FRANKFURT (dpa-AFX) - German lender Commerzbank AG (CRZBY.PK) reported Tuesday that its second-quarter net profit stood at 272 million euros, compared to last year's loss of 640 million euros. In the previous year, the net result had been driven by restructuring charges.
Operating profit grew to 389 million euros for second quarter from 179 million euros last year.
Group revenues increased to 2.22 billion euros from prior year's 2.06 billion euros.
Looking ahead, Martin Zielke, Chairman of the Board of Managing Directors of Commerzbank, said, 'Given the intense competition, particularly in corporate clients, we have slightly adjusted our outlook. Our growth initiatives are already working. Of course, it will take some time for them to take full effect.'
For the year, higher underlying revenues are expected at Group level with the Private and Small Business Customers segment exceeding and the Corporate Clients segment being below the 2017 figures.
The company previously expected higher adjusted revenues for both the Private and Small Business Customers and the Corporate Clients segments.
The Bank is aiming to resume dividend payments of 20 cents per share for financial year 2018.
Further, cost target of 6.5 billion euros for 2020 remains unchanged. In view of investment activities, regulatory contributions and project costs, the company has slightly adjusted cost target for the full year 2018 to 7.1 billion euros.
Copyright RTT News/dpa-AFX