AIB Group Plc (A5G.F), an Irish lending major, on Friday reported a rise in first-half profit after tax. In addition, the company said it is proposing a 500 million euros of directed share repurchase.
The lender said: "The Group has received regulatory approval for a €505m share buyback with the intention to transact €500m on a directed basis with the State and, following receipt of shareholder approval at the recent AGM, to undertake an Odd-lot offer. Discussions with the Department of Finance in relation to the proposed €500m directed buyback of ordinary shares are underway."
For the six-month period, the Group reported post-tax earnings of 1.108 billion euros, higher than 856 million euros, recorded for the same period last year.
Net interest income was 2.075 billion euros, higher than 1.753 billion euros, helped by higher interest rate environment and higher average customer loan volumes.
Net interest margin or NIM was 3.24 percent as against 2.90 percent in 2023.
Total new lending increased to 6.3 billion euros from previous year's 5.6 billion euros, with positive trends across the company's new climate capital segment, personal lending and mortgages.
Total income increased by 12 percent, year-on-year, to 2.470 billion euros.
Looking ahead, for the full year, the lender expects to report net interest income of around 4 billion euros.
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