Barclays CEO: investment bank beat consensus for six quarters

Barclays CEO: investment bank beat consensus for six quarters

London, UK — Barclays Plc's investment banking unit has consistently outperformed analyst expectations for the past six quarters, according to the bank's latest earnings report. The unit, a traditional revenue driver for Barclays, posted a significant increase in income for the second quarter of 2025.

The bank's pre-tax profit for the second quarter was £2.5 billion ($3.34 billion), surpassing the mean LSEG forecast of £2.23 billion. Group revenues also met analyst projections of £7.2 billion [1]. This strong performance was driven by robust investment banking revenues, which grew by 10% year-on-year to £3.3 billion.

Barclays' CEO, C.S. Venkatakrishnan, has been implementing strategic changes to optimize the investment banking unit, including cost reductions and the hiring of key personnel. The addition of former Deutsche Bank executive Alex Ham as global chairman and the potential job cuts further demonstrate the bank's commitment to streamlining operations [1].

The bank's strong performance comes amidst a challenging landscape, with potential changes in U.S. capital leverage rules and increased competition in debt markets. Domestically, Barclays faces a shifting banking environment, with Spanish titan Santander doubling down on its U.K. presence through the acquisition of TSB and the return of NatWest to private ownership [1].

In other news, Shawbrook Group Plc, a UK-based lender, has added Deutsche Bank AG, UBS Group AG, and Stifel Financial Corp. to its potential London IPO, according to sources familiar with the matter. The bank could seek a valuation of about £2 billion ($2.7 billion) and announce its intention to float as soon as the second half of this year [2].

References:
[1] https://www.cnbc.com/2025/07/29/barclays-q2-earnings-2025.html
[2] https://www.bloomberg.com/news/articles/2025-07-28/british-lender-shawbrook-said-to-pick-banks-for-london-ipo