Italy's Banco BPM profit jumps on one-offs, improving revenues
MILAN, Aug 6 (Reuters) - Italy's third largest lender, Banco BPM, on Tuesday reported a sharp quarterly rise in net profit for the three months through June helped by capital gains and an improvement in core revenues compared with the start of the year.
Net profit in April-June more than tripled from a year earlier to 443 million euros after Banco BPM reorganised its consumer credit joint-venture with Credit Agricole and set up a bad loan partnership with Elliott-owned Credito Fondiario - pocketing more than 330 million euros from the two deals.
Net interest income -- a measure of how much money a bank makes from its core retail business -- stood at 515 million euros, down from 585 million a year earlier despite a 1.9% quarter-on-quarter rise.
Declining slightly on a yearly basis, net fees were up 4.4% quarter-on-quarter.
The bank said it would focus on its core business in the coming quarters, paying close attention to costs with revenue trends expected to remain broadly unchanged barring any market turbulence.
The bank's Common Equity Tier 1 ratio, a key measure of financial strength, improved to 13.7% in the period from 12.7% at the end of March. (Reporting by Andrea Mandalà, editing by Valentina Za)
