Barclays beats forecasts as profits surge

Adjusted profits at UK lender Barclays surged by over a fifth in the first quarter of 2012, well above expectations.

Adjusted pre-tax jumped 22% from just over £2bn registered in the first quarter of 2011 to £2.445bn this year. Consensus estimates were for a reading of £2.006bn. Adjusted results exclude the impact of £2.620bn own credit reversal (2011: £351m), £300m in provisions for PPI redress (2011: zero) and any gains on acquisitions and disposals (2012: zero, 2011: £2m). On a statutory basis, the bank reported a pre-tax loss of £475m, compared with a profit of £1.655bn last year. Total income excluding own credit rose to £8,138m, 5% higher than the first quarter of 2011. Meanwhile, income at...