Deutsche Bank witnessed its profits decline markedly during the second quarter of 2012 as a combination of factors affected the financier's earnings.
In a preliminary statement released ahead of its full interim report next Tuesday (31 July), the major European bank revealed that its pre-tax profits for the three-month period will total approximately €1 billion ($1.21 billion).
This represents a significant decline on the figure of €1.8 billion recorded in the corresponding quarter in 2011 and this fall can be primarily attributed to the impact of lower trading activity and the ongoing eurozone debt crisis.
Furthermore, Deutsche Bank indicated its net income will slip to around €700 million from €1.2 billion 12 months previously, with its total net income falling by €500 million to €8 billion over the same timeframe.
However, the financier revealed that its core tier one capital ratio currently stands at ten per cent - "well ahead" of the 7.2 per cent required by the new Basel III regulations from the start of 2013.
By Claire Archer