Commerzbank reported a full-year 2024 net result of €2.68 billion on Thursday, up 20% year-on-year, as the Frankfurt-based lender faced uncertainty over UniCredit's interest in a potential acquisition.
The operating result for the year reached €3.84 billion, underpinned by net interest income of €8.33 billion. The CET1 capital ratio stood at 15.1% at year-end, according to a press release published on the bank's website on Thursday.
SHAREHOLDER RETURNS
Management proposed a dividend of €0.65 per share for the 2024 financial year alongside an additional €400 million share buyback programme.
UNICREDIT STAKE
UniCredit had built a stake of approximately 28% in Commerzbank. The Italian bank, led by Chief Executive Andrea Orcel, had publicly indicated its interest in exploring a combination with Commerzbank but had not at the time of this announcement made a formal takeover offer. The German government, which still held a stake of about 12% dating back to the 2008 financial crisis, has expressed reservations about a foreign takeover of one of Germany's systemically important lenders.
Commerzbank's management set out a standalone strategy alongside the results, including about 3,900 job cuts, aimed at raising returns and heading off UniCredit's approach.
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