(CercleFinance.com) – ING unveiled Friday a worse than expected net profit for the first quarter, an announcement which was sanctioned by a decline in its title on the Amsterdam Stock Exchange.
The leading Dutch financial services group this morning reported a net profit of 429 million euros for the first three months of the year, compared to a profit of just over a billion euros a year earlier.
For comparison, analysts expected a quarterly profit of 484 million euros.
In its press release, ING explains that the results of its commercial banking activity were affected by a provision of 834 million euros linked to the cost of risk associated with the Russian-Ukrainian conflict.
The group nevertheless stresses that good control of its costs has enabled it to offset the effects of inflation and evokes a “solid” capital position which will allow it to return 1.25 billion euros to its shareholders.
In detail, the banking group has planned to start a share buyback program of 380 million euros, to which will be added the payment of a dividend of 870 million euros.
RBC analysts point out, however, that this total envelope of 1.25 billion euros is lower than the amount of 1.67 billion euros in redistribution hoped for by the consensus.
At 9:30 a.m., the ING stock was down 2%, underperforming an AEX index down 1.2%.
Copyright © 2022 CercleFinance.com. All rights reserved.
Did you like this article ? Share it with your friends with the buttons below.
