Stock exchange view: higher profit expected at KBC

Stock exchange view: higher profit expected at KBC
Stock exchange view: higher profit expected at KBC

(ABM FN) KBC has booked more profit in the third quarter of 2023. This is what analysts expect who contributed to the consensus that the bank itself compiled.

The consensus forecasts a net profit of 820 million euros for the period from July to September, compared to 776 million a year earlier. And analysts expect earnings per share to reach 1.96 euros, compared to 1.83 euros in the same period of 2022.

Net interest income was expected to amount to 1.39 billion euros, compared to just under 1.3 billion euros a year earlier and just over 1.4 billion euros in the second quarter of this year.

The consensus assumes a CET1 ratio, an indicator of the financial strength of banks, of 14.6 percent, compared to 15.0 percent in the third quarter of 2022.

In anticipation of the publication of the bancassurer’s results, Deutsche Bank recently withdrew its buy recommendation for KBC shares.

Since the publication of the second quarter figures, the share has lagged the broader European banking index by 20 percent, Deutsche Bank wrote on October 20.

The issuance of a government bond by the Belgian state has led to an outflow of 5.7 billion euros in savings deposits at KBC, the German bank’s analysts saw.

A new bank tax in Belgium is also putting pressure on the share, according to Deutsche Bank. This could cost KBC approximately 40 million euros per year.

The analysts expect that KBC will have to lower the outlook for net interest income for this year from 5.6 billion to 5.5 billion euros in the upcoming quarterly figures.

Source: ABM Financial News

ABM Financial News is a supplier of stock market news, video and data, both for real-time trading platforms and dealing rooms and for online and offline media publications. The information in this article is not intended as professional investment advice or as a recommendation to make certain investments.

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The article is in Dutch

Tags: Stock exchange view higher profit expected KBC


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