German lender Commerzbank has reported attributable profit of €372m for the first half of 2016, down 42.3% from €645m the year earlier.
Operating profit for the period was €615m, a slump of 43.5% from €1.09bn during the same period in 2015.
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Net interest and trading income stood at €2.62bn, a 24.8% decline from €3.48bn the year ago.
Provisions for loan losses dropped 23.5% to €335m from €438m the year ago. Operating expenses dipped 2.7% year-on-year to €3.59bn from €3.69bn.
The private customers segment of the bank registered operating profit of €371m in the first half of 2016, up 13% from €327m in the first half of 2015.
The unit’s revenues before loan loss provisions remained steady at €1.87bn.
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By GlobalDataCommerzbank CFO Stephan Engels said: “Commerzbank has maintained its good market position in an adverse environment and posted an operating profit of 342 million euros in Q2. In the Private Customers segment we further grew and extended our loan volumes. Furthermore, we are able to confirm our leading market position in Mittelstandsbank.
“We sustain a healthy risk profile with a very good NPL ratio of 1.4 per cent. Our CET1 capital ratio of 11.5 per cent is appropriate and already includes a dividend accrual of 10 cents per share for the first half of 2016. Moreover, we report a comfortable Leverage Ratio of 4.4 per cent.”
