Financial Results
Third-Quarter Underlying Profits Rise At ING Bank; Accelerates Repayment To Dutch State
ING Bank, whose services include private banking, today reported a third-quarter underlying net profit of €1.123 billion ($1.4 billion), up from €820 million a year ago and €923 million in the previous quarter.
Netherlands-headquartered ING Bank, part of ING Group, whose services
include private banking, today reported a third-quarter
underlying net profit of €1.123 billion ($1.4 billion), up from
€820 million a year ago and €923 million in the previous
quarter.
The financial services conglomerate, which has worldwide
operations in regions such as Asia, said that following the
recent assessment of its financial strength by the European
Central Bank, it was speeding up its final payment of state aid
to the Dutch government. The group had been bailed out by the
Dutch taxpayer in the aftermath of the 2008 financial crisis.
"ING has notified the Dutch State that it intends to make the
final repayment of €1.025 billion on the core Tier 1 securities
on 7 November 2014 - half a year ahead of the repayment schedule
as agreed with the European Commission in 2012. The total amount
repaid to the Dutch State on the core Tier 1 securities will be
€13.5 billion, including €10 billion in principal and €3.5
billion in interest and premiums, giving the State an annualised
return of 12.7 per cent," the group said in its statement.
The third-quarter underlying result before tax rose 34.7 per cent
year-on-year and 16.3 per cent sequentially to €1.486 billion at
ING Bank, reflecting higher interest results and lower risk
costs, it said in its statement today.
The bank's capital position strengthened, with a fully-loaded CET
1 ratio of 11.1 per cent.
"We continued to simplify our company, consistent with our
repositioning as a leading European bank,” Ralph Lamers, group
chief executive, said.
In recent years the group has divested from certain activities and spun off operations to cut costs and as a condition under European Union rules of receiving state aid; for example, it has sold private banking operations in Switzerland and Singapore.
