French lender Societe Generale has reported a net income of €1.06bn for the second quarter of 2017, a 27% slump compared to €1.46bn in the year ago quarter.
Gross operating income for the period ended 30 June 2017 was €1.03bn, a decrease of 64% from €2.86bn in the corresponding quarter of 2016. Operating expenses rose 1% year-on-year to €4.17bn.
The group’s common equity tier 1 ratio at the end of 30 June 2017 was 11.7%.
The bank’s French retail banking arm posted a net income of €359m for the second quarter of 2017, a fall of 11% from €403m in the same period a year earlier. The division’s gross operating income slides 13% to €663m from €760m in the previous year.
Net income at the bank’s international retail banking & financial services unit stood at €568m, a 30% jump compared to €436m in the previous year. The unit’s gross operating income increased 15% year-on-year to €980m.
Societe Generale CEO Frederic Oudea said: “In a mixed economic and financial environment, Societe Generale posted sound Q2 results, confirming the good commercial and operating performances achieved by the businesses at the beginning of the year and the relevance of its diversified and integrated banking model.
“The group’s revenues were driven in particular by the growth in International Retail Banking & Financial Services, while profitability increased due to cost and risk control. The group also continued to optimise its portfolio of activities with, in particular, the acquisition of 50% of the capital of Antarius and the stock market floatation of ALD.”