Ad hoc

Preliminary information: VP Bank's growth strategy bears fruit – market environment, however, influences profitability

23.01.2019 · Ad hoc announcement pursuant to Art. 53 LR

Reading time: 2 Min

VP Bank recorded a net new money inflow of CHF 3.2 billion in the past financial year. This pleasing increase is attributable to the Bank's long-term growth strategy, which is based in particular on the expansion of its client service units. During the same period, consolidated net income fell by 17 percent to approximately CHF 55 million.

The net new money inflow’s positive trend continued in the 2018 financial year. At approximately CHF 3.2 billion (2017: CHF 1.9 billion), VP Bank Group generated its highest organic net new money inflow in more than ten years. As a result, the Bank remains on track with its growth strategy.

The persistently low interest rate environment and the interest rates and equity markets’ development had a negative impact on the operating income of around CHF 291 million (2017: CHF 300.1 million). Operating expenses amounted to approximately CHF 232 million (2017: CHF 229.8 million). This led to a 17 percent lower group net income of around CHF 55 million (2017: CHF 65.8 million).

Note

These are unaudited figures based on provisional calculations. The annual results for 2018 and the annual report with the final figures will be published as announced on 5 March 2019. No further information on the course of business will be provided until then.