EQS-News: Commerzbank Aktiengesellschaft
/ Key word(s): Payout/Annual Results
Commerzbank reached a net result of €2.68 bn in the past financial year. This is an increase of about 20% compared to the previous year’s result (2023: €2.22 bn) and, at the same time, marks a record profit for the Bank. Revenues rose by 6% to €11.11 bn (2023: €10.46 bn), thanks to strong customer business. It was driven by the stronger than forecast growth in net commission income by 7% to €3.64 bn (2023: €3.39 bn). Net interest income remained at a high level of €8.33 bn (2023: €8.37 bn). In the fourth quarter, the Bank also benefited from FX valuation effects of the US dollar on AT1 bonds. Despite the challenging economic environment, the credit portfolio proved robust: the risk result in the 2024 financial year was minus €743 m (2023: minus €618 m). The cost-income ratio further improved to 59% (2023: 61%), remaining below the original target of 60%. The return on equity (RoTE) increased to 9.2% (2023: 7.7%), significantly exceeding the target of at least 8%. Based on the strong results, the Bank plans to propose a dividend of €0.65 per share (previous year: €0.35) to the Annual General Meeting. In addition, Commerzbank’s Board of Managing Directors has approved the implementation of another share buyback with a volume of up to €400 m. The necessary approvals from the German Financial Agency and the European Central Bank have been obtained. The share buyback will start after the reporting for the 2024 financial year and is expected to be completed by the Annual General Meeting in mid-May 2025. This is the second tranche of the third share buyback programme, being part of the capital return for 2024 alongside the dividend payment. The first tranche with a volume of around €600 m was completed in January 2025. In total, the Bank provides a capital return around €1.73 bn to its shareholders for the 2024 financial year. This corresponds to a payout ratio of 71% of the net result after deduction of AT 1 coupons. For the years 2022 to 2024, the capital return amounts to €3.1 bn – more than originally announced. The CET 1 ratio after the capital return is 15.1%. “We have exceeded our capital return promise to our shareholders,” said Commerzbank CEO Bettina Orlopp. “By consistently managing costs and focussing on growth initiatives, we were able to significantly increase the net result for the past financial year. Thanks to increasing profitability and new growth initiatives, we will further enhance capital return in the coming years. Commerzbank is and remains an attractive investment.” Further details on the 2024 financial year and the upgraded strategy will be presented by the Board of Managing Directors on 13 February 2025 in Frankfurt. The figures for the year 2024 presented in this press release are preliminary and unaudited.
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31.01.2025 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group. |
Language: | English |
Company: | Commerzbank Aktiengesellschaft |
Kaiserstraße 16 | |
60311 Frankfurt am Main | |
Germany | |
Phone: | +49 (069) 136 20 |
Fax: | - |
E-mail: | newsroom@commerzbank.com |
Internet: | www.commerzbank.de |
ISIN: | DE000CBK1001 |
WKN: | CBK100 |
Indices: | DAX, CDAX, HDAX, PRIMEALL |
Listed: | Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange |
EQS News ID: | 2079141 |
End of News | EQS News Service |
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2079141 31.01.2025 CET/CEST
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