The Liechtensteinische Landesbank reported a first-half profit of nearly 90 million francs, its best result in over a decade. It will open more offices in Germany.
The LLB Group reported a first-half profit of 88.7 million Swiss francs, which was its best six-month result in over ten years, an increase of 16.8 percent. It said it will invest in further growth, according to results reported Thursday.
Part of that investment will go to opening three locations in Germany starting next year.
«We are very satisfied with the success of our first half year. This shows that, both operatively as well as strategically, we are correctly positioned and focused», said chairman Georg Wohlwend of the results.
New Money Inflows
The LLB Group attracted net new money amounting to 805.6 million in the first half, corresponding to an annualized growth of 1.9 percent.
Client assets under management stood at 87.4 billion francs at the end of June, up from 83.9 billion at the end of last year, according to the report.
Higher Interest Rates
Like other banks, LLB benefitted from higher interest rates from central banks ending accommodative policies. The interest differential business improved by more than 11 percent to 81.8 million francs, while trading income rose by 55.1 percent to 82.5 million.
«Thanks to the turnaround in interest rates, the market environment has significantly improved. This generates additional momentum for us», said Group CFO Christoph Reicht.
In contrast, net fee and commission income fell by 13.3 percent to 97.7 million francs, attributable mainly to the lower average volume of portfolios in comparison with the equivalent period in the previous year, the lower level of trading activity, and reduced earnings from real estate business in Austria.
The Cost Income Ratio improved to 61.0 percent from 62.8 percent during the same period a year ago.
