Vp Bank Ag Class A · SIX:VPBN
Vp Bank Ag Class A — H1 2023 Earnings Presentation
19 slides from Vp Bank Ag Class A's earnings presentation, Aug 17, 2023
Slide 1: Semi-annual conference 2023
VP Bank Group · 17 August 2023 Semi-annual conference 2023
Slide 2: Financial targets 2026 – KPIs for dynamic growth
Financial targets 2026 – KPIs for dynamic growth Growth Profitability Stability Net new Income Cost/ Tier 1 money growth income ratio (in % of AuM) ratio2) Goals 4% p.a.1) 4 – 6% p.a.1) <75% >20% 1H23 +0.4% 3) +17% 84% 23.4% 1) Over the 2021–2026 strategy cycle 2) Operating expenses / operating inco
Slide 3: Agenda
01 2023 semi-annual results Roger Barmettler, Chief Financial Officer 02 Strategy progress Paul H. Arni, Chief Executive Officer 03 Board of Director’s view Dr Thomas R. Meier, Chairman of the Board of Directors 04 Q&A
Slide 4: 2023 semi-annual results
01 1 2023 semi-annual results Roger Barmettler, Chief Financial Officer
Slide 5: Broad-based business model as a driver of group net income
Broad-based business model as a driver of group net income Group net income (in CHF million) Broad-based business model enables corporate earnings to be increased by 17% and profits by 19% even during +35% challenging times. 25.5 –12% Strategy 2026 is focused on sustainable, 21.3 profitable growth.
Slide 6: Increase in client assets under management
Increase in client assets under management Client assets under management (in CHF billion) Net new money (excl. forced outflows) of CHF 0.4 billion, Net new money 0.1 primarily from fund business and Asia. 0.4 0.7 47.2 46.4 Forced outflows due to –0.3 10.0 10.4 adjustments to the client portfolio an
Slide 7: Operating income up again
Operating income up again Operating income (in CHF million) Operating income: +17%, despite the negative effect of exchange rates movements +8% +8% Interest income: +30% (+9% versus H2 2022) 188.3 174.9 161.5 Commission income: –3% (+3% versus H2 2022) 72.1 • Recurring corporate earnings: –3% (+1% v
Slide 8: Cost growth normalised
Cost growth normalised Operating expenses (in CHF million) Personnel expense: +5% (+2% versus H2 2022) to CHF 89.8 million +4% +10% • Pay increase: +2% from April 158.2 • Change in average FTEs: +3% 152.8 138.4 General and administrative expenses: +11% (+3% versus H2 2022) 88.2 89.8 • IT and digitis
Slide 9: Robust foundation
Robust foundation Balance sheet as of 30 June 2023 (in CHF Sound balance sheet billion) • Stable total assets • High level of liquid assets 0.4 Due to banks • Cash and cash equivalents along with amounts due Cash and cash equivalents 2.3 from banks cover 38.7% of client deposits Due from banks 1.8 S
Slide 10: Solid risk profile
Solid risk profile Tier 1 ratio (as a percentage) Other risk metrics (as of 30 June 2023) Liquidity coverage ratio: 202% 22.8 23.4 21.7 Leverage ratio: 7.9% Net stable funding ratio (NSFR): 164% Regulatory requirements 30.06.2022 31.12.2022 30.06.2023
Slide 11: Summary
Summary Group net income in a challenging environment CHF 25.5 million Operating income up by 17% CHF 188.3 million Net new money inflow despite forced outflows CHF 0.1 billion Cost / income ratio improved 84.0% Very good capital adequacy with a tier 1 ratio of 23.4%
Slide 12: Strategy progress
02 2 Strategy progress Paul H. Arni, Chief Executive Officer
Slide 13: New services
New services Open Wealth VP Bank Nova Service Platform Banking packages Various new services for young adults Digital assets Expansion of Digital analytics tokenisation service AI-powered advisory tool
Slide 14: Regional development plans
Regional development plans Business volumes (client assets under management and loans) 24 % Liechtenstein (incl. British Virgin Islands) 44 % International (Europe and Asia) 32 % Asset servicing
Slide 15: Second-half strategy priorities
Second-half strategy priorities Accelerating regional growth Releasing momentum Enhancing value proposition Sustainable cost management
Slide 16: Financial targets 2026 – KPIs for dynamic growth
Financial targets 2026 – KPIs for dynamic growth Growth Profitability Stability Net new Income Cost/ Tier 1 money growth income ratio (in % of AuM) ratio2) 4% p.a.1) 4 – 6% p.a. 1) <75% >20% 1) Over the 2021–2026 strategy cycle 2) Operating expenses / operating income
Slide 17: Board of Director's view
03 3 Board of Director’s view Dr Thomas R. Meier, Chairman of the Board of Directors
Slide 18: Q&A
04 4 Q&A
Slide 19: Thank you.
Thank you.