Pay close attention to the news surrounding this bank. On one hand, a fresh investigation. On the other, the announcement of record earnings. And in between, a volatile stock performance.
The quarterly results released today by this major European bank were strong, capping what management described as an “extraordinary” multi-year performance.
Yet the positive results were overshadowed by the fact that the lender has once again found itself in the crosshairs of a money-laundering investigation.
Deutsche Bank Under Investigation by Frankfurt Prosecutors Over Suspected Money Laundering
The bank in question is Deutsche Bank, Germany’s largest lender, which on Thursday — ahead of the opening bell on the Frankfurt Stock Exchange — published its results for the final quarter of 2025 and for the full financial year, in the midst of the ongoing earnings season.
On Wednesday, Der Spiegel and other German media reported that searches had been carried out at the bank’s premises, including its Frankfurt headquarters and a branch in Berlin. The raids were conducted by Germany’s Federal Criminal Police Office following an investigation launched by the Frankfurt Public Prosecutor’s Office. According to Der Spiegel, the probe concerns “as-yet unidentified managers and employees of the bank” suspected of involvement in money-laundering offences.
The investigation was triggered by suspicions — reported by the German daily Süddeutsche Zeitung — that Deutsche Bank failed to notify authorities in a timely manner about potentially suspicious transactions linked to companies associated with Russian oligarch Roman Abramovich. Abramovich has been subject to EU sanctions since 2022, following the outbreak of the war in Ukraine, due to his close ties to Russian President Vladimir Putin.
Der Spiegel also cited statements from Abramovich’s lawyer, who denied any wrongdoing by the oligarch and said he was unaware of “any investigation by German authorities into this matter”.
The news broke on the eve of Deutsche Bank’s earnings release and unsettled German financial and political circles, weighing on shares of the country’s largest bank, which is listed on Xetra and is a component of the Frankfurt Stock Exchange. The lender confirmed on Wednesday that it is the subject of an investigation by the Frankfurt Public Prosecutor’s Office, stating that it is “cooperating fully with the authorities”.
Deutsche Bank Reports Record 2025 Profits, Highest Level Since 2007
On Thursday, January 29, 2026, Deutsche Bank published its quarterly results, underscoring the strength of its financial performance and closing out a year in which the group delivered its highest profits since 2007 — nearly two decades ago.
Germany’s largest bank reported net profit of €6.12 billion for 2025, supported primarily by the strong performance of its global investment banking division.
The figure more than doubled the €2.7 billion recorded in 2024 and came in slightly above market expectations, which had forecast profits of just under €6 billion. The 2025 financial year also marked the conclusion of the bank’s three-year strategic plan, which targeted a return on tangible equity (ROTE) above 10% — a goal Deutsche Bank successfully achieved. CEO Christian Sewing welcomed the results, saying they place the bank on “the strongest possible foundation for the next phase of our strategy”.
Net Profit, Revenue and CET1 Ratio in Q4 2025
In the fourth quarter of 2025 alone, net profit attributable to shareholders reached €1.3 billion, exceeding the €1.12 billion consensus forecast.
Revenues came in at €7.73 billion, broadly in line with analyst expectations compiled by LSEG.
One slightly weaker point was the CET1 capital ratio, which declined to 14.2% at the end of the fourth quarter from 14.5% in the previous quarter.
Nevertheless, the CET1 ratio remained above the 13.8% level reported in the fourth quarter of 2024.
Loan-loss provisions — which reflect expected credit losses on the loan book — amounted to €395 million, below both analyst estimates of €408.3 million and the €417 million recorded in the third quarter. Despite the strong set of results, Deutsche Bank shares failed to rally, trading flat at around €32.89.
CFO Optimistic as Results Confirm “Extraordinary Record Years”
The results were met with optimism by James von Moltke, Deutsche Bank’s chief financial officer, who said the quarterly figures confirm “extraordinary record years” for the group’s fixed income and foreign exchange businesses, as well as for its DWS asset management arm. Growth was also reported in private banking.
Overall, von Moltke acknowledged that 2025 was a “slightly weaker” year for corporate banking, with softer conditions affecting investment banking and capital markets activities.
Speaking to CNBC’s “Europe Early Edition”, the CFO nevertheless stressed that all four of Deutsche Bank’s core business divisions are “very well positioned, both structurally and in the current environment”, to deliver solid performance in 2026.
Von Moltke also referred to the German government’s fiscal stimulus programme under Chancellor Merz — often described as a “fiscal bazooka” — while acknowledging lingering questions over its practical effectiveness.
He expressed confidence that expansionary fiscal policy would benefit German households and added that Deutsche Bank’s corporate banking division stands to gain from the investment cycle that the stimulus measures are expected to trigger.
Commenting on the investigation by Frankfurt prosecutors and the searches carried out at Deutsche Bank’s offices in Frankfurt and Berlin, von Moltke reiterated that the bank is cooperating fully with authorities, while declining to comment on specific client transactions.
He did, however, confirm reports that the investigation relates to transactions dating back to between 2013 and 2018.
“The allegation is that, due to suspicious transaction reports being filed late or not in a timely manner, an environment may have been created in which money laundering could occur. We will see what emerges. These transactions date back many years. Since then, we have invested heavily in strengthening our financial crime risk management framework. We believe these investments have been essential in protecting both the bank and the broader financial system from potential money-laundering risks.”
As past experience shows, this is far from the first time Deutsche Bank has found itself under regulatory and prosecutorial scrutiny.
Original article published on Money.it Italy 2026-01-29 13:02:43. Original title: Questa banca tedesca è (di nuovo) nell’occhio del ciclone. Ma utili 2025 sono da record
