Mixed results from the European banking giants. The good news comes from Deutsche Bank, which closes the first quarter with a net profit of 1,06 billion euros (+17% year on year), the best result for nine years, thanks to the savings generated by the heavy restructuring carried out previously.
I revenues totaled €7,3 billion, up 1% year-on-year, driven by business customers. The widespread performances today are in line with analysts' expectations and the bank also confirmed its forecast for the full year of 2022. Cost/income ratio is at 73%, down from 77% in Q2021 XNUMX.
The words of the CEO and the Cfo
"In this quarter, the priority was to enable our clients to respond quickly to geo-political events and to hedge against risks," commented the CEO of Deutsche Bank. Christian Sewing – All our activities have achieved results in line with or beyond the objectives”.
James von Moltke, chief financial officer, added: “In a challenging environment, we reported both revenue and earnings growth across our core businesses. Our quarterly revenues demonstrate a clear path towards our 2022 targets. We believe this momentum, coupled with continued cost discipline and organic capital generation, positions us well to meet our 2022 targets.”
Credit Suisse: the red increases and the Cfo resigns
Credit Suisse, on the other hand, archives the first quarter with a loss of 273 million Swiss francs (266 million euros), further aggravating the loss recorded in previous quarters after various scandals (the loss amounted to 252 million francs in the first quarter of 2021).
The bank, whose troubles began with the bankruptcy of the British financial company Greensill, had already issued a profit warning last week on its results due to provisions for litigation but also to credit losses following the Russian invasion of Ukraine.
Il turnover of the bank in the first quarter fell by 42% year on year to 4,4 billion francs. As a result, the group announced a management reorganisation.
Changes in management
In particular, chief financial officer David Mathers, who has been head of finance since 2010, said he intends leave the bank to seek opportunities elsewhere, but will remain in his role until a successor can be found to ensure an orderly transition. The search to replace it has already begun, both internally and externally, the bank said.
Credit Suisse also announces the appointment of a new general counsel: the post will go to Markus Diethelm, former general counsel of rival bank UBS and former head of the legal department of the Swiss Re insurance group. He will take office from 10 July to succeed Romeo Cerutti, who will retire after having held the position for XNUMX years.
The bank also announces a reshuffle at the head of the management of the Europe, Middle East and Africa area, which will be entrusted to Francesca McDonagh from XNUMX October, and the Asia-Pacific area, which in turn will be entrusted to Edwin Low. The reorganization comes after the Swiss bank was rocked for more than a year by repeated scandals that began with the bankruptcy of British financial firm Greensill.
