Barclays Revenue q3 2020

Barclays reported a net profit of $ 611 million ($ 797.7 million) on Friday In the third quarter, A British lender is trying to recover from a corona virus infection.

The bank’s net profit for more than 273.5 million shareholders exceeded dual analyst expectations, in part due to a sharp reduction in corona virus – related shortfall fees.

In the first half of 2020, the British lender recorded a net income of $ 695 million after adding a further $ 1.6 billion in debt loss provisions in the second quarter.

At the moment, the money set aside to accommodate bad debts is just $ 608 million, which is less than the expected $ 1 billion.

Barclays shares rose 4.6% at the start of trading on Friday.

“In the first half of this year we took very strong deficit fees and our deficit reserves, so our reserves for debt losses are now north of $ 9 billion,” Barclays CEO Jess Staley told CNBC’s Squaw Box Europe.

“This is the highest reserve we have, so we feel we are well positioned on our balance sheet to deal with any economy we may face later this year and next.”

Other highlights:

• The common equity layer one capital (CET1) ratio was 14.6%, which was 14.2% at the end of the first half.
• Group revenue reached $ 5.2 billion, up from $ 5.54 billion in the third quarter of 2019.
• Return on firm equity (RoTE) was 5.1%, up from 0.7% in the previous quarter and -2.4% in the third quarter of 2019.
• Net interest rate (NIM) was 2.51%, up from 2.48% in the previous quarter.

To help mitigate the impact of the epidemic, the bank has launched a $ 100 million community assistance package distributed among charities in the UK.

“This support is somewhat possible because we have a flexible and diversified business model, which means we are profitable in the face of this crisis. Said.

CIP reported a pre-tax profit of $ 627 million, up from $ 694 million in the previous quarter. FICC (Fixed Income, Currency & Commodity) trade income fell from $ 1.47 billion to $ 1 billion as the levels seen earlier this year continued to normalize, while stock trading revenue increased from $ 674 million to $ 691 million. Quarterly.

Staley told CNBC that the investment bank has lent more than $ 1 trillion to governments and companies around the world over the past six months.

The bank reported a net loss of $ 292 million in the same period in 2019, as it suffered from $ 1.4 billion ($ 1.8 billion) in insurance claims.

Major lenders are usually surprised by the upside of this revenue season UPS easily exceeds expectations To record net income of $ 1.1 billion at the beginning of this week.

Barclays shares have risen more than 42% since the beginning of the year.