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BNP Paribas SA on Wednesday touted the strength of its business model, after seeing both income and revenue rise over the first quarter.
For the three months that ended March 31, the Paris-based bank reported revenue of €12.49 billion, up 1.4% from €11.87 billion a year before.
BNP noted the negative impact of conditions decided by the European Central Bank in the fourth quarter, which it said had lost the group €403 million.
Net income attributable to equity holders more than doubled to €4.44 billion from €1.84 billion a year prior. Operating income rose 7.1% to €4.20 billion from €2.46 billion.
Net income benefited substantially from the sale of Bank of the West, for which the result of discontinued activities brought BNP an additional €2.95 billion in the first quarter.
Distributable net income, which excluded the capital gain on the sale of the Bank of the West, was €2.85 billion in the first quarter.
As at March 31, the bank’s common equity tier 1 ratio stood at 13.6%. The liquidity coverage ratio amounted to 139%, from 129% as at December 31. The group’s immediately available liquidity reserve was €466 billion, equivalent to more than one year of room to manoeuvre compared to market resources.
‘On the strength of its model, diversified in terms of business lines, geographical regions and client franchises, BNP Paribas achieved a very good performance in the first quarter 2023, reflecting the efficiency of its leading platforms, which give it a unique capacity to serve the economy. This performance demonstrates our solidity and commitment to supporting clients over the long term,’ said Chief Executive Officer Jean-Laurent Bonnafe.
BNP Paribas shares were trading 0.3% lower at €56.77 in Paris on Wednesday morning.
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