Info Making Money

French bank Credit Agricole, profits above expectations in the second quarter

This entry was posted on Thursday, August 27th, 2009 at 11:05 and is filed under Currency, Finance, Money. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Credit Agricole SA, the third French bank by market value, reported a considerable increase in profit, recorded in the second quarter of 2009.

Bank exceeded analysts’ estimates, announces NewsIn. In the second quarter of the year net profit amounted to 201 million euro (286 million U.S. dollars), compared with 76 million, as recorded in the same period of 2008.

So, the earnings exceeded analysts’ estimates that expected a result of 122 million euro. At the same time, reserves have increased more than three times in the second quarter, to 1.13 billion euro, compared to same period of 2008.

Crédit Agricole has reduced losses from investment banking division in the second quarter to 87 million, well below the 855 million announced in the second quarter of 2008.

A year ago, executive chief of the bank, George Pauget, promised that he would reduce funding allocated to this division and that will eliminate 500 positions.

In addition, he said that will mitigate the bank’s riskier operations, on derivatives market. However, losses of Emporiki Bank, division of Credit Greece Agriculture, have affected the results of the French group.