ING lifts full-year guidance to 24.5 billion euros after Q2 beat

Key Takeaways:

• ING raised full-year income guidance to more than 24.5 billion euros
• Second-quarter profit beat market expectations
• The Dutch lender cited higher net interest income and loan growth

ING raised its full-year total income guidance to more than 24.5 billion euros ($28.0 billion) on Thursday after reporting a second-quarter profit that exceeded analyst estimates, signaling confidence in the Dutch lender's earnings momentum as interest rates remain elevated across Europe.

"The beat reflects continued strength in our retail and wholesale banking franchises, with net interest income benefiting from the current rate environment," said Steven van Rijswijk, chief executive officer of ING, in a statement. "We see sustained demand for lending across our core markets."

The Amsterdam-based bank reported quarterly net profit that surpassed the consensus estimate compiled by the company, though specific figures were not yet fully disclosed. The upgraded guidance implies total income growth of roughly 3 percent from the 23.8 billion euros ING reported for full-year 2025, based on the lower end of the new target. The lender's net interest margin has benefited from the European Central Bank's rate cycle, with the ECB's deposit rate currently at 3.25 percent after a series of cuts from the 4 percent peak reached in 2023.

The guidance upgrade comes as European banks navigate a mixed rate outlook. The ECB has lowered borrowing costs by 75 basis points since June 2025, but the pace of further easing remains uncertain as inflation in the euro zone hovers near the 2 percent target. ING's CET1 ratio, a key measure of capital strength, stood at 14.8 percent at the end of the first quarter, well above regulatory minimums, giving the lender room to support loan growth and shareholder returns. Each 25-basis-point move in euro zone rates affects ING's net interest income by approximately 400 million euros annually, according to the bank's disclosures.

The improved outlook also reflects ING's expanding loan book in its home market and across Western Europe, where corporate borrowing has picked up as businesses invest in digital infrastructure and energy transition projects. The bank's return on equity, a key profitability metric, has trended above 10 percent in recent quarters, outperforming several euro zone peers.

ING shares have gained about 12 percent year to date, outperforming the STOXX Europe 600 Banks index, which has risen roughly 8 percent over the same period. The stock traded higher in Amsterdam on Thursday following the announcement.

The guidance revision positions ING among a handful of European lenders that have upgraded their outlooks this earnings season, as the region's banking sector benefits from resilient economies and still-elevated interest rates despite the ECB's easing cycle. Investors will watch for further details on net interest income trends and loan loss provisions when the bank releases its full second-quarter results.

This article is for informational purposes only and does not constitute investment advice.