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Bank of Ireland Group PLC on Tuesday confirmed its guidance for all of 2025, despite reporting lower half-year profit amid decreased net interest income. The Dublin-based lender said pretax profit fell 33% to €721 million in the six months ended June 30 from €1.08 billion a year before, as net interest income decreased by 7.6% to €1.67 billion from €1.80 billion, due to lower interest rates. The loan book was ‘broadly stable’ at €82.2 billion as of June 30, down from €82.5 billion in December, and Bank of Ireland confirmed its net interest income guidance for all of 2025 of about €3.3 billion. Basic earnings per share fell 28% to 57.8 euro cents in the first half from 80.8 cents a year before, and underlying EPS fell 22% to 65.1 cents from 83.3 cents. Bank of Ireland cut its interim dividend by 29%, in line with the decline in EPS, to 25 cents from 35 cents, noting this maintained its payout rate at 40% of profit after tax. The company also reaffirmed guidance for a progressive dividend per share for all of 2025. Assets under management rose to a ‘record’ €55.6 billion on June 30, up from €54.8 billion on December 31, as net inflows of €1.2 billion offset negative net market movements of €400 million due to the weakening of the dollar against the euro. Return on tangible equity for the half-year was 14.8%, and Bank of Ireland confirmed is 2025 guidance for RoTE of about 15%. ‘We are mid-way through the final year of our strategy and delivering with momentum,’ said Chief Executive Myles O’Grady. He added: ‘Against an uncertain international backdrop, the Irish economy is resilient. Bank of Ireland is well positioned to navigate this environment, generating strong levels of capital to support customers, grow our balance sheet, invest in the business and deliver attractive shareholder returns.’ The bank’s CET1 capital ratio was 16.0% on June 30, up from 14.6% on December 31. Bank of Ireland shares were down 5.7% to €12.07 in London on Tuesday morning. Copyright 2025 Alliance News Ltd. All Rights Reserved.
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