The banking group BNP Paribas reported Wednesday a decline in profits in 2018 and revised down its ambitions for 2020, against a backdrop of turbulence in its investment activities that will compel it to redouble efforts to save money. . Stock market, the action was close to balance on Wednesday late morning.
Last year, the bank posted a net profit down 3% year on year, to 7.53 billion euros.
On the side of its revenues, net banking income, which represents little or no turnover, was down 1.5% year on year, announced the group in a statement.
The evolution of the incomes "is penalized by the environment of rates always low and a context of unfavorable market, accentuated by particularly difficult conditions at the end of the year", explains BNP Paribas.
And more specifically, the bank suffered in the brokerage of financial products related to bonds, currencies and commodities (FICC), whose revenues plunged almost 15% in the fourth quarter and more than 20% over the entire 'year.
The banking sector as a whole has suffered in the last three months of the year from a combination of uncertainties, related to fears of Sino-US trade tensions, the possible consequences of Brexit or to various political risks in Europe.
Drop in goals
This underperformance has forced the group to lower its ambitions for the 2016-2020 period, during which it expects only growth in net banking income of 1.5% per year instead of 2.5%. % expected so far.
Its objective of return on equity is now expected at 9.5%, against 10% hitherto expected.
And the group expects to redouble efforts to fulfill this contract.
"The Group updates the plan's targets with recurring cost savings of € 3.3 billion from 2020, € 600 million more than the initial plan", of which € 350 million will have to be realized in the corporate and investment banking where market activities are confined, he said.
These announcements seemed globally anticipated by investors. At the end of the morning of February 6, BNP Paribas shares were close to equilibrium (-0.22%), in line with the market trend (-0.31% for the CAC 40).
Le Revenu, with More Bank