EFG International (EFGN) H2 2024 earnings summary

Executive summary

• Achieved record net profit of CHF 322 million in 2024, up 6% year-over-year, with ROTE at 18.6%, exceeding the 2025 target range.

• Net new asset (NNA) inflows reached CHF 10.1 billion, a 7.1% growth rate, marking the 12th consecutive semester of positive NNA and surpassing the 4-6% target.

• Assets under management (AUM) rose 16% to CHF 165.5 billion, driven by strong net inflows, positive FX, and market performance.

• Announced acquisition of Cité Gestion, a Geneva-based bank, adding CHF 7.5 billion in AUM, strengthening Swiss market position, and expected to be EPS accretive by 2026.

• Proposed highest-ever dividend per share at CHF 0.60, up 9% from prior year, marking the fourth consecutive increase.

Financial highlights

• Operating income increased 5% to CHF 1,498.9 million; operating profit up 5% to CHF 391 million.

• Cost/income ratio improved to 72.9%, continuing a five-year trend of efficiency gains.

• EPS reached CHF 1 per share; dividend up 9% year-over-year.

• CET1 capital ratio at 17.7%, up 70 basis points year-over-year; Total Capital Ratio at 21.5%.

• Liquidity coverage ratio (LCR) at 242%; loan/deposit ratio at 51%.

Outlook and guidance

• On track to exceed 2025 business plan targets, running one year ahead of schedule, with confidence in delivering further growth and efficiency.

• Strategic investments and the Cité Gestion acquisition expected to further support revenue and profit in 2025 and beyond.

• Plans to accelerate transformation, enhance efficiency, and deliver CHF 60 million in annual cost savings by 2025 vs. 2021 base.

• 2025 targets: NNA growth 4-6% p.a., revenue margin 85 bps, cost/income ratio 69%, ROTE 15-18%.

• Pro forma AuM expected to reach CHF 175 billion post-Cité Gestion acquisition.