Business & Economy

EFG Eurobank 3Q losses at €285 mln

04 December, 2013

EFG Eurobank announced that its 3Q13 net losses before one-offs reached EUR 210.6 mln, down from the previous EUR 243.5 mln losses in 2Q13. After one-offs, losses were shaped at EUR 285.2 mln compared to losses of 330.8 mln in the previous quarter.
Eurobank’s results are not directly comparable with previous periods as it consolidated TT and Proton Bank for one month. Still, core operating trends were in line with peers. Specifically, NII rose 7% q-o-q benefiting primarily from lower funding costs (Eurosystem and deposits), while new NPL flows dropped 7% q-o-q. Domestic new NPL flows were EUR 460 mln copared to EUR 493 mln in 2Q13 and EUR 696 mln in 1Q13. The Group’s NPL ratio rose to 27.7% (+130bps q-o-q) with the rate higher in the home market at 29.2% (+110bps q-o-q).
Core Tier I levels stood at 8.1%, below the Bank of Greece’s target of 9%. The bank’s management has reiterated its target for about EUR 200 mln of annual synergies by 2015 from the TT and Proton acquisitions adding that savings from the recently implemented Voluntary Exist Scheme are estimated at EUR 62 mln which come on top of the aforementioned synergies.