DUBLIN, July 31 Reuters Bank of Ireland reported a better than expected 5 rise in first half pretax profit on Wednesday and lifted its net interest income guidance for 2024 for the second time this year.

First half profit rose 5 to 1.1 billion euros 1.19 billion, ahead of the 968 million euros forecast in a company poll of analysts, primarily due to lower regulatory fees and levies and a materially lower than expected impairment charge.

Ireland39;s biggest lender said it expects net interest income of 3.55 billion for 2024, at the higher end of its previously upgraded guidance from May and that it also expects to generate more capital that previously flagged.

Ireland39;s highly concentrated sector of mainly retailfocussed lenders make more of their profit through interest revenue than European peers.

Bank of Ireland now expect its return on tangible equity for the year to be ahead of the 2023 level of 17.3, compared to previous guidance that it would be above 15.

It also commenced an interim dividend for the first time since the Irish banking crash of 2008, and will return 352 million euros to shareholders, the equivalent of 40 of first half profit after tax.

1 0.9246 euros

Reporting by Padraic Halpin, Editing by Louise Heavens

Source Reuters