StockMarketWire.com - Commerzbank warned on profit even as performance improved in the third quarter, led by higher revenues and lower costs.

The bank said it no longer expected to achieve its target of slightly higher group income compared with the previous year, amid pressure from an uncertain macroeconomic environment, in particular the worsening global trade conflicts.

The further monetary policy easing announced by the European Central Bank in September and the resulting pressure on margins would also have a negative impact on earnings, it added.

The profit warning came even as the bank reported higher operating profit of €448m in the third quarter, up from €346m in the second. Adjusted revenues increased to €1,243m from €1,226m.

The common equity tier 1 ratio, a key performance measure for banks, was down slightly in the third quarter, standing at 12.8% at the end of September, compared with 12.9% at the end of June 2019.




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