France's BNP Paribas posts a 19.2% rise in first-quarter net profit

FRENCH lender BNP Paribas on Tuesday posted a 19.2 per cent rise in net income in the first quarter, helped by a sharp increase in trading activities and said it kept 2025 targets amid Russia’s Feb 24 invasion of Ukraine and a worsening economic growth outlook.

France’s biggest listed bank said in a statement net profit reached 2.1 billion euros (S$3.1 billion) in the quarter from 1.8 billion a year ago, with revenue up by 11.7 per cent and charges for bad loans down by 49.1 per cent.

Revenue in fixed-income, currency and commodities trading rose by 47.9 per cent, while equity trading revenue soared 60.9 per cent.

BNP Paribas also confirmed all its financial targets set for 2025.

The lender had said in February it would return 60 per cent of net income to investors through 2025 compared to 50 per cent previously and targeted a return on tangible equity — a key measure of profitability — of more than 11 per cent in 4 years’ time, from 10 per cent last year.

Shares in BNP Paribas have lost nearly 20 per cent so far since the beginning of the year after a 41 per cent gain in 2021. REUTERS