NatWest Sets Out Performance Targets After Quarterly Beat

By Elena Vardon

NatWest guided for further income growth and profitability this year as it reported fourth-quarter results that beat expectations.

"We start 2026 from a position of strength. That strength gives us the confidence to raise our ambition and accelerate our progress," Chief Executive Paul Thwaite said.

The British bank expects to make between 17.2 billion and 17.6 billion pounds ($23.43 billion-$23.98 billion) in total income for 2026, up from the 16.4 billion-pound result it reported for 2025. The guidance excludes the impact of its 2.7 billion-pound acquisition of Evelyn Partners announced on Monday, which is set to close this summer and boost its wealth management business.

The lender said it targets a return on tangible equity--a key profitability measure--of more than 17% in 2026 and of greater than 18% by 2028. This compares with previous guidance for 2027 of more than 15% and a return of 19.2% reported for 2025.

For the fourth quarter, the group posted 1.94 billion pounds in pretax profit on total income of 4.32 billion pounds, which was ahead of estimates taken from a company-compiled consensus.

The board proposed a final dividend of 23.0 pence a share, bringing the full-year payout to 32.5 pence which is 51% higher than the previous year's. The bank intends to start a 750 million-pound buyback program in the first half of the year.

Write to Elena Vardon at elena.vardon@wsj.com

(END) Dow Jones Newswires

February 13, 2026 03:03 ET (08:03 GMT)