Profit falls at KBC Bank Ireland
KBC Bank Ireland has reported profit of €9m for the three months to 30 June.
This is down from a profit of €12m reported in the three months to 31 March, according to a trading update from the group.
During the period the group released virtually zero funds set aside to cover unpaid loans, while in the prior quarter it released €12m in respect of loan loss impairments.
Meanwhile, the bank reported a net profit after tax of €24.9m in Ireland in the first half of the year, down from €113m in the same period last year.
This was due to the recognition of a one off restructuring cost related to the sale of the legacy performing corporate loan portfolio.
The bank's impaired loans in Ireland reduced by around 23pc in the first six months of this year to €1.9bn.
KBC Ireland had €495m in mortgage lending here over the six months to 30 June, an increase of 18pc year-on-year.
Overall, KBC Group generated a net profit of €745m over the three month period, which its CEO Johan Thijs said was “a good result.”
“Compared to the previous quarter [it] benefited from increased net fee and commission income, higher non-life insurance results, the seasonal uptick in dividends received, lower costs and lower loan loss impairment charges,” he added.