BoI beats forecasts with 16% profits boost to €1.4bn
Bank of Ireland has announced forecast-beating profits of 16% and credited its retail business in Ireland, life and wholesale products for the results.
Total profit before tax was up 31% to €1.59bn with basic earnings per share also up 31% to 136.4c. Underlying profit before tax, which excludes non-core items, was up 16% to €1.39bn with underlying earnings per share at 118.5c, also an increase of 16% on the previous year.
Group chief executive Brian Goggin said: "The basis for these results is our positioning in Europe’s two best-performing economies with Ireland and the UK accounting for 86% of group profits.
"Ireland has significantly outshone the rest of Europe in economic growth over the past decade while the UK has also consistently outperformed the eurozone. Both of these trends are forecast to continue giving us confidence for further profit growth in our two main markets."
Group income growth of 8% was driven by very strong lending and resources growth, the bank said today, though this was partially offset by a reduction in margins.
The bank also said today that it had saved €35m through its "Strategic Transformation Programme", which is €5m ahead of target.
Bank of Ireland aims to become the number one bank in Ireland, group boss Brian Goggin said today, by "maximising returns from our leading position in Ireland; substantially growing our businesses in the UK and growing our portfolio of niche, skill-based businesses internationally".
