Barclays has announced its plan to return a minimum of £10 billion ($12.60 billion) to shareholders between 2024 and 2026 through dividends and share buybacks, while also undergoing a reorganization of its business into five operating divisions from the current three.
Financial Targets
The bank aims to achieve a return on tangible equity exceeding 10% by 2024 and surpassing 12% by 2026. This comes ahead of its highly anticipated strategy update, with Chief Executive C. S. Venkatakrishnan stating, “Our new three-year plan is designed to drive higher returns and deliver predictable, attractive shareholder distributions.”
Quarterly Results
For the three months ending on Dec. 31, Barclays reported a pretax profit of GBP110 million, down from GBP1.31 billion the previous year. The company posted a GBP927 million charge from previously announced structural cost actions, exceeding analyst expectations.
Business Reorganization
Apart from the financial plans, Barclays outlined a reorganization of its business into five operating divisions, signaling a shift in its operational structure.
It is evident that Barclays is taking strategic steps to enhance its operational and financial performance while prioritizing shareholder value.
