Barclays: shares up after reassuring results
(CercleFinance.com) - Barclays reported better-than-expected pre-tax profit for 2018, as the British bank managed to offset heavy litigation costs by lower operating expenses.
Barclays said that its pre-tax profit came in at 3.5 billion pounds last year, in line with the 3.5 billion pounds in 2017, including charges of 2.2 billion pounds related to the settlement found with the US Department of Justice (DoJ) regarding RMBS securities.
Excluding litigation and conduct, pre-tax profit rose by 20% to 5.7 billion pounds, it said.
UBS analysts said that the results are "ahead of market" forecasts and noted resilience in the corporate and investment (CIB) arm in a "tough quarter."
CIB income slipped 1% to 9.7 billion pounds, reflecting gains in market share, the bank said.
The group also said it expects return on tangible equity (RoTE) to rise over 9% in 2019, from 8.5% in 2018.
"With ROTE targets maintained we think the stock offers deep value," UBS said.
Barclays shares are currently up 3.5% after this report.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
Barclays said that its pre-tax profit came in at 3.5 billion pounds last year, in line with the 3.5 billion pounds in 2017, including charges of 2.2 billion pounds related to the settlement found with the US Department of Justice (DoJ) regarding RMBS securities.
Excluding litigation and conduct, pre-tax profit rose by 20% to 5.7 billion pounds, it said.
UBS analysts said that the results are "ahead of market" forecasts and noted resilience in the corporate and investment (CIB) arm in a "tough quarter."
CIB income slipped 1% to 9.7 billion pounds, reflecting gains in market share, the bank said.
The group also said it expects return on tangible equity (RoTE) to rise over 9% in 2019, from 8.5% in 2018.
"With ROTE targets maintained we think the stock offers deep value," UBS said.
Barclays shares are currently up 3.5% after this report.
Copyright (c) 2019 CercleFinance.com. All rights reserved.