Commerzbank: 21% drop in Q2 earnings

(CercleFinance.com) - Commerzbank has reported a 21% decline in net income to 220 million euros for the second quarter 2020, with operating profit down 34% to 205 million euros, for revenues that are up nearly 7% at 2.
27 billion euros.

In particular, the German bank underlines a sharp deterioration in its result from risk, at -469 million euro,s compared to -178 million euros in Q2 2019, due to a major single case (-175 million euros) and the effects of the coronavirus pandemic (-131 million euros).

However, Commerzbank points out an improvement in its CET1 solvency ratio to 13.4% at 30 June 2020, compared to 12.9% a year earlier, thus exceeding the threshold required by regulation by over 300 basis points.

Investors seemed to focus on this positive point, with the share up over 4.5% in early trading on Wednesday.


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