The Bulgarian and Cypriot markets played a decisive role in Eurobank’s profits in the first half of the year, as CEO Fokion Karavias admitted during the briefing for international analysts and the investment public.
Eurobank’s activities in the Cypriot and Bulgarian markets contributed at a double-digit rate to both the bank’s assets and profitability, while Luxembourg – Eurobank’s third country of operation – contributed to a lesser extent.
Cyprus: Hellenic Bank and Eurobank Cyprus
According to Eurobank’s financial results, the total activity in Cyprus by Hellenic Bank and Eurobank Cyprus contributed 27% (the largest of the group’s international activities) to the group’s assets and 35% to profitability.
“The contribution (to profitability) of Cyprus is particularly important, where following the merger of Hellenic Bank and Eurobank Cyprus and the acquisition of CNP Insurance, we are creating the leading bancassurance organization in the country,” Fokion Karavias said during the investor briefing. However, it is noted that the merger has not yet been completed.
Cyprus also accumulated a significant deposit base in the first half of the year, at 23.3 billion euros, representing almost a third of the group’s total deposit base, while compared to the Greek market, Cyprus deposits were almost half. Loans in the Cyprus market amounted to 8.6 billion euros, with 5.8 billion corresponding to Hellenic Bank and the other 2.8 billion to Eurobank Cyprus.
Bulgarian market
Although to a lesser extent, Bulgaria also played an important role in Eurobank’s profitability and in strengthening its international activities. It contributed 12% to the group’s assets, with 12.4 billion euros, while it contributed 16% to profitability.
Luxembourg
Luxembourg is another market in which Eurobank operates, but its contribution to the group’s profits was very small. Specifically, it contributed only 2% to the group’s net profits with loans of 0.3 billion euros and deposits of 9.4 billion euros.
