Bank of Ireland has reported pre-tax profits before exceptional items of 1,088 million euro for the year to the end of March, an increase of 18% on the same period last year and marginally ahead of forecasts.
Shares in the company fell 12 cents to 10.88 euros by market close, as investors took profits following a pre-results surge in the stock.
After exceptional items, including the costs of its DIRT settlement and a charge of 68 million euro to cover staff severance costs under its transformation programme, pre-tax profits were up 8% at 995 million euro.
Earnings per share were 83.1 cents and a final dividend of 29 cents is to be paid.
The bank says the second half of its financial year, though ahead of last year, was weaker than the first half as the fall in equity markets affected its asset management business, while there was also a slowing in customer activity.
Bank of Ireland says, however, that it expects continued earnings growth this year despite a slowing of growth in the Irish economy.
Its Republic of Ireland retail business performed strongly, with profits up 27% to 290 million euro.
Mortgage lending was up 29%, and the group's share of new mortgages moved up three points to over 25%. Other lending rose by 21%. The bank expects the Government's special scheme to boost savings volumes.
Profits from the life and pensions business increased by 22% to 131 million euro.
In Britain, profits at Bristol & West were virtually unchanged at £144m sterling, though in euro there was a 6% increase to 228 million. Corporate and treasury profits rose by 31% to 368 million euro.
