Lloyds net profit falls 14% to 1,423 million euros

Lloyds net profit falls 14% to 1,423 million euros

The bank Lloyds Banking Group reported this Wednesday that its net profit in the first quarter of the year stood at 1,204 million pounds (1,423 million euros), a fall of 14% compared to the same period of the previous year. In a statement sent to the London Stock Exchange, the British entity indicated that its profit before taxes fell between January and March by 14% to 1,623 million pounds (1,918 million euros), while net income rose on 12 % up to 4,112 million pounds (4,860 million euros). Loans granted in the period rose 2% to 451,800 million pounds (534,027 million euros), while deposits rose 4% to 481,100 million pounds (568,660 million euros), adds the note.

The loan-deposit ratio stood at 94% as of March 31, compared to 96% in the same period of the previous year. As for solvency, the CET1 capital ratio stood at 14.2% as of March 31, compared to 16.7% in the previous period. The cost-to-income ratio was 52.3% in the first quarter, compared to 57.6% in the same period last year.

The bank’s CEO, Charlie Nunn, said that in the first quarter “we achieved solid financial performance, with strong revenue growth and capital accumulation. These results demonstrate the continued strength of our business model” and stressed that its strategy is to generate “a stronger growth trajectory” and that they can “generate higher capital”.

“While we are seeing a continued recovery from the coronavirus pandemic, the outlook for the UK economy remains uncertain, particularly with regard to the persistence and impact of higher inflation,” added.

“We actively reach out to customers where we think they may need help,” Nunn said.

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