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Aug 2 2019, 08:50 IST/BST
RBS
Q2 operating profit miss on weaker NII; strong dividend pay-out
DAVY VIEW
RBS continues to deliver positively on its capital return story, again substantially beating expectations with its announced dividend pay-out and continuing cost efficiency trends. However, this is outweighed by the substantial miss on net interest income (NII) expectations on margin weakness, especially when set against the weakened interest rate environment. We would anticipate substantial negative consensus earnings revisions of at least a high-single-digit percentage to primarily reflect a weaker NII outlook.
