BNP Cost Controls Lead to Second Quarter Earnings Beat

The transcript discusses the financial performance of BNP Paribas, focusing on loan loss provisions, fixed income revenues, and the performance of the Corporate and Institutional Banking (CIB) division. Loan loss provisions are lower than expected, indicating strong client adaptation to economic conditions. However, fixed income revenues have declined, with BNP Paribas performing worse than the market average. Despite this, the CIB division shows a 5% increase in the bottom line, with stable top-line performance and growth in global banking.

What was the cost of risk for the quarter, and how does it compare to the guided cycle target?

• 40 basis points, which is below the target of 31 basis points

• 31 basis points, which is below the target of 40 basis points

• 40 basis points, which is above the target of 31 basis points

• 31 basis points, which is above the target of 40 basis points

What was the main reason for BNP Paribas' underperformance in fixed income revenues?

• A stronger focus on equities

• A decline in European market activity

• Increased competition from other banks

• The US-based credit cycle

How did the bottom line of CIB perform overall?

• It increased by 15%

• It remained stable

• It decreased by 5%

• It increased by 5%

What was the performance of Global Banking in terms of percentage increase?

• 20%

• 5%

• 10%

• 15%

How did BNP Paribas perform in equities compared to the average?

• Significantly better than average

• Slightly better than average

• Significantly worse than average

• Slightly worse than average