Greek financial services provider Alpha Bank has revealed that its 'Agenda 2010' business plan is on track and said that it expects earnings per share to more than double by 2010.
The banking group has embarked on a southeastern Europe growth strategy focused primarily on organic expansion. In 2006, high profitability was recorded in the region, reaching E70 million, through the establishment of new branches.
The bank has reported that the implementation of its ambitious growth strategy has remained on track in 2006, having achieved an EPS growth of 27%. As a result of the positive results, Alpha Bank has decided to revise its investment plans to accelerate the expansion by opening 870 branches, including 100 branches in Turkey, by 2010. By the end of this decade, southeastern Europe is expected to account for approximately 25% of the group’s profits.
Managing director of Alpha Bank, Demetrios Mantzounis, said: We have decided to accelerate our planned investment in the region in order to operate with a branch network of about 870 branches by the end of this decade. In Greece, we have also decided to establish new branches in areas of increased interest due to demographic shifts.
Moreover, we plan the restructuring of our network to focus exclusively on households and small business customers, with the servicing of larger companies taken over by 10 business centers under development. In this way, we expect to continue growing profitably, as we build an operation of about 1,300 branches with 17,000 people, and to more than double our earnings per share by 2010.