Gránit Bank 1Q26 Review

Granit Bank’s group-level post-tax profit was 2.5Bn in 1Q26, beating the 1.1Bn in 1Q25, both heavily impacted the special taxes booked in the first quarter each year. Adjusted net income was 7.0Bn in 1Q26 (4Q25: 5.4Bn; 1Q25: 4.6Bn).
Total assets grew by 8.0% QoQ to 2 013Bn in 1Q26, supported by the deposit flow from both corporates (+12.4%) and retail (+9.8%). On the asset side, the company was able to proportionately increase its retail loan (+14.8%), and institutional loan and bond (+17.1%) portfolios.
Adjusted Return on Equity (ROE, adjusted for windfall taxes) was 14.5% in 1Q26 vs 11.0% in 4Q25 and 10.3% in 1Q25, in line with expectations, despite the higher level of shareholders’ equity.
In line with plans, the bank intends to pay dividends no earlier than 2027 after the 2026 financial year. Dividends will be capped at 25% of earned profit.
The growth trajectory is expected to be in line with the 2026 model projection. The 1.08x P/B ratio (share price: 9 200 on 31.03.2026; book value per share: 8 531 on 31.03.2026) is moving in line with the valuation of traditional commercial banks, which in our view undervalues Granit Bank’s dynamic growth model. In light of the above reasoning and our positive expectations, we maintain our Buy recommendation with a target price of 18 306.