The Paris-based lender posted a profit of €924m ($1.06 bn) in the March quarter compared to €868 in the same quarter a year earlier. However, its revenue fell 3.3% to €6.2bn in the quarter on year-over-year basis.
While the net profit of its French retail banking unit rose 18% to €328m in the quarter, its international retail banking and financial services unit’s profit more than doubled to €300m.
The bank said in a statement: "The healthy momentum of French Retail Banking( with a contribution up +17.6%) and International Retail Banking & Financial Services, whose contribution to Group net income doubled in relation to last year, helped offset the lower contribution from market activities which enjoyed a very favourable environment in Q1 2015, whereas conditions at the beginning of 2016 were challenging."
While revenue from French retail banking services rose 1%in the quarter, its international retail banking and financial services unit posted 5.4% increase.
Overall, its net banking income fell 1.8% to €6.2bn in the January-March quarter from €6.3bn recorded in the corresponding quarter in 2015.
Its revenue from global banking and investor solutions unit declined by 9.4% in the quarter, due to challenging market conditions.
Societe General chief executive officer Frédéric Oudéa said: "In an unfavourable market environment, Global Banking & Investor Solutions has posted resilient results and reinforced measures to adjust its business model and increase operational efficiency.
" With a sound balance sheet and robust solvency ratios, the Group is confident about the outlook for 2016, and will continue to invest in its growth drivers, while at the same time rigorously managing its costs and risks."
The bank’s operating expenses dropped to €4.2bn in the quarter compared to €4.4bn in the year-ago quarter.
Image: Tours Société Générale in La Défense. Photo courtesy of Olivier Passalacqua/Wikipedia
