Belgium's KBC Bank has today reported after tax profits of €776m for the third quarter of 2022, up from €601m the same time last year.
KBC Bank said its net interest income increased by 4% on a quarterly basis and by 17% on an annual basis in the third quarter of this year as it continues its withdrawal from the Irish market.
The Belgian bank said its loan volumes continued to increase, going up by 2% quarter-on-quarter and 9% year-on-year.
It said that deposits fell by 2% quarter-on-quarter but increased by 6% year-on-year.
KBC Bank's Group Centre division - which includes its Irish operations which are being wound down - reported a net loss of €11m for the quarter.
The bank said the net result for Ireland amounted to €21m and included a positive €9m in various one-off effects related to the ongoing sale transaction.
It said this compared to net losses of €2m and €17m in the previous quarter, respectively.
The bank has agreed to sell "substantially" all of its performing loans and its deposit book to Bank of Ireland.
KBC said its Belgium business posted a net profit of €444m, while its Czech Republic division saw a net result of €197m and its International Markets division reported a net result of €147m.
The lender said it recorded a net impairment release on its loan book, which was more than offset by an increase in the reserve for geopolitical and emerging risks.
It said it will pay out an interim dividend of €1 per share on 16 November as an advance on the total dividend for 2022.
"The war in Ukraine, alongside other geopolitical uncertainties, is sending shockwaves throughout the global economy, resulting in high inflation and weighing on economic growth," said KBC Bank's chief executive Johan Thijs.
"Given those uncertainties, we have further increased our dedicated reserve for geopolitical and emerging risks, bringing it close to €0.4 billion at the end of the quarter under review," he added.
