Today, HVB Group presents its interim report at June 30, 2005. Overall, HVB Group recorded good financial performance in the second quarter 2005, despite unfavorable conditions in the capital markets.
A particularly pleasing aspect was the increase in the two most important revenue components: net interest income increased noticeably compared to the first quarter (+6.3% to 1,493 million), and net commission income slightly exceeded even the high level recorded in the first three months (+0,9% to 764 million).
Administrative expenses edged up only slightly; loan-loss provisions recorded a very stable trend. The decline in the operating profit is thus virtually exclusively attributable to the lower trading result compared to the first quarter.
Compared to its ambitious guidance for full-year 2005, HVB Group was on track at the mid-year mark. In a difficult macroeconomic environment, it succeeded in boosting its operating profit, pretax and net profit very significantly on a year-on-year basis.
Dieter Rampl, Board Spokesman of HVB Group, comments: "Despite a still sluggish economy, we are fully on track in our key income components. All in all, I am very confident after the first six months of the present fiscal year that we will realize our envisaged annual target."
Source: HVB Group