Deutsche Bank on Thursday posted a bigger-than-expected drop in fourth quarter and 2024 full-year profit as legal provisions and restructuring costs eroded revenue gains at its global investment banking division.

Deutsche Bank AG said it plans to reduce management roles and cut headcount over coming years, after higher-than-expected costs marred its results in the final months of last year.Most Read from Bloom

Deutsche Bank delivered bad news on spending, and investors weren’t happy. Deutsche Bank on Thursday said it’s now targeting a cost-to-income ratio of below 65% this year, versus a previous target of below 62.5%, after a cost-to-income ratio of 76% in 2024.

Germany’s largest lender by total assets will buy back shares and reported a worse-than-expected drop in profit due to well-flagged higher costs.

Deutsche Bank has suffered a 92pc slump in its profits amid a major downturn in the German economy...

Deutsche Bank said profits plunged 92 per cent last quarter and warned investors of higher than expected costs for this year, as the German bank’s boss pledged to consider ditching weaker businesses to improve performance.

Deutsche Bank AG’s fixed-income traders closed out last year with the best fourth quarter on record as they benefited from volatility tied to the US elections in November and turbulence in European politics.

Q4 2024 Management View CEO Christian Sewing highlighted 2024 as a transition year, with significant progress made in transforming the business model. Pre-provision profit increased by 19% year-on-year when adjusted for specific items,