2023-11-03 20:05:30
The new general director of Société Générale, Slawomir Krupa. JOEL SAGET/AFP
Société Générale, like BNP Paribas, saw its retail banking activities heavily affected.
Slawomir Krupa was quickly overtaken by reality. The new general director of Société Générale, who took charge last May, announced a net profit divided by five in the third quarter, to 295 million euros. The French bank is suffering from the impact of rising interest rates on its retail activities, as well as exceptional accounting adjustments that it announced in mid-September (depreciation on the group’s activities in Africa and on equipment financing activities). Its net banking income – the equivalent of turnover for the sector – also fell by 6.2%, to 6.2 billion euros.
This poor performance is mainly explained by the decline in retail banking revenues in France (-16.4% to 1.88 billion euros). This decline reflects the drop in outstanding credits and real estate loans, due to a selective granting policy of the group since mid-2022. The division’s net profit was divided by three…
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