Barclays third-quarter profits jump but trading arm struggles

Barclays Canary Wharf

Profits at Barclays bank rose to £1.1bn but a weak trading performance in its investment bank held back the group, according to third-quarter results released today.

The figures

Profits before tax in the third quarter rose to £1.1bn, up from £659m in the second quarter and £837m in the third quarter of 2016.

Attributable profits rose to £583m, up from £414m in the third quarter of 2016.

Net interest income fell by £320m year-on-year to fall below £2.5bn, while net fee, commission and other income was flat year-on-year at £2.7bn.

Impairments fell year-on-year for the quarter to £709m.

Operating expenses fell to £3.4bn, down from £4.3bn in the same period last year.

What Barclays said

Jes Staley, group chief executive, said: "The third quarter of 2017 was particularly significant for Barclays as it was the first for many years in which we have not been in some state of restructuring.

"Having closed the non-core unit, and sold our controlling interest in Barclays Africa in June, we now have the end state Transatlantic Consumer and Wholesale Bank – in Barclays UK and Barclays International – which we set out to build in March of 2016.

"The third quarter was clearly a difficult one for our markets business within BI. A lack of volume and volatility in FICC [fixed income, currencies and commodities] hit markets revenues hard across the industry, and we were no exception to this trend."

Full story: Barclays third-quarter profits jump but trading arm struggles: City A.M.

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