BNP Paribas Shares Slump After Cut to Profit Guidance
By Helena Smolak
BNP Paribas shares dropped after the company cut its 2025 profitability target after fourth-quarter net profit fell on higher costs and missed expectations.
At 0811 GMT Shares of BNP were down 8.04% at EUR57.52.
The French lender said Thursday that it now expects net profit to grow about 8% annually on average between 2022 and 2025, down from its previous target of more than 9%.
The lender also cut its 2025 target for return on tangible equity--a key profitability metric for banks--to between 11.5% and 12% from around 12% previously. The company said it is confident the old target will be achieved in 2026.
Write to Helena Smolak at helena.smolak@wsj.com
(END) Dow Jones Newswires
February 01, 2024 03:35 ET (08:35 GMT)
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