Alpha Bank's quarterly profit up on strong fee and trading income (updated)

Alpha Bank SA

09/05/2025 06:49

Adds more details and CEO quote in 5th paragraph

ATHENS, May 9 (Reuters) - Greece's Alpha Bank ACBr.AT, the country's fourth-largest lender by market value, reported on Friday higher quarterly net earnings on strong fee and trading income and said it does not expect a significant impact from U.S. tariffs.

Alpha Bank, of which Italian bank UniCredit CRDI.MI controls 9%, reported normalized net earnings of 239.3 million euros ($268.7 million) versus 222.4 million euros in the first quarter of 2024.

The bank said that it does not expect a significant impact from U.S. tariffs.

Greek banks are benefiting from a rebound in the country's economy after a decade-long debt crisis. Economic growth was 2.3% last year on strong tourism and investment with only 5% of its exports heading to the United States, mainly agricultural products.

The bank's chief executive officer, Vassilios Psaltis, said that the direct impact on the Greek economy from possible tariffs is expected to be very limited.

"This explains our strong growth trajectory," Psaltis said in a press release.

Income from financial operations jumped by 52% year-on-year to 47.3 million euros in the first three months of the year. The bank's non-performing loan ratio fell to 3.8% at the end of March, from 6% at the same point in 2024.

As Greek banks see their net interest income falling due to the decline in euro zone interest rates, they are trying to diversify their income sources by expanding in wealth management, trading and insurance.

Alpha Bank, which acquired the small Astro Bank and asset management company Axia Venture, reported quarterly net interest income of 395.3 million euros, down 6% year-on-year, with its interest margin falling to 2.2% from 2.3% in the first quarter of 2024.

($1 = 0.9191 euros)

 (Reporting by Lefteris Papadimas; Editing by Mrigank Dhaniwala)

 ((lefteris.papadimas@thomsonreuters.com; +30 6944 248134; Reuters Messaging: lefteris.papadimas.reuters.com@reuters.net))