Alpha Bank presented Alpha Accelerated, its new strategic plan looking ahead to 2030, in the context of its hosted Investor Day.
The plan sets a target for adjusted annual earnings of over 1.4 billion euros and an adjusted return on tangible equity of approximately 16% by 2030, up from around 12% in 2026.
Earnings per share are expected to reach approximately 0.63 euros by 2030, prior to any benefit from share buybacks.
The Alpha Accelerated strategic plan is based on two core growth engines:
- The Universal Business Bank pillar expands Alpha Bank's relationship with corporations beyond financing, aiming at comprehensive coverage of the financial needs of each business client: credit facilities, payments, advisory services, access to capital markets, and cross-border banking services through the European network of UniCredit.
- The Wealth and Personal Banking pillar meets household needs, from day-to-day banking service and savings to investments, insurance, and retirement planning, combining digital services with personalized advisory support.
The plan provides for shareholder distribution capacity of approximately 4 billion euros during the 2027-2030 period, including roughly 2 billion euros in regular cash dividends and an additional distribution capacity of about 2 billion euros. The regular cash dividend payout ratio will gradually increase to 40% of earnings by 2028. Additional distributions will be evaluated on an annual basis, while preserving flexibility to fund attractive-return growth opportunities or value-accretive acquisitions.
The Alpha Accelerated strategic plan builds upon the successful trajectory of the preceding three-year period, during which Alpha Bank exceeded all targets established at the Investor Day of 2023. The blueprint is based on official financial forecasts, whereas assumptions are deliberately conservative and a more supportive macroeconomic environment could create additional headroom.
Core ambitions for 2030
- Adjusted annual profits exceeding 1.4 billion euros by 2030, following AT1 coupon payments, up from approximately 0.9 billion euros in 2026.
- Adjusted return on tangible equity of approximately 16%, compared to roughly 12% in 2026 on a comparable basis.
- Adjusted earnings per share of approximately 0.63 euros by 2030, up from approximately 0.41 euros in 2026, corresponding to an annual compound growth rate of roughly 12% prior to any benefit from future share buybacks.
- Shareholder distribution capacity of approximately 4 billion euros across the 2027-2030 period, including roughly 2 billion euros in regular cash dividends.
- An increase in the regular cash dividend payout ratio to 40% of earnings by 2028, up from approximately 28% in 2025.
- Technology investments of approximately 900 million euros over the 2027-2030 period, aiming for artificial intelligence to generate approximately 100 million euros in recurring annual gross value starting from 2030.
- More than doubling Private Banking revenues to roughly 150 million euros, with international client assets under management rising from approximately 0.6 billion euros to about 3.6 billion euros.
- Further enhancement of balance sheet quality, with a non-performing exposure ratio of approximately 2%, deferred tax credits below 5% of CET1 capital, and a CET1 ratio of roughly 13% by 2030.
The CEO of Alpha Bank Group, Vasilis Psaltis, stated: «Three years ago, at the Investor Day of 2023, we presented a clear roadmap for restoring the profitability of Alpha Bank, strengthening its balance sheet, and returning the Bank to a path of sustainable growth and shareholder distributions.
Today, we prove that we honored those commitments.
Alpha Bank enters this new strategic cycle from a position of greater strength. We have expanded our capabilities, enriched our product offering, solidified our presence across critical client segments, and established partnerships that substantially broaden the scope of what we can deliver to our clients.
The operating environment around us is evolving. Businesses now require far more than plain credit financing. They seek transaction banking services, liquidity management solutions, strategic advisory, and connectivity with international markets. Individuals, on the other hand, look for support and guidance regarding their savings, investments, insurance coverage, and retirement. As financial needs grow increasingly multifaceted, our ambition is to serve as an even more meaningful and valuable partner for both corporations and households.
This ambition is reflected in our strategic plan, Alpha Accelerated.
Our strategy is founded upon two complementary growth engines, centered on businesses and private individuals. Together, they enable us to deepen client relationships, increase product penetration, and forge a broader and more diversified profitability profile.
The partnership with UniCredit functions as a powerful growth accelerator, expanding our capacity to provide modern products and services and reinforcing our international reach. Technology, data, and artificial intelligence empower us to serve our clients more efficiently and operate with higher productivity. At the core of our ambition stand our people. We will continue investing in their skills and professional development so they can act as One Bank around the needs of our clients.
For the upcoming period, our focus is explicit: higher quality of profitability, disciplined capital allocation, enhanced distributions to shareholders, and the creation of sustainable value for all.
Looking toward 2030, we target a normalized return on tangible equity of approximately 16% and an annual growth in earnings per share of around 12%, deploying more than 4 billion euros for distributions to shareholders.
Having placed the Bank upon new, solid foundations, on October 12 we unveiled our new identity. It reflects a Bank that evolves while remaining anchored to the heritage of its nearly 150-year history. We have already built a stronger Alpha Bank. We are now focusing on further strengthening our commercial positioning and accelerating the next phase of Alpha Bank's expansion».
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