Lloyds Banking profit jumps to 5.3 billion pounds

Thrugelmir

Best results since 2006. Finally clear of the burden of acquiring HBOS.

LONDON (Reuters) - Lloyds Banking Group (LLOY.L) reported its highest pre-tax profit since 2006 on Wednesday and announced a share buy-back of up to one billion pounds and 3 billion pounds of strategic investment over the next three years.


The 24 percent rise in profit to 5.3 billion pounds beat last year’s 4.2 billion but fell short of the 5.73 billion expected by analysts in a poll provided by the bank.

Chief Executive Antonio Horta-Osorio said 2017 had been a “landmark year” for the group, which returned to full private ownership for the first time since 2008, when it was the subject of a bailout by taxpayers worth some 20.5 billion pounds.

“Our management team’s discipline and rigorous execution has enabled us to deliver superior profits and returns, ahead of our peers,” he said in a presentation to journalists.

Lloyds shares opened up 2.5 percent but lost ground as investors digested the slightly weaker-than-expected performance and news that Lloyds had taken a charge of 600 million pounds to compensate customers mis-sold payment protection insurance (PPI) as part of Britain’s costliest financial scandal.

https://uk.reuters.com/article/uk-lloyds-results/lloyds-banking-profit-jumps-to-5-3-billion-pounds-but-misses-estimates-idUKKCN1G50MT