Barclays' group pretax profit dropped 25 percent to £793 million ($1.15 billion) in the first quarter, from the same period last year, but highlighted that it was making "good progress" in concentrating on its core business, where the pretax figure was up 18 percent at £1.6 billion.
Underling profit before tax within the Barclays U.K. unit decreased 2 percent to £704 million and Barclays' Corporate and International division, the bank said in its earnings statement, saw a 2 percent increase in income driven by growth in Consumer, Cards and Payments "and a resilient income performance in the Corporate and Investment Bank (CIB) despite challenging market conditions."
However, underlying profit before tax decreased 31 percent in that division during the first quarter, driven by a reduction in banking and markets income, increased credit impairment charges and higher operating expenses.
The bank added it was continuing to target cost reductions in the group and that it was "on track" to meet its 2016 guidance for the core business of £12.8 billion, and our longer-term target of a Group cost to income ratio under 60 percent.
Shares of the bank rose 4 percent in early trade on Wednesday.