PTSB revenues rise 10% as lender targets growing share of Irish mortgage market 

PTSB chief executive welcomed a 'positive start' to 2026 following its sale to Austria's Bawag group in April

The bank's net interest income - measured as the difference between the interest paid by banks and the interest charged by banks - increased by 9% between January and March, reflecting both higher margins and higher average interest-earning assets. 

PTSB is forecasting its share of the new mortgage market to rise to around 20%, given its "strong pipeline" and reduction in interest rates, the lender said on Friday. 

In a trading update, chief executive Eamonn Crowley welcomed PTSB's "positive start to 2026" following its sale to the Austrian Bawag group for just over €1.6bn.

"We believe new ownership as part of a pan-European and US banking group will support the next phase of PTSB’s growth, while strengthening our role as a pillar bank in the Irish retail banking market," the CEO said. 

PTSB has also reported higher margins and a larger balance sheet, with revenue growth of 10% in the first three months of the year.

The lender also noted a strong performance in business banking, with new lending up 18% while drawdowns doubled in consumer term lending following a major overhaul of the Bank’s suite of personal loans last year.

The bank's net interest income - measured as the difference between the interest paid by banks and the interest charged by banks - increased by 9% between January and March, reflecting both higher margins and higher average interest-earning assets. 

PTSB's net interest margin was 2.13%, which compares with just over 2% for for the same period in 2025, benefitting from a one-off catch-up adjustment and on an underlying basis was around 2.1%.

The increase in net interest margin reflects the impact of lower interest rates across deposit liabilities, particularly term balances, the lender noted. 

"In addition, we continue to benefit from a roll-over of maturing fixed-rate mortgages onto higher prevailing rates," PTSB said, with mortgage rate reductions announced by the bank in January contributing some offsetting impact. 

However, its costs also rose by 6%, and increased by 4% when regulatory charges were excluded. PTSB said this was mainly due to the earlier payment of annual pay increases, with costs rising by only 1% when adjusted for the timing difference.

The bank, which has set a cost-income ratio target of under 70% for 2026, reported a ratio of 72%, down from 76% last year.

The lender said it continues to expect its net interest margin to exceed 2.1% for the year and reiterated its full-year guidance for 2026.