Co-operative Bank plc (CPBB.L), Thursday, in its preliminary results, reported a surge in pre-tax profit for the fiscal 2009, helped mainly by higher net interest income and the merger of its financial services' business CFS with Britannia.
Pre-tax profit for the financial year surged to GBP 164.6 million from GBP 23.3 million last year. The results include significant items related to a programme of investment and integration in the year, while the prior year included non-recurring restructuring costs. Excluding significant items, pre-tax profit was GBP 202.7 million compared to GBP 70.4 million a year ago.
Profit attributable to equity shareholders soared to GBP 110.3 million or 2.88 pence per share from GBP 13.5 million or 1.23 pence per share in the prior year. Excluding significant items, profit was GBP 137.7 million or 3.60 pence per share compared to GBP 47.2 million or 4.29 pence per share last year.
Net interest income for the Manchester based company rose to GBP 579.7 million from GBP 374.3 million last year. Interest receivable and similar income improved to GBP 1.06 billion from GBP 830.2 million a year ago, while interest expense and similar charges were higher at GBP 481.9 million versus GBP 455.9 million last year.
The company noted that the core components of its success have been the performances of its food business, which is delivering record sales and profits, and its financial services business, Co-operative Financial Services or CFS.
For the financial year 2009, CFS reported a surge in profit before taxation of GBP 212.8 million from GBP 64.1 million last year. The results included profits of the merged Britannia business from 1 August 2009. Excluding special items, pre-tax profit was GBP 266.6 million compared to GBP 142.1 million.
Net profit for the year was GBP 151 million compared to GBP 48.6 million a year ago. Profit before significant items was GBP 189.8 million versus GBP 104.4 million last year.
Net revenue for the period was GBP 1.13 billion compared to GBP 1.06 billion last year. Interest and investment income rose to GBP 1.08 billion from GBP 867.5 million a year ago. The company paid an interest of GBP 481.7 million, higher from GBP 452.8 million last year. Gross earned insurance premiums were GBP 396.9 million versus GBP 401.3 million a year earlier.
The company said that the retail business benefited from a strong general insurance performance which delivered GBP 424.3 million in gross written premiums, an increase of GBP 29.9 million from last year. The Retail long-term business saw sales figures increase by 13% on 2008 levels, with the profitability of new business reaching GBP 10.3 million compared to GBP 1.6 million in 2008. The present value of new business premiums for 2009 rose to GBP 606 million, an increase of 30% from prior year.
The company said its directors declared a dividend of 4.625 pence per GBP 1 preference share to be paid to Preference shareholders, on May 28, 2010, on the register at April 30, 2010 providing a dividend rate of 9.25% per annum and making a total distribution of GBP 5.550 million.
CPBB.L shares closed Wednesday's regular trading at 133.50 pence, up 2.75 pence or 2.10% on the LSE.
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June 05, 2026 16:18 ET A busy week for economic news flow saw a slew of reports being released that reflected the trends in the U.S. labor market. In Europe, economic growth and inflation data gained attention as the European Central Bank and Bank of England head for policy session later in the month. In Asia, the monetary policy session of the Indian central bank was in focus as the country, a major oil importer, reels under the pressures of a weaker rupee and rising inflation.