Credit Suisse posts 29 pct jump in profit

23rd July 2009, Comments 0 comments

Swiss banking giant Credit Suisse on Thursday said its second quarter earnings rose to CHF 1.571 billion.

Zurich -- Swiss banking giant Credit Suisse on Thursday said its second quarter earnings rose 29 percent to CHF 1.571 billion (USD 1.474 billion, EUR 1.035 billion), adding that it is well-positioned to "perform well" even if the economic environment were to worsen.

The earnings marked a second consecutive quarter of profits made by the bank, as it recovers from a full-year loss of CHF 8.2 billion in 2008.

The bank's chief executive Brady Dougan said the global economic climate is expected to "remain challenging, and uneven business conditions" should persist.

"However, if markets continue to improve we expect to see further momentum across our businesses, and if markets become more difficult we believe that Credit Suisse is positioned to perform well," he added.

The bank has been hurt by the financial crisis and said in December it would cut 5,300 jobs in an attempt to cut costs.

However, it ended a losing streak in 2009 and even its investment bank unit, which was blamed for acquiring massive losses during the financial crisis, has been profitable for two consecutive quarters.

In the second quarter, the investment bank's profit before taxes reached CHF 1.655 billion, up 444 percent against the same period in 2008.

Its asset management group meanwhile turned profitable in the second quarter, with an income of CHF 55 million.

Renato Fassbind, the group's chief financial officer, told journalists in a conference call that the positive momentum overall "has continued so far in July."

AFP / Expatica

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