Comprehensive analysis of the profitability and financial stability of Ukraine’s leading banks

The article presents a comprehensive analysis of Ukraine’s largest banks’ performance and financial stability for 2015–2024. The study focuses on return on assets (ROA), return on equity (ROE), capital structure and financial reliability in the context of profound transformations in the banking sector. The analysis draws upon data from the 20 banks with the largest assets, which exert significant influence over the prevailing trends in the sector. The analysis of equity capital confirmed the overall increase in the financial activity of banks. The Ukrainian banking system has successfully transitioned to a new three-tier capital structure by EU and Basel III requirements and, as of 1 January 2025, maintains a sufficient capital buffer at all levels. Most of the top 20 banks exceed the regulatory capital adequacy ratio (RCA) of 10 % as of 01.05.2025. An analysis of net financial results for 2015–2024 revealed a significant range of fluctuations, but most banks have achieved consistent positive results in recent years. PrivatBank JSC has maintained its leadership in profit for five consecutive years. The profitability assessment showed an increase in the efficiency of asset utilisation and a recovery in the profitability of banking capital. The financial stability analysis showed an improvement in financial reliability and a decrease in the capital multiplier in most institutions by 2024. Based on a multifactorial analysis, a typology of banks (balanced, sensitive, conservative, transforming) was developed, which made it possible to identify strategic models for their development. It was determined that banking institutions which exhibited a capacity to combine elevated profitability with a stable capital structure were worthy of confidence.