Dutch lender ABN Amro beats Q3 expectations but delays buyback call
Lender postpones call on potential buyback
Q3 profit beats expectations, down 9% y/y to 690 mln euros
Results driven by strong NII, fees
FY NII seen at above 6.4 bln euros, costs around 5.3 bln
Shares falls 1.9%
Rewrites throughout, adds analysts commentary in paragraphs 4-5, stock move in paragraph 6
By Mateusz Rabiega
Nov 13 (Reuters) -ABN Amro ABNd.AS on Wednesday posted a smaller-than-expected drop in third-quarter net profit, but said it had postponed an assessment of its capital position and potential room for a further share buyback to next year.
The bank completed its last buyback, for 500 million euros ($530.2 million), in May. It has not given details of the value of any potential new buyback, but analysts polled by the company last month estimated it at 400 million euros.
The Dutch lender said on Wednesday it had postponed a planned capital assessment, including the room for a buyback, to the second quarter of 2025 from its fourth-quarter results as previously planned.
In a note, RBC Capital Markets analysts said the delay in the assessment, which the bank attributed to "complex regulatory changes... taking longer than anticipated", was "disappointing".
JPMorgan analysts added that despite a "solid top-line performance", investor focus will be on the message on capital and buyback postponement, citing "lack of visibility and delay" as weighing on share performance.
Shares in ABN Amro fell as much as 3.6% before paring losses to down 1.9% by 0931 GMT, underperforming a 0.1% rise in the pan-European STOXX index .STOXX.
The bank, one of three dominant lenders in the Netherlands, said on Wednesday its net profit fell 9% year-on-year to 690 million euros in the last quarter, beating an average forecast of 528 million euros in a company-compiled consensus.
It attributed the performance to a sustained improvement in net interest income and strong performance of fees. It also said it expects full-year NII above 6.4 billion euros, slightly above the previous forecast.
"The resilient Dutch economy and thriving housing market continued to benefit our results... We saw our mortgage book grow by 1.6 billion euros this quarter," ABN Amro's CEO Robert Swaak said in a press statement.
Net interest income in the third quarter rose 7% to 1.64 billion euros, it said.
($1 = 0.9430 euros)
Reporting by Mateusz Rabiega; Editing by Muralikumar Anantharaman and Janane Venkatraman
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