This reflects the bank’s strong performance and positive prospects
In an important development for the Alpha bankMoody’s Investors Service upgraded the long -term debt ratings and non -secured debt to BAA2, with a positive perspective.
As stated in a bank’s information note, this upgrade highlights the bank’s impressive progress in improving the quality of assets, capitalization and basic profits.
Improved quality assets and capitalization
Alpha Bank has successfully reduced non -performing reports (NPEs) to approximately 3.8% of gross loans in December 2024, a remarkable decrease from 48.1% in December 2016. This achievement is mainly due to effective securitizations and divestments NPEs. In addition, the bank capital ratio of the bank has increased to 16.3%, reflecting strong production and maintenance of capital.
Strong basic profits and enhanced funding profile
Bank’s basic profits have shown a significant improvement, with net revenue increasing by about 10% annually and revenue from transactions and other revenue. Alpha Bank has also boosted its funding profile, with consolidated deposits increasing by 2.5 billion euros in 2024. Bank’s steady access to international capital markets further enhances liquidity and funding stability.
Positive outlook
Her positive outlook Moody’s Alpha Bank’s long -term deposit and non -secured debt ratings indicate its expectations for continuous improvement of the bank’s credit profile, profits and capital levels. This optimistic prediction is a testimony to Alpha Bank’s strategic initiatives and effective management.
Challenges and areas to improve
Despite these positive developments, Alpha Bank faces some challenges. As for other Greek banks, the bank’s capital quality is influenced by the high level of deferred tax credit (DTCS).
In addition, Alpha Bank’s NPE forecasts are lower than its local competitors, although the underlying book has a better assurance value. The bank’s cost base is also higher than its local competitors, though comparable to other EU banks with a similar evaluation.
Alpha Bank’s upgrade by Moody’s is a clear indication of the bank’s strong performance and positive course. With constant efforts to improve the quality of assets, capitalization and basic profits, Alpha Bank is well positioned to achieve further growth and stability in the coming years, Moody’s analysts end up.
