Royal Bank of Scotland Group, parent of Ulster Bank, reported a 10 per cent jump in first-half profit today, near the top of market expectations, and raised its dividend by 15 per cent.
Pre-tax profit before goodwill amortisation and integration costs for the six months ended June 30th increased to £3.45 billion from £3.15 billion a year ago, and compares with a consensus forecast of £3.4 billion.
Revenues rose 11 per cent to £9.08 billion.
"An inherently and fundamentally optimistic outlook is tempered to a degree by elements of uncertainty in the markets in which we operate," chief executive Mr Fred Goodwin said in the results statement.
Royal Bank's earnings were boosted by gains at its Direct Line insurance unit, which increased pre-tax profit 32 per cent to £202 million, and the Citizens US business, where earnings rose 23 per cent to $685 million.
Edinburgh-based Royal Bank of Scotland proposed an interim dividend of 14.6 pence, up 15 per cent on a year earlier.
The company increased its bad debt charge to £742 million from £652 million a year earlier. Royal Bank of Scotland said the increase was in line with loan growth.