French banking giant Société on Thursday reported a return profit in the third quarter as it benefited from cost reductions and a rebound in activity after heavy losses due to the coronavirus pandemic.

For the period July to September, the group posted a net profit of €862 million, up almost one per cent from the same period in 2019, it said in a statement.

This followed losses of €326 million in the first quarter and more than a billion euro in the second as the company struggled with the consequences of the economic crisis sparked by the coronavirus pandemic.

During the first two quarters the bank was forced to make provisions on a massive scale against non-repayment of loans

The group reported a “rebound in revenues in all activities”.

The latest results “illustrate the ability of all our businesses to rebound, after the exceptional lockdown period that we have experienced, and to adapt to a still very uncertain environment,” CEO Frederic Oudea said.

“The performances reflect our efforts in terms of commercial development, cost control and rigorous risk management.” 

During the first two quarters the bank was forced to make provisions on a massive scale against non-repayment of loans. The provisions continued in the third quarter but to a much lesser extent.

It also improved profitability by significantly reducing management costs in all divisions.