By Helena Smolak
Shares of Commerzbank fell, reversing gains in earlier trade, after the bank raised its full-year guidance for revenue and profit to levels that are broadly aligned with consensus views.
At 1049 GMT shares traded 3.9% down at EUR10.01, having earlier risen as much as 6.7%.
The German bank said Wednesday that it now expects a full-year net profit of 2.2 billion euros ($2.35 billion), against its previous guidance for a result well above the EUR1.4 billion it reported last year. Revenue is expected to increase to EUR10.6 billion.
In addition, Commerzbank’s net interest income is anticipated to be more than EUR8.1 billion, up from at least EUR7.8 billion previously.
Analysts were expecting Commerzbank’s net profit at EUR2.23 billion on revenue of EUR10.625 billion for this year, according to consensus provided by the bank.
The lender made a third-quarter net profit of EUR684 million compared with EUR195 million in the same period last year. The bank attributed its increased profitability in part to continued strict cost discipline in the face of the economic slowdown.
In addition, Commerzbank generated revenue of EUR2.8 billion, up from EUR1.9 billion, due to a strong customer business and a continued tailwind from interest rates.
Write to Helena Smolak at [email protected]
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