Lloyds Banking Q3 Profit More Than Doubles; Sees Stable Margin In Q4

(RTTNews) - Lloyds Banking Group plc (LLOY.L, LYG) reported Wednesday that its third-quarter profit before tax surged to 1.95 billion pounds from last year's 811 million pounds.

Earnings per share grew to 1.9 pence from 0.2 pence a year ago.

Underlying profit was 2.08 billion pounds, up 9 percent from 1.91 billion pounds last year.

Total income grew 8 percent to 4.62 billion pounds from 4.28 billion pounds a year earlier, driven by organic growth and MBNA. In the quarter, net income increased 8 percent from last year to 4.35 billion pounds.

Net interest income was 3.19 billion pounds, up 12 percent from the prior year. Banking net interest margin improved 21 basis points to 2.90%.

Looking ahead, the company said its capital generation in 2017 is now expected to be between 225 and 240 basis points and will mitigate upward pressure on capital requirements.

Net interest margin is expected to be stable in the fourth quarter and for the year to be around 2.85 percent.

Group Chief Executive António Horta-Osório said, "We have announced improved financial targets for 2017, reflecting the strong financial performance in the year, and we remain on track to deliver our longer term guidance."