Completes €450 million Shares Repurchase Program on Our Site
Deutsche Bank is making significant strides in its commitment to distribute approximately €8 billion to shareholders over the financial years 2021 to 2025. As of mid-2025, the bank has already paid and announced capital distributions totaling €5.4 billion since 2022, with further distributions planned through 2026 to meet or exceed the target.
The bank's payout trajectory for 2021-2025 is as follows: €2.2 billion for 2021, €1.9 billion for 2022, and €3.2 billion for 2023-2025 combined. This cumulative payout is aligned with or exceeding the original target of €8 billion.
For 2025 specifically, Deutsche Bank has reaffirmed a dividend guidance of €1.00 per share, subject to a 50% payout ratio. The bank is also executing share buybacks, with about two-thirds of the planned €750 million buyback for 2025 already completed. The bank is committed to distributing additional excess capital once its Common Equity Tier 1 (CET1) capital ratio sustainably exceeds 14%.
Deutsche Bank has executed about 85% of its announced €2.1 billion capital return through dividends and buybacks and is applying for a second share buyback program in 2025. The bank's improved capital efficiency and organic capital generation are supporting these shareholder distributions.
The share buyback program, completed within a five-month period between August 2 and December 8, 2023, saw the repurchase of 45.5 million shares, representing 2.23% of the bank's share capital. The volume weighted average price of the repurchased shares indicates a stable market value for the bank's shares during the buyback period.
Total distributions to shareholders in 2023 exceeded €1 billion. In addition to the share buyback, €0.6 billion in dividends were distributed to shareholders in May 2023. Total distributions to shareholders during 2022 and 2023 were €1.766 billion.
The bank's capital outlook improvement, based on identified potential, could lead to more accelerated and expanded distributions. The publication of the third quarter results on October 25, 2023, raised the bank's capital outlook. Potential exists to free up approximately €3 billion of additional capital by the end of 2025. This potential could contribute to the bank's distribution goals.
In summary, Deutsche Bank is actively progressing towards its shareholder distribution plan for 2021-2025, with significant capital already returned and further distributions planned, backed by strong capital generation and a focus on capital efficiency.
The capital distributions by Deutsche Bank are primarily aimed at the finance sector, as they seek to return approximately €8 billion to their shareholders from 2021 to 2025. The bank's business strategy includes dividend payments and share buybacks, with a reaffirmed dividend guidance of €1.00 per share for 2025.
