MILAN – Italy’s largest bank, UniCredit, says its third-quarter profits dropped by 12 per cent due to a reduction in core revenues amid persistent low interest rates.
UniCredit said Thursday that net profit in the period ending Sept. 30 was 447 million euros ($493 million), compared with 507 million euros in the same period last year. The results take into account the sale of a stake in the internet banking business FinecoBank.
Revenues were up slightly at 5.5 billion euros, with higher trading income, which doubled to 510 million euros, partially offsetting lower net interest income and fees and commissions. Net interest income was down 2.6 per cent 2.9 billion euros, and fees and commissions slipped 2.3 per cent at 1.9 billion euros.
The bank’s new CEO will announce a business plan on Dec. 13.