CommerzbankAG reported consolidated first-quarter profit attributable toshareholders of €163 million, down from €338 million in the year-ago quarter.
EPS fell to 13 cents from 30 cents.
Operating profit for the first quarter slumped to €273million, compared to €670 million in the prior-year period.
Net interest and trading income fell on a yearly basis to€1.34 billion from €1.99 billion, while net commission income dropped to €821million from €915 million. Net investment income reached €32 million in thefirst quarter, compared to a loss of €128 million in the year-ago period.
Provisions for loan losses amounted to €148 million,compared to €158 million in the first quarter of 2015. Commerzbank did notreport restructuring expenses in the period, having recorded €66 million inexpenses in the same quarter a year ago.
Net ROE reached 2.3%, down on a yearly basis from 5.1%.
The lender's fully phased-in Basel III common equity Tier 1ratio stood at 12.0% at March-end, virtually unchanged from the ratio as ofDec. 31, 2015, and up from 9.5% at the end of March 2015. The Basel IIIleverage ratio stood at 4.5% as of March 31, up from 3.7% a year ago.
Commerzbank said it is further intensifying efforts tomitigate the impact of a negative interest rate environment. The bank expectsits loan loss provisions to rise moderately in the future as a result of lowernet releases.
The bank added that it would be "more challenging"to reach the net profit posted in 2015 given the subdued nature of the firstquarter.