Consolidated profit of CHF 150.4 million marked a 4.2% increase over the previous year. The operating result posted by Valiant rose by 0.5% to CHF 233.4 million. The lilac bank thus exceeded last year’s very strong operating profit and achieved the highest operating result in the history of Valiant. The solid interest business, the improved result from commission business and services and the higher result from trading activities contributed to the pleasing performance. Operating income climbed by 1.1% to CHF 551.7 million. «Announcing such a positive full-year result makes me proud for a number of reasons: for a start, the strong financial year confirms to us the successful conclusion of the 2020-2024 strategy. Moreover, this good basis ensures we are properly positioned to make an optimal start to the new strategy period. With our «Valiant 2029» strategy, we are laying the foundations for five more successful years,» says Valiant CEO Ewald Burgener.
Solid interest operations despite bumpy interest environment
The gross result from interest operations fell by 4.2% to CHF 408.9 million. The net result from interest operations came to CHF 395.9 million, equivalent to a decline of 2.8%. Interest expense rose by 31.0% to CHF 278.5 million. These changes stem from the bumpy interest environment and the fact that Valiant offers attractive conditions on its savings and pension products.
Commission business and services
The result from commission business and services increased by 10.8% over the previous year to CHF 93.0 million. Commission income from securities trading and investment activities was up by 11.0%. The positive financial market development and associated higher investment activities contributed to this increase. Commission income from other services climbed by 9.6%.
Result from trading activities and other result from ordinary activities
The result from trading activities was CHF 50.5 million, which corresponds to a major increase of 25.3%. This reflects a further rise in income from forward foreign exchange contracts. The decline of CHF 1.8 million in other result from ordinary activities (-12.7%) is due in particular to the lower income from participations.
Operating expenses
Operating expenses climbed by 3.4% to CHF 300.0 million. Personnel expenses fell despite the higher headcount and an increase in salaries in 2024. This decrease stems mainly from the previous year’s one-off allocation to the employee pension fund. The higher general and administrative expenses include one-off costs for the renewal of core banking software as well as investments in digitalisation and the further development of the offering.
Reserves for general banking risks strengthened
Following the growth in the operating result, Valiant added CHF 46.0 million in total to the reserves for general banking risks. In accordance with the accounting rules for Swiss banks, reserves for general banking risks are classified in full as an element of common equity. This strengthened Valiant’s common equity. The common equity Tier-1 ratio of 16.5% is 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
Total loans climbed by 1.6% to CHF 30.1 billion. Customer deposits increased by 0.8% to CHF 22.4 billion. Valiant remains committed to stability and securing long-term funding. Customer deposits remain the core pillar for this purpose, supplemented by central mortgage institution loans and covered bonds.
Conclusion of the 2020-2024 strategy
Valiant brought the 2020-2024 strategy period to a successful conclusion. All the financial goals were achieved. Ewald Burgener also reports a positive outcome from the implementation of the strategic thrusts: «We were able to realise the defined measures and achieved significant success in all six strategic thrusts. In doing so, we established a good basis for our «Valiant 2029» strategy.» Information on the «Valiant 2029» strategy can be found in the media release of 13 June 2024.
New free Lilac Set
Valiant is strengthening its focus on simplicity. That includes an easily understood offering and transparent pricing. Customers will receive the Lilac Set free of charge from early March 2025.
Increased dividend
In view of the strong operating result, the Board of Directors will ask the shareholders to approve an increase of CHF 0.30 in the dividend to CHF 5.80 per share at the Annual General Meeting on 14 May 2025.
Outlook
Valiant expects consolidated profit to be slightly higher in the current year.
Key balance sheet figures
| 31/12/2024 in CHF millions | 31/12/2023 in CHF millions | Change as % | |
|---|---|---|---|
| Total assets | 37 124 | 36 080 | 2,9 |
| Total loans - of which mortgage loans |
30 149 28 678 |
29 677 28 200 |
1,6 1,7 |
| Customer deposits | 22 402 | 22 220 | 0,8 |
Key income statement figures
| 31/12/2024 in CHF thousands | 31/12/2023 in CHF thousands | Change as % | |
|---|---|---|---|
| Gross result from interest operations | 408 870 | 426 995 | -4,2 |
| Result from commission business and services | 92 951 | 83 874 | 10,8 |
| Result from trading activities | 50 452 | 40 274 | 25,3 |
| Other result from ordinary activities | 12 333 | 14 120 | -12,7 |
| Operating income | 551 676 | 545 793 | 1,1 |
| Operating expenses | 300 003 | 290 186 | 3,4 |
| Operating result | 233 374 | 232 254 | 0,5 |
| Consolidated profit | 150 383 | 144 255 | 4,2 |
Additional key figures
| 31/12/2024 | 31/12/2023 | Change | |
|---|---|---|---|
| Headcount (FTEs) | 1 018,3 | 1 003,3 | 15,0 |
Documents and information on the full-year group profit for 2024 are available here. Images can be downloaded here.