24^th October 2025

• Q3 total income up 16% to £4.3bn

• Profit up 35% to £1.7bn

• Broad-based guidance raise

Matt Britzman, senior equity analyst, Hargreaves Lansdown: “NatWest delivered a strong set of results, comfortably beating expectations with profits about 10% ahead of consensus. The good news was broad-based: revenues were higher, costs were lower, and even loan impairments came in better than feared. Net interest margins – a key measure of how much banks earn on lending – held up well, and management has enough confidence to nudge full-year guidance higher once more. Even so, that upgrade still feels a touch cautious given the margin strength, leaving room for more upside if trends continue.

This is another reminder that UK-focused banks are quietly performing better than many give them credit for. Lloyds showed similar resilience recently, though its motor finance charge muddied the picture. Strip out the noise, and both lenders are proving they fully deserve their improving valuations. For investors, these results reinforce the idea that the domestic banking story still has more room to run.”