Solid quarterly results for Commerzbank, which has revised its forecasts for the 2026 financial year upwards, also announcing further staff cuts and opening talks with Unicredit. Meanwhile, the German bank’s shares fell by around 3% in Frankfurt, due to the selling on news effect.
“Very strong” first quarter results
Commerzbank closed a “very strong” first quarter of 2026, recording a significant increase in both revenues, which stood at 3.2 billion, marking a growth of 5% compared to the previous year, although lower than consensus. Net fee income increased by 9% to an all-time high of €1.1 billion, while net interest income remained stable at €2 billion, despite falling interest rates.
Operating profit was also growing, recording an increase of 11% on a new historical record of 1.4 billion euros, while net profit reached 913 million, better than expected and up 9% compared to 834 million in the same period of the previous year.
“We started the year with record results. This shows that our strategy is working and has greater potential than initially expected,” said CEO Bettina Orlopp, adding “we are growing faster than expected, and our new targets up to 2030 are proof of this: ambitious, yet achievable.”
Net RoTE rose 1.6 percentage points to 12.7%. The CET 1 ratio at 31 March 2026 was 14.5%, compared to 14.7% at the end of 2025.
The new strategic plan
The German bank also presented the new strategic plan to 2030, predicting a net profit of at least 3.4 billion for this year, compared to over 3.2 billion previously, while for 2028 it expects a net result to increase to 4.6 billion and at the end of the period, in 2030, to 5.9 billion euros.
The German bank expects revenues to grow to 15 billion by 2028 and 16.8 billion by 2030, equal to an annual growth rate (CAGR) of 6%.
Furthermore, Commerzbank expects a net return on tangible capital (Net Rote) of approximately 17% for 2028, an increase compared to the previous forecast of 15%, and at the end of the period in 2030, a further increase to approximately 21%. A payout ratio of 100% is expected until the Cet1 target of 13.5% is reached.
Cuts of another 3,000 jobs
With the new Plan, Commerzbank also plans to cut another 3,000 jobs, due to the impact of the development of AI, in which it intends to invest another 600 million in the period 2026-2030 and which will allow it to automate many processes and reduce more labor-intensive activities.
This effect, however, will be counterbalanced by “targeted hiring in selected growth and future-oriented sectors”. The bank, for example, expects that AI will allow it to partially free up and redeploy around 10% of its resources, allowing sales employees to dedicate more time to high-quality advisory services for customers.
Furthermore, to “ensure that this transformation occurs in a socially responsible way”, Commerzbank focuses on consolidated retirement programs, natural turnover and demographic effects. In this regard, the bank has already concluded a transformation agreement with employee representatives which defines the key points of personnel management.
Available to speak with Unicredit
The results of the quarter and the Plan were also an opportunity to clarify the position with respect to the offer presented by Unicredit, which the German bank still considers inadequate, because “it does not offer any premium”.
“The integration plan – it is reiterated – remains vague and presents significant execution risks.” However, Commerzbank confirms that it is “open to dialogue should UniCredit be willing to offer an attractive premium and openly commit to a plan that takes into account the fundamental pillars of the business model and strategy”.
