Portugal: BCP profits rise 3.9% to €243.5M in Q1

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Portugal: BCP profits rise 3.9% to €243.5M in Q1

8:22 CAT | 23 May 2025

Photo: Lusa

BCP announced at a press conference on Wednesday that it posted profits of €243.5 million in the first quarter, up 3.9% from the first three months of 2024.

According to BCP’s chief executive, Miguel Maya, this was a “fairly reasonable” net result, given the “very difficult geopolitical situation”.

Net interest income (the difference between interest earned on loans and interest paid on deposits) rose 3.6% to €721.1 million, and commissions increased 2.1% to €201.4 million.

In Portugal, BCP’s profits rose 7.6% to €218.9 million.

International operations recorded a profit of €24.5 million, down 20.2% compared to the first quarter of 2024, reflecting the 84.3% drop to €3.7 million in Mozambique.

Noting that BCP has been in Mozambique for 30 years, the bank’s chief executive said that the operation is “resilient” and that the drop in profits was due to the country’s rating downgrade, motivated by political instability. This downgrade led the bank to set aside provisions of €18 million.

Regarding the operation in Poland, profits increased by 39.6% to €42.8 million, with the manager considering that Bank Millennium is back to normal after the Polish bank owned by BCP was penalised in recent years for granting mortgage loans in Swiss francs in the past.

The 3.6% increase in net interest income was mainly due to the performance of international operations (where this item rose 10.7% to €395.2 million), since in Portugal there was a year-on-year decrease of 3.9% to €325.8 million, determined by “lower interest rates, with a particular impact on the loan portfolio”.

Miguel Maya considered, however, that net interest income was “resilient”, given the context of falling rates.

Commissions rose by 3.9% in Portugal and fell by 2.5% in international operations.

Operating costs rose 10.4% to €339.7 million, with staff costs rising 13.5% to €188.1 million.

Impairments and other provisions fell 15.4% in the first quarter to €191.2 million.

The loan portfolio increased by 2.2% to €58.1 billion in the first three months of this year compared to the same period in 2024, an increase explained by the rise from €28.1 billion to €29.2 billion in mortgage loans and the increase in personal loans (which rose from €6.9 billion to €7.6 billion). The corporate loan portfolio fell slightly from €21.8 billion to €21.3 billion.

Customer funds grew by 6.1% to €104.6 billion, with the largest increase in demand deposits (which rose from €44.5 billion to €48.5 billion) and a slight increase (from €36.3 billion to €36.6 billion) in term deposits.

BCP had 6,229 employees in the first quarter of this year (40 fewer than in the same quarter last year) and recorded a decrease of two branches, now having 397.

Source: Lusa