By Elisabeth O'Leary

MADRID (Reuters) - Bankinter (BKT.MC: Quote, Profile, Research), Spain's sixth largest bank, posted a 13.5 percent fall in first-quarter net profit on Friday, but beat expectations as one-off items last year distorted comparisons.

Chief Executive Jaime Echegoyen said he expected higher profits this year and the shares rose 2 percent, while analysts said the stock was already expensive because of persistent takeover speculation.

"Profit will grow this year, getting steadily better ... It won't be an easy year, but it will be a good year," Echegoyen told reporters.

Chief Financial Officer Jacobo Diaz said in a webcast that decreasing financial costs would help profit margins improve over the year.

Its first quarter net profit fell to 73.7 million euros ($117.5 million), beating an average forecast of 71.6 million in a Reuters poll of eight analysts.

Its year-ago profit was enhanced by a provision reversal. Stripping out that effect, profit would have fallen 3.5 percent.

Operating profit fell 6.1 percent to 122.48 million euros.

Net interest income, the difference between what it earns on loans and what it pays on deposits, rose 7.4 percent to 153.8 million euros, short of the 154.4 million euros analysts expected.