Piraeus Bank recorded strong profitability of 284 million euros, corresponding to 0.22 euros in earnings per share and 14.7% return on tangible equity (RoaTBV) in the first quarter of 2025.
According to an announcement by Piraeus Financial Holdings, net income amounted to 649 million euros, up 10% year-on-year, supported by net fee income. Fees increased by 10% year-on-year, benefiting from the strong growth of customer portfolios.
Net interest income decreased by 7% year-on-year, reflecting the 135 basis points decrease in the 3-month Euribor.
Operating expenses stood at 224 million euros, impacted by upfront tax costs, and investments in technology and digital banking.
Outstanding loan book and client assets growth
Loans reached 35 billion euros, up 16% year-on-year with a 1.1 billion euro boost in the first quarter, driven by business loans. Piraeus’ RRF related loans stood at 2.2 billion euros at the end of the same period.
The bank also announced a superior liquidity profile with 61 billion euro deposits (+5% yoy) and liquidity coverage ratio at 201%.
Pro forma CET1 ratio stood at 14.4% and total capital ratio at 19.5%, absorbing the 50% distribution accrual for 2025, c. 90 million euros DTC amortization, robust loan growth and the
Basel IV impact; MREL ratio reached 28.2% on March 25.
Piraeus Bank CEO Christos Megalou made the following statement:
“The global macro environment has entered a volatile era. That said, the Greek economy is well positioned to navigate the current landscape, recording a GDP increase of 2.3% in 2024, significantly exceeding the Eurozone average of 0.9%, with primary surplus at 4.8% of GDP, well ahead of target. GDP growth is expected to be sustained at a similar level in 2025, while the low exposure of Greek exports to the US implies manageable impact from tariffs.
Importantly, the Greek sovereign has regained its investment grade status by all the major credit rating agencies, signifying the accomplishment of another milestone for the country and the banking sector.
In this operating environment, Piraeus had a strong start to 2025, with the first quarter results confirming its good progress towards achieving or surpassing full year targets. In the first quarter, we delivered another solid set of financial results, generating €0.22 earnings per share and 15% RoaTBV. Piraeus achieved sustainable profitability and capital accumulation, through diversified revenue sources and cost discipline, while maintaining prudent credit risk management.
Our top line exhibited resilience supported mainly by fee generation. Net interest margin stood at 2.4%, while net fee margin reached 0.8%. Our net fee income grew mainly on the back of loan disbursements, bancassurance and asset management. Our revenue-diversifying efforts are clearly reflected in our fees over net revenue at 25%. Our loan portfolio continued the strong momentum of 2024, increasing by 16% yoy or 1.1billion euros, driven by business lending, while retail lending was almost at breakeven.”
