Why British Retail Banking Company NatWest's Shares Are Diving Today
Portfolio Pulse from Lekha Gupta
NatWest Group PLC (NYSE:NWG) shares dropped by around 11% following the release of its Q3 FY23 results and the disclosure of key findings from an independent review related to the closure of accounts of former U.K. Independence Party leader, Nigel Farage. The bank admitted 'serious failings' in the decision-making process and handling of confidential information. Despite this, the company reported an increase in total income to £3.488 billion, up from £3.229 million a year ago, and a net impairment charge of £229 million. The bank also expects total income to be around £14.3 billion and NIM greater than 3% for FY23.
October 27, 2023 | 3:28 pm
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NatWest's shares dropped following the release of Q3 FY23 results and the disclosure of 'serious failings' in handling Farage's account. However, the bank reported an increase in total income and expects a positive outlook for FY23.
The drop in NatWest's shares can be attributed to the negative news surrounding the handling of Farage's account, which could potentially harm the bank's reputation. However, the bank's financial performance remains strong, with an increase in total income and a positive outlook for FY23, which could potentially offset some of the negative impact.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100