MBH Bank swings to a first-half loss

What happened?

All monetary figures below are in millions of forints. MBH Bank reported a loss of 22,537 million and a pre-tax loss of 11,758 million for the first half of 2026. In the first half of 2025, the same lines showed a profit of 53,526 million and a pre-tax profit of 68,163 million.

Net interest income fell to 208,032 million from 236,025 million, a decline of 11.9 percent. Net fee and commission income rose to 99,475 million from 97,336 million, an increase of 2.2 percent. Administrative and operating expenses reached 308,389 million after 257,724 million, an increase of 19.7 percent. The balance of impairment charges and provisions was minus 17,043 million, compared with plus 5,388 million a year earlier.

Balance sheet and capital

Total assets were 12,926,353 million on 30 June, compared with 12,890,268 million on 31 December 2025, an increase of 0.3 percent. Customer deposits and other customer liabilities fell to 7,751,525 million from 8,343,691 million, a decline of 7.1 percent. The capital adequacy ratio was 20.93 percent, down from 22.86 percent on 31 December 2025, a decrease of 1.93 percentage points.

What do the numbers support?

The statements show lower net interest income, higher operating costs and a less favourable impairment balance at the same time. These are the principal financial components behind the weaker result, but they do not prove a single exclusive cause. The positive effect from the fair-value remeasurement of loans was 28,932 million, compared with 8,669 million previously, but it did not offset the combined effect of the other income-statement lines.

PwC's report dated 25 September was a limited review, not a full audit. The reviewer reported no matter suggesting that the interim statements had not been prepared under IAS 34, but this narrower procedure does not provide the assurance of an annual audit.

What should investors watch?

The next reports should be tested against four points: whether net interest income stabilises, how quickly costs grow, how impairments develop, and what happens to customer deposits and the capital adequacy ratio. Improvement would soften the present deterioration; persistent weakness would reinforce the risks.

Global Review is not reporting a share-price reaction because the newsroom does not have an appropriately licensed, current MBH share price. This is factual news, not an investment recommendation.