Deutsche Bank posts 29% drop in Q2 net profitJuly 29, 2014 - 13:19 AMT PanARMENIAN.Net - Deutsche Bank AG posted a 29 percent drop in second-quarter net profit Tuesday, hit by what it described as higher taxes, declining revenue and political instability affecting the markets, the Associated Press reports. Germany's largest bank said its net profit in the April-June period fell to 238 million euros ($320 million), down from 335 million euros in the comparable period in 2013. In its financial statement, the Frankfurt-based bank said the results came from 7.86 billion euros in quarterly revenue, a 4 percent decline from 8.215 billion euros from a year ago. Despite the drop in profit, co-chief executives Juergen Fitschen and Anshu Jain described the quarter as having a "strong underlying performance" with pre-tax profits up 16 percent from a year ago and core businesses such as corporate banking and securities delivering strong revenues and growing profits. "Nonetheless, our environment is complex. The world's economies are growing at different speeds, and this may cause differences in the pace at which interest rates normalize, creating opportunities," they said in a joint statement. "However, emerging geopolitical events in Ukraine and the Middle East may impact financial markets and our clients, and we continue to adapt to a fast changing regulatory framework." The bank said that quarterly adjustments and non-tax deductible expenses caused it to pay a 73 percent tax ratio for the quarter, up from a 50 percent ratio in the comparable period last year. A year ago, the bank's second-quarter net profit also fell significantly — by half — because of lawsuit expenses and higher taxes. Deutsche Bank had been facing a number of legal challenges, including lawsuits related to U.S. mortgage bonds and a scandal over rigging of a key interest rate benchmark by several banks. Related links: Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Russia clarifying reports on Baku’s alleged arms supply to Ukraine Russia says is carefully working to verify reports about alleged arms supplies from Azerbaijan to Ukraine Russia warns Armenia against “falling into West’s trap” Zakharova maintained, however, that anything that will benefit the people of Armenia can only be welcomed. CSTO: Armenia has not participated in secretariat’s work recently Recently Armenia has not participated in the work of the secretariat of the CSTO, Imangali Tasmagambetov said. Meeting with U.S., EU not against third parties, says Armenia The meeting scheduled for April 5 is dedicated to strengthening of the Armenia-EU-US cooperation, Yerevan added. |