Key Highlights

  • TBC Bank Group (LSE:TBCG) is in focus on the FTSE 250 as investors prepare for its Q3 and nine-month 2026 results, due at 7.00am on Friday 6 November.
  • First-half 2026 Earnings Per Share rose 13.9% to GEL 13.50, while Q2 Operating Income climbed 10% to around GEL 917 million.
  • The net interest Margin was stable at 7.1%, though the cost of risk rose to 1.6% and Non-Performing Loans edged up to 3.3%.
  • Georgia generates around 95% of group earnings with a Return on Equity above 24%, while Uzbekistan is showing signs of stabilisation.
  • The group remains on track for its 2026-2028 targets of 15%+ loan growth, 23%+ ROE and a 25-45% payout ratio.

Why TBC Bank Group (LSE:TBCG) Is in Focus Today

TBC Bank Group (LSE:TBCG), the leading financial services group in Georgia and a fast-growing digital ecosystem in Uzbekistan, is in focus on 3 November 2026 as the countdown begins to its third-quarter results. The FTSE 250 lender will publish its unaudited consolidated results for the third quarter and first nine months of 2026 on Friday 6 November, followed by a management conference call.

Interest in the stock has been building. Emerging market fund managers have highlighted TBC's solid earnings in its core Georgian market and early signs of stabilisation in Uzbekistan, where the group had slowed lending growth to protect asset quality. The stock recently went ex-dividend on its quarterly payout in late October, and its high return on equity, low valuation and strong Dividend yield have made it a frequent topic of discussion among income and value investors on global Investment platforms.

A Two-Market Growth Story

TBC Group serves around 7.2 million digital monthly active users across Georgia and Uzbekistan. In Georgia, TBC is the Market Leader across retail, MSME and corporate banking, benefiting from one of the fastest-growing economies in Europe and Central Asia. Economists at the group's research arm forecast Georgian real GDP growth of around 7.4% for 2026.

In Uzbekistan, a large and fast-growing market of more than 35 million people, TBC has built a fully digital financial ecosystem since 2020, including the Payme payments app and digital lending. In July 2026, TBC completed the Acquisition of a majority stake in OLX Uzbekistan, the country's leading online classifieds platform, expanding its ecosystem into marketplaces and giving it more ways to engage customers. Uzbek GDP growth is forecast at around 8.2% for 2026.

Second-Quarter 2026 Results Recap

In its 2Q and 1H 2026 results published on 6 August, TBC reported total operating income up 10% year-on-year to around GEL 917 million, driven by 13% growth in net interest income. The net interest margin remained stable at 7.1%, up 0.1 percentage points from the first quarter. Earnings per share for the first half rose 13.9% to GEL 13.50.

Asset quality was the main area of caution. The cost of risk rose to 1.6%, up 0.3 percentage points quarter-on-quarter, driven by the seasoning of older loan vintages and loan book contraction in Uzbekistan. Non-performing loans increased from 3.0% at the end of March to 3.3% at the end of June.

Georgia remains the main profit engine, generating around 95% of group earnings with a return on equity of roughly 24%.

Strategy and Targets

TBC Bank Group (LSE:TBCG) has set clear medium-term targets for 2026 to 2028: annual loan book growth of at least 15%, annual return on equity of at least 23% and a Payout Ratio of 25% to 45%. At its 2026 Strategy Day, management outlined an ambition to roughly double net profit and loans by 2030, driven by digital growth and an increasing contribution from Uzbekistan.

The group pays quarterly dividends and has also used share Buybacks to return capital. Over the past decade, TBC has delivered an average return on equity of around 23% and net profit compound annual growth of around 21%.

Valuation

TBC trades on a low price-to-earnings ratio of roughly 7 times trailing earnings, with a Dividend Yield of around 4%, despite its high profitability. This discount reflects the perceived risks of investing in frontier and emerging markets, including political and currency risk. The Market Capitalisation is around £2.7 billion.

Key Risks

Investors should consider political risk in Georgia, where tensions with the European Union and domestic politics have affected sentiment in recent years. Currency movements in the Georgian lari and Uzbek som affect reported results and dividends in sterling terms. Asset quality in Uzbekistan's consumer lending book, regulatory changes and regional geopolitical tensions involving Russia are additional risks.

What Investors Are Watching Next

On 6 November, investors will focus on loan growth in both markets, the net interest margin, the cost of risk and whether non-performing loans have stabilised. Evidence that Uzbekistan has returned to loan growth with healthy asset quality would be a key positive. The quarterly dividend declaration, Capital ratios, progress on integrating OLX Uzbekistan and updates on the 2026-2028 targets will also be closely watched. Comments on Georgian economic growth and the political environment will remain important for sentiment.