Royal Bank of Scotland unexpectedly posted a second-quarter profit as the British government prepares to reduce its stake in the lender, even as it set aside more money for litigation and restructuring.
Bloomberg News reports that net income was $457m, up from $358.9m in the year-earlier period, RBS said in a statement on Thursday. Analysts had expected a loss of $404m in the period, according to the average estimate of 10 in a company survey.
CEO Ross McEwan is selling assets and cutting thousands of jobs to return the bank to annual profit ahead of the U.K. government’s plans to sell $39bn of its RBS shares within five years. The bank took a $1.7bn restructuring charge in the second quarter and $716.1m for conduct and litigation.
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