Bankinter posts 20% growth in Irish loan book

Ireland’s gross income was 14% higher, far outpacing the growth seen across the Group’s other markets, the Spanish lender said

The lender added that its mortgage book stood at €38bn at the end of September, up 5% from a year earlier. Photographer: Angel Navarrete/Bloomberg via Getty Images

Spanish lender Bankinter has welcomed strong business growth in the last three months, which it said has been largely underpinned by a growing loan book in its Irish market.

The European bank announced its expansion into Ireland last year through Avant Money, bringing a much-welcomed boost to competition in what had become an increasingly concentrated banking market.

On Thursday, the lender posted a 20% rise in its Irish loan book, underpinning total growth of 5.3% across the company. 

It said its pace of growth remained much higher in Ireland compared to its other segments in Spain and Portugal, with its portfolio rising to €4.4bn. Of that, Bankinter said €3.4bn related to mortgages, with the remainder pertaining to consumer lending.

Ireland’s gross income was 14% higher in the period, far outpacing the growth seen across the Group’s other markets, with a pre-tax profit of €34m, which Bankinter said represented growth of 17%.

Pic shows Minister for Finance Pascal Donohoe; Niall Corbett, CEO of Avant Money; Jacobo Díaz García, Bankinter; Alfonso Saez, Bankinter; Minister for Finance Pascal Donohoe and Lorna Farrell, Head of Marketing & Customer Experience at Avant Money. Pic Maxwells Dublin No Fee Pic .

The lender added that its mortgage book stood at €38bn at the end of September, up 5% from a year earlier, outperforming the sector average across all domestic markets where the bank operates. It said growth has been particularly strong for the mortgage book in Ireland, up 23%, and Portugal, which rose by 11%.

Overall, Bankinter said its third-quarter net profit rose by 5% from the same period in 2024, with an increase in fees and overall loans offsetting some pressure on lending income despite a small recovery in the period.

Spain's fifth-biggest bank by market value reported a net profit of €270m in the July-to-September period, slightly above the €267m expected by analysts.

As banks try to lift non-core banking revenues, Bankinter's net fees and commissions rose by 10% year-on-year in the quarter.

Spanish banks are mainly retail lenders and have benefited from higher costs of loans. However, this tailwind has reversed as a result of falling interest rate.

As a result, the bank's net interest income (NII), or earnings on loans minus deposit costs, fell 0.4% year-on-year in the quarter to €566m, below analysts' expectations of €570m.