The Private Bank segment of Deutsche Bank reported a pre-tax profit of €92m for the third quarter (Q3) of 2019, a 22% slump from €117m a year earlier.
Total net revenues were €2.05bn in the July-September quarter, down 3% from €2.11bn in the corresponding quarter of 2018.
Go deeper with GlobalData
Revenues in Private Bank Germany dipped 5% to €1.28bn from €1.35bn. This was said to be the result of “interest rate headwinds”.
However, revenues in Private Bank International rose 5% to €358m from €341m.
Total noninterest expenses dropped 1% to €1.91bn on a year-on-year basis.
Asset Management
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataProfit before tax in Asset Management plunged 27% over the period to €105m from €144m.
Total net revenues at the unit decreased 4% to €543m from €567m, while total noninterest expenses increased 3% year-on-year to €404m.
Assets under management (AuM) increased to €754bn at the end of September 2019, the highest level since 2015.
At the end of September 2018, AuM totalled €694bn. The growth was supported by €6bn in net inflows.
Restructuring hits group performance
The banking group posted a net loss of €832m in Q3 2019, versus a profit of €229m a year ago.
The results in Q3 2019 were affected by a massive overhaul, which included 18,000 layoffs and pulling the plug on the global equities business.
Total net revenues dropped 15% to €5.26bn from €6.17bn.
The group’s common equity tier 1 ratio was 13.4% at the end of September 2019, compared to 14% a year earlier.
Deustche Bank CEO Christian Sewing said: “Despite having launched the most comprehensive restructuring of our bank in two decades, we delivered profits in our four core businesses during the quarter and grew loans and assets under management.
“Transformation is fully underway with tangible progress on costs and de-risking. A 13.4% CET1 ratio underlines our strength. I want to thank our employees for their strong performance and commitment during this period of change, and our clients for the strong vote of confidence in our new strategy.”
