Earnings double as BNP recovers from Greek woe

 
Tim Wallace
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FRENCH banking giant BNP Paribas defied the Eurozone crisis to double earnings in the third quarter, according to financial results published yesterday.

The bank reported net profits of €1.32bn (£1.05bn) in the three-month period – up 144 per cent on the €541m recorded in the third quarter of 2012.

That is in part a rebound from a multi-billion euro hit from the falling value of the bank’s Greek debt last year.

But the recovery is also due to booming investment bank revenues, largely on the back of improved bond-trading incomes. Corporate and investment banking (CIB) revenues jumped from €1.79bn in the third quarter of 2011 to €2.38bn in the last three months.

The investment solutions arm also saw revenues edge up 4.1 per cent from €1.46bn to €1.52bn, while the retail bank recorded a 2.15 per cent rise to €6.18bn.

The group hit a fully-loaded Basel III common equity tier one ratio of 9.5 per cent in the quarter.

However the bank did take some hits, with credit losses up 8.6 per cent on the year to €944m.

Shares rose 0.42 per cent on the day.