Bank of Valletta has reported a profit before tax of €192.1 million for the first nine months of 2025, reflecting continued strength in its core business operations and investor confidence in Malta’s largest financial institution. The bank’s total assets have now surpassed €16 billion for the first time, marking a key milestone in its growth trajectory.

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The results, announced on Wednesday, show that BOV remains on course to meet its full-year profit projections of between €215 million and €250 million, consistent with previous guidance. The bank also confirmed its commitment to maintaining a policy of distributing up to 50% of after-tax profits, subject to prevailing market conditions.

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During the period, the Group registered operating income of €365.1 million, supported by growth in both net interest income and net fee and commission income. Total costs rose by 15.6%, mainly due to strategic investment in talent and technology as part of the bank’s ongoing digital and operational transformation.

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Chairperson Dr Gordon Cordina described the results as “a testament to sustained growth, prudent risk management, and capital optimisation,” noting that the bank’s performance remained strong despite global economic uncertainty and changing interest rate dynamics.

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‎“The BOV Group continues to diversify, innovate, and support the market through a number of strategic initiatives,” Cordina said. “In August, we became the first credit institution in Malta to launch a regulated share buy-back programme designed to enhance market liquidity and reinforce long-term shareholder value.”‎

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Cordina also highlighted the bank’s new entry into the insurance intermediary market through a collaboration with Mapfre Middlesea, as well as regulatory approval from the MFSA for a €325 million Euro Medium Term Bond Programme aimed at strengthening BOV’s capital structure.

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The Group’s asset quality continued to improve, with the non-performing loans ratio declining to 1.9% — its lowest level in many years — while capital ratios remain well above regulatory requirements. Lending activity grew strongly, with commercial and retail balances increasing by 8.7% and 13.2% respectively. Customer deposits also maintained an upward trend, reflecting strong market confidence.

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CEO Kenneth Farrugia said the results underscored the strength of the bank’s core business and its commitment to innovation and sustainability. “We continue to strengthen our investment activity through the strategic redeployment of liquidity into longer-term interest-bearing assets,” he said.

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Farrugia emphasised that cost increases were tied to long-term strategic objectives, including investment in talent, digitalisation, and enhanced customer experience. “Our focus on efficiency and transformation remains central to our 2024–2026 strategy, while our digital transformation programme continues to deliver greater convenience and financial agility for our customers,” he added.

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BOV also continued to advance its environmental, social, and governance (ESG) commitments, expanding its green financing portfolio and progressing its Climate Transition Plan. Earlier this year, the bank was recognised by the World Savings and Retail Banking Institute and the European Savings and Retail Banking Group for its leadership in sustainable finance and community initiatives.

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Farrugia concluded that the bank would continue to pursue growth while reinforcing its role as the “Bank of Choice” in Malta. “Our focus remains on long-term financial well-being, sustainable growth, and supporting Malta’s

‎transition towards a more resilient and responsible economy,” he said.