BNP Paribas Records Revenue Growth Despite Dip in Net Profit

BNP Paribas, the French lender, reported a decrease in net profit for the third quarter, despite exceeding analysts' expectations in terms of revenue growth. The bank announced a quarterly net profit of €2.66 billion ($2.81 billion), compared to €2.77 billion in the same period last year. However, revenue saw a positive growth of 4%, reaching €11.58 billion.

Analysts polled by FactSet had anticipated a net profit of €2.72 billion and a net revenue of €11.55 billion, making BNP Paribas' performance slightly better than predicted.

Operating expenses for the bank increased by 3.4% to €7.09 billion during the period. BNP Paribas also experienced a decline in after-tax exceptional and extraordinary items, recording €153 million compared to €257 million in the previous year.

In terms of divisions, the commercial, personal-banking, and services business of BNP Paribas witnessed a 6.1% increase in revenue compared to the previous year, driven by growth in commercial and personal banking as well as a 12% rise in net interest income. On the other hand, the company's corporate and institutional banking unit saw a 3% growth in revenue, primarily due to the success of global banking and securities services. However, the investment and protection services revenue declined by 2.6% during the quarter.

Overall, while BNP Paribas faced a decline in net profit, the bank showcased strong revenue growth across various sectors.