Piraeus Bank has reported its nine-month financial results:
- A €39.6bn loan book, with net credit expansion of €2.2bn in the nine months, on track to meet the 2026 target of more than €3bn
- The recovery in mortgage lending continued, with a net increase of €135m in the nine months and €0.6bn in disbursements, up 37% year on year
- Customer deposits rose by a strong 9% year on year to €69.2bn, at an overall cost of 0.39%
- Customer assets under management increased by 19% year on year to €16.9bn, with net inflows of €1.3bn in the nine months, exceeding the annual target
- Gross written premiums generated by Ethniki Insurance totalled €666m in the nine months, up 4% year on year
Sustained profitability and shareholder returns
- Record core operating profit of €930m in the nine months, up 14% year on year. Third-quarter core earnings rose 10% year on year to €301m
- Net profit totalled €893m, up 9% year on year. Strong core operating performance was partly offset by the impact of market volatility on non-core income
- Earnings per share of €0.68 in the nine months, up 10% year on year, on track to meet the annual target of around €0.90 per share
- Underlying return on tangible equity was 15.4%, in line with the target of around 15% in 2026
- Net interest income rose to €542m in the third quarter, up 7% quarter on quarter, driven mainly by interest rates and margin discipline. The nine-month net interest margin was 2.2%, in line with the 2026 target
- Net fee income totalled €679m in the nine months, up 39% year on year, with Ethniki Insurance contributing the most to the increase
- Operating efficiency remained among the strongest in the market, with a cost-to-income ratio of 33% in the nine months and 32% in the third quarter
- An interim dividend of around €124m from 2026 net profit will be paid to Piraeus shareholders in December 2026, subject to supervisory approval. A cash distribution of €650m from 2026 earnings is planned
A strong balance sheet supports growth while maintaining a low-risk profile
- NPE ratio of 2.0%, down from 2.2% in the previous quarter following loan portfolio sales
- Organic cost of risk of 57 basis points, in line with the revised 2026 target of 60 basis points
- Loan-to-deposit ratio of 65%, supporting growth targets
- Strong liquidity coverage ratio of 212%, with ample liquidity headroom
Capital ratios with substantial buffers
- CET1 ratio of 12.9%, on track to meet the annual target of >13%
- Total capital ratio of 18.6%, with a buffer of around 260 basis points above the total supervisory requirement for 2026, including P2G
Megalou: Strategic direction confirmed
“The nine-month 2026 results confirm the strategic direction of Piraeus. We are building a diversified, high-return Group that combines leading growth with high operating efficiency and a low-risk balance sheet,” says Christos Megalou.
Earnings per share rose 10% to €0.68 and are firmly on track to meet our target of around €0.90 in 2026, while return on tangible equity stood at 15.4%.
The Group’s growth has both breadth and depth, underpinned by continued credit expansion and the growing contribution from services, insurance and customer asset management. The loan book grew by 8% year on year to €40bn, one of the fastest growth rates in Europe, with net credit expansion of €2.2bn in the nine months. At the same time, we are further diversifying our income: service revenues rose 39% year on year in the nine months and now account for 31% of total revenue, with significant contributions from Ethniki Insurance, which generated €666m in premiums in the nine months, and from customer asset management, which recorded net inflows of €1.3bn over the same period.
Innovation is a central pillar of our strategy. Snappi, our digital bank, reached 260,000 users and €130m in deposits in its first year of operation, attracting around €1m in deposits a day, with seven new products launched since July. This momentum allows us to raise our medium-term ambitions for Snappi.
Discipline remains at the heart of our operating model. The cost-to-income ratio was 33%, among the best in Europe, organic cost of risk was 57 basis points and the NPE ratio fell to 2.0%. Organic capital generation continues to support both growth and shareholder distributions: the CET1 ratio stands at 12.9%, incorporating a planned cash distribution of €650m from 2026 earnings, while an interim dividend of 10 cents per share will be paid in the fourth quarter, subject to supervisory approval. Investment-grade ratings from all major credit rating agencies validate this progress.
The ongoing conflict in the Middle East and rising bond yields in Europe are adding to uncertainty over the global and European economic outlook. Nevertheless, Greece’s macroeconomic environment remains resilient, with fiscal stability, a continued decline in public debt and a high primary surplus. The Greek economy is expected to remain on a positive trajectory, supported by a credible fiscal framework, continued reforms and sustained investment.
Our strong performance bolsters our confidence in achieving our 2026 targets, with scope to outperform on net interest income and fee income. It also lays the foundations for us to raise our targets for 2027.
We are now targeting a net interest margin of >2.4%, fee income of around 0.9% of assets, return on tangible equity above 15%, annual earnings per share growth of around 10% and a CET1 ratio above 13.5%.
Finally, we are proud to have been certified as a Top Employer Greece for 2026 by the Top Employers Institute, 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.”
* See full details in the Supporting Material column.