NatWest Group PLC, through its subsidiary NatWest Markets Group, has released its interim results for the first half of 2024. The company continued to support customers in navigating their financing and risk solutions requirements in a period of high interest rates and uncertain geopolitical outlook. NWM Group reported a profit of £83 million, a significant improvement from the loss of £148 million in the same period last year. Total income increased by £220 million to £650 million, driven by a stronger performance across the product suite, particularly in Capital Markets and Fixed Income.
Operating expenses increased by £58 million to £592 million, primarily due to higher litigation and conduct costs and other operating expenses. NWM Group's total assets and liabilities decreased to £174.3 billion and £168.0 billion respectively at 30 June 2024, compared with 31 December 2023, mainly driven by lower derivative fair values and higher funded assets including cash and balances at central banks.
The company's Common Equity Tier 1 (CET1) ratio was 18.7% at 30 June 2024, compared with 17.1% at 31 December 2023, driven by the decrease in risk-weighted assets (RWAs) and reserve movements. NWM Plc's leverage ratio at 30 June 2024 was 5.2%, up from 5.0% at 31 December 2023. The liquidity portfolio at 30 June 2024 was £18.5 billion with a liquidity coverage ratio (LCR) of 173%.
NatWest Group has been actively involved in climate and sustainable funding and financing, delivering £41.3 billion towards its target of £100 billion between 1 July 2021 and the end of 2025. The company uses its climate and sustainable funding and financing inclusion (CSFFI) criteria to determine the assets, activities, and companies that are eligible to be counted towards its climate and sustainable funding and financing target.
The company retains the Outlook guidance provided in the NatWest Markets Plc 2023 Annual Report and Accounts. These statements constitute forward-looking statements and are subject to change.