BNP Paribas Group reports solid performance in Q3 2023 driven by diversified model

BNP Paribas’ diversified and integrated model and its ability to accompany clients and the economy in a comprehensive way by mobilising its teams, resources and capabilities, continued to drive growth in activity and results in the third quarter 2023, according to the French lender.

Driven by the strength of the diversified model, BNP Paribas Group reported a solid performance, as reflected in its distributable income. On this basis, revenues rose by 4.3% and operating expenses by 3.4% compared to the third quarter 2022. Operating expenses were well contained, and the Group achieved a positive jaws effect.

2023’s Q3 net income dropped by 4% to €2.66 billion, compared to €2.77 billion in the third quarter of 2022, while revenues rose 4% to €11.58 billion compared to €11.14 billion in the third quarter 2022.

BNP Paribas Group has stepped up its policy of engaging with society, deploying a comprehensive approach and, alongside its clients, committing to the transition towards a sustainable and low-carbon economy with clear ambitions and objectives contributing to the advent of a carbon-neutral economy by 2050.

Jean-Laurent Bonnafé (pictured), Chief Executive Officer at BNP Paribas stated: “The Groupe continues to mobilise all its resources and capabilities to serve individuals, corporates, institutionals and, more generally, the European economy.

“The Group’s good performance in the third quarter demonstrates the solidity of our model and our long-term commitment to support our clients in all phases of the economic cycle. This performance reflects our long-term approach, the efficiency of our platforms, our diversification by business line, geographical region and customer profile, and our proactive and prudent risk management.

“To meet the challenges of transforming our economies and our societies, the Group and all its business lines continue to implement its climate, biodiversity and social inclusion commitments..”

Arval and BNP Paribas Leasing Solutions

Arval and BNP Paribas Leasing Solutions achieved a very good performance and a positive jaws effect in Q3 2023.

With 1.7 million financed vehicles, the expansion in Arval’s financed fleet increased by 9.7% compared to 30th September 2022, with orders up by 4.7%.

At €23.7 billion, BNP Paribas Leasing Solutions’ outstandings increased by 5.4% compared to the third quarter 2022. Partnerships are developing in the vendor finance segment with the operational launch of the strategic partnership with BMO Financial Group.

In the third quarter 2023, revenues at Arval and BNP Paribas Leasing Solutions rose sharply, by 9.6%, to €958 million, sustained by the strong rise in Arval’s revenues (+11.9%) and growth at BNP Paribas Leasing Solutions with the increase in outstandings.

Operating expenses increased by 7.8%, to €367 million. Gross operating income rose sharply, by 10.8%, to €591 million, and pre-tax income of Arval and Leasing Solutions taken together rose by 11.0%, to €557 million.