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EMBARGO 07:00 ● > - ● AIB " I am pleased to report that the Group returned to profitability in the first quarter of 2021 and we are confident of achieving our 2021 full year guidance . As we look to the remainder of the year , we expect a strong recovery as the economy re - opens and the roll - out of vaccines gathers momentum . The implementation of our strategy is well underway and positions us well for the future . As our industry undergoes significant change , our strategic clarity gives us confidence that our strong balance sheet , digital capability , distribution and franchise will enable us to grow , serving our customers and the communities in which we operate . As previously announced , we are progressing a number of acquisition opportunities to complement our existing strong customer propositions . We look forward ing the market on these initiatives at the app priate time later in the year . As Ireland emerges from lockdown and the vaccine roll - out continues , we are confident about the outlook and our ability to generate sustainable shareholder returns and meet our medium - term targets by 2023. " to Colin Hunt , Chief Executive Officer 06 May 2021 - AIB GROUP PLC – Q1 2021 TRADING UPDATE ( UNAUDITED ) Return to profitability in Q1 2021 ; Trading in line with expectations Q1 key highlights : ( all comparisons versus Q1 2020 unless otherwise stated ) Profitability restored in Q1 with current trading in line with expectations Confident for the remainder of 2021 ; full year guidance reiterated ( ¹ ) Total income decreased 4 % ; resilient revenues supported by diversified income streams O Net interest income decreased 13 % ; Other income increased 36 % Continued focus on cost discipline ; strategic cost initiatives on track O Stable operating expenses ; FTEs declined 1 % since Dec 20 to 9,116 Net credit impairment charge of c . € 50m ; Q1 annualised cost of risk c . 35bps Performing loans of € 55.3bn , up € 0.2bn since Dec 20 ; new lending of € 2.3bn down 7 % NPEs down to € 3.8bn or 6.5 % of gross loans ( Dec 20 : € 4.3bn or 7.3 % ) post NPE portfolio sales ● Customer deposits of € 84.5bn ; increased 3 % from Dec 20 as savings continue to accumulate Fully loaded CET1 of 15.8 % , up 0.2 % from Dec 20 ; well ahead of > 14 % target ● First Irish company to commit to use World Economic Forum Stakeholder Capitalism metrics Well - positioned as the Irish economy re - opens and the banking landscape evolves Financial Performance The Group recorded a profit in the first quarter of 2021 and is on track to deliver a performance in line with expectations for the full year . Net interest income ( NII ) as anticipated was 13 % lower in Q1 versus Q1 2020 while momentum gathers on NII recovery through our negative interest rate strategy . Since the year - end , deposits at negative rates increased from € 4.7bn to € 8bn at the end of Q1 and to c . € 10bn currently . NIM in the quarter was 1.66 % , 4bps lower than the Q4 20 exit NIM of 1.70 % . No funding benefit , from the € 4bn TLTRO drawn down in September 2020 , has been included in Q1 pending verification that the relevant 1