Germany’s largest money house made a profit of almost 1.1 billion euros in the first quarter. According to CEO Christian Sewing, the “highest quarterly profit in nine years”.
The year 2022 has started with an increase in profits for Deutsche Bank.
The pre-tax result in the first quarter was around 1.7 billion euros, four percent higher than in the same period last year, as Germany’s largest financial institution announced on Wednesday in Frankfurt. The bottom line was a profit of almost 1.1 billion euros after 908 million euros a year earlier.
“The results of all business areas are in or above plan, and we have achieved our highest quarterly profit in nine years,” said CEO Christian Sewing. The income – i.e. the total income – was at a good 7.3 billion euros as high as last in the first quarter of 2017.
In 2019, Sewing ordered the institute to undergo a far-reaching restructuring, trimmed the in-house investment bank and initiated the reduction of thousands of jobs. The goal: to increase the return on tangible equity to eight percent by the end of 2022, and in the future it should even be more than ten percent after taxes.
Last year, the return was just 3.8 percent. And that despite the fact that the Dax group had achieved its highest annual profit since 2011 at 2.5 billion euros. In the first quarter of the current year, the bank achieved a return of 8.1 percent.
The bank set aside significantly more money than a year earlier for possible loan defaults: At EUR 292 million, risk provisions were more than four times as high as in the first quarter of 2021. This is also related to the Ukraine war. The bank said it reduced its net credit exposure related to Russia by 21 percent to €0.5 billion in the quarter.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
