Despite the burdens caused by the war in Ukraine and the cooling of the German economy, the bank expects a profit of more than one billion euros in 2022.
(Photo: dpa)
Frankfurt The restructuring of Commerzbank under bank boss Manfred Knof is bearing fruit. The net profit in the second quarter was 470 million euros, as the bank announced on Wednesday. That exceeded the expectations of the analysts, who had expected an average of 370 million euros.
“In the first half of the year, we increased revenues in the customer business in both segments more than expected and more than doubled our operating profit,” said Knof on the presentation of the business figures. A year earlier, costs for job cuts and branch closures had torn Commerzbank deep into the red with 527 million euros. For 2022, Knof is still aiming for a surplus of more than one billion euros and intends to distribute 30 percent of the profit attributable to shareholders as dividends.
In the second quarter, revenues – that is, the bank’s total income – jumped 30 percent year-on-year to 2.4 billion euros. At the same time, the bank put aside 106 million euros for possible loan defaults, a good fifth more than in the previous year.
The flat-rate risk provision was 564 million euros in the second quarter. The bank said there had been a “small number” of loan defaults. For the year as a whole, the Management Board assumes risk provisions for impaired loans of around EUR 700 million.
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The institute is sticking to its goal of making a profit of more than one billion euros for the year as a whole. “This forecast is subject to the proviso that there is no significant deterioration in economic development, for example due to further bottlenecks in the gas supply,” CFO Bettina Orlopp said in mid-July.
More: Commerzbank employees fight for the right to more home offices