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Hellenic Bank reported a profit of €284.4 million for the first nine months of 2024, up from €240.7 million in the same period last year. Return on tangible equity (ROTE) on an annualized basis reached 23.7%, down from 26.6% in 2023. Net interest income increased by 20% year-over-year, totaling €455.6 million, driven largely by higher interest rates on deposits with central banks and debt securities.
The bank, now a "member of the Eurobank Group" following Eurobank's recent investment, anticipates further expansion. “A new chapter is being opened,” said Group Managing Director Michael Louis, highlighting a focus on strengthening customer relationships, modernization, and digital transition.
Non-interest income for the period reached €98.1 million, up 15% from €85.4 million in 2023, bolstered primarily by foreign exchange and financial instrument earnings, though royalty and commission revenues declined.
The bank’s gross loans totaled €6 billion as of September 30, a slight decrease from previous quarters due to higher repayments. New lending amounted to €705 million, including €172 million in green loans, representing 24% of all new lending but marking a 22% drop from €900 million in new loans issued by September 2023.
Customer deposits stood at €14.9 billion at the end of September, slightly down from €15.0 billion in June. The bank's deposit market share was 27.7%, with household deposits making up 35.5% and deposits from non-financial corporations 19%.
Non-performing loans (NPLs) decreased to €404 million from €464 million at the end of 2023, reflecting organic deleveraging efforts and strategic write-offs. The NPL ratio fell to 6.7%, with an even lower rate of 2.4% when adjusted for certain assets.
Hellenic Bank’s regulatory Common Equity Tier 1 (CET1) capital ratio reached 26.7% in September, bolstered by interim earnings, while the total capital ratio improved to 32.5%.
Staff costs rose by 11% to €99.4 million, attributed to wage increases and higher employer contributions. Nonetheless, Hellenic Bank’s cost-to-income ratio declined to 38.9% from 41.7% in 2023, aided by a significant 19% increase in total net revenues.
Hellenic Bank's results underscore a period of solid growth and evolving strategy as it integrates into the Eurobank Group. With enhanced financial performance and a focus on customer-centric improvements, the bank aims to drive value for clients, staff, and shareholders.
