ROME: Credit Agricole SA posted a 2.6 percent increase in first-quarter profit on higher earnings from investment banking and asset management.
Net income rose to 784 million euros ($878 million) from 764 million euros a year earlier, said the bank, based outside Paris. Earnings surpassed the 759 million-euro average estimate of five analysts surveyed by Bloomberg.
The quarter marked a rebound in trading as volatility increased and stock markets soared, while French consumer banking continued to weigh on profit. Earnings jumped 11 percent at Credit Agricole’s money management and insurance unit, and by more than 20 percent at the corporate and investment bank.
“These results confirm our good momentum,” said Chief Executive Officer Jean-Paul Chifflet, who steps down this month after five years in charge, to be replaced by Philippe Brassac.
Credit Agricole rose 0.3 percent to 13.58 euros by 9:10 a.m. in Paris trading. The shares are up 26 percent this year, outpacing the 12 percent gain in the Euro Stoxx Banks Index in the same period.
Profit from the French consumer-banking unit LCL fell 11 percent to 126 million euros, hurt by record-low interest rates. The earnings contribution from the French regional branch networks increased 1.7 percent to 363 million euros.
