Commerzbank: results beat estimates, but targets disappoint
(CercleFinance.com) - Commerzbank beat quarterly profit forecasts on Tuesday, although the German lender set new targets that didn't seem to convince investors.
As a result, Commerzbank's shares are curently down 1.5% at 8.8 euros, the worst performer in Germany's blue-chip index DAX.
Germany's second-biggest bank behind Deutsche Bank reported second-quarter net profit of 272 million euros, compared to a net loss of 640 million euros in the second quarter of 2017.
"The stated net profit beat was driven by slightly higher revenues (...), lower risk costs and a low tax rate," analysts at UBS said.
Revenues were up by 4% at 4.5 billion euros.
Commerzbank did not provide guidance for 2018 earnings, but said it has slightly adjusted its cost target for the full year 2018 to 7.1 billion euros.
It also said it was expecting higher underlying revenues at group level.
Finally, the bank still aims to resume dividend payments of 20 cents per share for financial year 2018, it said.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
As a result, Commerzbank's shares are curently down 1.5% at 8.8 euros, the worst performer in Germany's blue-chip index DAX.
Germany's second-biggest bank behind Deutsche Bank reported second-quarter net profit of 272 million euros, compared to a net loss of 640 million euros in the second quarter of 2017.
"The stated net profit beat was driven by slightly higher revenues (...), lower risk costs and a low tax rate," analysts at UBS said.
Revenues were up by 4% at 4.5 billion euros.
Commerzbank did not provide guidance for 2018 earnings, but said it has slightly adjusted its cost target for the full year 2018 to 7.1 billion euros.
It also said it was expecting higher underlying revenues at group level.
Finally, the bank still aims to resume dividend payments of 20 cents per share for financial year 2018, it said.
Copyright (c) 2018 CercleFinance.com. All rights reserved.