Piraeus Bank reports €893M in nine-month profits, up 9%yoy

Piraeus Bank’s core operating profitability reached a new record of €930 million, representing a 14% increase compared with the corresponding period in 2025. In the third quarter alone, core earnings rose by 10% year-on-year to €301 million.

Earnings per share (EPS) reached €0.68 for the nine-month period, up 10%, putting the Bank on track to achieve its full-year target of approximately €0.90. Meanwhile, adjusted return on tangible equity (RoTE) stood at 15.4%, in line with the Bank’s target of approximately 15% for 2026.

Strong Credit Expansion and Deposit Growth

Piraeus Bank’s loan portfolio reached €39.6 billion, with net credit expansion amounting to €2.2 billion in the first nine months of the year. This performance keeps the Bank on track to achieve its 2026 target of net credit expansion exceeding €3 billion.

The mortgage lending segment also continued to recover. Net mortgage lending increased by €135 million during the nine-month period, while new mortgage disbursements reached €600 million, up 37% year-on-year.

Customer deposits increased by 9% year-on-year to €69.2 billion, with an overall cost of 0.39%. The loan-to-deposit ratio stood at 65%, providing capacity for further financing of the economy.

Assets under management also recorded an upward trend, reaching €16.9 billion, an annual increase of 19%. Net inflows amounted to €1.3 billion during the first nine months, already exceeding the Bank’s full-year target.

In the insurance sector, gross written premiums generated by Ethniki Insurance reached €666 million, up 4% year-on-year.

Growth in Fee and Commission Income

Net interest income amounted to €542 million in the third quarter, up 7% quarter-on-quarter, with the improvement primarily attributed to interest rates and disciplined margin management. The net interest margin for the nine-month period stood at 2.2%, in line with the Bank’s full-year target.

Net fee and commission income recorded particularly strong growth, reaching €679 million, an increase of 39% year-on-year. Ethniki Insurance made a significant contribution to this performance.

Operating efficiency remained strong, with the cost-to-income ratio standing at 33% for the nine-month period and 32% in the third quarter.

Strong core operating performance was partly offset by market volatility, which affected non-core income.

€124 Million Interim Dividend and €650 Million Shareholder Distribution

Piraeus Bank plans to distribute an interim dividend of approximately €124 million from its 2026 net profits in December, subject to the required regulatory approvals.

For the full financial year, the Bank expects to distribute €650 million in cash dividends from its 2026 profits, reaffirming its commitment to maintaining attractive shareholder returns.

Further Improvement in Asset Quality

The quality of the loan portfolio improved further, with the non-performing exposures (NPE) ratio declining to 2.0%, from 2.2% in the previous quarter, partly reflecting loan portfolio disposals.

The organic cost of risk stood at 57 basis points, in line with the revised 2026 target of 60 basis points.

Meanwhile, the Liquidity Coverage Ratio (LCR) reached 212%, ensuring a comfortable liquidity buffer and supporting the Bank’s growth strategy.

Strong Capital Adequacy and Significant Buffers

The Common Equity Tier 1 (CET1) ratio stood at 12.9%, with Piraeus Bank approaching its full-year target of above 13%. The total capital adequacy ratio reached 18.6%, maintaining a capital buffer of approximately 260 basis points above the total supervisory requirement for 2026, including the Pillar 2 Guidance (P2G).

The nine-month results demonstrate Piraeus Bank’s ability to combine loan growth, revenue expansion and effective risk management, while maintaining sufficient capital and liquidity buffers to support its continued growth.

Statement by Piraeus Bank CEO Christos Megalou

“The results for the first nine months of 2026 confirm Piraeus Bank’s strategic direction. We are building a diversified, high-return Group that combines industry-leading growth with strong operating efficiency and a low-risk balance sheet. Earnings per share increased by 10% to €0.68, keeping us firmly on track to achieve our 2026 target of approximately €0.90, while return on tangible equity stood at 15.4%.

The Group’s growth is broad-based and underpinned by continued credit expansion and an increasing contribution from fee-based services, insurance and customer asset management. Our loan portfolio grew by 8% year-on-year to €40 billion, representing one of the fastest growth rates in Europe, with net credit expansion reaching €2.2 billion in the first nine months. At the same time, we are further strengthening revenue diversification: fee and commission income increased by 39% year-on-year during the nine-month period and now accounts for 31% of total revenue. This performance reflects the significant contribution of Ethniki Insurance, which generated €666 million in gross written premiums during the nine-month period, as well as customer asset management, which recorded net inflows of €1.3 billion over the same period.

Innovation remains a central pillar of our strategy. Snappi, our digital bank, reached 260,000 users and €130 million in deposits in its first year of operation, attracting approximately €1 million in deposits per day, with seven new products launched since July. This momentum enables us to raise our medium-term ambitions for Snappi.

Discipline remains at the core of our operating model. The cost-to-income ratio stood at 33%, among the best in Europe, while the organic cost of risk was 57 basis points and the NPE ratio declined to 2.0%. Organic capital generation continues to support both growth and shareholder distributions. Our CET1 ratio stands at 12.9%, incorporating the provision for a €650 million cash distribution from 2026 profits, while an interim dividend of €0.10 per share is expected to be paid in the fourth quarter, subject to regulatory approval. Our investment-grade ratings from all major credit rating agencies validate this progress.

The ongoing conflict in the Middle East and rising bond yields across Europe are adding to uncertainty surrounding the global and European economic outlook. Nevertheless, Greece’s macroeconomic environment remains resilient, supported by fiscal stability, continued public debt reduction and a strong primary surplus. The Greek economy is expected to maintain its positive trajectory, underpinned by a credible fiscal framework, ongoing reforms and sustained investment.

Our strong performance reinforces our confidence in achieving our 2026 targets, with potential upside in net interest income and fee and commission income. It also lays the foundations for upgrading our targets for 2027.

We are now targeting a net interest margin of above 2.4%, fee and commission income as a percentage of total assets of approximately 0.9%, return on tangible equity of above 15%, annual earnings per share growth of approximately 10%, and a CET1 ratio of above 13.5%.

Finally, we are proud to have been certified as a Top Employer in Greece for 2026 by the Top Employers Institute, becoming the only Greek bank to receive this recognition.

We will continue to support our customers and the Greek economy, invest in our people and technology, and create sustainable value for all our stakeholders.”