Deutsche Bank has reported its strongest third-quarter performance in almost two decades, marking a major milestone in its multi-year turnaround strategy. The group posted a pre-tax profit of €2.4 billion between July and September — the highest Q3 result recorded by the bank since at least 2007.
Net profit attributable to shareholders reached around €1.6 billion, exceeding analyst forecasts by a clear margin and coming in 7% higher than a year earlier. Stronger revenues, disciplined cost control, and fewer provisions for non-performing loans were key contributors to the surge in earnings.
After the first nine months of the year, the bank has already accumulated €4.8 billion in net profit, putting it firmly on track to outperform last year’s results.
Path to higher returns
CEO Christian Sewing says the performance proves the bank’s ability to deliver value in a shifting global environment:
“We have shown that we create value for customers and shareholders — even in challenging conditions.”
The group expects to generate about €32 billion in revenues this year. The return on tangible equity (RoTE) stood at 10.9% after nine months — above the >10% target set for 2025. Sewing reiterated his confidence that the bank will finish the year above its return target.
Target: Greater efficiency as growth continues
Cost efficiency remains central to the bank’s transformation. Deutsche Bank aims to reduce the cost-to-income ratio so that by 2025, only €0.65 of cost is needed to generate €1 of revenue. Between January and September, that figure was already 63%, signaling early progress.
Strategy update coming mid-November
The bank’s next strategic phase will be outlined during a capital markets update on 17 November. The Board is expected to present new mid-term goals through 2028, expanding on the transformation pillars introduced in recent years: operational efficiency, wealth management growth, and continued improvement in risk controls.
Last year’s profits had been weighed down by compensation payments to former Postbank shareholders, but the strong results in 2025 suggest that legacy burdens are easing.
Momentum builds after years of restructuring
For much of the past decade, Deutsche Bank faced layoffs, scandals, and weak earnings. The recent upswing signals that the restructuring measures introduced since 2019 — including a sharper focus on corporate banking and wealth management — are now bearing fruit.
Whether this momentum can be maintained in a volatile interest rate environment remains a key question for investors. But for now, the message from Frankfurt is one of confidence:
The bank sees room to grow — and plans to do so aggressively.
