Bank of Ireland Group plc (the "Group")

2025 Annual Results and Strategy Update

2 March 2026

Bank of Ireland Group has today published its 2025 Annual Results and Strategy Update to 2028. The Group delivered a strong performance for 2025, reporting profit before tax of €1.4 billion, underpinned by strong growth in Irish loans, deposits and customer numbers, and wealth assets under management reaching record levels. This performance has supported attractive shareholder returns of €1.2 billion. The Group enters its new strategic cycle from a position of strength across its franchise, with clear momentum in delivery, poised to drive significant shareholder value through earnings growth, accelerating returns and strong capital generation.

Strong financial performance in 2025  - Key highlights

Strategy Update 2026-28 - Key highlights

Driving growth in Ireland I Optimising capital allocation I Investing for the future

Myles O'Grady, Bank of Ireland Group CEO

"The Group closed out its 2023-2025 strategic cycle on a very strong footing, delivering clear benefits for customers, colleagues, shareholders and society.

"Over the past 3 years, the Irish loan book grew by 33%, Irish deposits by 11% and Wealth Assets Under Management by 54%. This reflects the strength and depth of Bank of Ireland's franchise, as Ireland's National Champion Bank.

"This excellent business performance enabled strong shareholder returns of €3.6 billion through buybacks and dividends, supported by consistent execution on the financial targets that we set for the Group, where we delivered an average 16% adjusted RoTE, beating our target.

"During this period we also increased new to bank customers by 18% while significantly improving customer experience, with a 16 point increase in the Customer Relationship Net Promoter Score reflecting sustained investment in digital and customer experience capabilities.

"The Group enters the new strategic cycle with momentum, and from a position of strength across our franchise. Our Strategy 2028 will drive significant shareholder value through earnings growth, accelerating returns and strong capital generation, with continued momentum to 2030.

"We are poised for growth. Ireland continues to be a highly attractive market and our unique business model in Ireland is superbly positioned to both support and benefit from this backdrop. This is bolstered by our disciplined approach to capital allocation which ensures we will optimise returns from our complementary international businesses. We continue to invest for the future in support of our more than 4 million customers, creating long term value through a step change in our operating leverage and earnings growth profile.

"I thank our customers for their trust, which we do not take for granted, my colleagues for their dedication, and our shareholders for their support."  

Strong FY25 financial performance - Dividend up 11%; total distribution of €1.2bn

Total Income

Net interest income of €3.37bn slightly exceeded expectations, reflecting strong balance sheet growth in Ireland and the benefits of our structural hedge and bond purchases countering the impact of lower interest rates and planned deleveraging. The Group maintained its commercial discipline, reflected in the 26bps widening in the loan asset spread to 311bps.

Fee income, including from JVs and associates, was €816m in 2025, +7%. This was led by an excellent performance from our Wealth and Insurance franchises, Davy and New Ireland, where fee income rose 12%, also supplemented by some modest one-off life assurance assumption changes. Assets under management increased by 9% in FY25 to a record €60 billion.

Total Costs

Operating expenses were up 3% to €2.03bn, in line with expectations, reflecting inflation and investment with a partial offset from efficiencies. The cost income ratio was 49%. Non-core items were €430m, primarily comprising customer redress charges of €268m (related to UK motor finance) and restructuring costs of €153m.

Balance Sheet

Loans were €82.5bn at end 2025, flat versus the prior year. There was an excellent performance in Irish lending (+€3.2bn); a modest increase of €0.1bn in Retail UK; with planned deleveraging in our International Corporate portfolios (-€1.6bn) and a -€1.7bn impact from FX/impairment.

The Group has retained its strong liquidity profile. Customer deposits were €107.5bn, €4.4bn higher versus FY24, led by a notable 6% increase in Irish Everyday Banking. Corporate deposits were flat; while Retail UK volumes were +4%, driven by a strong performance in Northern Ireland.

The Group's liquid asset portfolio increased by €2bn to €46bn due to higher customer deposits, partially offset by lower wholesale funding of €1.7bn, higher lending of €1.4bn (constant currency) and other items of €0.3bn. During 2025, the Group purchased €12bn worth of bonds.

The Group's liquidity coverage ratio was 191% (Dec 2024: 198%); loan to deposit ratio was 77% (Dec 2024: 80%); and net stable funding ratio was 156% (Dec 2024: 155%).

Asset Quality

The Group's asset quality is robust, with a strong performance in H2 2025. The NPE ratio was 2.2% at end 2025, unchanged from end 2024, but 40bps lower than June 2025. The net credit impairment charge was €193m (23bps), comprising €65m from net loan loss experience and portfolio activity and €128m from macroeconomic and model updates. On 17 February, the Group announced that, following the completion of a strategic review, it has decided to exit its US Leveraged Acquisition Finance business, in line with its disciplined approach to capital allocation. The €1.2bn loan book is expected to run down over the next c.3 years.

Capital & Distributions

Capital strength remains a key feature, with a CET1 ratio of 15.1% at year end. Organic capital generation was 270bps (310bps excluding UK motor finance). RWA investment accounted for 105bps, comprising 65bps for lending and CRT amortisation and IRB model scalars of 40bps, with an objective to at least partially mitigate the latter over time.

Distributions totalled €1.2bn (225bps) comprising a cash dividend of €667m and the approved share buyback of €530m, representing a total distribution payout ratio of 100% (FY24 80%). The 70 cent full year DPS (+11% yoy) is reflective of our confidence in our business and is the fifth successive year in which the Group has raised its full year dividend.

Customer, colleague and society stakeholder outcomes in FY25

Our customers' needs continue to evolve and we respond to this at pace. We are pleased to report that our Personal Customer Relationship Net Promoter Score improved to an all-time high of +31 in H2 2025 (from +25 in H2 2024), while there was also a 24% reduction in customer complaints in Ireland in 2025.

We have added to our broad suite of products and services to ensure we remain a trusted, relevant partner for all of our customers' financial needs. New product enhancements in 2025 include Smart Start, a new personal current account for 7-15 year olds; Coming to Ireland, an advance account-opening service for those moving or returning to Ireland; a new lending platform for Irish small business and agri customers; and an enhanced UK business deposit proposition.

For our colleagues, we have helped to simplify ways of working by improving processes and systems in a range of ways. We have also established a continuous learning culture, with infrastructure in place to ensure our people are future-ready, including an AI Academy.

For society, we recorded a 20% increase in Sustainable Finance lending to €17.7bn, comfortably exceeding our 2025 target of c.€15bn and on track to deliver on our target of €30bn by 2030.

2026 financial guidance

Strategy Update - Our ambitions for 2028 and beyond

Our Strategy 2028 will drive growth in our Irish franchise, optimise capital allocation and see the Group investing for the future for the delivery of sustained value creation within and beyond this 3-year strategic cycle.

We are entering this cycle from a position of strength and with momentum across our businesses, with a supportive economic and market backdrop. We have #1 or #2 market positions across retail, business and corporate banking, underpinned by trusted brands, customer affinity and a resilient funding base. We are the #1 player in Ireland's fast growing wealth sector. Our strategy builds from the foundations established in the last cycle to the next phase of disciplined growth.

Our strategy will deliver across three priorities:

Strategy 2028 will drive significant shareholder value creation through earnings growth, accelerating returns and strong capital generation. We have set new financial targets, with statutory RoTE building from 10.9% in 2025 to >16% by 2028; a mid to high teens EPS CAGR¹ (vs reported FY25 EPS of 115c); and organic capital generation averaging c.260bps which will support strong shareholder distributions. We anticipate continued momentum to 2030.

The building blocks for this strong outcome are:

Ends

The annual report is available at https://investorrelations.bankofireland.com/results-centre/

For further information please contact:

Bank of Ireland

Mark Spain, Group Chief Financial Officer +353 1 2508900 ext 43291

Eamonn Hughes, Investor Relations Officer +353 (0)87 2026325

Damien Garvey, Director, Group Corporate Affairs +353 (0)86 8314435

Bank of Ireland Group plc

Forward Looking Statement

This announcement contains forward-looking statements with respect to certain of Bank of Ireland Group plc (the 'Company' or 'BoIG plc') and its subsidiaries' (collectively the 'Group' or 'BoIG plc Group') plans and its current goals and expectations relating to its future financial condition and performance, the markets in which it operates and its future capital requirements. These forward-looking statements often can be identified by the fact that they do not relate only to historical or current facts.

Generally, but not always, words such as 'may', 'could', 'should', 'will', 'expect', 'intend', 'estimate', 'anticipate', 'assume', 'believe', 'plan', 'seek', 'continue', 'target', 'goal', 'would', or their negative variations or similar expressions identify forward-looking statements, but their absence does not mean that a statement is not forward-looking.

Examples of forward-looking statements include, among others: statements regarding the Group's near term and longer term future capital requirements and ratios, loan to deposit ratios, expected impairment charges, the level of the Group's assets, the Group's financial position, future income, business strategy, projected costs, margins, future payment of dividends, future share buybacks, the implementation of changes in respect of certain of the Group's pension schemes, estimates of capital expenditures, discussions with Irish, United Kingdom, European and other regulators, plans and objectives for future operations, the potential impact from uncertainty around international trade and tariff policies, and the continued impact of regional conflicts on the above issues and generally on the global and domestic economies.

Such forward-looking statements are inherently subject to risks and uncertainties, and hence actual results may differ materially from those expressed or implied by such forward-looking statements.

Such risks and uncertainties include, but are not limited to, those as set out in the Risk Management Report in the Group's Annual Report for the year ended 31 December 2025.

Nothing in this announcement should be considered to be a forecast of future profitability, dividend forecast or financial position of the Group and none of the information in this announcement is or is intended to be a profit forecast, dividend forecast or profit estimate. Any forward-looking statement speaks only at the date it is made. The Group does not undertake to release publicly any revision to these forward-looking statements to reflect events, circumstances or unanticipated events occurring after the date hereof.