Barclays has reported robust earnings for the fourth quarter of 2024, surpassing market expectations. The British multinational bank attributed its strong performance to effective cost-cutting measures and improved revenue from its investment banking division.

The bank’s Q4 net profit rose to £1.8 billion (2.3billion), driven by strong performance in fixed-income trading and advisory services.

“Despite a challenging economic environment, we have delivered a strong quarter by focusing on operational efficiency and strategic growth areas,” said Barclays CEO C.S. Venkatakrishnan. “Our investment banking division continues to perform exceptionally well, and we remain committed to delivering value to our shareholders.”

Barclays’ cost-cutting initiatives, including workforce reductions and streamlining operations, have played a key role in improving profitability. The bank also highlighted its efforts to strengthen its digital banking services, which have seen increased customer adoption.

Analysts have praised Barclays’ ability to navigate economic uncertainties and deliver consistent growth. However, some caution that the bank’s reliance on investment banking revenue could pose risks in a volatile market.

Looking ahead, Barclays plans to focus on expanding its digital offerings and exploring new revenue streams to sustain growth in 2025.