National Irish Bank reported pre tax annual profits of €36.5 million amid strong lending growth and a more streamlined operation.
The bank posted pre-tax profits of €36.5 million, a 159 per cent increase on 2002's performance. Net interest income of €2.8 million in 2003 was €9 million, or 11 per cent higher than in 2002.
Lending to small businesses grew by 18 per cent, reflecting the continued while mortgage lending increased by 12 per cent, on the back of a highly competitive mortgage market. NIB said asset quality remains good reflecting a prudent approach to risk management.
NIB said improved efficiency and lower project costs helped to reduce expenses compared to the prior year. The Internet banking service was begun in March this year, and customer registrations and usage of this service have exceeded expectations.
Further efficiencies should be made when NIB's parent, National Australia Bank, completes the legal details of its merger with Clydesdale Bank and Yorkshire Bank during 2004.
NIB said it will be considering the appropriate legal structures for Northern Bank and National Irish Bank in due course as a consequence of the merger. The Clydesdale Bank, Yorkshire Bank, Northern Bank and National Irish Bank brands will remain as operating names on the High Street.