Key points:
- Barclays reported Q3 results Wednesday
- The bank's earnings rose
- Barclays shares are down over 1%
Barclays (LON: BARC) reported its third-quarter results on Wednesday, which saw an unexpected rise in earnings following strong trading revenues.
The banking firm posted a group income of £6.4 billion in its third quarter after solid client activity in the markets, which offset the impact of a reduced fee pool in investment banking.
In addition, Barclays reported an attributable profit of £1.5 billion, increasing from £1.4 billion in the prior-year quarter.
However, group expenses increased 18% year-on-year to £4.1 billion, mainly driven by the appreciation of the USD against the GBP, the impact of inflation and investment in the business.
Also Read: How to Buy Barclays Shares
“We delivered another quarter of strong returns, and achieved income growth in each of our three businesses1, with a 17% increase in Group income to £6.4bn,” commented C. S. Venkatakrishnan, Group Chief Executive.
“Our performance in FICC was particularly strong and we continued to build momentum in our consumer businesses in the UK and US.”
Barclays' outlook remains robust, with the company stating that its diversified income streams position the group well for the current economic climate.
The group is targeting a RoTE of greater than 10% in 2022. Meanwhile, FY22 operating expenses are expected to align with its prior guidance of £16.7 billion.
Barclays shares are currently trading down 1.6% and have fallen 23% this year.
