French lender BNP Paribas reported a 9.1% YoY growth in net income to €3.2bn ($3.3bn) in Q2. Total revenues came in at €12.8bn ($13.1bn), up 8.5% YoY. Revenue and net income beats analyst expectations of €12.2bn ($12.5bn) and €2.7bn ($2.8bn) respectively. BNP’s revenue in fixed-income, currency and commodities trading (FICC) increased by 14.8% YoY to €1.3bn ($1.3bn) while equity trading revenues also rose 16.1% to €878mn ($898mn). Revenues from its Corporate & Institutional Banking, Commercial, Personal Banking & Services and Investment & Protection Services segments gained 10.6%, 11.1% and 2.2% respectively. Provisions declined 3% YoY to €789mn ($808mn), which included a €511mn ($523mn) ex-ante provision of expected losses in relation to the indirect effects of the invasion of Ukraine, higher inflation and interest rates. CEO Jean-Laurent Bonnafé said, “With a reinforced profitability and a ROTE of more than 12%, BNP Paribas’ results are solid and reflect its ability to mobilise more than ever all its resources and business lines to support individuals, corporates and institutionals in all phases of the economic cycle.” The bank’s CET1 ratio stood at 12.2%, down 20bp QoQ.

BNP’s dollar bonds were trading higher with its 7% Perp up 0.24 points to 100.56, yielding 6.88%.

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