Lights
illuminate the buildings of the banking district in Frankfurt, Germany,
early Wednesday, July 29, 2020. (AP Photo/Michael Probst)
FRANKFURT,
Germany (AP) — Deutsche bank reported a small net profit of 61 million
euros ($71 million) in the second quarter as cost-cutting and revenue
growth outweighed increased loan losses due to the virus outbreak.
The gain compared
with a loss of 3.1 billion euros in the year-earlier quarter, when the
bank had large expenses related to its ongoing restructuring.
The
bank based in Frankfurt, Germany, said Wednesday it had cut its cost
base by 10% to 4.8 billion euros as it presses ahead with a drawn-out
transformation aimed at improving profitability by reducing costs and
riskier investments and activities.
The bank said that
set-asides for loans that aren’t being repaid rose to 761 million euros
in the quarter, from 161 million euros in the same quarter a year ago.
Revenues rose 1 percent to 6.29 billion euros.
Chief
Financial Officer James von Moltke said that the bank is “fully on
track” with a restructuring that is shedding employees and reducing
costs.