Eurobank's 1Q2025 net profit at €314 million, up 9.4%

Eurobank Holdings' total net profit for the first quarter of 2025 reached €314 million, showing an increase of 9.4% compared to the first quarter of 2024. 

A press release by Eurobank Holdings, said that organic revenue increased in the first quarter, on an annual basis, by 14.2% to €807 million and total revenue increased by 9.6% compared to the first quarter of 2024 to €827 million.

It said that foreign operations were profitable with adjusted net profits, showing annual increase 27.2% to €184 million in the first quarter of 2025 and contributing by 52.7% to the Group's overall profitability. 

Eurobank Holdings noted that adjusted net profits increased in Cyprus (EurobankCyprus + Hellenic Bank) by 31.3% compared to the first quarter of 2024 to €121 million and in Bulgaria by 14.0% in the same period to €55 million. 

Regarding non-performing exposures (NPE) it said its ratio stood at 2.9% and the NPE coverage by cumulative provisions at 89.1% in the first quarter of 2025.

It noted that capital adequacy remained strong, with the total capital adequacy ratio (CAD) and the CET1 common equity tier ratio at 18.9% and 15.5%, respectively. 

Customer deposits decreased by €1.5 billion in the first quarter of 2025, of which €1.3 billion in Greece and €0.2 billion abroad. Total deposit balances amounted to €77.1 billion, of which €42.0 billion in Greece, €23.2 billion in Cyprus (€15.9 billion Hellenic Bank) and €9.0 billion in Bulgaria. The loan-to-deposit ratio stood at 67.0% and the liquidity coverage ratio at 182.8% in the first quarter of 2025.

Outstanding loans increased organically by €1.2 billion in the same period of which €0.8 billion in Greece and €0.4 billion abroad.

Total outstanding loans (before provisions) amounted to €53.1 billion, of which €35.2 billion in Greece, €8.8 billion in Cyprus (€5.9 billion Hellenic Bank) and €8.2 billion in Bulgaria. 

At Group level, business loans amounted to €31.8 billion, mortgage loans to €12.5 billion and consumer loans to €4.6 billion. 

Earnings per share and return on tangible equity amounted to €0.09 and 16.2% respectively in the first quarter 2025.

In this challenging environment, 1Q25 was another quarter of solid performance for Eurobank, in line with our business plan, CEO Fokion Karavias said.

"Without underestimating the global risks and the volatile environment, our first quarter performance makes us confident that we are on track to achieve our 2025 plan. Interest rates should be on average lower than our business plan assumptions, but loan growth is expected to meet or even exceed the full year target. Overall, we reiterate our target for a return on tangible book value of around 15% for the year,” he concluded.

(Source: CNA)