Barclays PLC (NYSE:BCS) Q3 2024 Earnings Conference Call October 24, 2024 4:30 AM ET
Company Participants
C.S. Venkatakrishnan - Group Chief Executive
Angela Cross - Group Finance Director
Conference Call Participants
Jason Napier - UBS
Benjamin Toms - RBC
Chris Cant - Autonomous
Edward Firth - KBW
Guy Stebbings - BNP Paribas
Amit Goel - Mediobanca
Chris Hallam - Goldman Sachs
Alvaro Serrano - Morgan Stanley
Robin Down - HSBC
Perlie Mong - Bank of America Merrill Lynch
Andrew Coombs - Citi Group
Operator
Welcome to Barclays Q3 2024 Results Analyst and Investor Conference Call. I will now hand over to C.S. Venkatakrishnan, Group Chief Executive before I hand over to Anna Cross, Group Finance Director.
C.S. Venkatakrishnan
Good morning, everyone, and thank you for joining us for Barclays at Third Quarter 2024 Results Call. As a reminder, at our investor update in February, we set out a 3-year plan to deliver a better run, more strongly performing and higher return in Barclays. I'm encouraged by our progress to you then. We are continuing to execute in a disciplined way against this plan and are on track to achieve our 2024 as well as our 2025 target.
Return on tangible equity was 12.3% in the third quarter and 11.5% year-to-date. We achieved this even as we grew tangible book value by 0.35p per share year-on-year to 3.51p at the end of the quarter. This resulted from strong organic capital generation and the meaningful impact of buybacks in reducing our share count. Total income for Q3 was £6.5 billion and is £19.8 billion year-to-date with a continued focus on the quality and stability of our income mix.
Given the ongoing healthy support from our structural hedge, we remain confident on the strength of the income profile of our business in its falling rate environment. These factors lead to our upgrading Barclays U.K. as well as group NII targets today. We continue to control costs well and are seeing the benefit of the cost actions, which we took in the fourth quarter of 2023. Our cost-to-income ratio was 61%, both in the third quarter and year-to-date. Impairment charges have improved in the U.S. consumer bank in line with our expectations, and our overall credit performance was strong, particularly in the U.K. with a group loan loss rate of 42 basis points year-to-date and 37 basis points in the quarter. Importantly, we also remain well capitalized, ending the quarter with a 13.8% CET1 ratio comfortably within our target range of 13% to 14%. Across the bank and within each of our 5 divisions, we are focused on delivering an improved operational and financial performance. Anna will take you through our financial performance division by division shortly, but let me cover first a few highlights.