IAS19 Defined Benefit Pension + Mortgage Portfolio Analysis
Return on Tangible Equity (ROTE)
HY23: Headline vs. Adjusted
Adjustments
H1 2023
Headline
(€m)
& valuation items,
Additional gains
net of tax
Adjusted for
CET1 ratio
at 14.0%
Pension
Surplus
Profit for the period
853
Coupon on Additional Tier 1 securities
Preference share dividends
(34)
(4)
Adjusted profit after tax
815
(42)
Annualised profit after tax
1,649
(84)
At June 2023
Shareholders' equity
11,090
Intangible assets
(1,350)
Shareholders' tangible equity
9,740
Average shareholders' tangible equity
9,672
Return on tangible equity (ROTE)
17.0%
Bank of Ireland
H1 2023
Adjusted
(€m)
773
1,565
(397)
(891)
9,802
(1,350)
(397)
(891)
8,452
(365)
(850)
8,457
18.5%
H1 2023 adjusted return on tangible equity is adjusted for:
-
Additional gains and valuation items, net of tax (€42m)
Average shareholders' tangible equity calculated on a CET1 Ratio at 14.0% (€365m)
Removal of average pension surplus €850m
Tangible Net Asset Value (TNAV) per share as at end Jun 2023 was €9.24, or €8.40 excluding the pension surplus
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