Germany's Commerzbank has today posted a better-than-expected 29% rise in first-quarter net profit, its strongest quarterly profit in a decade, and raised its outlook for net interest income for the full year.
The bank said its net profit rose to €747m in the quarter from a profit of €580m a year earlier.
Analysts had, on average, expected a profit of €652m, according to an April consensus forecast published by Commerzbank.
Commerzbank is benefiting from higher interest rates and the income that generates. Net interest income rose 9.2% in the first quarter to €2.126 billion, better than expectations for €2.096 billion.
The bank had raised its full-year forecast for net interest income to €8.1 billion from €7.9 billion previously.
Commerzbank, one of Germany's best known banks and partially held by the government after a bailout more than a decade ago, spent much of the past years in a major overhaul, slashing its workforce and branch network to restore profits.
"We got off to a very good start this year. Our goal is to increase profits in 2024," CEO Manfred Knof said.
