Commerzbank Profit Rises Amid UniCredit Takeover Pressure

Commerzbank reported a nearly 12% rise in first-quarter net profit to €834 million, surpassing analysts’ expectations and outperforming forecasts for a decline amid takeover pressure from Italy’s UniCredit. The strong earnings were attributed to higher commission income and lower provisions for bad loans, which compensated for a slight dip in net interest income. The bank reiterated its annual targets and announced plans to reduce reliance on net interest income as rates fall, while maintaining its strategy for capital returns. The robust results precede a key shareholder meeting where management will seek investor backing for Commerzbank’s continued independence.