CGD’s net income up 85% in Q1 to €126 million

Portugal’s state-owned bank Caixa Geral de Depósitos (CGD) reported progress in terms of profitability and asset quality in the first quarter of the year, allowing to resume the payment of dividends.

CGD consolidated net income was up €58 million in the first quarter of the year, in an increase of 85% over March 2018 to €126.1 million, equivalent to return on equity (ROE) of 6.6%.

In a press note, the bank headed by Paulo Macedo also stressed the «maintenance of positive trend in quality of CGD’s assets with a CGD Group NPL (Non-Performing Loans) ratio of 7.8% and impairment and collateral coverage of 103.0%). Cost of credit risk was 0.06% in the first quarter».

As for the performing loan book, excluding public sector, the trend of was of growth in the quarter. There was 58% increase of €165 million in new residential mortgage loans over the same period 2018, informed the public bank.

Original Story:Dinheiro Vivo |Ana Sanlez and Rui Barroso
Photo: CGD site 
Edition & Translation:Prime Yield