Lion Finance Group PLC (BGEO) has published its unaudited consolidated results for the third quarter and first nine months of 2026, reporting a 21.0% year-on-year rise in quarterly profit to GEL 661.9 million. The London-listed financial holding group, which operates primarily through Bank of Georgia and Armenian lender Ameriabank, also declared a quarterly dividend of GEL 3.25 per share alongside a GEL 62 million share buyback and cancellation programme. The results reflect accelerating customer growth across both core markets, with the Group's loan book reaching GEL 46.5 billion as at 30 September 2026.

Key Points

  • Lion Finance Group PLC (BGEO)
  • Consolidated 3Q26 profit reached GEL 661.9 million, up 21.0% year-on-year, with nine-month profit of GEL 1,865.7 million, up 18.6% year-on-year
  • Return on average equity stood at 27.2% in both periods; quarterly dividend of GEL 3.25 per share, up 22.6% year-on-year; Group loan book up 24.6% year-on-year in constant currency to GEL 46.5 billion
  • Investors may be watching the trajectory of credit risk costs and the pace of Ameriabank's market share gains in Armenia

Group Profit and Operating Income Growth in 3Q26

Lion Finance Group's operating income before cost of risk grew 25.4% year-on-year to GEL 880.6 million in 3Q26, underpinned by a 19.4% rise in net interest income to GEL 941.7 million and a 39.9% increase in net fee and commission income to GEL 203.5 million. Net operating income rose 19.6% year-on-year to GEL 1,294.6 million in the quarter. The Group's net interest margin stood at 6.5% in 3Q26, up 20 basis points both year-on-year and quarter-on-quarter, partly reflecting a methodology change following the National Bank of Georgia's decision to make foreign currency mandatory reserves non-interest-bearing from July 2026.

Bank of Georgia and Ameriabank Digital Customer Metrics Accelerate

Bank of Georgia's Retail Digital Monthly Active Users grew 13.9% year-on-year to 1,987.2 thousand individuals, while Daily Active Users rose 20.1% year-on-year to 1,076.8 thousand. In Armenia, Ameriabank's Retail Digital MAU expanded 36.8% year-on-year to 417.4 thousand individuals, with DAU up 42.5% year-on-year to 181.7 thousand. The announcement states that Ameriabank's loan book grew 38.1% year-on-year in constant currency, outpacing the broader Armenian market's estimated 25.4% growth, and that Ameriabank's loan market share rose to 23.0% as at 30 September 2026, up 1.8 percentage points year-on-year.

Asset Quality, Cost Control, and Capital Position Across GFS and AFS

The Group's NPL ratio improved slightly to 2.0% in 3Q26 from 2.1% a year earlier, with both GFS and AFS recording NPL ratios of 1.9%. The cost of credit risk ratio rose to 0.7% in 3Q26 from 0.5% in 3Q25, reflecting ECL normalisation in retail. Operating expenses increased 9.0% year-on-year to GEL 414.9 million in 3Q26, with Georgia's cost-to-income ratio maintained at 27.8%. The announcement states that capital adequacy and liquidity at both Bank of Georgia and Ameriabank remained comfortably above minimum regulatory requirements.

Medium-Term Targets and Macroeconomic Backdrop in Georgia and Armenia

The Group maintained full-year 2026 real GDP growth forecasts of 7.5% for Georgia and 5.5% for Armenia. The company's medium-term targets include approximately 15% annual loan book growth, a return on average equity above 20%, and a payout ratio of 30–50% via dividends and share buybacks. The announcement notes that both S&P and Fitch revised their sovereign outlooks to Positive from Stable for Georgia and Armenia in 2026. Elevated inflation and the possibility of further central bank rate increases in both markets represent risk factors flagged in the disclosure.