BNY Mellon joins other US banks in beating expectations in its first quarter April 21, 2016 Bank of New York Mellon has posted a five per cent increase in first-quarter profit due to heavy cost cutting and the US interest rate hike in December. Profit rose to $804m (£557m), or 73 cents a share, from $766m, or 67 cents, a year earlier. Analysts were expecting earnings of 67 cents a share, according to a Bloomberg poll. Total revenue [...]
Lloyds Banking Group reveals hundreds more job cuts in “dangerous race to bottom” April 21, 2016 Lloyds Banking Group is making a further 625 people redundant as part of a restructure that will result in a 10 per cent reduction in headcount. Around 80 of the jobs being cut will come from the IT department, which the bank is planning to offshore to India in what union Unite has dubbed "a dangerous race to the [...]
Another day, another challenger bank win, as TSB profits leap April 21, 2016 Following yesterday's suggestion that challenger banks are steaming ahead, this morning TSB bolstered that, as profits jumped 53 per cent. The figures Pre-tax profits rose 53 per cent from last year to £52.6m in the three months to the end of March, the bank said this morning, while total customer deposits rose 8.4 per cent to £26.8bn. Meanwhile, lending rose 28.3 per cent to £27..4bn, which [...]
What to expect from TSB’s latest results tomorrow morning, one year on from Sabadell’s takeover April 20, 2016 TSB, the challenger bank snapped up last year by Spain's Banco Sabadell for £1.7bn after being carved out of Lloyds Banking Group in 2014, will report its first quarter results tomorrow morning. Earlier this year TSB boasted that more than 1,000 new customers were joining it each day, and that it was beating its own target for customers switching [...]
March of the challenger banks: Metro Bank share price edges up as its loss narrows April 20, 2016 First quarter figures from Metro, one of the UK's best-known challenger banks, suggest the march of the challengers isn't just hype. The figures Revenues at Metro Bank rose 11 per cent to £37.7m in the quarter to the end of March, from £34.1m in the previous quarter. That pushed its post-tax loss down to £7.9m, 23 per cent lower than last quarter's £10.2m. At this stage [...]
UK investment banking revenue down 21 per cent in first quarter of 2016 despite Shell and BT deals completing April 19, 2016 UK investment banking revenue was down 21 per cent in the first quarter of this year, according to newly-compiled figures. Goldman Sachs accounted for 12.3 per cent of the total $1bn (£695m) revenue, ahead of JP Morgan (10.4 per cent) and Barclays (6.9 per cent). Read more: Investment banking revenue plummets to post-crisis low Dealogic's UK [...]
Goldman Sachs has managed to beat low forecasts, though it posted a 56 per cent drop in profit April 19, 2016 Investment banking giant Goldman Sachs has reported a 56 per cent decline in profits for the first quarter, to $1.2bn (£834m), or $2.68 per share. The decline marks the fourth straight quarter of declining profit for the bank. Revenue for the first three months of the year came in at $6.34bn, down from $10.62bn in the first quarter last [...]
Tesco is going deeper into the mortgage market April 19, 2016 Another surefire sign UK house price madness isn't showing any signs of abating: now Tesco wants a bigger slice of the pie. Or that's the suggestion from a statement this morning, in which the supermarket said its banking arm (the snappily-titled Tesco Bank) is launching its own mortgage intermediary service – called, you guessed it, Tesco Mortgage Intermediaries. The [...]
Challenger banks: More than just a fancy app? April 19, 2016 It was hard to go a week last year without hearing another story about a startup threatening the existence of the banks. Challenger banks in particular popped up left, right and centre, looking to take a swipe at the established players. Many of them are mobile-only banks, allowing customers to carry out traditional banking tasks via [...]
Morgan Stanley share price rises despite 54 per cent slump in profit April 18, 2016 Morgan Stanley, the latest US bank to beat very low expectations in the first quarter, has posted a 54.4 per cent drop in profit after wild market swings earlier this year dragged on trading and investment banking. Earnings per share (EPS) fell to 55 cents in the quarter ended 31 March, from $1.18 per share a year earlier. Analysts had on average [...]