UPDATE 1-Spain's Bankinter posts 2 pct rise in net profit

Mon Apr 29, 2013 2:52am EDT

Related Topics

* Q1 net 50 million euros vs f'cast 49 mln

* Net interest income down 19 percent at 133 mln

* Bad loans ratio 4.5 pct, below sector average (Adds bad loans and background)

MADRID, April 29 (Reuters) - Spanish mid-sized lender Bankinter posted a 2 percent rise in first-quarter net profit on Monday, after taking a hit from big provisions against soured property assets last year.

Like other Spanish banks, Bankinter was forced by the government to write down losses on property deals after a real estate crash.

Net profit rose to 50 million euros ($65 million), in line with the average 49 million forecast in a Reuters poll.

Yet net interest income, a key measure for banks representing the difference between earnings on loans and payouts on deposits, fell 19 percent to 133 million euros, squeezed by Spain's drawn-out recession and missing a Reuters poll forecast for 138 million.

Other Spanish banks, including the country's top lenders, also reported drops in net interest income at home in the first quarter.

Bankinter, which was less exposed than its peers to the Spanish property market crash, reported a bad loans ratio of 4.5 percent in the first quarter, up from 4.3 percent in December but still below a 10.4 percent sector average in February. ($1 = 0.7676 euros) (Reporting by Tracy Rucinski; Editing by David Holmes)

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