Bnl Bnp Paribas closes the first half with a pre-tax profit of 171 million euros, more than double the result achieved in the same period last year (83 million). "Bnl confirms the progressive improvement of its profitability," reads a statement.
In the second quarter alone, the result reached 120 million, against 65 in the period April-June 2017. Deposits recorded a 7% growth, with a significant increase in current accounts. Compared to 30 June 2017, premium income grew by 8,3% in life insurance and 3,5% in investment funds.
Although increasing by only 0,2% compared to the second quarter of 2017, loans grew overall by 1,3% net of the impact of the sale of a bad loan portfolio in the first quarter of 20181. BNL continues to increase loans to the corporate segment , bringing its market share to 5,4%, an increase of 0,6 points in 3 years.
Operating income was down by 4,3% compared to the second quarter 2017, at 698 million euros. The interest margin instead fell by 4,3%, due to the persistence of a context of low rates. Fees were down 4,2% due to a lower contribution from finance fees in the quarter.
Operating expenses, at €438 million, were up by 1,9% but down by 0,6% excluding the additional contribution paid this quarter to the National Resolution Fund (€11 million), demonstrating the cost control.
As regards the French parent company, the group's net profit of Bnp Paribas was stable in the second quarter of the year (2.393 million euros). Excluding non-recurring items, group net income increased by 0,7%.
As at 30 June, the fully loaded Cet1 is equal to 11,5% and takes into account the complete transition to IFRS 9. The fully loaded Basel 3 leverage ratio3 stands at 4,0%. The liquidity ratio (Liquidity Coverage Ratio) stood at 111% as at 30 June 2018. The Group's immediately available liquidity reserves amount to 308 billion euros, equivalent to more than one year of leeway with respect to market.
