Lloyds Banking Group Q3 2024 Interim Management Statement Released

TL;DR

Lloyds dropped its Q3 2024 update on Oct 23rd - check the 9-month results!

AI Summary

Lloyds Banking Group plc released its Q3 2024 Interim Management Statement on October 23, 2024. The report covers the results for the nine months ended September 30, 2024. The company is a foreign private issuer and files annual reports under Form 20-F.

Why It Matters

This filing provides an update on the financial performance of Lloyds Banking Group for the third quarter of 2024, offering insights into the bank's operational health and market position.

Risk Assessment

Risk Level: low — This is a routine interim management statement providing financial results, not a significant event or change in business operations.

Key Players & Entities

• Lloyds Banking Group plc (company) — Filer of the report
• 23 October 2024 (date) — Date of the report and announcement
• 30 September 2024 (date) — End date of the reporting period
• Form 20-F (document) — Annual report filing type
• 6-K (document) — Form type for this filing

FAQ

Filing Documents

• a2045j.htm (6-K) — 1220KB
• 0001654954-24-013236.txt ( ) — 1221KB

From the Filing

Q3 INTERIM MANAGEMENT STATEMENT a2045j SECURITIES AND EXCHANGE COMMISSION Washington, D.C.20549     FORM 6-K     Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934     23 October 2024 LLOYDS BANKING GROUP plc (Translation of registrant's name into English)   5th Floor 25 Gresham Street London EC2V 7HN United Kingdom     (Address of principal executive offices)       Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.   Form 20-F..X..     Form 40-F      Index to Exhibits     Item    No. 1 R egulatory News Service Announcement, 23 October 2024            re: 2024 Q3 Interim Management Statement       Lloyds Banking Group plc   Q3 2024 Interim Management Statement   23 October 2024         RESULTS FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2024   "The Group delivered a robust financial performance in the third quarter of 2024, with growth in income alongside continued cost discipline and strong asset quality. Our performance allows us confidently to reaffirm our 2024 guidance.   As mentioned during our Half-Year 2024 results update, we are making good progress on our strategy and remain on track to deliver higher, more sustainable returns. As ever, we are guided by our purpose of Helping Britain Prosper and continuing to provide support to our customers. The strength of the Group's franchise, alongside our financial performance, enables us to deliver for all stakeholders."   Charlie Nunn, Group Chief Executive   Robust financial performance, in line with expectations 1   ● Statutory profit after tax of £3.8 billion (nine months to 30 September 2023: £4.3 billion) with net income down 7 per cent on the prior year and operating costs up 5 per cent (including the Bank of England Levy), partly offset by a lower impairment charge ● Underlying net interest income of £9.6 billion, down 8 per cent with a lower banking net interest margin of 2.94 per cent and average interest-earning banking assets of £449.9 billion. Underlying net interest income of £3.2 billion increased by 2 per cent in the third quarter, with a banking net interest margin of 2.95 per cent, up from 2.93 per cent in the second quarter ● Underlying other income of £4.2 billion, 9 per cent higher than the prior year, driven by strengthening customer and market activity and the benefit of strategic initiatives ● Operating lease depreciation of £994 million, up on the prior year reflecting growth in the fleet size, depreciation of higher value vehicles and declines in used electric car prices. The third quarter charge of £315 million was in line with expectations ● Operating costs of £7.0 billion, up 5 per cent, with cost efficiencies helping to partially offset higher ongoing strategic investment, planned accelerated severance charges and inflationary pressure, alongside c.£0.1 billion in the first quarter relating to the sector-wide change in the charging approach for the Bank of England Levy ● Remediation costs of £124 million (first nine months of 2023: £134 million), largely in relation to pre-existing programmes ● Underlying impairment charge of £273 million in the year to date and asset quality ratio of 9 basis points. Excluding the impact of improvements to the economic outlook, the asset quality ratio was 18 basis points. The portfolio remains well-positioned with resilient credit performance ● Underlying loans and advances to customers increased by £7.3 billion in the year to date, including £4.6 billion in the third quarter, to £457.0 billion. The growth in the year to date includes £7.4 billion across Retail, while Commercial Banking remained broadly stable ● Customer deposits of £475.7 billion increased by £4.3 billion in the year to date, with growth in Retail deposits of £6.6 billion, partly offset by a reduction in Commercial Banking deposits of £2.1 billion. Customer deposits continued to grow in the third quarter, with an increase of £1.0 billion ● Strong capital generation of 132 basis points in the year to date. CET1 ratio of 14.3 per cent, after 71 basis points for the interim ordinary dividend paid and the foreseeable ordinary dividend accrual, significantly above our ongoing target of c.13.0 per cent by 2026 ● Risk-weighted assets of £223.3 billion up £4.2 billion in the period, reflecting

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