Consolidated semi-annual report of VP Bank Group

Consolidated results

In a market environment characterised by falling interest rates, unfavourable currency effects, and geopolitical uncertainties, VP Bank Group posted a half-year profit of CHF 28.8 million, representing an increase of 150.2 per cent. Operating income increased while operating expenses were reduced. VP Bank also recorded broad-based growth in net new money, which amounted to 8.3 per cent on an annualised basis.

Client assets

As of 30 June 2025, client assets under management totalled CHF 51.9 billion, representing an increase of 2.2 per cent compared to the end of 2024. This positive development is attributable to net new money of a pleasing CHF 2.1 billion. Net new money was positive across all segments. However, market performance had a dampening effect, particularly as a result of the decline in the USD exchange rate.

Average client assets under management rose by 5.6 per cent year-on-year to CHF 51.6 billion. Custody assets decreased by CHF 1.0 billion from 31 December 2024, to CHF 4.7 billion. Total client assets, including custody assets, amounted to CHF 56.5 billion.

Income statement

Operating income

VP Bank’s operating income rose by 7.8 per cent to CHF 175.4 million in the first half of 2025.

Interest income: income from interest-earning activities amounted to CHF 73.2 million, representing a decline of 3.6 per cent compared with the previous year. This development reflects, among other things, the falling Swiss franc interest rates. Since the beginning of 2025, all forward components from foreign currency contracts have been reported in interest-earning activities (previously also in trading activities). The comparative figures for 2024 have been adjusted accordingly.

Commission business and services: income amounted to CHF 69.0 million, representing a slight increase of CHF 0.8 million (1.1 per cent). This development reflects the growth in assets under management.

Trading activities: trading income rose to CHF 18.9 million (previous year: CHF 14.6 million), benefiting from active foreign exchange business with clients.

Financial instruments: these contributed CHF 8.8 million to the result, mainly due to dividend payments and higher revaluation gains compared with the same period of the previous year.

Other income: this amounted to CHF 5.4 million, of which CHF 4.6 million came from third-party reimbursements for legal costs.

Operating expenses

Operating expenses decreased by 4.0 per cent compared to the previous year to CHF 142.8 million.

Personnel expenses: personnel expenses amounted to CHF 85.9 million (+0.2 per cent). The reduction in the average number of full-time employees (from 998 to 929; as of the end of June: 925) would have led to lower expenses. However, this effect was offset by inflation-related cost-of-living adjustments and higher performance-related variable compensation.

General and administrative expenses: these decreased by 4.1 per cent to CHF 41.9 million.

Depreciation of property, equipment and intangible assets: depreciation decreased from CHF 18.7 million to CHF 15.0 million. This is primarily attributable to the reduction in the amortisation of intangible assets after the client relationship from the acquisition of Centrum Bank was written off in full at the end of 2024 as planned.

Credit loss expenses, provisions and losses: these amounted to CHF 0.0 million.

The cost/income ratio was 81.5 per cent.

Balance sheet

VP Bank Group’s total assets amounted to CHF 11.4 billion as of 30 June 2025.

Deposits

Client deposits on the liabilities side rose by 4.9 per cent to CHF 9.4 billion.

Short-term financial assets

On the assets side, CHF 1.8 billion was mainly invested with the Swiss National Bank. A further CHF 1.2 billion was attributable to receivables due from banks and receivables arising from money market papers. Together, these items covered CHF 3.0 billion, or around 31.5 per cent, of client deposits.

Loans

The lending volume amounted to CHF 5.9 billion, of which CHF 3.7 billion was attributable to mortgage loans – roughly in line with the level at the end of 2024.

Equity capital and liquidity

VP Bank Group continues to enjoy a solid capital base and high liquidity: the Tier 1 ratio stood at 26.1 per cent as of 30 June 2025. The liquidity coverage ratio (LCR) amounted to 160.9 per cent.