Update: Cooperatieve Rabobank U.A.

Rabobank continues to show resilient earnings, supported by diversified domestic business and leading food and agriculture and vendor finance franchises globally. In first-half 2023, the bank reported a record high net profit of €2.5 billion, up from €1.3 billion a year ago, supported by tailwinds from rising interest rates. The group's net profit has nearly doubled compared with last year, supported by a 33% increase in net interest income primarily from improving margins on deposits. Its reported net interest margin increased to 1.56% for first-half 2023 from 1.29% a year ago. We forecast operating revenue growth of 20%–24% in full-year 2023 compared with 2022. While we project a slight increase in the overall cost of risk, reaching 20 basis points

...S&P Global Ratings expects Cooperatieve Rabobank U. A. (Rabobank)'s earnings to peak in 2023, benefitting from rising interest rates. While the deposit pass-through rates at Rabobank, and the Dutch banking system in general are higher than in many European countries, they remain relatively low. This partially explains the increased profitability observed in the first half of 2023. Rabobank continues to show resilient earnings, supported by diversified domestic business and leading food and...

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