**Summary of Barclays PLC 2025 Results Announcement**
**Financial Performance Highlights**
**Return on Tangible Equity (RoTE)** Barclays achieved a RoTE of 11.3% in 2025, exceeding its financial guidance. All divisions delivered double-digit RoTE.
**Profit Before Tax** Increased by 13% to £9.1 billion.
**Earnings Per Share (EPS)** Grew by 22% to 43.8p.
**Tangible Net Asset Value (TNAV) per Share:** Increased by 15% to 409p, marking the tenth consecutive quarter of growth.
**Capital Distributions** Totaled £3.7 billion, including a £1.0 billion share buyback announced in 2025, up from £3.0 billion in 2024.
**Net Interest Income (NII)** Excluding Barclays Investment Bank (IB) and Head Office, NII was £12.8 billion, meeting the 2025 guidance.
**Cost Discipline** The Group cost: income ratio improved to 61% in 2025, driven by positive operating leverage for the third consecutive year.
**Cost Efficiency Savings** Achieved £0.7 billion in cost efficiency savings in 2025, exceeding the guidance of £0.5 billion.
**Risk Management** The Group loan loss rate (LLR) was 52bps, within the through-the-cycle range of 50-60bps.
**Strong Balance Sheet** The Common Equity Tier 1 (CET1) ratio was 14.3%, robust and <mark style="background-color:yellow">above</mark> the target range.
**Business Segment Performance**
**Barclays UK** Income increased by 5%, driven by higher structural hedge income and Tesco Bank NII.
**Barclays UK Corporate Bank** Income grew by 16%, reflecting higher average deposit and lending balances.
**Barclays Private Bank and Wealth Management:** Income increased by 5%, driven by growth in deposit, invested asset, and loan balances.
**Barclays Investment Bank** Income rose by 11%, with growth across Global Markets and Investment Banking.
**Barclays US Consumer Bank** Income increased by 11%, supported by repricing initiatives, business growth, and the acquisition of the General Motors co-branded cards portfolio.
**Strategic Initiatives and Future Targets:**
**2026 Targets** Aiming for a Group RoTE of greater than 12%, capital returns of at least £10 billion, and a Group cost: income ratio in the high 50s.
**2028 Targets** Targeting a Group RoTE of greater than 14%, capital returns of greater than £15 billion, and a Group cost: income ratio in the low 50s.
**Investment and Growth** Plans to invest further in improving customer experience, harnessing new technology (including AI), and building segment-leading businesses to drive growth.
**Key Financial Metrics (FY25)**
**Income** £29.1 billion
**Profit Before Tax** £9.1 billion
**Attributable Profit** £6.2 billion
**CostIncome Ratio:** 61%
**LLR** 52bps
**RoTE** 11.3%
**EPS** 43.8p
**TNAV per Share** 409p
**CET1 Ratio** 14.3%
**Total Capital Return** £3.7 billion
**Quarterly Performance (Q425)**
**Group RoTE** 8.5%
**Profit Before Tax** £1.9 billion
**Group Income** £7.1 billion
**CostIncome Ratio:** 66%
**LLR** 48bps
**Basic Earnings per Share** 8.6p
**Capital and Balance Sheet**
**CET1 Ratio** Increased to 14.3%, with a reduction to 14.0% post the £1.0 billion share buyback.
**TNAV per Share** Increased to 409p.
**Total Assets:** Grew to £1544.2 billion.
**Deposits** Increased to £585.6 billion.
**Liquidity Pool** Expanded to £337.8 billion.
**Risk Management and Compliance**
**Motor Finance Provision** Recognized a provision of £325 million related to a potential FCA redress scheme for motor finance customers.
**FCA Investigations** Resolved investigations into anti-money laundering regulations and financial crime controls with settlements totaling £48 million.
**Strategic Transactions**
**Disposal of German Consumer Finance Business:** Completed in Q125, releasing £3.3 billion of RWAs and increasing the CET1 ratio by 10bps.
**Payment Acceptance Business Partnership:** Entered a long-term strategic partnership with Brookfield Asset Management to grow and transform the Payment Acceptance business.
**GM Portfolio Acquisition** Completed the acquisition of a $1.6 billion US credit card portfolio in partnership with General Motors.
**Disposal of Entercard Shareholding** Sold the entire shareholding in Entercard to Swedbank, releasing £0.9 billion of RWAs and increasing the CET1 ratio by 4bps.
**Best Egg Acquisition** Announced an agreement to acquire Best Egg for $800 million, expected to complete in Q226, with a net estimated impact of increasing the CET1 ratio by 6bps.
**Forward-Looking Statements**
Barclays cautions that forward-looking statements are subject to risks and uncertainties, and actual results may differ materially. Key risks include changes in legislation, regulatory policies, macroeconomic conditions, market volatility, and geopolitical risks.
**Conclusion**
Barclays PLC demonstrated strong financial performance in 2025, achieving all financial guidance and setting ambitious targets for 2026 and 2028. The Groups focus on cost discipline, risk management, and strategic investments positions it well for sustainable growth and higher returns in the coming years.
| Metric | 2024 | 2025 | Change |
|---|---|---|---|
| Profit before tax (£m) | 8,108 | 9,139 | 13% |
| Attributable profit (£m) | 5,316 | 6,175 | 16% |
| Return on tangible equity (RoTE) | 10.5% | 11.3% | 0.8% |
| Earnings per share (EPS) (p) | 36.0 | 43.8 | 22% |
| Tangible net asset value (TNAV) per share (p) | 357 | 409 | 15% |
| Common equity tier 1 (CET1) ratio | 13.6% | 14.3% | 0.7% |
| Total capital distributions (£bn) | 3.0 | 3.7 | 23% |
| Group net interest income (£bn) | 11.3 | 12.8 | 13% |
| Credit impairment charges (£m) | 1,982 | 2,279 | 15% |
| Total operating expenses (£bn) | 16.7 | 17.7 | 6% |
| Total assets (£bn) | 1,518.2 | 1,544.2 | 2% |
| Loans and advances to customers (£bn) | 414.5 | 430.0 | 4% |
| Deposits (£bn) | 560.7 | 585.6 | 4% |