Piraeus Bank to Propose First Dividend in 16 Years

Piraeus Bank’s CEO on Tuesday said the Greek systemic bank has proposed paying a dividend to shareholders for 2023 results, which means the latter will see a return for the first time in 16 years, if the proposal is approved.

The ATHEX-listed bank, which is the third largest of the four systemic banks in the country based on market value, last week reported higher net earnings for 1Q 2024, on the back of higher net interest and fee income.

Piraeus Bank has forecast profits of roughly 900 million euros this year, rising to one billion euros next year, a development that a few years ago seemed far-fetched due to the forced recapitalization of Greece’s systemic banks on three separate occasions.

Piraeus reported interest income of 518 million euros (up rose by 16%, on annual base).

“…I am very happy to announce that 2024 is expected to be the first year after 16 years that Piraeus will pay a cash dividend to its shareholders amounting to c.€80mn for 2023 results. The relevant application for approval has been submitted to the ECB in mid-April, ahead of our AGM in June. At the same time, our quarterly capital generation has driven the CET1 ratio to 13.7%, while stepping up the accrual for 2024 planned shareholder distribution to 25%,” Piraeus Bank CEO Christos Megalou said, in commenting on the results.

Source: tovima.com