Crédit du Maroc posts 37% profit surge in first quarter 2026

Yesterday 14:44

By: Dakir Madiha

Crédit du Maroc posts 37% profit surge in first quarter 2026

Crédit du Maroc delivered a strong financial performance in the first quarter of 2026, with its consolidated net income attributable to the group climbing 37.2% year-on-year to reach 272 million dirhams, up from 198 million dirhams during the same period in 2025. The results, reviewed by the Supervisory Board on May 14, 2026 under the chairmanship of Mohamed Hassan Bensalah, reflect broad-based gains across lending activity, deposit collection, and operational efficiency.

Total outstanding loans grew 6.7% over the past twelve months to 60.519 billion dirhams at end-March 2026. Corporate financing led the expansion, rising 8.2% to 37.015 billion dirhams, driven by sharp growth in leasing operations, which surged 37.9%, equipment loans, up 16.9%, and real estate development credit, which increased 16.1%. Household lending also expanded, advancing 4.1% to 22.415 billion dirhams, supported by a 2.6% rise in mortgage credit and a 10.5% increase in consumer loans, reflecting sustained commercial momentum across retail banking segments.

On the funding side, consolidated customer deposits rose 9.8% over twelve months to 62.633 billion dirhams. Demand deposits accounted for the bulk of the increase, climbing 14.8% to 46.203 billion dirhams. Savings deposits reached 10.184 billion dirhams and term deposits stood at 5.029 billion dirhams. Consolidated net banking income for the quarter came in at 928 million dirhams, a 4.2% increase compared to the first quarter of 2025. Net interest margin was the primary growth engine, rising 12.7% to 739 million dirhams, benefiting from increased business volumes, lower funding costs, and the positive contribution of the leasing and factoring subsidiary. Fee and commission income grew 7.0% to 143 million dirhams, driven by the wealth management and insurance subsidiaries as well as strong performance in trade finance and cash management. Market operations income, however, fell 43.4% to 72 million dirhams, weighed down by bond market activity in a challenging geopolitical environment, partially offset by gains in foreign exchange trading.

Gross operating income improved 6.4% to 509 million dirhams, while the cost-to-income ratio tightened by 113 basis points to 45.1%, reflecting disciplined expense management even as the bank invested 50 million dirhams in technology transformation during the quarter. Risk management was another standout element of the results: the consolidated cost of risk posted a net reversal of 69 million dirhams in the first quarter of 2026, compared to a net provision charge of 62 million dirhams in the same period of 2025. Non-performing loans stood at 4.548 billion dirhams, with the doubtful and contested loan ratio stable at 7.1% and a coverage ratio of 85.1%. The capital adequacy ratio improved to 14.50% from 14.00% a year earlier, comfortably above the regulatory minimum of 12%.