Why did Migros Bank profit dip in 2025?

Net profit fell 2.1% to CHF 276.2 million as operating expenses increased 3.9%, which pushed the cost-income ratio to 52.2%. Client and asset growth stayed positive, but higher costs outpaced revenue growth. That dynamic compressed operating leverage and limited bottom-line progress for the year.

How important is Migros Bank to the Migros Group?

It is central. The bank offset the group’s loss in 2023 and contributed the bulk of profit in 2024. That means stable earnings, strong liquidity, and cost control at the bank directly influence the group’s financial flexibility and ability to invest in core retail and services.

What is the focus of the 2026–2030 strategy?

The plan centers on three areas: wealth, housing finance, and SME banking. Wealth can lift fee income with low capital use. Housing focuses on disciplined mortgages plus cross-sell. SME banking deepens relationships with payments, leasing, and working capital products while holding firm credit standards.

What should Swiss investors watch in 2026?

Focus on four signals: deposit growth and pricing, cost trend versus revenue, fee income from wealth and cards, and asset quality in mortgages and SMEs. If costs stabilize and fees grow faster, the cost-income ratio should improve and earnings resilience should strengthen through the next cycle.

Global Market Insights

Migros Bank February 19: 2025 Profit Dips, Costs Rise, Strategy Reset

ByDanny Kontos February 19, 2026February 19, 2026

Migros Bank posted a softer 2025, with net profit down 2.1% to CHF 276.2 million as costs rose 3.9%, pushing the cost-income ratio to 52.2%. Client and asset growth held up, but efficiency slipped. The bank remains vital to the Migros Group, having offset the retailer’s 2023 loss and contributed most of 2024 profit. We break down Migros Bank earnings, why costs matter for Swiss retail banking, and how the 2026–2030 strategy around wealth, housing, and SME banking could reset growth.