That’s almost three times more than a year ago, as the money house announced Wednesday in Frankfurt. This was also the highest pre-tax result in the third quarter since 2006. As a result, shareholders made a good profit of 1.1 billion euros, almost six times higher than in the same period last year. With its results, the bank exceeded analysts’ average expectations.
That’s why CEO Christian Sewing sees the institute “on the right track” to achieve its goals for the current year. The executive continues to expect an eight percent return on tangible equity, which analysts previously deemed unrealistic.
Sewing’s optimism isn’t driven by bubbling revenue, in the least. He also thinks it’s possible for total earnings this year to exceed the previous estimate of 26 to 27 billion euros, thanks to the rise in interest rates.
In terms of return target, the financial institution is on track so far this year: In the first nine months, return on material equity was 8.1 percent. It had reached just 4.8 percent a year ago.
(SDA)