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Poland’s Bank Pekao Q2 net profit beats expectations

Bank Pekao SA, Poland

Bank Pekao SA, Poland’s No.2 lender, posted a 12 per cent rise year-on-year in second-quarter net profit, beating analysts’ forecasts thanks to proceeds related to the sale of Visa Europe and higher than expected fee income.

“Generally speaking it is all about the Visa effect, but also the net fee income was better than expected,” said Michal Sobolewski, an analyst with DM BOS brokerage.

Credit and debit card company Visa Inc completed its acquisition of Visa Europe, a cooperative of European banks, in June in a deal initially valued at as much as $23.3 billion (£17.50 billion). In the second quarter, Pekao received 44 million euros (£37.05 million) from the deal as well as Visa shares.

Sobolewski said the main influence on Pekao’s future, however, would be whether UniCredit decides to sell the business.

Paul

The author Paul