NatWest Group PLC's subsidiary, NatWest Markets N.V., has released its interim results for the half-year ended 30 June 2024. The company has continued to support customers in navigating their financing and risk solutions requirements in the prevailing high-interest rate market and geopolitical outlook. They have also made significant progress in climate and sustainable funding and financing, delivering €25.6 billion towards the NatWest Group's target of £100 billion between 1 July 2021 and the end of 2025.
In terms of board updates, there have been changes in key positions, including the stepping down of the Chief Risk Officer and Managing Board member, Marije Elkenbracht, and the appointment of a new Chairman and Managing Board member and Chief Operating Officer.
Financially, the company reported a profit for the period of €64 million, compared to €61 million in H1 2023. This increase was mainly due to higher net interest income, partially offset by a decrease in non-interest income and an increase in operating expenses. Net interest income was €67 million, driven by higher interest rates and changes in the lending portfolio and funding book. Non-interest income decreased to €91 million, primarily due to changes in net fees and commissions and income from trading activities.
Operating expenses were €89 million, with increases in staff costs, premises and equipment costs, and administrative expenses. Impairments were a release of €2 million, and the tax charge was €7 million. Total assets and total liabilities both increased to €32.1 billion and €30.1 billion, respectively, as at 30 June 2024.
The company also provided a breakdown of changes in various financial aspects, including cash and balances at central banks, trading assets, derivative assets and liabilities, amounts due from holding company and fellow subsidiaries, and customer deposits.
The outlook for the Common Equity Tier 1 (CET1) ratio and leverage ratio remains in line with the NatWest Markets N.V. 2023 Annual Report and Accounts. The targets, expectations, and trends discussed are subject to change and are detailed in the Risk Factors section of the NatWest Markets N.V. 2023 Annual Report and Accounts and the Summary Risk Factors for H1 2024.