Piraeus Bank reported “solid, sustainable profitability”, with normalized earnings per share of 0.15 euro and RoaTBV of 13%, both outpacing estimates in the first quarter of 2023.
More specifically, the bank’s CET1 ratio increased to 12.2% and total capital ratio rose to 17.0%, through 0.6% pure organic capital generation on a quarterly basis, including accrual for 10% dividend payout. NPE ratio was down to 6.6% in the January-March period, from 12.7% a year ago, while NPE coverage was up 11 percentage points yoy to 55%. Clean balance sheet and resilient asset quality are key factors behind the organic cost of risk stabilizing at 0.8%, Piraeus Bank said, adding that superior liquidity profile was re-confirmed. Group deposits stood at 57.2 billion euros, higher 4% compared with the same period last year, impacted slightly in January and February, but improving in March.
Piraeus Bank reported a good start in loan disbursements (+2.0 billion euros), offset by high repayments (-2.2 billion) in the three-month period, while net credit decreased in January and February, and eased in in March. Performing loans were up by 2.0 billion euros on a year to year basis to 28.3 billion. Client assets under management increased 9% to 7.6 billion euros, driven by targeted inflows to mutual funds.