- Barclays press release ( NYSE: BCS ): 1H GAAP EPS of £0.148.
- Total income of £13.2B (+16.6% Y/Y).
- Attributable profit was £2.5bn (H121: £3.8bn) and RoTE was 10.1% (H121: 16.1%) having reflected a £0.6bn net of tax impact for the Over-issuance of Securities in the US.
- Common Equity Tier 1 (CET1) ratio of 13.6% (December 2021: 15.1% and March 2022: 13.8%) and tangible net asset value ( TNAV ) per share of 297p (December 2021: 291p and March 2022: 294p)
- Increased capital distributions: total capital return equivalent of c.5.25p per share, including a half year dividend of 2.25p per share. Intend to initiate a further share buyback of up to £0.5bn, which is expected to have a c.15bps CET1 ratio impact.
- Outlook:
- Returns: Barclays continues to target a RoTE of greater than 10% in 2022
- Income: Barclays’ diversified income streams position the Group well for the current economic and market environment and rising interest rates
- Costs: given £1.3bn of litigation and conduct charges in Q222 and the appreciation of average USD against GBP, Barclays now expects FY22 total operating expenses to be around £16.7bn1 versus previous outlook of £15.0bn2
- Impairment: while acknowledging macroeconomic uncertainty, the impairment charge is expected to remain below pre-pandemic levels in coming quarters given reduced unsecured lending balances and existing coverage ratios
- Capital: Barclays continues to target a CET1 ratio within the range of 13-14%
- Capital returns: Barclays' capital distribution policy incorporates a progressive ordinary dividend, supplemented with buybacks as appropriate. Dividends will continue to be paid semi-annually, with the half year dividend expected to represent, under normal circumstances, around one-third of the total dividend for the year.
For further details see:
Barclays GAAP EPS of £0.148, total income of £13.2B