent in 2021 to a peak in 2024, then eases slightly by the end of 2025, remaining in the mid‑70 per cent range.

Capital adequacy

Capital ratios (total capital, Tier 1 and CET1) remain stable and consistently above regulatory minimums, with a slight increase around 2023 before levelling off through 2025.
Quarterly changes in total capital are volatile over time, with both positive and negative movements across components, including a sharp decline in late 2023 followed by a rapid recovery, and continued fluctuations through to 2025.
Total risk‑weighted assets grow gradually over time, largely driven by credit risk, which remains the dominant component, while market and operational risks contribute smaller, relatively stable portions, and other risk charges remain minimal.
Year‑on‑year growth in Tier 2 capital is consistently higher and more volatile than Tier 1 capital, peaking around 2022 before declining and fluctuating, while Tier 1 capital growth remains relatively low and stable, briefly turning negative in 2021 and again around 2024 before recovering slightly by 2025.

Liquidity

Components of the liquidity coverage ratio show shifting composition over time, with central bank balances rising to a peak around 2022 and then declining, AGS and semis remaining relatively stable, the committed liquidity facility declining to zero, and other high‑quality liquid assets fluctuating, while the overall ratio remains above the minimum requirement throughout.
MLH ratios decline gradually over time, mainly driven by a reduction in other debt securities, while AGS and semis and other components remain relatively stable, with the overall ratio staying above the minimum requirement throughout.
Net stable funding ratio remains above the minimum requirement throughout, declining gradually from around 2021 to 2023, then stabilising with minor fluctuations through to 2025.

Financial position

Non‑deposit funding declines from 2020 to 2021, then fluctuates at lower levels with minor increases and decreases, remaining below earlier levels through to 2025.

Footnotes