Q3 - Highlights of the quarter
- Strong result, with a net profit of
EUR 759 million and an ROE of 13.6%, supported by high other income and impairment releases - NII lower compared with Q2 due to deposit migration to higher yielding products, a shift to other income, limited asset margin pressure and lower results in trading activities
- Business momentum remains good; our mortgage loan book increased by
EUR 0.4 billion and our corporate loan book byEUR 0.3 billion . Mortgage market share increased to 15% - Costs remain under control; expected costs for 2023 lowered to between
EUR 5.1 andEUR 5.2 billion - Credit quality remains strong, with impairment releases of
EUR 21 million - Solid capital position; fully-loaded Basel III CET1 ratio of 15.0% and Basel IV CET1 ratio of around 16%
- CEO’s term extended by four years, until 2028
'In the third quarter, we once again delivered a strong financial result with continued high net interest income (NII) compared with last year, supported by high other income and impairment releases. The Dutch economy is cooling down and uncertainty about the economy and inflation remains, while I continue to be concerned about the ongoing uncertainty in the geopolitical environment. Slowing economic growth contrasts with our strong business momentum. Demand for credit remains good and both our mortgage and corporate loan books increased. Our market share in mortgages increased to 15%, while house prices are rising due to improved affordability.
Net profit in the third quarter was
Credit quality remained strong in Q3 with impairment releases of
Higher interest rates have supported the profitability of banks in the past few quarters, triggering public discussions about savings rates. Strong, safe and profitable banks are important for society as they support economic growth by financing companies and investments, facilitate the payment system and help prevent financial crime. We remain focused on fulfilling our role in society, contributing to the real economy with safe and secure banking and supporting our clients in the transition to a sustainable economy. We recently established a Supervisory Board Sustainability Committee responsible for supervising sustainability aspects of our strategy and policies, including our climate strategy. We are still making steady progress on the execution of our climate strategy and will communicate new carbon reduction targets for next sectors in our annual report published in
We look forward to appointing
I am pleased that the Dutch government’s stake in
Key figures and indicators (in EUR millions) | Q3 2023 | Q3 2022 | Change | Q2 2023 | Change |
Operating income | 2,211 | 2,162 | 2% | 2,223 | -1% |
Operating expenses | 1,228 | 1,254 | -2% | 1,137 | 8% |
Operating result | 983 | 908 | 8% | 1,086 | -9% |
Impairment charges on financial instruments | -21 | 7 | -69 | 69% | |
Income tax expenses | 246 | 159 | 55% | 285 | -14% |
Profit/(loss) for the period | 759 | 743 | 2% | 870 | -13% |
Cost/income ratio | 55.5% | 58.0% | 51.1% | ||
Return on average Equity | 13.6% | 13.9% | 16.2% | ||
CET1 ratio | 15.0% | 15.2% | 14.9% |
ABN AMRO Press Office Jarco de Swart Senior Press Officer pressrelations@nl.abnamro.com +31 20 6288900 | ABN AMRO Investor Relations Annedien Heilbron Investor Relations investorrelations@nl.abnamro.com +31 20 6282282 |
This press release is published by
Attachment
- 20231108
ABN AMRO reports net profit ofEUR 759 million for Q3 2023
![](https://ml-eu.globenewswire.com/media/OGU2ZDZmNGUtZDcxNy00M2U0LThhYWItYmZjMGE3MmQ2ZjY4LTEwMTQ5NDE=/tiny/ABN-AMRO.png)
© OMX, source