RBS slides 5.3% after dimming 2020 outlook

|About: The Royal Bank of Scotland ... (RBS)|By:, SA News Editor

Royal Bank of Scotland (NYSE:RBSfalls 5.3% in premarket trading after warning that it's unlikely to achieve its target return on tangible equity of more than 12% and cost-income ratio of less than 50% in 2020.

Announces interim ordinary dividend of 2 pence and special dividend of 12 pence.

2019 outlook is unchanged; anticipates a further  £1.2B of FX recycling gains in H2 2019 upon transfer of ownership of NWM NV to NWM Plc.

Q2 operating profit before tax of £1.68B increased £1.01B in Q1 and  £613M in Q2 2018.

Q2 net interest margin of 1.78% falls from 1.89% in Q1 and 2.01% in the year-ago quarter.

Q2 return on tangible equity of 15.8% vs. 8.3% in Q1 and 1.1% in Q2 2018.

Previously: The Royal Bank of Scotland reports Q2 results (Aug. 2)

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