Barclays Reiterated 2024 Outlook: Targets Barclays Group NII Excluding Barclays Investment Bank And Head Office Of £10.7B, Expects RoTE Of Greater Than 10% In 2024 And 10.5% Excluding Inorganic Activity
Portfolio Pulse from Benzinga Newsdesk
Barclays has reiterated its financial targets for 2024 and 2026, aiming for a RoTE of over 10% in 2024 and 12% in 2026. The bank plans to return at least £10bn to shareholders through dividends and buybacks, maintaining a stable total dividend with growth in dividend per share. It targets a Group NII of approximately £10.7bn in 2024, with Barclays UK contributing about £6.1bn. The bank also aims for a cost-income ratio of around 63% in 2024, with £1bn in efficiency savings, and high 50s by 2026 with £2bn in savings. Impairment levels are expected to be 50-60bps, and the CET1 ratio target is set at 13-14%. Regulatory changes are anticipated to impact RWAs at the lower end of a 5-10% increase.
April 25, 2024 | 8:22 am
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Barclays aims for a RoTE of over 10% in 2024, plans to return £10bn to shareholders through dividends and buybacks, and targets significant NII and cost-income ratio improvements.
The reiteration of financial targets and plans for shareholder returns, including dividends and buybacks, is likely to be viewed positively by investors. The focus on cost-income ratio improvements and efficiency savings indicates a strong operational strategy, potentially leading to stock price appreciation in the short term.
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