Basler Kantonalbank increased its profit in 2017 by a quarter, helped by growth from trading commissions. Digitization efforts boosted operating expenses.
The state bank of Basel had a profit of 118.3 million Swiss francs in 2017, up 27 percent from a year earlier, Basler Kantonalbank (BKB) said in a statement on Thursday (in German).
The group, which also includes Bank Cler, had a profit of 186.2 million, up 35 percent. Cler published its figures three weeks ago.
Digitization Investments
BKB had revenues of a total of 411.6 million francs, up 11 percent year-on-year, with growth from the mortgage lending business, commissions and services as well as from trading. The latter increased by 43 percent and contributed 91.5 million to total revenues, reflecting customers’ desire to hedge, the bank said.
Operating costs were up 1.4 percent, with investment into branches and digitization affecting the most. The bank expects a challenging business environment in 2018.
U.S. Dispute – Conclusion Pending
The bank will pay an unchanged dividend of 3.10 francs per participation certificate. BKB in 2013 put 100 million francs aside to cover for all eventualities stemming from the tax dispute with U.S. authorities. The company expects to conclude the case this year.
