Economy

Barclays 3Q profit rises following restructuring

Barclays 3Q profit rises following restructuring”

The bank also confirmed it was setting up a separate United Kingdom banking division to keep its day-to-day banking operations apart from the investment banking.

Net operating income came in at £4.46bn in the quarter, down from £4.65bn in the same period a year ago following tough trading at Barclays' markets division. Barclays has already reprimanded Staley for his conduct, but the matter is still being investigated by the Financial Conduct Authority and the Prudential Regulation Authority.

Profit before tax for the third quarter rose 31% to £1.1bn, reflecting lower customer redress costs in the United Kingdom consumer bank.

Net operating income fell about 4% to £4.5bn.

Reported profits so far this year have been dragged down by writedowns on the sale of Barclays Africa in H1, so Barclays is now £628 million in the red in the nine months to 30th September.

Attributable profits rose to £583mln from £414mln due to the lack of provisions to compensate United Kingdom customers for mis-selling protection payment insurance.The bank set aside £700mln for PPI claims in the first half, taking its total provisions to £9.1bn.

It credited a lack of further provisions for historic misconduct issues - such as the payment protection insurance mis-selling scandal - and improved profitability in its United Kingdom consumer, cards and payments business.

Investors, though, did not seem that impressed as Barclays shares fell 5% in early trading on the FTSE 100.

Investment banks have been hit by lower market volatility following a sharp rise in activity in the immediate aftermath of the Brexit vote last and the election of US Donald Trump.

The British bank posted a 34% drop in fixed-income revenue in the third quarter, according to a statement on Thursday.

Barclays said it had incurred the impairment due to recognising foreign exchange currency losses previously held on the unit's balance sheet.

"Peering through the murk, the good news is that PPI costs are falling out of the equation, and there's maybe a hint of a dividend increase coming next year".

"We now have high confidence in our capacity to assert when Barclays will start to deliver the economic performance which we know this group is capable of, and therefore today we are announcing new targets for 2019 and 2020 for Barclays".

The bank said these factors helped offset weakness in its markets operation.

The group's total PPI bill stands at £9.1 billion.



Like this

loading...
loading...

Latest


26 October 2017
President Kovind on a two-day visit to Bengaluru
The celebrations have been opposed tooth and nail by the BJP which sees Tipu Sultan as a "religious bigot" and a "brutal killer". Governor P Sathasivam, Chief Minister Pinarayi Vijayan, Devaswom Minister Kadakampally Surendran and others will be present.

26 October 2017
Teekay LNG Partners LP (TGP) to Release Earnings on Wednesday
ValuEngine raised Teekay Corporation from a "sell" rating to a "hold" rating in a research report on Thursday, July 20th. The value of the investment in Teekay Corporation increased from $0 to $7,000 a change of inf% for the reporting period.

26 October 2017
Cardinal Health, Inc. (CAH) Given a $70.00 Price Target at Mizuho
Lsv Asset has 0.52% invested in Cardinal Health Inc (NYSE:CAH) for 3.77 million shares. 168,511 were reported by Glenmede Na. Barrett sold 217,995 shares of the business's stock in a transaction that occurred on Thursday, November 10th.

26 October 2017
'Game Change' Co-Author Mark Halperin Accused Of Sexual Harassment By Five Women
The stories of harassment shared range in nature from propositioning employees for sex to kissing and grabbing against her will. A fifth woman alleged Halperin was clothed when he placed his erect penis against her body without her consent.

26 October 2017
Buffalo Wild Wings shares surge after earnings beat, guidance increase
In September, Buffalo Wild Wings cancelled its popular Tuesday wings deal in favor of a boneless wings "buy-one, get-one" offer. Customers' love for half-priced wings had been hurting Buffalo Wild Wings because of "historically high" wing costs.

26 October 2017
Drake threw himself a bar mitzvah-themed 31st birthday party
Raptors stars Kyle Lowry, left, and DeMar DeRozen, right, rang in Drake's 31st birthday after defeating the Philadelphia 76ers. He then moved the celebration to Los Angeles where he had dinner with his friends and family at Catch LA rooftop.

26 October 2017
HSBC Champions preview: Dustin Johnson, Hideki Matsuyama headline star-studded field
World number three Thomas is skipping this week, however, as is British Open champion and world number two Jordan Spieth. However, Dustin Johnson also holds two WGC titles at the moment, and also set the 72-hole record in 2013 (of 264).

26 October 2017
5-foot boa constrictor "Chuck" found in NC hotel room
Miller picked up Chuck and lovingly carried him on his shoulders, saying the snake has a good temperament and he holds him often. The 1.5 meter python was found by one of the hotel's staff during routine housekeeping at the Rodeway Inn and Suites.

26 October 2017
Ne-Yo & Wife Crystal Announce Second Pregnancy
However, despite that fact, Shaw explained her primary obligation is to make sure her kids get along well and, more importantly, she gets along with her ex-husband and his new wife.

26 October 2017
The Taiwan Semiconductor Manufacturing Co
Cornerstone Advisors Inc. grew its holdings in shares of Taiwan Semiconductor Manufacturing by 0.3% during the second quarter. CNX's profit will be $2.30 million for 403.00 P/E if the $0.01 EPS becomes a reality. $569,541 worth of Amgen, Inc.