French financial services major BNP Paribas today reported a 31.2 per cent rise in the second quarter net profit to 2.1 billion euros, led by strong revenue growth in retail banking and investment solutions business.
The group had a net profit of 1.6 billion euros in the second quarter of 2009, it said in a statement.
BNP Paribas' revenues grew 11.8 per cent to 11.17 billion euros in the second quarter of this year, compared to the year-ago period.
The huge revenue growth in retail banking and investment solutions business units offset fall in revenue incurred by its corporate and investment banking (CIB) unit.
The revaluation of the group's own debt resulted in a revenue of 235 million euros, compared to 237 million euros charge in the second quarter of 2009, the statement added.
BNP Paribas' retail banking division's revenue grew 17 per cent to 5.92 billion euros, while that for the investment solutions segment increased by 15.7 per cent to 1.53 billion euros in the second quarter of this year over the year-ago period.
However, the revenue of its CIB unit dropped 30.3 per cent to 2.68 billion euros.
"Again, this quarter, despite an unfavourable market environment, BNP Paribas confirmed the effectiveness of its diversified, integrated and client-centric business model," BNP Paribas Chief Executive Officer Baudouin Prot said.
"All the operating divisions pursued their business development plans, thereby contributing, with reduced cost of risk, to profit generating capacity. This has enabled the group to maintain high solvency levels and actively finance the economy," Prot added.