Piraeus Bank S.A.: Full Year 2025 Financial Results

Key Terms

at1 coupon financial

An AT1 coupon is the periodic interest payment made to holders of Additional Tier 1 (AT1) bank securities — a high-risk type of bank bond that regulators allow to count as extra loss-absorbing capital. It matters to investors because these payments offer higher yield but can be suspended, reduced, or the bond principal permanently cut or converted into shares if the bank hits financial stress, so the income is lucrative but comes with elevated risk.

cost-to-core income ratio financial

The cost-to-core income ratio compares a business’s ongoing operating costs (staff, rent, technology, and other regular expenses) to the core income it earns from its main activities, such as interest and routine fees. Think of it as how much you spend to earn each dollar from the company’s steady, repeatable business; a lower ratio means the firm runs more efficiently and is better positioned to convert revenue into profit, which matters to investors assessing operational strength and management effectiveness.

npe ratio financial

The NPE ratio measures the share of a bank’s loans and other credit exposures that are no longer being repaid as agreed (non‑performing) compared with its total lending. It matters to investors because it is a direct indicator of a lender’s credit quality and potential future losses—like the fraction of rotten apples in a fruit basket, a higher proportion suggests more hidden damage that can lower profits, require extra reserves, or trigger regulatory action.

npe coverage financial

NPE coverage is the proportion of a bank’s reserves or provisions set aside to absorb losses from loans and other exposures that are not performing (borrowers who are behind on payments or likely to default). Investors use it like an insurance ratio — higher coverage means the bank has a bigger cushion to absorb bad loans without hitting profits or capital, while low coverage signals more risk if defaults rise.

aum financial

Assets under management (AUM) is the total market value of investments that a financial firm or fund manages on behalf of clients. Investors watch AUM like the size of a shop: larger AUM can mean more fee revenue, greater market influence and perceived stability, while rapid changes in AUM signal growing popularity or redemptions that may affect future earnings and investment strategy.

cet1 ratio financial

CET1 ratio measures a bank's core equity capital (the most loss-absorbing funds like common stock and retained earnings) relative to the size of its risk-adjusted assets. It shows how big the bank's financial cushion is compared with what it has on its books; a higher ratio means greater ability to absorb losses, lower regulatory risk, and generally more investor confidence in the bank's stability.

mrel financial

Minimum Requirement for own funds and Eligible Liabilities (MREL) is a regulatory standard that forces banks to hold a buffer of capital and debt that can absorb losses or be written down if the bank fails. Think of it like a combined savings account and emergency loan line that regulators require so creditors and investors, rather than taxpayers, bear the cost when a bank gets into trouble. For investors, MREL influences how risky a bank’s bonds and shares appear and can affect debt pricing, recovery prospects in a failure, and the bank’s capacity to lend or return capital.

cost of risk financial

Cost of risk is the total expected financial hit a business expects from its exposure to loss, combining actual payouts (like claims or write‑downs), administrative expenses to handle those losses, and the capital set aside to cover them. Think of it as the combined “insurance premium, deductible and emergency fund” for a company; it directly affects profitability, cash flow and how much capital is tied up, so investors watch it to judge future earnings stability and management quality.

ATHENS, Greece--(BUSINESS WIRE)-- Piraeus Bank S.A. (ATHEX: TPEIR) (OTCQX: BPIRY) (OTCQX: BPIRF):

FY.25: 16% RoaTBV, Ethniki Insurance acquisition completed, payout ratio increased to 55%

1. €1.2bn normalized profit | €1.1bn on a reported basis, as guided; beat on revenues, with strong finish in Q4
2. €0.82 EPS after AT1 coupon | Exceeding guidance of €0.80 for the year, fully absorbing the fast decumulation of base rates
3. €40c per share cash dividend | On top of €100mn share buyback executed in Q4; €592mn total distribution out of 2025, 7% total yield
4. €3.9bn net credit expansion | Europe-leading +11% loan growth yoy, with pricing discipline maintained; €0.3bn net credit expansion in retail
5. 33% cost-to-core income ratio | Best-in-class efficiency ratio confirming cost discipline, despite inflation and ongoing investments
6. €0.7bn revenues from services | Best-in-class in Greece; 0.82% fees over assets, 26% revenues from services out of total revenues
7. €2.7bn net revenues | Revenues from services up 7%; NII up qoq, marking prior quarter as the trough
8. 52bps organic CoR | NPE ratio at 2.0%, NPE coverage at 73% vs 65% a year ago
9. +27% AuM yoy | €14.5bn AuM; €1.5bn net inflows in 2025; deposits at €66bn, up €3.2bn, +5% yoy, funding 90% of credit expansion
10. 18.7% total capital ratio | Buffer of c.275bps above P2G, CET1 ratio at 12.7%; MREL at 29.0% with c.165bps buffer above requirement

View source version on businesswire.com: https://www.businesswire.com/news/home/20260226618606/en/

PressOffice@piraeusbank.gr

Source: Piraeus Bank S.A.