Credit Agricole has unveiled plans to grow its net profit more than fivefold by 2014 with a shifts away from investment banking and more into retail – that is high street – business.
But shares in France’s third-biggest listed bank fell in value as analysts called the targets unambitious and expressed disappointed that it had not announced sales of some of its assets.
New Chief Executive Jean-Paul Chifflet set a new target of six to seven billion euros in net profit by 2014.
Last year the bank made a net profit of 1.26 billion euros after a hefty write-down of 1.25 billion euros on its stake in Italy’s Intesa Sanpaolo and is now seeking to return to its local roots after the financial crisis cut short an ambitious push into investment and international retail banking.
Several analysts had hoped to hear something from management about a possible sale of Credit Agricole’s stakes in Spain’s BankInter and Portugal’s Banco Espirito Santo, but Chifflet said there was “no change” to be expected in either holding for now.