ABN Amro net profit rises in H1

ABN Amro posted a rise of profit in the first half, or H1, of 2015, the Dutch bank announced on Friday.

ABN Amro had an underlying net profit of 1.144 billion euros (1.290 billion U.S. dollars) in the first half of 2015, up 63 percent compared to the 700 million euros in H1 of 2014.

Underlying net profit in the second quarter, or Q2, of 2015 was 600 million euros, registering a rise of 86 percent compared with Q2 2014 (322 million euros).

"Q2 was the most profitable quarter since the new bank was created in 2010," said Gerrit Zalm, Chairman of the Managing Board of ABN Amro Group, in a press release. "Our performance, including our financial results, the outlook for the Dutch economy and the fact that preparations for the bank's IPO are on track give us confidence in the future."

In 2008, the Dutch government nationalized ABN Amro to ensure financial stability, to save the bank and to keep it in the Netherlands. The bank was re-established in its current form in 2010. In May this year the government decided to start the sale of ABN Amro through an IPO beginning in the fourth quarter of 2015.

On Thursday, one of the other major Dutch banks, Rabobank, also posted a rise of net profit, from 1.080 billion euros in the first half of 2014 to 1.522 billion euros in H1 of 2015. According to Rabobank, the economic recovery in the Netherlands contributed to a sharp fall in loan impairment charges, from 1.188 billion euros in H1 last year to 356 million euros (-70 percent) in the first half of this year.

The same development could be seen at ABN Amro, with impairment charges on loans and other receivables going down by 59 percent from 703 million euros in H1 2014 to 287 million euros in H1 this year. (1 euro = 1.13 U.S. dollars) Enditem