Eurobank has announced an impressive adjusted net profit of €351 million for the first quarter of 2026, showcasing the bank’s resilience amidst economic challenges. The financial institution attributes this success to robust lending activity and consistent growth across its core markets.
In its latest report, Eurobank revealed a reported net profit of €331 million, with earnings per share reaching €0.09. The return on tangible book value also stood at a notable 15.1 per cent. Fokion Karavias, the bank’s chief executive officer, remarked, “Despite a challenging environment, Eurobank continues its sustained solid performance and organic growth.”
The first quarter saw organic loan growth of €1.1 billion, translating to a 9.8 per cent year-on-year increase. The bank’s overall loan book expanded by 10 per cent compared to the previous year. Karavias highlighted that credit expansion was particularly strong across all core markets, with corporate loans in Greece experiencing significant growth due to increased investments.
On the international front, non-Greek operations played a crucial role in Eurobank’s profitability, contributing 47 per cent of the adjusted net profit. Cyprus and Bulgaria were pivotal in this regard, with Cyprus generating an adjusted net profit of €103 million, albeit a 14.7 per cent decrease year-on-year. Bulgaria, meanwhile, saw a slight profit increase of 2.2 per cent, amounting to €56 million.
Furthermore, Eurobank reported a rise in managed funds, which increased by €0.3 billion during the quarter, achieving a 25.9 per cent year-on-year growth to €10.2 billion. Wealth management services saw a 26 per cent increase, driven by strong results in the sector.
Despite the pressures from global developments—particularly in the Gulf region—Eurobank remains optimistic about its core markets. Karavias noted that while growth forecasts have been revised downward, both Greece and Cyprus are expected to outperform eurozone growth rates. He emphasised the importance of maintaining a prudent fiscal policy to support vulnerable households and businesses during these uncertain times.
The bank’s financial health remains robust, with net interest income growing by 4.0 per cent to €664 million, although net interest margins declined slightly due to lower European Central Bank rates. Net fee and commission income rose significantly by 19.9 per cent to €203 million, bolstered by lending activity and insurance income following the acquisition of ERB insurance subsidiaries in Cyprus.
Operating expenses did rise by 8.5 per cent to €330 million, reflecting the bank’s continued investment in its operations. The cost-to-core income ratio reached 38.1 per cent while the cost-to-total income ratio stood at 37.6 per cent. Core pre-provision income rose by 6.6 per cent to €536 million, illustrating the bank’s effective management of costs.
The total assets of Eurobank at the end of March 2026 reached €108 billion, with significant portions in Greece (€62.3 billion), Cyprus (€28.7 billion), and Bulgaria (€14 billion). Total gross loans stood at €57.1 billion, while customer deposits amounted to €82.4 billion, indicating a slight decrease of €0.2 billion during the quarter.
Karavias concluded that the first quarter results reaffirm Eurobank’s capacity for organic growth despite geopolitical volatility. He expressed confidence in the bank’s ability to deliver on its 2026 targets, underlining the importance of remaining proactive as the economic landscape evolves.
