MNI: PBOC Conducts CNY2 Bln Via OMO Tues; Liquidity Unchanged

CHINA PBOC CONDUCTS CNY2 BILLION VIA 7-DAY REVERSE REPOS TUES

MNI: PBOC Sets Yuan Parity Higher At 7.1310 Tues; -0.50% Y/Y

MNI BOK WATCH: Slowing Inflation Puts Q4 Cut In Sight

CHINA SETS YUAN CENTRAL PARITY AT 7.1310 TUES VS 7.1286

MNI BRIEF: China Must Unblock Domestic Circulation - Wang

Asia Sov Curves Bull-Steepen, Indon To Reduce Bond Issuance

MNI: UK BRC JUN BY VALUE SHOP SALES LFL -0.5% YY, TOTAL -0.2% YY

BRC-KPMG Retail Sales Fell For The First Time (ex Easter Anomaly) Since Jun-22

RPT-MNI: Canada Sticks To Fiscal Anchors, Spends Chunk Of Windfall

MNI BRIEF: Poilievre Calls QE 'Scam' And Would Limit BOC Remit

© 1982-2024 MNI. All rights reserved.
Terms | Privacy
Log Out
Free Trial

Aareal Results: Big US Office Provisions But Little New News

FINANCIALS

Aareal Bank (ARLN GR) posted weak results this morning, including a big provision for US office NPLs (not a total surprise). This is unhelpful but was largely a known event.


  • Key credit metrics: the bank posted EUR510m of credit losses in FY23 (c.100m higher than guidance given at 3Q23 stage), of which EUR360m was against US offices. Non-performers are 3.4% of loans (from similar leve at Jun-23) but this is net of some big new provisioning.
  • Revenues actually look marginally better than expected but a big spike in loan losses meant operating profit was 35% below consensus and net income around half of consensus. .
  • The bank was downgraded a notch (to BBB) by Fitch on 14-Feb (puns welcome) so the asset quality issues are well publicised. Now Aareal is privately-owned (by two US private equity firms) there’s no future guidance in here.
Credit BulletsBulletHomepagemarkets-real-timeCredit
Credit BulletsBulletHomepagemarkets-real-timeCredit

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.