Successful third quarter for Valiant in 2024 Donnerstag, 07. November 2024 - 07:06

Consolidated profit came to CHF 105.0 million after the first nine months, equivalent to an increase of 5.3% over the previous year. Operating income climbed by 2.6% to CHF 417.4 million, while operating result rose by a sharp 5.0% to CHF 177.7 million.

“We are experiencing an interest-rate environment that is in an extreme state of flux. Accordingly, I am all the more pleased that we have been able to exceed the previous year’s high figures again. Valiant remains ideally positioned to address future changes as well. We are working hard to operationalise our new “Valiant 2029” strategy so that we are able to continue making our customers’ financial lives as simple as possible,” says Valiant CEO Ewald Burgener.

Solid interest business
Gross result from interest operations fell by 3.4% to CHF 307.4 million. The net result from interest operations came to CHF 298.6 million, equivalent to a decline of 1.3%. Interest expense climbed by 47.7% to CHF 217.3 million. This increase and, hence, the slight decline in net result from interest operations, reflect the changed interest-rate environment. Moreover, Valiant did not pass on one of the Swiss National Bank’s interest-rate cuts to its customers in full.

Commission business and services
The result from commission business and services grew by 10.4% over the previous year to CHF 68.0 million. Commission income from securities trading and investment activities climbed by 9.7%, spurred in particular by the pleasing growth in customer assets invested. Other service business increased by 9.6%.

Result from trading activities and other result from ordinary activities
The result from trading activities rose by 32.1% to CHF 40.2 million, reflecting a further increase in income from foreign exchange forward contracts. Other result from ordinary activities fell by CHF 1.4 million (-11.6%), due in particular to lower income from participations.

Operating expenses
Operating expenses climbed slightly by 1.4% to CHF 223.8 million. This was particularly due to investments in digitalisation as well as in further enhancements to the range of products and services. Under its strategy, Valiant had created a total of 20 full-time positions in 2024. Although the headcount rose in the third quarter and payroll has increased during the year 2024, personnel expenses were lower. This is chiefly due to a non-recurring effect in the previous year arising from an allocation to the employee pension fund. Valiant continues to pursue strict cost management, monitoring cost developments closely.

Reserves for general banking risks strengthened
In the third quarter of 2024, Valiant added CHF 16 million to the reserves for general banking risks following the growth in operating result. In accordance with the accounting rules for Swiss banks, reserves for general banking risks are classified in full as an element of equity capital. This strengthened Valiant’s equity capital and brought the capital ratio to 16.1%, well above regulatory requirements. Valiant firmly believes that a strong capital base is in clients’ interests as well as that of investors.

Customer loans and deposits
Loans to customers climbed by 1.7% to CHF 30.2 billion. This growth was underpinned by the new branches opened under the expansion strategy as well as the existing ones. Customer deposits increased by 0.9% in the first nine months to CHF 22.4 billion.

Instant payments
Valiant has been able to receive instant payments since July 2024. This is a payment method in which amounts of money can be transferred within a few seconds around the clock and across all banks.

Strategic outlook 
Valiant particularly aims to boost profitability and continue growing with its Strategy 2025–2029. More information on the Valiant 2029 strategy can be found in the media release of 13 June 2024.

Outlook
Valiant expects consolidated profit to be higher in the current year.

Key balance sheet figures

Key income statement figures

Additional key figures

Documents and information on the third quarter of 2024 are available at: https://www.valiant.ch/investor-relations/results-reports-key-figures 

Images can be downloaded here: valiant.ch/downloads

Contact for the media
031 320 96 18
medien@valiant.ch