Net fee and commission income to total net operating income is a measure of profitability for banks. According to the ECB, since the financial crisis, fees and commissions have become an increasingly important income source for euro area banks. The EU weighted average of net fee and commission income to total net operating income has increased overall during the period displayed, peaking at 32.9 as of March 2020. Throughout 2022 and 2023, however, it dropped sharply.
Profitability and stability
Low profitability has been highlighted several times by the ECB as a key risk to the financial stability of the Euro area. Prolonged low profitability can have a knock-on effect to an economy’s growth. On the other hand, sustained periods of higher than average profitability can also mean trouble as was seen in the period running up to the financial crisis.
Other key measures
There are several other metrics that can also be used. Return on equity (ROE), which divides net income by shareholders equity looks at how well a company’s management is using its assets to create profits. Another key measure of a bank's profitability is to look at the return on assets (ROA), which divides a bank’s net income by its total assets during a given period.
Weighted average net fee and commission income to total net operating income for banks in Europe from December 2014 to March 2023
Characteristic
Net fee and commission income/total net operating income
Net fee and commission income (Fee and commission income (A) - Fee and commission expenses (B)) / Total net operating income (C).
Figures prior to March 2023 were taken from previous publications.
Profit from the additional features of your individual account
Currently, you are using a shared account. To use individual functions (e.g., mark statistics as favourites, set
statistic alerts) please log in with your personal account.
If you are an admin, please authenticate by logging in again.
Learn more about how Statista can support your business.
EBA. (July 17, 2023). Weighted average net fee and commission income to total net operating income for banks in Europe from December 2014 to March 2023 [Graph]. In Statista. Retrieved December 14, 2024, from https://www.statista.com/statistics/1124912/net-fee-and-commission-income-to-total-net-operating-income-for-banks-in-europe/
EBA. "Weighted average net fee and commission income to total net operating income for banks in Europe from December 2014 to March 2023." Chart. July 17, 2023. Statista. Accessed December 14, 2024. https://www.statista.com/statistics/1124912/net-fee-and-commission-income-to-total-net-operating-income-for-banks-in-europe/
EBA. (2023). Weighted average net fee and commission income to total net operating income for banks in Europe from December 2014 to March 2023. Statista. Statista Inc.. Accessed: December 14, 2024. https://www.statista.com/statistics/1124912/net-fee-and-commission-income-to-total-net-operating-income-for-banks-in-europe/
EBA. "Weighted Average Net Fee and Commission Income to Total Net Operating Income for Banks in Europe from December 2014 to March 2023." Statista, Statista Inc., 17 Jul 2023, https://www.statista.com/statistics/1124912/net-fee-and-commission-income-to-total-net-operating-income-for-banks-in-europe/
EBA, Weighted average net fee and commission income to total net operating income for banks in Europe from December 2014 to March 2023 Statista, https://www.statista.com/statistics/1124912/net-fee-and-commission-income-to-total-net-operating-income-for-banks-in-europe/ (last visited December 14, 2024)
Weighted average net fee and commission income to total net operating income for banks in Europe from December 2014 to March 2023 [Graph], EBA, July 17, 2023. [Online]. Available: https://www.statista.com/statistics/1124912/net-fee-and-commission-income-to-total-net-operating-income-for-banks-in-europe/