Lion Finance remains optimistic as profit drops; plans more buybacks
Lion Finance Group PLC on Wednesday posted lower annual profit due to one-off costs, as it outlined plans for further buybacks.
The Tbilisi-based lender formerly known as Bank of Georgia Group booked pretax profit of ₾2.58 billion, or £714.3 million, in 2025, down 9.4% from ₾2.85 billion in 2024. Diluted earnings per share fell to ₾49.52 from ₾55.75.
Lion Finance attributed the slip to a one-off expense of GEL 29.6 million. This was booked in 2025 ‘due to revised accounting treatment for the employee stock ownership plan’, it said.
Annual profit before one-offs was up to ₾2.19 billion from ₾1.81 billion the year prior.
Net interest income rose to ₾2.97 billion from ₾2.36 billion on-year, while net fee & commission income increased to ₾657.5 million from ₾561.6 million. Operating income was up to ₾4.30 billion in 2025 from ₾3.56 billion the previous year.
Nonetheless, the lender has proposed a lower fourth-quarter dividend of ₾2.75 per share, compared with 2024’s final dividend of ₾5.62.
More positively for shareholders, the board has approved a ₾53.5 million extension to its buyback programme. This is due to start ‘shortly’, the firm said, and end by its annual general meeting, expected in May.
Lion Finance also expects to benefit from ‘growth-supportive’ economy policy.
‘Overall, GDP growth reached 7.2% in 2025, exceeding earlier expectations, while growth in 2026 is projected to be in the range of 5.5-6.0%. The outlook is supported by continued fiscal expansion, sustained strength in the services sector, and the planned commissioning of a new gold mine, which is expected to provide an additional boost to industrial output and export capacity,’ the lender said.
It sees Armenian reforms bolstering trade, in addition to ‘further medium-term growth upside’ as Armenia implements a peace accord with Azerbaijan and the Turkish land border is opened. Nonetheless, the lender noted that ‘regional geopolitical tensions continue to pose downside risks’.
Lion Finance shares were up 8.0% to 11,130.00p each on Wednesday morning in London.
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