Commerzbank: first-quarter earnings down on higher expenses
(CercleFinance.com) - Commerzbank shares jumped over 3% on Tuesday, despite the German lender posting lower quarterly net profit due to higher operating expenses.
In the first quarter of 2018, the bank's revenues adjusted for extraordinary items inched up to 2.30 billion euros, from 2.28 billion euros last year, while operating profit came in at 289 million euros, from 330 million euros in the first quarter of 2017.
Operating expenses rose to 1.94 billion euros, from 1.86 billion euros a year ago, the group said, reflecting the strategic investments in digitalisation.
Despite these ongoing investments in digitalisation and IT, Commerzbank still expects costs to be around 7 billion euros this year.
The news prompted the shares to rise 3.1% to 10.9 euros on Germany's XETRA market this morning.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
In the first quarter of 2018, the bank's revenues adjusted for extraordinary items inched up to 2.30 billion euros, from 2.28 billion euros last year, while operating profit came in at 289 million euros, from 330 million euros in the first quarter of 2017.
Operating expenses rose to 1.94 billion euros, from 1.86 billion euros a year ago, the group said, reflecting the strategic investments in digitalisation.
Despite these ongoing investments in digitalisation and IT, Commerzbank still expects costs to be around 7 billion euros this year.
The news prompted the shares to rise 3.1% to 10.9 euros on Germany's XETRA market this morning.
Copyright (c) 2018 CercleFinance.com. All rights reserved.