Q2 results of BNP Paribas augments the investment and corporate banking arm

Owning to latest reports, BNP Paribas, one of France’s largest banks with regards to assets has said strong performance by the bank’s corporate and investment banking division has resulted into earning profits during the second quarter.

As per sources, the net profit of the bank rose to 3.1% to 2.47 billion euros ($2.8 billion) out of 11.22 billion euros in revenues. Analysts from Credit Suisse, UBS, and Jefferies respectively is expected to reach a net profit of 2.06 billion euros, 2.28 billion and 2.21 billion, as a result.

Moreover, according to reports, CIB produces overall revenues which rose 4%to 3.1. billion euros, in addition to a pre-tax growth of 6.2% to 1.06 billion euros. It was observed that favorable market conditions, in addition to first effects of 350 million euro cost-cutting plan which was launched in February, following a tedious fourth quarter, augmented the unit’s profitability, according to reports of BNP Paribas.

“Corporate and institutional banking delivers a strong beat thanks to revenues and cost management,” quoted Jefferies analysts Maxence Le Gouvello Du Timat and Martina Matouskova.

As a result, the overall performance of the investment and corporate banking unit is known to have uplifted BNP Paribas’ operational activities for the second consecutive quarter.

The result also drew attention to the struggle of major European banks to achieve profitability owning to low-interest rates which put a constraint on the returns from retail banking and made them more dependent on corporate and investment banking businesses.

It was however noticed that pre-tax profit of BNP Paribas’ retail banking business in Western Europe sank to 1% to 2.56 billion euros.

International Financial Services division which functions in commission to non-Western European retail, international consumer credit, in addition to other businesses also suggest a 1% pre-tax profit decline to 1.44 billion euros.

, , , , , , , , , ,
Shreyas Tanna

Shreyas Tanna

The winner of the title Mr. Pune 2009, Mr. Shreyas Tanna is currently the young, dashing, and dynamic CEO of a market research company called ResearchNReports in Pune. Fondly known as RNR, the company specializes in market research as well as industry analysis, and is closely associated with its parent company Absolute Market Insights (AMI). Mr. Shreyas Tanna began his corporate journey as the Head of Corporate sales & PR at RED Entertainment while pursuing his degree for MMS (Marketing) from the MGM College of Management, Mumbai. After accomplishing the tedious task of balancing his work and education, he further polished his skills in Corporate Sales, Public Relations, Channel Development, Global Client Engagement, Strategic Consulting, and Brand Development by working with HDFC Life and Researchmoz Global Pvt. Ltd. His dedication towards his work has even won him accolades such as the National Level Performer 2013 – HDFC Life and Mr. Research Moz 2015. A disciplined individual with a loving heart, he is often seen taking crisp walks with an engrossed look and a gentle smile within the premises of his company to interact with the various departments. And he will be usually followed by an adorable trail of his beloved trio of Shih Tzu babies proudly known as Gucci, Drake, and Paris. The most enticing thing that you will notice about this content and proud pet parent is his infectious positivity and the firm belief in his eyes, a reflection of his favorite quote, “LIFE IS BEAUTIFUL!”