By Alex V 
Alpha Bank, Greece’s fourth-largest lender by market value, reported a significant rise in its first-half profits for 2025 as commercial activity picked up, fee income increased, and credit growth persisted.
The bank, in which UniCredit of Italy has a 20% stake, posted normalized net income of €459.9 million in the first half (H1) of 2025, up from €436.7 million in the corresponding half-year period last year. This increase in profitability comes amid a year-on-year decline in net interest income, which decreased by 4.6% to €794.7 million.
The increase in net profits was primarily driven by robust fee income, which was up by 16.4% year-on-year to €229 million during the first half of 2025. This evidences growing demand for financial services and the bank’s focus on fee revenue streams.
Alpha Bank also progressed in minimising risk. The ratio of non-performing loans (NPLs) decreased to 3.4% as of June 30, down from 3.7% during the same period last year, highlighting the bank’s efforts to tidy up its balance sheet.
Alpha Bank CEO Vassilios Psaltis said in a statement:
We maintained solid commercial traction, with net credit growth of €0.9 billion, €0.9 billion deposit growth, and €0.5 billion net sales. These outcomes are very much in line with our long-term strategic aspirations.
The bank has been busy broadening its reach and services. Recent additions to the roster include the diminutive Astro Bank and Axia Venture, an asset management company. The actions indicate Alpha’s drive to diversify and fortify its position in both retail banking and institutional banking.
Some downward pressure on net interest income—presumably as a result of contracting spreads and shifting interest rate scenarios—has been evident, but Alpha’s diversified revenue base seems to have absorbed the blow.
Key Highlights:
H1 Net Profit: €459.9 million (vs. €436.7 million in H1 2024)
Net Fee Income: €229 million (up 16.4% YoY)
Net Interest Income: €794.7 million (down 4.6% YoY)
NPL Ratio: 3.4% (vs. 3.7%)
Net Credit Expansion: €0.9 billion
Deposit Growth: €0.9 billion
Net Sales: €0.5 billion
Recent Acquisitions: Astro Bank and Axia Venture
As Alpha Bank enters the second semester of 2025, it seems poised to ride on its growth initiatives over the past period, further enhance asset quality, and sustain high revenue flows through interest and non-interest income streams.
FAQs: Alpha Bank H1 2025 Results
What caused Alpha Bank’s profit growth in H1 2025?
The profit increase was fuelled by a sharp rise in fee income (+16.4% YoY), credit growth, and deposits. These trends were able to counter a dip in net interest income.
Why did net interest income decline when overall profit increased?
Net interest income declined 4.6% year-on-year because of market-related factors such as interest rate changes and narrower lending spreads. Yet robust fee-based revenue cushioned this fall.
What steps is Alpha Bank taking to curb its risk exposure?
Alpha Bank has succeeded in reducing its non-performing loan (NPL) ratio from 3.7% to 3.4%, indicating improved loan quality and sound risk management skills.
How is Alpha Bank increasing its business in 2025?
The bank acquired Astro Bank and the asset management company Axia Venture, enhancing its retail and investment services portfolio while expanding its market reach.
What are Alpha Bank’s priorities for the remainder of 2025?
Alpha Bank’s priorities for the remainder of 2025 are to continue its strategic emphasis on growing profitability from fee income, loan book quality, and utilising recent acquisition opportunities for broader growth.
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