Monday 19 March 2018

KBC Ireland €18m profit puts it on course to be back in the black by 2016

KBC Bank
KBC Bank

Paul O'Donoghue

KBC Ireland has reported a profit of €18m after tax and impairment costs for the second quarter of the year compared to a loss of €34m for the same period in 2014.

The bank says that it is on course to return to full year profitability by 2016.

KBC says that its mortgage business maintained its growth to 15pc market share while it grew its total hub network to 15 after opening five new retail banking hubs across the country.

Deposits at the bank are now over €3.8bn and added 31,500 customer accounts during the first half of the year. The company said that its insurance and investment products performed well throughout the year, although it did not provide further details.

Chief Executive of KBC Bank Ireland Wim Verbraeken said: “The financial results and impairments are in line with our expectations and we remain on track to return to full year profitability by 2016, so our guidance remains the same as previously stated.”

He added: “The momentum of our mortgage business remains strong, driven by our compelling offering and promotions, and better market conditions. Our retail deposit acquisition continued its strong growth in Q2 and customers are responding well to our current account, with special rates on savings, personal loans and mortgages.

“With 31,500 new customer accounts opened this year and many others with us longer term, we appreciate the loyalty of all our customers.”

KBC Bank Ireland employs over 1,000 people in Ireland with retail banking hubs in, among others, Dublin, Cork and Galway.

For the group as a whole, KBC Group ended the second quarter of the year with a net profit of €666m, compared with €510m in the previous quarter and €334m in the second quarter of 2014.

Online Editors

Business Newsletter

Read the leading stories from the world of Business.

Also in Business