ATHENS, May 17 (Reuters) - Eurobank, Greece's largest lender by market value, on Wednesday reported lower net earnings in the first quarter of the year as a result of lower one-off items and strong net interest revenues.

The bank, which is 1.4% owned by the country's HFSF bank rescue fund, reported net profit of 236.5 billion euros ($260.34 billion) versus 270 million euros in the first quarter last year.

Eurobank registered losses of 8.6 billion euros from trading income in the first three months of the year versus gains of 209 million euros in the same period in 2022.

The group's net interest income rose by an annual 56% in January to March to 502.5 million euros as Greek banks benefit from a series of interest rate increases by the European Central Bank since last summer.

Chief Executive Fokion Karavias said that despite significantly lower one-offs compared to 2022, earnings per share stood at 6 cents "exceeding our guidance".

"Sustained profitability led to a strong capital ratio of 18.4%," Karavias said in a statement.

Greek banks have reduced a pile of non-performing credit, the legacy of a decade-long financial crisis that shrank the economy by a quarter. They have not paid any dividend since 2011.

Non-performing exposure ratio declined to 5.1% of the total loan book in March, from 6.7% in December.

Karavias said that Eurobank received the "green light"

from the regulator for the 1.4% share buy-back from the HFSF fund. (Reporting by Lefteris Papadimas, editing by Ed Osmond)