UPDATE 2-Emirates NBD quarterly profit slumps 58% as pandemic impairments jump - Reuters

UPDATE 2-Emirates NBD quarterly profit slumps 58% as pandemic impairments jump - Reuters:

Dubai’s biggest bank Emirates NBD on Monday posted a 58% fall in second-quarter profit, as it set aside over $1.1 billion so far this year to cover bad loans in anticipation of a worsening impact from the coronavirus crisis.

Net profit slumped to 2 billion dirhams ($544.54 million) in the three months ended June 30, from 4.74 billion dirhams a year earlier, when it booked a gain of 2.1 billion dirhams from an asset sale.

“We are acting to manage costs to reflect lower levels of economic activity, albeit cost reduction will not entirely offset lower levels of income,” Group Chief Financial Officer Patrick Sullivan said in a statement.

Sources told Reuters in June that the bank had started a new round of job cuts, laying off hundreds of employees.