Commerzbank said in a statement that it swung back into the black in the period from July through September, booking a bottom-line profit of €403 million, compared with a net loss of €60 million a year earlier.

“After a strong third quarter, Commerzbank expects a positive net result for the full year,” said chief executive Manfred Knof.

In 2020, the lender ran up a net loss of €2.9 billion.

“We achieved solid revenues while risk provisions remained at a low level, and we have our costs under control”, generating “tailwind” for the group, said chief financial officer, Bettina Orlopp.

Revenues amounted to just over €2 billion, only fractionally lower than in the same period a year earlier and Commerzbank said it reduced its overall costs by “around 5%” in the quarter.

The lender had already been projecting a return to the black this year at the level of operating profit and that figure increased to €472 million in the July to September period from €168 million a year earlier.

“The outlook for the full year continued to improve in the third quarter,” Commerzbank said.

“Revenues in the full year 2021 will exceed the previous year’s. The bank is targeting operational costs of around €6.5 billion.”

Commerzbank is currently in the middle of a massive restructuring programme, including plans to reduce the workforce from nearly 40,000 at the end of last year to 32,000 by the end of 2024.

The government still holds a stake of around 15% in Commerzbank which it bailed out during the 2008-2009 financial crisis.