Eurobank has reported adjusted net profits of €711 million for the first half of 2025, marking a decline of 2.9 per cent compared to the same period last year.

In addition, the bank’s total net profits fell by 4.3 per cent year-on-year to €691m.

This figure includes a voluntary exit programme cost of €27m at Hellenic Bank and a negative goodwill charge of €38m from the acquisition of CNP Cyprus Insurance.

Earnings per share reached €0.19, while the return on tangible equity stood at 16.6 per cent.

Overseas operations made a significant contribution to performance, with adjusted net profits rising by 34.7 per cent on an annual basis to €374m in the first half of 2025, accounting for 52.6 per cent of the group’s total profitability.

In Cyprus, adjusted net profits surged by 42 per cent compared to the first half of 2024, reaching €250m. In Bulgaria, adjusted net profits increased by 10.6 per cent year-on-year to €110m.

“Our business model continues to deliver. We remain focused on financing the real economy with organic loan growth of €2.2 billion in the first half of 2025, and we have revised upwards the targets for credit expansion we had set for this year,” said Eurobank CEO Fokion Karavias.

He added that “profitability is moving in line with our expectations, with about half of it coming from the group’s international operations”.

Moreover, he stated that “Cyprus’ contribution is particularly important, as the merger of Hellenic Bank and Eurobank Cyprus together with the acquisition of insurer CNP is creating the leading bancassurance organisation in the country”.

“Overall, Eurobank is fully implementing its plan, achieving or exceeding the objectives of the business strategy we have presented,” Karavias said.

Net interest income rose by 12.2 per cent year-on-year to €1.3bn.

The net interest margin declined by 32 basis points over the 12-month period to 2.51 per cent, reflecting a reduction in interest rates by the European Central Bank.

The average ECB deposit facility rate decreased to 252 basis points in the first half of 2025 from 397 basis points a year earlier.

Net fee and commission income grew by 28.9 per cent compared to the first half of 2024, reaching €364m.

This was primarily driven by revenues from network and wealth management activities as well as income from insurance operations following the acquisition of CNP Cyprus Insurance, representing 72 basis points of total assets.

As a result of these factors, organic income increased by 15.6 per cent on an annual basis to €1.6bn, while total revenues grew by 13.8 per cent.

Operating expenses rose by 6.7 per cent year-on-year in Greece and by 34.3 per cent at group level, or 6.0 per cent excluding Hellenic Bank, reaching €614m.

Cost-to-organic-income and cost-to-total-income ratios stood at 37.6 per cent and 37.0 per cent respectively in the first half of 2025.

Total assets amounted to €102.2bn, of which €58.8bn were in Greece, €28.1bn in Cyprus and €12.4bn in Bulgaria.

Performing loans increased organically by €2.2bn in the first half of 2025, with €1.4bn generated in Greece and €0.8bn abroad.

Total loan balances before provisions reached €53.6bn, including €35.5bn in Greece, €8.8bn in Cyprus and €8.4bn in Bulgaria.

Total deposit balances stood at €78.2bn, with €43bn in Greece, €23.3bn in Cyprus and €9.4bn in Bulgaria. The loans-to-deposits ratio was 66.9 per cent, while the liquidity coverage ratio was 190.5 per cent as of June 30, 2025.

Eurobank announced that it will distribute a cash dividend of €170 million and has revised its credit expansion target for 2025 upwards to €4bn from €3.5bn.

When asked about acquisitions, Karavias did not rule out new moves in Greece, Cyprus and Bulgaria in the areas of insurance and asset management.