Investor Presentaiton
Retail Republic of Ireland
Income Statement
Mar 06
€m
Mar 05
%
€m
Change
Net Interest Income
1119
1020
10
Other Income*
356
314
13
Total Income
-
1475
1334
11
Operating Expenses
(871)
(818)
6
Impairment Losses
(54)
(51)
6
Profit Before Tax
550
465
18
30
* Includes income from associates and joint ventures Mar 06 €5m, Mar 05 (€2m)
% PBT
36%
PBT +18%
Excellent profit performance driven by:
-
Strong volume growth
Higher fee income
Aggressively managed costs
Excellent asset quality - 15bps charge
Significant efficiency improvement
Positive cost income jaws
Cost income ratio down from 61% to
59%
Margin attrition due to:
Low interest rate environment,
wholesale funding, product mix &
competition
Competing from a position of strength
Multi-channel distribution
Sales effectiveness
Customer proposition
Bank of Ireland GroupView entire presentation