Swiss private bank EFG International has reported an underlying net profit of CHF51m for the first half of 2015, down 12% compared to CHF57.7m a year ago.
The company’s IFRS net profit was CHF48m compared with CHF6.0m during the first half of 2014.
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Operating income during the first half of 2015 was CHF353m, up 3% compared with the year ago period, while operating expenses increased 7% year-on-year to CHF296m reflecting investments in growth.
The group’s revenue-generating assets under management were CHF80.2bn, down 4.7% from CHF84.2bn at end-2014, but flat compared with the year ago period.
Net new assets were CHF0.3bn compared with CHF2.7bn a year earlier. The number of client relationship officers stood at 444 at end June 2015.
The group’s Basel III BIS-EU Capital Ratio stood at 17.8% on account of higher risk-weighted assets due to regulatory changes. The cost-income ratio was 83.3%, up from 80.2% for the same period last year.
EFG International CEO Joachim Straehle said: "I am keen to get to CHF 100 billion in AuM as quickly as possible. However, strengths are only meaningful if they are converted into results, and this was not the case during the first half.
I have made organisational changes to ensure that people are focusing on the right things; the business needs to be more rigorous on the cost side; performance management needs to be more robust; and we must walk the talk in delivering growth."
