Bank of Ireland Group posted resilient financial results in the fourth quarter of 2025, with underlying profit before tax rising 12% year-on-year to €342 million. The performance reflects stable loan growth, a strong net interest margin, and disciplined cost management across its Irish and UK operations.
- Underlying profit before tax reached €342 million in Q4 2025, up 12% YoY
- Net interest margin held steady at 3.4% despite macroeconomic headwinds
- Loan book grew 5.2% YoY, with residential mortgages up 7.8%
- Non-performing loans declined to 1.9% of total loans
- CET1 capital ratio at 15.3%, supporting resilience and dividend payout
- Dividend proposed at €0.145 per share for 2025
Bank of Ireland Group delivered robust Q4 2025 results, reporting underlying profit before tax of €342 million, up 12% compared to €305 million in the same period the prior year. The improvement was driven by sustained credit quality, continued growth in retail and commercial lending, and a net interest margin of 3.4%, which remained stable despite ongoing pressure from monetary policy dynamics in the eurozone and UK. The bank’s loan book expanded by 5.2% year-on-year, with a notable 7.8% increase in residential mortgage originations and 3.6% growth in business lending. Non-performing loans (NPLs) declined to 1.9% of total loans, down from 2.1% in Q3 2025, reflecting improved asset quality and proactive credit risk management. Total income rose to €1.21 billion, fueled by higher interest income and a 6% increase in fee and commission revenue. Operating costs were held steady at €870 million, with the bank maintaining its focus on digital transformation and efficiency initiatives. The group’s CET1 capital ratio stood at 15.3%, well above the regulatory minimum, supporting its ability to absorb potential shocks and maintain dividend stability. Dividend policy remains unchanged, with a proposed final payout of €0.065 per share, bringing the total annual dividend to €0.145. Market reaction followed the release, with Bank of Ireland’s shares (BIR.IR) gaining 2.7% in early trading, outperforming the broader STOXX Europe 600 Financials Index (^STOXX). The GBP/USD exchange rate, which impacts the group’s UK operations, remained within a narrow band around 1.27, supporting cross-border revenue stability.