Millennium bcp’s profit rises 12% to record, plans dividend hike

Millennium bcp, Portugal’s largest listed bank, said on Wednesday its 2025 net profit rose 12% to a record high, driven by strong earnings at its Polish unit, and announced plans to increase shareholder payouts. The company reported consolidated net profit of 1.02 billion euros ($1.20 billion), slightly exceeding the average forecast for 996 million euros, as compiled by LSEG. Millennium bcp said it will propose to shareholders a plan to distribute 50% of net income as dividends through 2028, complemented by a regular share buyback programme that would lift total shareholder returns to as much as 90% of profits.

The bank currently returns up to 75% of profits to shareholders. Net income of its half-owned Polish subsidiary Bank Millennium rose 67% to 283.7 million euros, despite charges related to its Swiss franc mortgage loan portfolio. Chief Executive Miguel Maya said the bank was in a “robust” position, with return on equity rising to 14.1% from 13.8% in 2024.

Despite interest-rate cuts by the European Central Bank and Poland’s central bank, consolidated net interest income (NII) rose 2.4% to 2.9 billion euros, as fees and commissions jumped 34.7% to 847.4 million euros. “We saw a positive evolution in NII in an unfavourable interest rate environment, mainly supported by customer base growth and pricing discipline,” Maya said at a news conference. BCP, which also operates in Mozambique and Angola, said impairments and provisions fell 10% to 831 million euros, while total non-performing loans dropped 18% to 1.5 billion euros in 2025. The bank’s largest shareholder is China’s Fosun International (0656.HK), opens new tab, with a 20% stake, closely followed by Angolan state oil company Sonangol with 19.5%.