View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
October 31, 2019

BNP Paribas wealth income soars in Q3 2019 even as group falters

The wealth and asset management arm of French banking group BNP Paribas has reported a pre-tax income of €170m for Q3 2019.

This marks a 19% surge from last year’s income of €143m ($159.7m).

The unit’s revenues for the three-month period ended 30 September 2019 were €803m, up 2% from €791m in the same quarter of 2018.

Operating income at the division increased 15% to €157m from €136m over the period.

Operating expenses dropped 1% year-on-year to €649m, which was said to be primarily due to transformation measures in Asset Management.

As of 30 September 2019, Insurance and Wealth and Asset Management’s assets under management were €1.11 trillion.

The figure is a rise of 8% from end-December 2018, mainly driven by inflows of €13.8bn from Wealth Management in Asia, Belgium, and Germany.

Assets under management broke down as follows: asset management (€436bn), wealth management (€385bn), insurance (€260bn), and real estate services (€30bn).

Group lags

The banking group’s net income attributable to equity holders was €1.94bn in Q3 2019, a 9% decrease from €2.12bn a year ago.

The group’s revenues of €10.89bn in Q3 2019 were 5% higher than the previous year.

Operating income at the group increased 10% over the period to €2.63bn, while operating expenses rose 2% to €7.42bn.

BNP Paribas CEO Jean-Laurent Bonnafé said: “BNP Paribas delivered this quarter a net income of 1.9 billion euros. Revenues were up in the three operating divisions thanks to business growth. Operating expenses were well contained and benefitted from the transformation plan, generating a positive jaws effect in all the divisions.

“The cost of risk was still low. The common equity Tier 1 ratio reached 12.0%, illustrating the Group’s solid balance sheet.”

Topics in this article: ,
NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Wednesday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Private Banker International