Source AP ©

Bank of China Q3 earnings rise 23 percent

Third-quarter net profit of Bank of China Ltd. jumped 23 percent from a year earlier, thanks to higher net interest income and fee income.

The bank's net profit for the July-September period rose to 15.9 billion yuan (US$2.12 billion; EUR1.47 billion), under international accounting standards, from 13 billion yuan a year earlier, it said in a statement to the Hong Kong stock exchange.

Net interest income for the three months rose to 39.5 billion yuan (US$5.26 billion; EUR3.66 billion) from 32.5 billion yuan, it said in unaudited results, while net fee and commission income more than doubled to 7.2 billion yuan (US$960 million; EUR667 million) from 3.2 billion yuan.

The bank's net profit for the nine months ended Sept. 30 was 45.5 billion yuan (US$6.06 billion; EUR4.21 billion), up from 32.5 billion yuan a year earlier.

Bank of China said it charged an additional impairment allowance of US$322 million (EUR223.75 million) against its exposure to asset-backed securities and collateralized debt obligations supported by subprime mortgages in the U.S. during the third quarter.

The aggregate amount of such allowances was US$473 million (EUR328.68 million) at the end of September, it said.

The lender said the carrying value of its investment in subprime asset-backed securities was about US$7.5 billion (EUR5.21 billion), representing 2.9 percent of its total investment securities. Investment in subprime collateralized debt obligations was about US$496 million (EUR344.66 million), or 0.2 percent of its total investment securities.

Comments
NATO to build prestrike staging base in Georgia
Russia unveils nuclear-powered interstellar spaceship
Russia unveils nuclear-powered interstellar spaceship
Capital outflow from Russia sets new records
Putin prepares bitter and hysterical missile surprise to 'American partners'
Putin prepares bitter and hysterical missile surprise to 'American partners'
Austria will not ruin its friendship with Russia despite spy scandal
The difference between Polish and Ukrainian nationalism is plain to see
Russia unveils nuclear-powered interstellar spaceship
The difference between Polish and Ukrainian nationalism is plain to see
Russia loses nuclear-capable cruise missile in Barents Sea. US intelligence finds it
Russia loses nuclear-capable cruise missile in Barents Sea. US intelligence finds it
Russia loses nuclear-capable cruise missile in Barents Sea. US intelligence finds it
Russia loses nuclear-capable cruise missile in Barents Sea. US intelligence finds it
Capital outflow from Russia sets new records
Russia close to recognising Donetsk and Luhansk republics after Donbass elections
Russia's game in Libya
US midterm elections: Impeachment unlikely, Russophobia getting stronger
Capital outflow from Russia sets new records
Russian PM threatens not to go to World Economic Forum in Davos
Russian PM threatens not to go to World Economic Forum in Davos