PARIS – French lender Societe Generale SA (GLE.FR) on Thursday reported a drop in first-quarter net profit, hit by persistently low interest rates and a new provision set aside to cover possible legal costs.
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The Paris-based lender, France's third-largest listed bank by assets, said net profit fell 19% to 747 million euros ($816 million) in the three months through March, from EUR924 million a year earlier. That undershot analysts' expectations of EUR776 million, according to data provider FactSet. Revenue was, however, up 5% at EUR6.47 billion.
The French bank this quarter raised its total provision for litigation by EUR350 million to EUR2.4 billion, as it prepares to take on Libya's sovereign wealth fund in London's High court on Thursday. The Libyan Investment Authority alleges the French bank paid $58.5 million in bribes to secure business from the fund. Societe Generale refutes the allegations.
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(END) Dow Jones Newswires
May 04, 2017 01:19 ET (05:19 GMT)