Q1 Profit Drops At ABN AMRO

Tom Burroughes

16 May 2019

Netherlands-based reported that its profit in the first quarter of this year fell by 20 per cent year-on-year to €478 million ($535.7 million), but jumped by 51 per cent from the previous three months.

Explaining the year-on-year drop, the bank said that the Q1 2018 result was boosted by significant gains on equity participations.

“Net interest income was impacted by temporarily elevated liquidity management costs. Operating expenses include seasonally high regulatory levies offset by effective cost management,” Kees van Dijkhuizen, chief executive, said.

As far as private banking is concerned, the CEO said that the firm has started to integrate the Belgian Societe Generale Private Banking NV business that it bought last year from Societe Generale.

ABN AMRO said that its cost/income ratio has widened to 63.8 per cent from 57.9 per cent from a year earlier.

Its Common Equity Tier 1 ratio stood at 18 per cent at the end of March, a rise from 17.5 per cent from a year earlier.