Finance
BNP Paribas targets profit rebound at French retail arm by 2028
Published by Global Banking & Finance Review®
Posted on June 26, 2025
2 min readLast updated: January 23, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on June 26, 2025
2 min readLast updated: January 23, 2026
BNP Paribas plans to boost profits in its French retail division by 2028 through sales growth and headcount cuts, targeting a 17% return on equity.
By Mathieu Rosemain and Bertrand De Meyer
PARIS (Reuters) -BNP Paribas plans to revive profit at its French retail division by 2028 via sales growth and headcount cuts, the euro zone's biggest bank said on Thursday, after weak results at the unit dragged on its share price.
The bank said in a presentation its French retail and consumer finance unit, CPBF, is targeting a return on normalized equity above 17% by 2028, up from 9.8% in 2024.
This turnaround will be driven by average annual revenue growth of more than 5% between 2024 and 2028, largely fuelled by a recovery in net interest income – the difference between what a bank earns on loans and pays out on deposits.
BNP expects revenue growth to outpace cost increases over the period, allowing for improved profitability. This will be notably supported by a reduction in headcount, though the bank said no voluntary departure plan was in place.
"In France, we intend to continue adjusting our footprint to match client needs. Since COVID-19, customer behaviour has changed, and we must keep adapting," CPBF Chief Financial Officer Maryline Anglaret told investors.
The group plans to reduce both the number of branches and so-called full-time equivalents (FTEs), a standard measure of workforce size.
BNP said it is targeting an average annual FTE reduction of 2.2% to 2.5% between 2026 and 2030.
BNP Paribas operated 1,545 branches in France at the end of 2024, down from 2,095 in 2014. The bank has told employee representatives it plans to accelerate closures, with around 500 branches expected to shut by 2030, according to French business daily Les Echos.
The bank's French retail unit head Isabelle Loc told investors there was no specific target for the number of branch closures.
Other savings will come from streamlining support functions, cutting real estate costs, pooling ATMs with other banks, and using artificial intelligence, BNP said.
In 2024, CPBF accounted for 13.5% of group revenue and 8.2% of BNP's pre-tax income, it said.
(Reporting by Mathieu Rosemain and Bertrand de Meyer; Editing by Jan Harvey)
BNP Paribas aims to achieve a return on normalized equity above 17% by 2028, up from 9.8% in 2024.
The bank plans to improve profitability through average annual revenue growth of more than 5% and by reducing headcount.
BNP Paribas plans to accelerate branch closures, with around 500 branches expected to be closed as part of its strategy.
The revenue growth will be largely driven by a recovery in net interest income, which is the difference between what the bank earns and pays.
BNP Paribas is targeting an average annual FTE reduction of 2.2% to 2.5% between 2026 and 2030.
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