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Barclays PLC on Friday reported a 4.5% rise in pretax for the first nine months of the year, despite booking extra PPI costs following a late surge in claims ahead of the August deadline.
The British bank BARC, +0.37% BCS, -0.70% booked a 1.4 billion pound ($1.8 billion) provision for expected payment protection insurance costs, in line with previous guidance of GBP1.2 billion to GBP1.6 billion given in September.
The U.K. lender made a pretax profit for the nine months of GBP3.26 billion compared with GBP3.12 billion for the comparable period.
The London-listed bank’s net profit rose to GBP1.78 billion from GBP1.61 billion a year earlier.
Total income for the nine months increased to GBP16.33 billion compared with GBP16.06 billion in the year-earlier period.
Barclays’ corporate-and-investment bank generated total income of GBP7.92 billion for the nine months compared with GBP7.61 billion for the year-earlier period, and a pretax profit of GBP2.6 billion, up from GBP2.51 billion.
Barclays ended the third quarter with a common equity Tier 1 ratio–a key measure of balance-sheet strength– of 13.4%, up from 13.2% at the end of 2018.
The bank said it remains on track to achieve its return on tangible equity targets of greater than 9% in 2019, and 10% in 2020. The bank generated a RoTE of 9.7%, excluding litigation-and-conduct charges, after reaching 9.3% in the latest quarter.
