ABN Amro Group Posts Q4 Profit

ABN Amro Group NV swung to a profit in the final three months of 2014. ABN Amro posted a net profit of 400 million euros ($455 million) in the fourth quarter, versus a year-ago net loss of EUR47 million. Loan-loss provisions declined 67% to EUR181 million, while net interest income surged 17% to EUR1.62 billion. Retail Banking's underlying profit climbed 49% y/y to EUR 238 million in the quarter, while Private Banking's underlying profit slipped by EUR 12 million to EUR 15 million. Corporate Banking's underlying profit climbed by EUR 248 million to EUR 144 million in the quarter. Operating income gained 16% to EUR 2,145 million. Assets under management rose by EUR 3.1 billion in the quarter to EUR 190.6 billion. At 31 December 2014, total assets rose by EUR 14.8 billion to EUR 386.9 billion, versus EUR 372.0 billion at 31 December 2013. Gerrit Zalm, Chairman of the Managing Board of ABN AMRO Group said, ‘We finished the year 2014 with a strong quarter and made good progress in meeting the financial targets set for 2017. The underlying net profit increased from a loss of EUR 47 million in Q4 2013 to a profit of EUR 400 million, largely due to lower loan impairments and higher revenues. The recovery of the Dutch economy and housing market are reflected in these numbers."