The business trend at BCV Group in H1 2014 was in line with that observed in the first quarter. Revenues increased 1% to CHF 503m,operating profit grew 1% to CHF 239m, and net profit rose 2% to CHF 154m.*
Strong top line
Total revenues increased 1% year-on-year to CHF 503m. Interest income rose 2% to CHF 253m. Fee and commission income held steady at CHF 174m. Trading income was off CHF 7m to CHF 52m (–12%), due in particular to lower activity on the forex market. Other ordinary income amounted to CHF 23m.
Operating profit at CHF 239m
Operating expenses edged up 1% to CHF 263m. With the transfer of 80 IT specialists from IBM on 1 July 2013, personnel costs were up 3% to CHF 172m, while other operating expenses were down 3% to CHF 91m. Operating profit rose 1% to CHF 239m.
Net profit at CHF 154m
Depreciations and write-offs decreased 7% to CHF 41m, and value adjustments, provisions and losses fell 3% to CHF 7m. Extraordinary income came in at CHF 7m, mainly reflecting releases of credit-risk provisions. Net profit was up 2% to CHF 154m. The cost/income ratio improved from 61% to 60%.
Continued growth in customer-driven business volumes
Total assets expanded by 2% to CHF 41.2bn. Mortgage lending rose 1% or CHF 320m to CHF 23.7bn. Other loans remained stable at CHF 5.4bn.
On the liabilities side, the expansion in customer savings and investment accounts continued, with a rise of 2% (+CHF 251m) to CHF 13.1bn. Other customer accounts grew by 1% (+CHF 178m) to CHF 15.6bn.
Rise in AuM of 3%
Group assets under management (AuM) were up 3% (+CHF 2.5bn) to CHF 86.3bn. Net new money for the period amounted to CHF 51m. This figure reflects onshore fund inflows of CHF 546m and offshore fund outflows, as anticipated (–CHF 495m).
CHF 275m paid out to shareholders
In accordance with the distribution policy set out for the next 4 years, BCV returned a total of CHF 32 per share, or CHF 275m, to its shareholders in May.
Solid financial position
Equity capital remained at a comfortable CHF 3.2bn, equating to a capital ratio of 17.3%, which attests to the Bank’s financial solidity.
Barring a significant deterioration in the financial markets and the overall economic situation, business in H2 2014 is expected to trend along the same lines as in the first half.
Lausanne, Switzerland, 21 August 2014
* Unaudited figures.
Christian Jacot-Descombes, Press Officer
Phone +41 79 816 99 30
Gregory Duong, Investor Relations Officer
Phone + 41 21 212 20 71
This press release is being issued outside the trading hours of the SIX, Swiss Exchange in order to comply with the principles of ad hoc disclosure pursuant to the SIX listing rules.