AIB Group has announced profits after tax of €2.1 billion for the year to the end of December, slightly down from the €2.35 billion profit reported in 2024. The bank returned to full private ownership during the reported year.
The bank said its total income decreased 8% primarily driven by lower interest rates, while its net interest income also fell by 9% to €3.748 billion.
“We were dealing with a looser monetary policy environment in 2025 than we were in ’24,” AIB CEO Colin Hunt said. “So interest rates on average would have been lower last year than they were in the previous year.”
AIB reported a 7% increase in customer deposits for the year, reaching €117.2 billion. Customer deposits are expected to grow by 2-3% in 2026, it added. The bank’s total new lending increased by 2% to €14.7 billion. Its personal lending in Ireland was up 4% to €1.4 billion as consumer credit demand continued to increase. It also noted that 43% of its new lending was classified as green or sustainable.
New mortgage lending in Ireland dipped to €4.3 billion from €4.5 billion in 2024 and the bank said it has a mortgage market share of 30%. It said it supported about 9,000 customers to buy their first home last year.
AIB said that new lending to Irish SMEs remained “relatively stable” at €1.6 billion with two thirds of small business loans originated on AIB’s digital business loan platform while it said that automation has reduced “time to cash” by 44%. Meanwhile, costs for the year increased 1% to €1.992 billion, which was lower than expected.