ABN AMRO reports summary of the first quarter 2007 results
ABN AMRO reports summary of the first quarter 2007 results: Strong improvement in operating result leads to a 30% increase in EPS from continuing operations to 65 euro cents.
In light of recent developments and in order to be fully transparent, ABN AMRO has decided to provide an update of its first-quarter results ahead of the scheduled publication on 26 April 2007. We will report a full analysis of the first quarter results on 26 April 2007.
Net operating profit first quarter of 2007 up 25.5% compared with the first quarter of 2006.
- Operating income increased 10.5% driven by strong revenue increases across all regions, supported by a very good performance of Global Markets
- Operating result up 20.8% on the back of strong revenue growth and good cost control
- Efficiency ratio improvement of 2.8 percentage points to 66.6%
- Profit for the period up 29.0%, including a EUR 97 mln gain on the sale of the US mortgage business and EUR 17 mln of results from the operations of the US mortgage business, booked in results from discontinued operations
- BU Europe's profit for the period increased from EUR 18 mln to EUR 131 mln due to a strong improvement in the operating result
- EPS from continuing operations improved 30% to 65 euro cents
Net operating profit first quarter of 2007 up 24.6% compared with fourth quarter of 2006
- Operating income increased 1.6%
- Operating expenses down 4.0%, showing the results of cost control measures taken in second half of 2006
- Efficiency ratio improved with 3.9 percentage points to 66.6%
- Effective tax rate of continuing operations was 22.6% compared with 20.0% in the previous quarter
Chairman's statement
"Our focus on growth, efficiency and acceleration has led to a significantly improved operating performance of EUR 2 bln. The increase in operating result reflects a strong contribution to revenues from our growth engines in Brazil, Italy and Asia, combined with the acceleration of our cost control initiatives. The resulting EPS of 65 euro cents from continuing operations means that we are well on our way to beating the 2007 EPS target of EUR 2.30 (excluding major disposals and restructuring charges)."
Source: ABN AMRO
Date: 16.04.2007 [ID: 15]