Management Statement
“Piraeus has delivered another strong set of results. We continued to grow, posting strong net credit expansion, deposit inflows, and higher assets under management, while asset quality remains robust. In the first nine months of 2025, we generated 15% return over tangible equity with €6.09 tangible book value per share, up 7% in the past 12 months. Our top line exhibited resilience, as our loan portfolio increased by 15% year on year, reaching €37bn, meeting our end-2025 target ahead of schedule. We continued to create value for clients, who entrust us with the largest client asset base in Greece: €64bn deposits, increased 5% year on year, and €14bn assets under management; the latter already surpassed the updated full-year target of above €13.5bn.
Net interest income has stabilized close to Q2 levels, while fee income tracked towards our full-year objective. Net interest margin stood at 2.3%, while net fee margin remained at the market-leading 0.8%. Costs and organic cost of risk were essentially flat compared with the prior quarter. We recorded a one-off charge related to the charitable donation for schools’ renovation programme as part of our CSR actions, which does not alter our full-year outlook.
Our lending activity remains well diversified, with disciplined growth across corporate, SME, and green segments. Notably, mortgage lending turned net positive for the first time in over a decade, driven by renewed demand. Our targeted and innovative mortgage product “Spiti25” has attracted more than 930 applications in a couple months.
We are disciplined stewards of capital and remain focused on shareholder value. In October, we commenced our €100mn share buyback program under our 2025 interim distribution. Our capital ratios remain comfortably above requirements, supporting growth, distributions, and continued investment. Our total capital ratio increased to 20.6% in September 2025, incorporating 50% distribution reserve out of 2025 profit and digesting our strong loan growth.
Looking ahead, we are navigating a normalising interest rate environment from a position of strength. Our revenue-diversifying efforts are clearly reflected on our fees over net revenue of 25%. Our disciplined approach to balance sheet management and hedging, supports sustainable growth. Strategically, we are progressing with the Ethniki Insurance transaction. We have received clearance from the Hellenic Competition Commission, and we are working towards the remaining approvals; subject to closing, we plan to consolidate Ethniki Insurance in the FY2025 results and present a refreshed business plan with expanded fee and insurance capabilities.
Importantly, Snappi neobank made its debut in the Greek market in Q3 with promising early traction of more than 30,000 existing application users in less than a month. Snappi’s value proposition is tailored to tech savvy users, promoting a branchless service model. At the same time, we continue to invest in digital transformation and ESG initiatives at Piraeus, launching new fintech partnerships and green financing products that drive innovation, operational efficiency, and customer value. In 2025, GDP is projected to grow above the EU average, driven mainly by investment, consumer spending, and support from EU structural funds. Public finances continue to strengthen, with high primary surpluses, and a steady decline of the debt-to-GDP ratio, leading to further sovereign upgrades and reduced funding costs for banks.
The Greek banking sector overall, and Piraeus in particular, is delivering strong profitability, improved asset quality, and robust capital buffers. Piraeus is therefore well-positioned to act as a key enabler of Greece’s economic resilience and future growth. The recent upgrade of Piraeus by Fitch to investment grade status has been one of the key achievements of this year for us. We enter the final quarter of the year confident in our ability to deliver a strong finish to 2025, thus upgrading our net credit expansion target to >€3.5bn from >€3.0bn and RoaTBV target to 15% from 14% previously.”
Christos Megalou
Chief Executive Officer