Minister for Finance, Michael Noonan T.D. welcomes PTSB Group results for the first half of 2014
· PTSB’s Core Bank has reported an underlying operating profit of €4m. This marks a return to operating profitability for the first time since 2010, a significant achievement given the continued reduction in base rates which has negatively impacted PTSB more than others due to its larger proportion of tracker mortgages.
· PTSB is providing much needed competition in the mortgage lending market with c.€180m in lending into the Irish economy drawn down in H1 2014, up 360% on prior year
· PTSB has continued to make progress dealing with mortgage holders in arrears, showing an 18% reduction in arrears greater than 90 days since it peaked in autumn 2013. It is welcome that arrears have been trending down consistently for the last ten months. c.88% of PTSB customers in greater than 90 day arrears are in or have been offered a sustainable restructure, which would retain the family home
The Minister for Finance, Michael Noonan T.D. today (19 August 2014) welcomed the half year 2014 results of the PTSB Group. Commenting on the results the Minister stated:
“PTSB have demonstrated in their half year results that the Bank is continuing to improve and has made significant progress in delivering key elements of its restructuring plan. PTSB continues to work to enhance the value of our investments through the Banks work on arrears and improving competition through new mortgage lending and current accounts.
In line with its strategic plan PTSB has maintained a focused national retail banking presence, serving about 15% of the markets in which it competes. It is likely to be an investable proposition well ahead of our original timetable given the significant improvements made by management and the continued improvement in the Irish economy.”
19 August 2014
Note to Editors
· Operating Profit excludes one off charge (€40m) for legacy legal and compliance issues booked in H1 2014 and other non-recurring income items (€14m)