Deutsche Bank Exceeds Fourth Quarter Profit Forecasts

• Group revenues reached 7.73 billion euros for Q4, in line with the 7.72 billion euro LSEG estimate
• CET 1 capital ratio stood at 14.2%, down slightly from 14.5% in Q3 but up from 13.8% in Q4 2024
• Credit impairment totaled 395 million euros, better than the 408.3 million euro analyst forecast and down from 417 million euros in Q3

Deutsche Bank Exceeds Q4 Profit Expectations Despite Money Laundering Probe

Key Financial Results:

Deutsche Bank reported record profits for Q4 2025, surpassing analyst expectations. While specific net profit figures were not fully detailed in the article, the bank demonstrated strong performance across key metrics:

• Group revenues: €7.73 billion for the quarter ending December, essentially matching LSEG analyst estimates of €7.72 billion
• CET 1 capital ratio: 14.2%, down slightly from 14.5% in Q3 but up from 13.8% in Q4 2024, indicating solid bank solvency
• Credit impairment: €395 million, beating analyst predictions of €408.3 million and improving from €417 million in Q3

Market Context:

The positive earnings announcement comes amid significant legal challenges. On Wednesday, one day before the earnings release, German federal prosecutors launched a money laundering investigation into Deutsche Bank. Law enforcement officials searched the bank's Frankfurt and Berlin offices as part of the probe. The bank stated it is "cooperating fully" with investigators but declined further comment.

Implications:

Despite the ongoing investigation, Deutsche Bank's fourth-quarter performance demonstrates operational resilience. The improved credit impairment figures suggest better loan portfolio quality, while the stable revenue performance and healthy capital ratios indicate the bank maintained strong fundamentals through year-end 2025.

The timing of the money laundering probe alongside record profits presents a mixed picture for investors, balancing operational strength against potential regulatory and reputational risks.