Deutsche Bank Plans Fresh 500 Million Euros Buyback After Earnings Increase — Update

By Joshua Kirby

Deutsche Bank said it would buy back another half a billion euros in shares, equivalent to $569.3 million, after booking a sharp rise in profit.

Germany's largest lender made 2.68 billion euros in pretax profit over the quarter through June, it said Wednesday. That marks an 11% rise from the same period last year and comes in ahead of the 2.25 billion euros expected by analysts, according to a company-compiled consensus.

The bank said it would use this year's net profit to buy back 500 million euros in its own shares, adding to a 1 billion-euro buyback recently completed. Performance to date suggests upside to the bank's 2028 targets, Chief Executive Christian Sewing said.

"Looking ahead, the rapid evolution of AI gives us added scope to deliver value to clients and make additional cost savings, while positive trends are becoming clearer across our policy and regulatory landscape," Sewing said.

The lender said it is confident of securing strong profitability for the full year, despite a 6% rise in noninterest expenses over the quarter. The bank's post-tax return on average tangible shareholders' equity--a key profitability metric--climbed to 11.0% over the quarter from 10.1% in the prior-year period. Including deductions, the bank's CET1 ratio, a measure of capital strength, decreased to 13.9% at June 30 from 14.2% a year earlier.

The bank meanwhile said it is also on track to reach its full-year revenue target of around 33 billion euros after net revenue for the quarter climbed 9% to 8.48 billion euros, ahead of expectations.

"We remain well positioned to invest in our businesses and deliver attractive shareholder returns," finance chief Raja Akram said.

Write to Joshua Kirby at joshua.kirby@wsj.com; @joshualeokirby

(END) Dow Jones Newswires

July 29, 2026 01:30 ET (05:30 GMT)