Eurobank Holdings concluded the first quarter of 2025 with robust financial results.
According to the report, adjusted net profit was €348 million, a 9% decrease from the same period in 2024. Meanwhile, total net profit increased by 9.4% to €314 million.
CEO Fokion Karavias noted that more than half of the group's profits came from overseas operations. Eurobank's international divisions, in particular, showed excellent results:
- Net profit increased by 27.2% to €184 million, accounting for 52.7% of the group's total profit.
- In Cyprus, profit amounted to €121 million (a 31.3% increase).
- In Bulgaria, profit was €55 million (a 14% increase).
Eurobank's net interest income increased by 11.7% to €638 million in the first quarter of 2025. The net interest margin was 2.53%, a decrease of 0.34 percentage points. Operating expenses totaled €304 million, increasing by 33% at the group level and 6% in Cyprus. The cost-to-income ratio reached 37.7%.
The bank's non-performing loans (NPLs) remained low, at 2.9%. Provisions covered 89.1%. The capital adequacy ratios were 18.9% for total (CAD) and 15.5% for core (CET1). The return on equity (ROTE) was 16.2%, and the earnings per share were €0.09.
Despite high market volatility at the beginning of the year, Caravias said that the bank demonstrated stability.
We expect to achieve all of our key targets for 2025. Although interest rates may fall more than expected, the bank's CEO emphasized that lending growth is forecast to remain in line with or exceed expectations.
He also mentioned that a possible escalation in tariff policy could affect global trade. However, the bank's countries of operation — Greece, Cyprus, and Bulgaria — would be minimally affected thanks to their limited trade with the U.S. and steady inflow of European investment.
The merger with Hellenic Bank in Cyprus, which is expected to be completed in 2024, will generate around €130 million between 2025 and 2027. Regarding lending forecasts in Cyprus, Caravias noted that a clearer picture will emerge in the second half of the year.