NatWest Group (LSE:NWG) said its updated guidance follows a strong first quarter ended 31 December 2025 in which total income excluding notable items was £4.2bn and operating profit was £2bn, both higher than Q1 2025.
Attributable profit for the quarter was £1.4bn and basic earnings per share were 17.9p, up 15.5% versus Q1 2025, with Return on Tangible Equity of 18.2% and capital generation pre-distributions of 65 basis points.
"The strength of our balance sheet, scale of our business and depth of our long-standing relationships mean that we can provide the funding, advice and expertise our 20 million customers need," Paul Thwaite said.
Customer assets and liabilities rose £8.4bn (0.9%) in the quarter and are 5.2% higher than Q1 2025, net loans excluding central items increased £7.2bn as Retail mortgages and Commercial & Institutional balances grew, customer deposits excluding central items rose £3.1bn, and assets under management and administration fell £1.8bn amid negative market movements despite AUM net inflows of £0.9bn.
The bank generated over £100m of incremental cost savings in Q1, reported a cost:income ratio excluding litigation and conduct of 46.5% (improving 2.1 percentage points year on year), delivered £2.2bn of RWA management benefits, and ended the quarter with a CET1 ratio of 14.3% and an average LCR of 144%.
Except for the upgraded income expectation, NatWest reaffirmed the outlook provided in its full year 2025 results and said all 2026 guidance excludes the expected impact of the forthcoming Evelyn Partners acquisition.
