Bank of Cyprus Credit Ratings and Financial Position slide image

Bank of Cyprus Credit Ratings and Financial Position

Resumption of dividend payments after 12 years FY2022 ROTE:10.0% (Recurring)1 4% NPE ratio Balance sheet de-risking completed 49% C/I ratio² Improved efficiency on cost initiatives despite inflationary pressures 15.4% 3,4 CET1 ratio Robust capital position with 70 bps5 organic capital generation Proposed dividend: €0.05 per ordinary share or 14% payout ratio out of FY2022 earnings³ 1) Recurring ROTE: calculated as annualised Profit after Tax and before non-recurring items divided by quarterly average Shareholders' equity minus Intangible assets 234 2) Excluding special levy on deposits and other levies/contributions 3) As reported in 2022 Annual Report 4) 2022 CET1 ratio is restated to 15.2% to take into account the dividend proposal in April 2023 6) 7) Sustainable ROTE: >13% 2023-2024 Going forward <5% NPE ratio mid-40s C/I ratio² Organic capital generation Dividend payout ratio building progressively to 30-50% on adjusted recurring profitability6 Based on profit after tax before non-recurring items Based on adjusted recurring profitability: The Group's profit after tax before non-recurring items (attributable to the owners of the Company) taking into account distributions under other equity instruments such as the annual AT1 coupon ROTE calculated as annualised profit after tax (attributable to owners of the Company) divided by quarterly average shareholders' equity minus intangible assets 5
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