Komercni Banka Quarterly Profit Misses Estimates as Provisions Rise

Czech lender Komercni Banka reported a larger-than-expected 57% drop in third-quarter net profit on Thursday as bad loan provisions grew amid the coronavirus pandemic, Reuters reported. The Czech Republic, like other European nations, is facing a strong second wave of coronavirus infections, forcing the government to shut many retail shops, services and public venues. Banks face the prospect of rising loan defaults as repayment moratoriums expire and the economy struggles to recover. Komercni Banka, the country’s third biggest lender and majority owned by France’s Societe Generale, said third-quarter net attributable profit fell to 1.65 billion crowns ($72.18 million), below the average estimate of 1.96 billion in a Reuters poll. Read more