Deutsche Bank, profit jump in 3rd quarter. On track to 2022 goals

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(Finance) – Deutsche Bankone of the world’s leading banking groups, had its highest third quarter pre-tax profit since 2006. Most notably, theprofit before taxes was € 1.6 billion for the third quarter of 2022, almost tripled compared to the 554 million in the quarter of last year, while theprofit after taxes was 1.2 billion euros, more than tripled compared to 329 million euros in the third quarter of 2021 and higher than analysts’ expectations.

Earnings growth reflects a 15% year-on-year growth in Net revenues (at € 6.9 billion, the best third quarter since 2016) together with an 8% reduction in non-interest charges. L’provision for credit losses it was 350 million euros in the quarter, compared to 117 million euros in the previous year’s quarter.

Net revenues of Investment Bank were 2.4 billion euros, up 6% year on year. Within the division, Origination & Advisory revenues were € 95 million, down 85% year-over-year.

“In the third quarter and first nine months of 2022, we got the our best profits in more than a decade for both of these periods – commented the CEO Christian Sewing – This underscores the success of our transformation efforts. We have significantly improved Deutsche Bank’s earnings power and are on track to reach our 2022 targets. We have the strength to stand alongside our clients in a more challenging environment while increasing returns for our shareholders. ” .

Deutsche Bank further reduced its holdings credit exposures to Russia during the third quarter. The additional contingent risk was reduced to € 0.2 billion, down from € 0.6 billion at the end of the second quarter. Gross credit exposure was reduced from € 1.3 billion to € 1 billion, while net credit exposure was € 0.5 billion. From 2022 to date, the additional contingent risk has decreased by 83% and the net credit exposure has decreased by 19%.

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