EFG Eurobank, Greece?s second-largest lender, on Wednesday reported a profit of 74 million euros in the first quarter, booking gains from the sale of Polish unit Polbank to Raiffeisen Bank.
Results were above market expectations. Analysts polled by Reuters were forecasting a loss of 5.3 million euros on average.
The bank said it had realized a total profit of 230 million euro from the sale, but had set aside more than half that total–130 million euros–into a special reserve to cover adverse developments in its securities portfolio.
?Capitalizing on our strategic initiative in the Polish market, we managed a substantial improvement to our capital adequacy ratios, and created a collective reserve to cover future prospective risks, while, at the same time, we managed to record a profit of 74 million euros,? Chief Executive Officer Nicholas Nanopoulos said.