UmweltBank AG Reports Strong Growth and Maintains 'Buy' Rating

In its latest research, GBC AG maintains a 'Buy' recommendation for UmweltBank AG with a target price of €10.40. The recent financial results for Q1 2025 show a robust performance across all income and earnings levels. The net interest income climbed to €13.66 million compared to €7.73 million the previous year. Net financial income also saw a significant increase, reaching €12.38 million, driven by real estate sales from a subsidiary.

Despite a positive start to the year, the bank anticipates a slightly negative pre-tax outcome for the ensuing quarters due to no further profit distributions and expected risk provisions between €10 million and €15 million. Additionally, the number of private customers grew by 4,500, raising deposits by €140 million, supporting the target of €4.3 billion in deposits by year-end 2025.

New corporate loans were subdued at €30 million, partly due to selective lending and anticipated regulatory equity constraints. For 2025, the lending goal remains at €250 to €350 million. GBC AG confirms the earnings forecast and maintains the share price target.