Credit Suisse profits soar in third quarter
ZURICH - Agence France-Presse
Credit Suisse, Switzerland’s second-biggest lender, said on Nov. 2 that its net profit soared in the third quarter as it makes progress with an ambitious restructuring and cost-cutting program.
Credit Suisse said in a statement that its bottom-line net profit amounted to 244 million Swiss francs (209 million euros, $244 million) in the period from July to September, up from 41 million Swiss francs a year earlier.
Revenues, however, fell by eight percent to 4.972 billion Swiss francs, the bank said.
Credit Suisse has embarked on a massive restructuring program since Tidjane Thiam took over as chief executive in 2015. The group said it has made headway with its program to bring down operational expenditure to below 18.5 billion Swiss francs by the end of the year.
In the July-September period, the bank made additional cost cuts of 400 million Swiss francs, it calculated.
“Our third-quarter results demonstrate the progress we are making,” CEO Thiam said.
But he acknowledged that client activity remains “muted” as “uncertain geopolitical developments, central bank policies and the magnitude and timing of reforms in the US, as well as historically low levels of volatility” have left their mark on business.
“In addition, activity levels in the third quarter of 2016 were unusually strong due to the combination of the effects of Brexit and the U.S. elections,” Thiam added.