VP Bank AG Class A · SIX:VPBN
VP Bank AG Class A — H1 2022 Earnings Presentation
25 slides from VP Bank AG Class A's earnings presentation, Aug 17, 2022
Slide 1: Semi-annual conference 2022
VP Bank Group · 17 August 2022 Semi-annual conference 2022
Slide 2: Dr Thomas R. Meier, Chairman of the Board of Directors
Dr Thomas R. Meier Chairman of the Board of Directors 2
Slide 3: Programme
Programme Welcome Dr Thomas R. Meier, Chairman of the Board of Directors VP Bank Group 2022 semi-annual results Roger Barmettler, Chief Financial Officer Strategy 2026: review and outlook Paul H. Arni, Chief Executive Officer Question and answer session 3
Slide 4: 2022 semi-annual results
2022 semi-annual results Roger Barmettler, Chief Financial Officer 4
Slide 5: VP Bank holding its own in a challenging environment
VP Bank holding its own in a challenging environment Operating Exceptionally Tier 1 ratio income stable balance 22.8% CHF 161.5 sheet ratios 22.4% at the end of 2021 million Group net Net new money income CHF 166.6 million Client assets Extremely solid in the same period in inflow equity base CHF 21
Slide 6: Positive net new money inflow, drop in client assets under management
Positive net new money inflow, drop in client assets under management Client assets under management (in CHF billion) • Net new money of CHF 0.2 billion, 51.3 0.2 primarily from Asia and the fund 46.5 business 9.7 4.8 0.2 8.9 • Market slowdown reduced client 5.3 assets under management by 4.8 CHF 4.
Slide 7: Operating income impacted by uncertain market environment
Operating income impacted by uncertain market environment Operating income (in CHF million) • Commission income: CHF 72 million • Recurring income remains stable (–1%) 166.5 163.4 161.5 • Reduction in transaction-based income (–27%) as clients 8.5 4.9 6.8 are cautious due to the uncertain market env
Slide 8: Strategic investments
Strategic investments Operating expenses (in CHF million) • Personnel expenses slightly lower (–0.7%) compared to the previous year 139.9 138.4 132.2 20.9 19.0 15.5 • General and administrative expenses increased by 18.6% • Investments in IT and digitisation 31.0 31.4 36.7 • Implementation of Russia
Slide 9: Robust and sound foundation
Robust and sound foundation Balance sheet as of 30 June 2022 (in CHF billion) • Sound balance sheet 0.6 Due to banks 2.3 • High level of liquid assets Cash and cash equivalents • Stable refinancing Due from banks 2.3 • Proportion of client deposits corresponds to 83% of total assets 11.4 Client depo
Slide 10: Capital adequacy requirements well exceeded
Capital adequacy requirements well exceeded 31.12.2020 31.12.2021 30.06.2022 Risk-weighted assets in CHF billion 4.7 4.5 4.5 Core capital (CET 1) in CHF million 972.8 1,014.5 1,021.9 Tier 1 ratio (CET 1 ratio) 20.8% 22.4% 22.8% Liquidity coverage ratio (LCR) 179.4% 160.2% 250.2% Leverage ratio 7.1%
Slide 11: Summary
Summary • Group net income of CHF 21.3 million, within a challenging market environment • Net new money inflow of CHF 0.2 billion • Very good capital adequacy with a tier 1 ratio of 22.8% • Very good liquid assets with a liquidity coverage ratio (LCR) of 250% 11
Slide 12: Strategy 2026: review and outlook
Strategy 2026: review and outlook Paul H. Arni, Chief Executive Officer 12
Slide 13: Three key topics
Three key topics Driving forward Financial targets Strategy 2026 Sustainable cost management 13
Slide 14: Three key topics
Three key topics Driving forward Financial targets Strategy 2026 Sustainable cost management 14
Slide 15: Strategy 2026
Strategy 2026 HOW? WHAT? WHY? We are rethinking wealth management by • Digitisation combining the Evolve Scale Move • Sustainability traditional banking Strategic Increasing Taking advantage business with the • Generational development of effectiveness and of new business advantages of digital chang
Slide 16: 2022 milestones
2022 milestones Technological basis for Open Wealth has been laid • Opening of core banking system • Flexible integration of Tokenisation of real assets has external services via APIs met with enormous client • Migration of the core interest Ongoing expansion of the offering relating to banking syst
Slide 17: Three key topics
Three key topics Driving forward Financial targets Strategy 2026 Sustainable cost management 17
Slide 18: Sustainable cost management
Sustainable cost management 139.9 138.4 132.2 20.9 19.0 15.5 • Investment expenditure will have peaked by the end of 2022 31.0 31.4 36.7 • However, the level of write-downs will Ratio changes continue to increase • Programme to enhance productivity and efficiency has been launched 86.0 88.0 85.4 • S
Slide 19: Three key topics
Three key topics Driving forward Financial targets Strategy 2026 Sustainable cost management 19
Slide 20: Development at locations
Development at locations VP Fund Solutions Pleasing development | at Luxembourg and Liechtenstein fund locations. | Successful launch of other fund projects. a / British Virgin , Islands Recovery of the local economy leads to good | | netinew money results. BANK / Zurich and Luxembourg \ locations p
Slide 21: Financial targets 2026: increase in Group net income to CHF 100 million
Financial targets 2026: increase in Group net income to CHF 100 million Growth Profitability Stability Net new money Profit Cost/ Tier 1 (in % of AuM) margin income ratio (in bp of AuM) ratio2) >4.0% p.a.1) >15 bp 70.0% >20.0% Review of financial targets in the second half of the year. We remain com
Slide 22: Question and answer session
Question and answer session 22
Slide 23: Thank you for your interest.
Thank you for your interest. 23
Slide 24: wy BANK
wy BANK
Slide 25: Disclaimer
Disclaimer Although this documentation was prepared with the greatest possible care, we do not assume any liability that the information contained in it is complete, up to date or accurate. The information in this documentation is for information purposes only and should not be construed as an offer