Full year pre-tax profits at Anglo Irish Bank increased by 33% to €346.5m from €261.3m, achieved against the backdrop of moderate economic growth in its key markets.
Basic earnings per share rose by 34% to 78.03 cent from 58.14 cent in 2002, while Anglo's total assets increased by 31% to €25.5 billion, from €19.4 billion in 2002 and lending to customers increased by 34% on a constant currency basis to €18.1 billion.
In a statement the bank said its earnings continue to be driven by its lending activities which account for nearly 80% of total profits. 'We have continued to make very strong inroads into our target sectors and these have delivered a record €4.6 billion of net new business in the year,' it said.
Loan balances in both of Anglo's core lending markets, Ireland and the UK, grew by more than 30%. The bank said Boston continues to perform very strongly, though from a smaller base.
Total group lending now exceeds €18 billion, an increase of 34% over 2002 on a constant currency basis. Margins continue to be strong and asset quality remains robust, the bank said.
Anglo Irish Bank proposed a final dividend of 13.93 cent bringing total dividend for the year to 18.80 cent, an increase of 50% on last year.
Group chief executive Sean FitzPatrick said: 'Loans to customers increased by €4.6 billion net on a constant currency basis, the strongest growth in the history of the group. Asset quality remains robust and given the quality and our expectations concerning potential losses arising, we feel it is unlikely we will need to make a general provision charge in the next few years.'
FitzPatrick said that the performance so far in the current year is very encouraging. He said work in progress is at record levels and that he looks forward to a strong outcome for the year to September 2004.
Chairman Peter Murray said: 'Your bank begins its new year from a position of unprecedented strength. Lending work in progress is in excess of €3 billion, the highest level in the Bank's history. Both our Treasury and Wealth Management businesses have developed strong franchises delivering an important contribution to our profits. The proposed step up in dividend is a real and tangible reflection of this strength and our belief in the future.'
At 2.30pm today Anglo shares were up 5% or 58c at €11.00.
