Despite obstacles, Commerzbank expects a profit "well above" 2022, shares rise.

Commerzbank, a German bank, reported on Thursday that its net profit increased 12% in the fourth quarter, exceeding expectations and capping the company's second straight profitable year despite extensive restructuring.

Commerzbank, which concentrates on Mittelstand companies, the backbone of the German economy, is a g

FRANKFURT, Feb 16 (Reuters) - Germany's Commerzbank (CBKG.DE) said on Thursday that net profit rose a better-than-expected 12% in the fourth quarter, helped by higher interest rates and capping a second consecutive profitable year as it undergoes a major restructuring.

The bank said it would aim for a 2023 result that is "well above" 2022, helped by higher interest rates, despite "another demanding year in view of the challenging environment".

Commerzbank, one of Germany's best known banks, has been slashing thousands of jobs and hundreds of branches to cut costs and lift profit. The bank is a candidate to rejoin the prestigious DAX index of blue-chip companies.

Shares surged 7.7% early in Frankfurt trade in the biggest one-day gain since December. Deutsche Bank analysts told clients the 2023 outlook pointed to "upside almost across the board".


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