FRANKFURT (dpa-AFX) - German lender Commerzbank AG (CRZBY.PK) reported that its consolidated profit for the third quarter grew 34.7 percent to 294 million euros from 218 million euros last year. Earnings per share increased to 0.23 euros from 0.17 euros in the prior-year period.
Quarterly operating profit increased 29.5 to 448 million euros from 346 million euros in the year-ago period.
Revenue for the quarter rose 2 percent to 2.18 billion from 2.14 billion euros in the prior-year period.
Net interest income increased 2.7 percent, while net commission income remained almost stable.
The bank cut its costs further. Year-to-date, it achieved savings of around 130 million euros compared to 2018 despite a rise in compulsory contributions.
As communicated by the company earlier in the strategy update at the end of September, the company has adjusted its outlook for financial year 2019. The main reason for the adjustment was the uncertain macroeconomic environment, in particular the worsening global trade conflicts.
As the company anticipates a significantly higher tax rate in the fourth quarter, consolidated net income for the 2019 financial year is expected to be lower than in the previous year.
Commerzbank therefore no longer expects to achieve its target of slightly higher Group income compared with the previous year. The bank is targeting a Common Equity Tier 1 ratio of at least 12.75 percent by the end of the year.
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