KBC Bank Ireland has reported a profit of €34.2m after tax and impairment costs for the first quarter of 2016 as it said it had started the year on a strong financial footing.
The bank had reported a profit of €16.2m in the first quarter of 2015.
The lender said it saw a loan loss provision release of €3.4m for the three months to the end of March, compared to a charge of €7.4m the same time the previous year.
KBC said it continued to resolve arrears in its retail mortgage and corporate/SME loan book in the first quarter of 2016. To date it has offered a range of solutions to 95% of customers in difficulty.
"The bank will continue to work with customers in mortgage arrears in the year ahead," it stated.
In today's results statement, the bank said that it added 16,800 new customer accounts in the first quarter of the year with current accounts still the main driver of new customers.
On Monday, the lender announced a range of cuts to its fixed and variable rate products which will take effect from next week.
It also extended its offer of €2,000 towards professional fees for all mortgages switched to KBC up until the end of September 2016.
"Looking ahead, our focus remains firmly on growing our retail business by offering customers a quality banking experience that is intuitive to their needs. KBC will do so while working closely with customers in financial difficulties to try and reach suitable, sustainable resolutions," the bank's chief executive Wim Verbraeken said.
The overall KBC Group said it ended the first quarter of 2016 with a net profit of €392m, compared with €510m in the first quarter of 2015.
