BPCE slowed down in the third quarter by its retail bank in France

In detail, BPCE achieved a net profit of 925 million euros between July and September, a slight increase of 1%, for a net banking income (NBI), equivalent to turnover for the sector, of 5,9 billion, an increase of 8% over one year.

"The dominant theme of the quarter is the rebound in the group's financial performance," insisted BPCE CEO Nicolas Namias during an exchange with AFP.

In detail, the net result of the Retail Banking and Insurance division is stable over one year, at 785 million euros, for a NBI up by 4,3%, at 3,87 billion euros.

The two retail banking networks have had mixed fortunes: the Caisses d'épargne saw their net profit soar by 11% while that of the Banques Populaires fell by 19% over a year.

The cause is the increase in the cost of risk, i.e. the sums set aside to cover possible unpaid debts on loans granted, which is marked among the "blues" (as opposed to the "reds", the nickname for the Caisses d'épargne).

The sectors of activity most affected are real estate and distribution, particularly textiles and goods related to furniture, detailed Mr. Namias.

The stock of customers has also increased by more than 130.000 in retail banking.

Uncle Sam

The "Global financial services" division, which brings together the so-called "global" businesses from the Natixis bank, posted a net profit of 366 million euros, up 7%, for a NBI close to 2 billion euros (+12%).

The table is completed by a loss recorded in non-businesses that the group did not detail, of 226 million euros.

BPCE also announced the upcoming departure of Natixis CEO Stéphanie Paix, for health reasons.

She will be replaced as of January 1 by the current head of the financing and investment bank, Mohamed Kallala, assisted by the head of asset management activities, Philippe Setbon.

The banking group is also about to take over the financing activities of capital goods for companies of Société Générale, grouped together in SGEF, for 1,1 billion euros.

The largest acquisition in the group's history is expected to be completed in the first quarter of 2025.

This acquisition is part of a strategic plan unveiled at the end of June, with a horizon of 2030.

The net profit target of the previous plan, of at least 5 billion euros for 2024, is far from being reached: BPCE is posting 2,61 billion euros of net profit three-quarters of the way through, from January to September.

With this experience, the bank now promises "around" 5 billion euros in net profit, but this time in 2026.

Asked about Donald Trump's victory in the American presidential election during a press conference, Mr. Namias estimated that the group's activities across the Atlantic would be part of a "growth cycle".

BPCE has a strong presence in the United States through its activities from Natixis, particularly with large companies and in asset management.

"We will have to collectively in Europe be vigilant about the differences in regulations and supervision that could apply" between the two continents, he warned, calling on Europe not to be "naive" on this point.