Barclays has announced a significant increase in net profit for the third quarter, totaling £1.6 billion (approximately $2 billion), which represents a 23% rise compared to the previous year and surpasses market expectations. The bank's revenue reached £6.5 billion, slightly exceeding forecasts.
The return on tangible equity improved from 9.9% in the second quarter to 12.3%, and the CET1 ratio, a key solvency measure, rose from 13.6% to 13.8%. Barclays CEO C.S. Venkatakrishnan indicated that the third-quarter performance aligns with the goals set in February.
The CEO highlighted the rising net interest income (NII), particularly noting consecutive quarters of NII growth in their UK business. Consequently, Barclays is enhancing guidance for its UK operations and the bank overall, while maintaining controlled costs.
Looking ahead, Barclays projects that total net interest income for 2024 will exceed £11 billion, surpassing the previous forecast of £11 billion.
After a decline in its stock price in 2023, Barclays shares have surged 55% year-to-date.
