Deutsche Bank set for cuts as profit tumbles by 98%

The bank posted net income of €20mn for the period, after the corresponding quarter in 2015 had posted €796mn. Revenue also fell 20%.

Low interest rates and volatile markets have led to a period of cost cutting for the German lender, as the aftermath of the British decision to leave the European Union continues to take its toll.

Chief executive of the bank John Cryan, who took charge of the business last year, said that Deutsche Bank remains positive but cautious about its future prospects.

“While our results show that we are undergoing a sustained restructuring, we are satisfied with the progress we are making,” Cryan said in a statement.

“If the current weak economic environment persists, we will need to be yet more ambitious in the timing and the intensity of our restructuring.”

Cryan's comments are ominous for the Frankurt-based bank, as they are likely to look toward further cost reduction measures, including more redundancies.

The value of the bank has fallen sharply this fiscal year, with shares tumbling 43% since the start of the period.

European banks have been on alert during the last month as political uncertainty surrounding Britain's referendum vote to leave the European bloc has unsettled markets, with DB being hit harder than most.