(Reuters) -Dutch international lender ING Groep said on Thursday its second-quarter net profit fell nearly 6% on the year, less than expected and supported by resilient income and lower tax rates.
The group, which serves around 40 million customers, corporate clients and financial institutions, announced net profit of 1.68 billion euros ($1.92 billion) for April-June versus 1.57 billion forecast in a company-compiled consensus.
“The quarter started with heightened market volatility, as well as macroeconomic and geopolitical uncertainty, which still continue to this day,” said CEO Steven van Rijswijk, who added that despite headwinds, the bank continued to diversify its income streams with fees making up nearly 20% of total earnings.
U.S.
President Donald Trump announced plans at the start of the second quarter to ramp up tariffs on imports from other countries, the so-called “Liberation Day”. The news prompted market upheaval and recession fears.
He announced a blitz of new announcements on Wednesday.
Commercial net interest income – a measure of earnings on loans minus deposit costs – were slightly lower compared to a year earlier at 3.77 billion euro, while earnings from fees and commissions rose by more than 12% to 1.12 billion.
The bank also said it now expects fee income at the higher end of its previously indicated 5%-10% range, with total operating expenses expected at the lower end of its 12.5-12.7 billion-euro forecast.
($1 = 0.8747 euros)
(Reporting by Mateusz Rabiega and Jakob Van Calster; Editing by Christopher Cushing)
