Crédit Agricole: Net Income Up 5.5% to €2.1 Billion in Q1 2026
Crédit Agricole has reported its Q1 2026 results with a group net income of €2.1 billion, an increase of 5.5%. This growth is driven by strong intermediation margins and sustained business activity, particularly in insurance and asset management. However, the cost of credit risk increased by 30.6%, reflecting a revision of prudential scenarios related to the conflict in the Middle East.
Earnings Growth Despite Increased Risk Pressure
In the first quarter of 2026, Crédit Agricole Group's net income reached €2,097 million, up 5.5% compared to the same period in 2025. Net banking income grew by 2.8% to €10 billion. This increase is supported by a significant rise in the regional banks' intermediation margin, which jumped by 34.3% year-on-year, benefiting from the reduced cost of resources. Operating expenses remained almost stable, increasing by only 0.7%. Gross operating income thus rose by 6.2% to €3,967 million, with the cost-income ratio improving by 1.3 percentage points to 60.3%. This cost control supports the overall performance of the group. The cost of credit risk amounted to €960 million, up 30.6% year-on-year, including notably €80 million related to the revision of IFRS 9 prudence scenarios and €28 million in provisions related to the conflict in the Middle East.
Dynamic Customer Acquisition and Record Collection in Insurance
Business activity remains strong across all group sectors. In the first quarter of 2026, the group registered 600,000 new clients in retail banking, including 450,000 in France and 150,000 internationally (Italy, Poland, Egypt, and Ukraine). This acquisition dynamic is particularly driven by digital acquisition, with a significant acceleration in France via L by LCL Pro and in Italy. In asset management, net inflows reached a very high level of €32 billion, driven by passive management and rate/credit strategies. In insurance, gross savings and retirement collection amounted to €12.6 billion, an increase of 19%. The record net collection of €5.7 billion benefits from the promising start of the new fully digital Oriance contract (100,000 contracts subscribed in just over a month since its launch on February 23). Assets under management in asset management and savings grew by 6.9% year-on-year to €3,075 billion.
Financial Strength Maintained Despite Geopolitical Tensions
Crédit Agricole S.A. recorded a net income of €1,676 million, up 1.8% in the first quarter of 2026. Net banking income reached €6,994 million, an increase of 0.9%. The non-performing loan rate remains low at 2.3%, down 0.1 percentage points over the quarter, while the coverage rate improved to 72.6%. As of March 31, 2026, Crédit Agricole Group's phased Common Equity Tier 1 (CET1) ratio stood at 17.1%, providing a cushion of 6.7 percentage points above the regulatory minimum. The group's liquidity reserves amounted to €475 billion, covering more than twice the net short-term debt. Crédit Agricole S.A. raised €11.6 billion of medium- and long-term debt as of March 31, 2026, diversified across formats and currencies, with 72% in non-euro currencies.
