SocGen lifts profitability target, with cost-cutting 'at the heart' of new strategic plan

By Tommy Reggiori Wilkes and Elizabeth Howcroft

LONDON/PARIS, Sept 21 (Reuters) - Societe Generale lifted a key 2029 performance target and pledged more cost cuts to achieve it under a new strategic plan announced on Monday, marking the next phase of CEO Slawomir Krupa's effort to turn around the French lender.

France's second-biggest listed bank is now aiming for a return on tangible equity of 13% to 14% in 2029, up from around 11% this year — which is below most peers — before reaching 15% in 2030 and beyond.

SocGen's high cost base and weak returns have weighed on performance for years, with Krupa vowing to change that after taking over in 2023 and launching an initial three-year plan that is beginning to deliver results.