Commerzbank, the second biggest German bank, today posted a gain in second-quarter net profit, owing to a favourable tax effect, but a plunge in operating earnings.
Net profit gained 6.4% to €817m, a Commerzbank statement said, compared to forecasts of a loss. The result was boosted by a tax effect that added €386m to the bank's bottom line, it added.
Operating profit fell by more than half meanwhile to €484m from more than €1 billion the same time a year ago. The market had expected an even bigger drop however.
Commerzbank wrote down the value of property finance assets by €369m, reflecting persistent housing market turbulence, in the US in particular.
The bank repeated that it would be 'very difficult' this year to match results from 2007, when it had posted a record net profit of €1.9 billion.
