Bank of Cyprus announced a net profit of €117 million for the first quarter of 2025, marking a 9% increase compared to the previous quarter.

The Bank also reported record new lending of €842 million during Q1 2025, up by 16% quarter-on-quarter.

The key performance metric, Return on Tangible Equity (ROTE), remained high at 18.3%, exceeding the Bank’s target for the year.

The Common Equity Tier 1 (CET1) ratio and Total Capital Adequacy Ratio stood at 19.9% and 25.0%, respectively, including Q1 2025 profits, adjusted for expected distributions.

Operating profit reached €160 million, up 5% from the previous quarter, while total expenses fell to €90 million, a 17% decrease.

The performing loan portfolio rose to €10.45 billion, reflecting a 3% increase since the start of the year. Meanwhile, the ratio of non-performing exposures (NPEs) to total loans dropped further to 1.8%.

For the 2024 financial year, the Bank's payout ratio stood at 50%, comprising a €211 million cash dividend scheduled for payment on June 25, 2025, and a €30 million share buyback program that began in February 2025.

The Bank also introduced a dividend policy of distributing 50–70% of earnings from 2025 onwards and is evaluating the introduction of interim dividends.

Commenting on the results, Bank of Cyprus Group CEO Panicos Nicolaou said, “The Bank delivered a strong performance in the first quarter of 2025.”

“Our solid performance confirms our ability to meet our 2025 targets. We remain committed to supporting our clients and the wider economy, while delivering strong returns for our shareholders,” he added.

Nicolaou emphasized that the quality of the Bank’s loan book continues to improve, with the NPE ratio staying below 2% and credit losses on loans below 40 basis points.

He also noted that the performing loan portfolio increased by 3% to €10.45 billion since the beginning of the year, supported by a 16% rise in new lending. Furthermore, international loans now account for roughly 10% of the performing loan book—up 34% year-on-year.