The bank and wealth management house, which operates in parts of continental Europe including Switzerland, the UK, Singapore, the US, Bahamas and Latin America, has issued its results for the period from the beginning of January to end-October.

Zurich-listed EFG International, which operates in a number of regions, said yesterday that its net profit for the first 10 months of 2024 came in at SFr260 million ($293.7 million), up from SFr240 million in the same 10-month period a year earlier. For all of 2023, it was SFr303.2 million a year before. 

Its annualised return on tangible equity rose to 18.5 per cent from 18.2 per cent, it said in a statement. 

“We are continuing to deliver against our strategic plan, generating increased net profit in the first 10 months of 2024. Our top line has proven resilient throughout this year, supported by higher assets under management, continued strong levels of client activity and a significant increase in mandate penetration,” Giorgio Pradelli, CEO of EFG International, said. 

Net new assets totalled SFr7.4 billion, equating to a 6.3 per cent growth rate, beating its target range of 4 to 6 per cent, helped by a “strong contribution” from client relationship officers that the bank hired in 2023.

Assets under management stood at around SFr159 billion at end-October, up from SFr142.2 billion at the end of 2023.

The bank’s revenue margin was 96 basis points for the first 10 months of 2024, down a touch from the first half of 2024. 

Cost/income ratio was 73.9 per cent for the reporting period, up a touch from the full year of 2023, caused by the impact of investments made last year and the limited revenue contribution from the life insurance portfolio in the past four months, EFG International said.  

EFG International recruited 60 new CROs in the 10-month period.

It had a Common Equity Tier 1 capital ratio of 17.5 per cent at the end of October.

In late May this year, speculation resurfaced that EFG International and fellow Swiss-listed private bank Julius Baer were in merger talks. A story by Reuters on 24 May said the talks had ceased. (This news service commented on the situation here.)