Deutsche Bank, the first private bank in Germany, obtained in 2022 a net attributable profit of 5,025 million euros, 159% more than in 2021 and the highest result for fifteen years, despite the increase in provisions and positive tax effects.
Deutsche Bank reported on Thursday that last year it had net income of 27,210 million euros, 7% higher.
It also increased provisions for non-performing loans in 2022 to €1,226 million (+138%).
Deutsche Bank has a top-quality Common Equity Tier 1 (CET 1) ratio of 13.4% (13.2% a year earlier).
It obtained a profit before taxes of 5,594 million euros, an increase of 65% over the previous year, also the highest for fifteen years.
“Over the past three and a half years we have successfully transformed Deutsche Bank,” Chief Executive Christian Sewing said in presenting the balance sheet.
Deutsche Bank has become more profitable, more balanced and more efficient by focusing on the strongest businesses, according to Sewing.
They are therefore well prepared to provide sustainable growth and shareholder returns in the coming years.
Non-interest expense fell last year to €20.400 billion (-5%).
The efficiency ratio, which relates costs to revenue, decreased to 75% (85% in 2021).
Deutsche Bank obtained a positive tax effect of 1,400 million euros (274 million euros in 2021) due to the valuation adjustment of deferred tax assets due to the good result in the US.
After having returned to remunerating its shareholders for the 2021 financial year, Deutsche Bank’s management will propose at the general meeting of shareholders a dividend of 0.30 euros per share for the year 2022 (+50% compared to the previous year).
Deutsche Bank confirmed its financial and capital targets for 2025 when it forecasts a CET1 ratio of 13%, an efficiency ratio below 62.5% and revenue growth of between 3.5% and 4.5% compared to 2021.