Barclays shares plunge 10% as profit falls | CNN Business

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Shares of Barclays tumbled nearly 10% Wednesday after the British bank reported a sharp drop in profit

Barclays\n \n reported a net profit of £5.97 billion for 2022, a 15% decline on the previous year. Shares were down 9.8% in late morning trade in London, before paring losses in the afternoon. The bank said its earnings were affected by a £1.2 billion credit impairment charge — money set aside to cover expected losses on loans — “reflecting macroeconomic deterioration.” Operating costs jumped 14% to £16.

‘Bitterly disappointed the market’ “Barclays has bitterly disappointed the market with its full-year numbers,” Sophie Lund-Yates, lead equity analyst at asset manager Hargreaves Lansdown, said in a note. “Profits have been stunted partly because of a big increase in litigation costs relating to the over-issuance of US securities.” Income at the company’s corporate and investment bank increased 8% on the previous year to £13.4 billion .

 

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