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October 28, 2016updated 04 Apr 2017 12:43pm

RBS reports attributable loss of £469m in Q3

RBS has reported an attributable loss of £469m for the third quarter of 2016, compared to profit of £940m a year earlier.

RBS has reported an attributable loss of £469m for the third quarter of 2016, compared to profit of £940m a year earlier.

The losses were driven by restructuring costs of £469m, litigation and conduct costs of £425m and a £300m deferred tax asset impairment.

The banking group’s quarterly operating profit stood at £255m, compared to an operating loss of £14m in the corresponding year ago quarter.

At the end of September 2016, the bank’s common equity tier 1 (CET1) ratio was 15%, while leverage ratio was 5.6%.

The bank's personal & business banking (PBB) unit includes two reportable segments- UK Personal & Business Banking (UK PBB) and Ulster Bank RoI.

The UK personal & business banking (PBB) arm posted operating profit of £567m for the third quarter of 2016, a rise of 3.2% from £549m in the corresponding period of 2015.

The unit’s net interest income increased 2.8% to £1.08bn from £1.05bn a year earlier, while adjusted expenses reduced by £16m or 2%.

Ulster Bank RoI posted operating profit of €69m for the third quarter of 2016, €74m lower than the prior year.

The division’s net interest income surged 17.7% to €106m from €90 a year earlier, while adjusted operating expenses dropped 10% year-on-year to €138m.

RBS CEO Ross McEwan said: “Our core business results were good with a £1.3bn adjusted operating profit and a 14% return on adjusted equity. This is our best quarter for the core bank since 2014. The core business has now delivered on average over £1bn in adjusted operating profit for the last seven quarters.

“The bottom line loss reflects continued progress in restructuring the business and addressing some of our legacy issues.”

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