C Suisse chief still faces pressure after ending 6 months of losses

Tidjane Thiam

Credit Suisse CEO Tidjane Thiam ended six months of losses last quarter. That wasn’t enough to convince investors his turnaround is on track.

Bloomberg News reports that the CEO signaled on Thursday that Credit Suisse is on course to cut $1.7bn in costs and 6,000 jobs this year as part of his wider overhaul that runs through 2018. Yet he declined to comment on whether the bank will post a full-year profit, and said many “uncertainties” cloud the horizon. 

“A quarter remains a quarter,” said Peter Casanova, an analyst at Kepler Cheuvreux in Zurich, with a hold recommendation on the shares. “Credit Suisse is not yet out of its ‘mid-life crisis’ - it has to conclude its transition phase.”

Since taking over a year ago, Thiam, 53, has struggled to stem a slide in shares that eroded about 56% of the company’s market value. Like his counterpart at Deutsche Bank, John Cryan, Thiam is trying to overhaul the bank at a time when rising capital requirements, slumping client activity and record-low interest rates are eating into profitability. Credit Suisse posted a full-year loss in 2015.

To access the complete Bloomberg News article hit the link below:

Thiam Facing Investor Doubts Even as Credit Suisse Posts Profit

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