Deutsche Bank AG ( (DB) ) has released its Q4 earnings. Here is a breakdown of the information Deutsche Bank AG presented to its investors.
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Deutsche Bank AG is a leading financial institution in Germany, offering retail and private banking, corporate and transaction banking, lending, asset and wealth management, and investment banking services globally. In its latest earnings report, Deutsche Bank announced a profit before tax of €5.3 billion for 2024, marking a 7% decline from the previous year. Despite this, the bank achieved a 4% revenue increase to €30.1 billion, aligning with its guidance.
The report highlights a challenging year impacted by specific litigation costs, which significantly affected noninterest expenses, increasing them by 6% to €23.0 billion. Adjusted costs, however, showed a slight decrease by 1% to €20.4 billion. The bank’s Asset Management division surpassed €1 trillion in assets under management for the first time, and the Investment Bank saw a 15% revenue growth driven by its Fixed Income & Currencies operations.
Key strategic moves include reinforcing its Global Hausbank strategy, aiming for operational efficiency, and enhancing capital efficiency with a cumulative RWA equivalent benefit of €24 billion. Deutsche Bank also plans further capital distributions totaling €2.1 billion in 2025, reflecting strong capital generation and a CET1 capital ratio of 13.8% at year-end 2024.
Looking forward, Deutsche Bank remains optimistic about achieving a return on tangible equity target of over 10% in 2025. The bank expects to maintain its revenue growth trajectory, reduce noninterest expenses, and enhance shareholder returns through strategic capital distributions.
