Eurobank posts adjusted profit of €1.209 billion in 9 months, up 14.3%
Key Facts
Eurobank posted adjusted net profit of €1.209 billion in the first nine months of 2026, up 14.3% year on year, while reported net profit rose 12.4% to €1.161 billion. Chief Executive Officer Fokion Karavias said in an October 29 results statement that the period’s performance gives the bank confidence in meeting or exceeding its full-year targets. The bank did not announce a new upgrade to its guidance in the statement, but reaffirmed its confidence in achieving its annual targets after the nine-month performance. Adjusted earnings per share rose to €0.31 from €0.28 in the corresponding period of 2025. Karavias also said regional activities contributed nearly half of group profits, and that completing the acquisition of Eurolife adds a growth driver, particularly in insurance and asset management.
Total operating income rose 10.8% year on year to €2.776 billion in the nine months, while core operating profit before provisions increased 11.4% to €1.703 billion. Net interest income grew 8.7% to €2.068 billion during the period. In the third quarter alone, this income rose 5.0% quarter on quarter to €719 million. The bank attributed the quarterly increase to growth in interest-earning assets and higher European Central Bank rates. The ECB deposit facility rate averaged 229 basis points in the third quarter, compared with 204 basis points in the second quarter.
Net fee and commission income increased 13.0% year on year to €630 million in the nine months, driven by higher fees from lending, wealth management and insurance activities. The bank recorded organic loan growth of €3.8 billion during the period, up 10.5% year on year through the end of September. Customer deposits rose by €4.7 billion, or 10.6% year on year. Growth in these activities helped lift operating income and pre-provision profit. Karavias said the period’s performance reflects the bank’s continued ability to deliver organic growth.
Loan loss provisions fell 5.5% year on year to €224 million in the nine months, equivalent to 53 basis points of average net loans. Operating expenses rose 6.9% to €995 million. Despite this, the cost-to-income ratio improved to 35.8% from 37.1% in the corresponding period of 2025. Return on tangible equity was 16.9% in the nine months, compared with 16.2% a year earlier. The non-performing loan ratio also fell to 2.4% on September 30, from 2.8% in the corresponding period a year earlier.
Under a business plan published by the bank in February 2026, Eurobank is targeting core operating profit of about €1.9 billion and return on tangible equity of about 16% for the year. Karavias said the nine-month results “reinforce our confidence in meeting or exceeding our full-year targets,” also noting that completion of the Eurolife acquisition supports growth in insurance and asset management. The bank’s Common Equity Tier 1 (CET1) ratio stood at 15.5%, while its total capital adequacy ratio was 20.4% on September 30. Pro forma for the Eurolife acquisition and the partial divestment of ERB Asfalistiki, the ratios would be 14.3% and 19.2%, respectively. These figures show the transaction’s effect on capital metrics as presented by the bank.
The non-performing loan ratio was 2.4% on September 30, with provision coverage at 81.9%. The bank warned that a possible fourth-quarter reclassification of some loans linked to the Swiss franc loan conversion law into the category of loans unlikely to be repaid could raise the non-performing loan ratio by about 40 basis points. This move could reduce provision coverage for non-performing loans by about 10 percentage points. On shareholder returns, Eurobank announced an interim dividend of 5.99 euro cents per share. The revised financial calendar set November 23 as the ex-dividend date, November 24 as the record date, and November 26 as the payment commencement date, while the bank reserved the right to amend the dates subject to notice and regulatory procedures.