EFG International’s profit grew in the first half of 2025, benefitting from an insurance settlement with a Taiwanese insurance firm.
The Swiss private bank registered a net profit of Sfr 221.2m ($279m) in H1 2025, a 36% rise from the previous year, largely driven by a Sfr45.4m net gain from the insurance recovery.
Excluding the gain from insurance settlement, the bank’s net profits grew by 8% to Sfr175.8m.
Its net new assets amounted to Sfr 5.4bn, translating to an annualised growth rate of 6.5%. This figure surpasses the bank’s target range of 4-6%.
However, assets under management experienced a dip, totalling Sfr162.3bn at the end of June 2025, down 2% compared with the end of 2024.
According to a statement from the bank, this was primarily due to negative foreign exchange impacts amounting to Sfr11.7bn, which outweighed “strong” inflows and “positive” market performance.
Operating income increased by 15% to Sfr853.9m, bolstered by an increase in net banking fees and commission income, alongside stable net interest income.
However, operating expenses rose, increasing by 4% to Sfr 573.6m, due to the bank’s investment in expanding its talent pool and client coverage.
The cost/income ratio showed improvement, settling at 66.7%, or 71.2% when excluding the insurance recovery, compared with 72.6% recorded in H1 2024.
As of 30 June, EFG’s CET1 ratio was 17.1%, total capital ratio was 20.6%, and liquidity coverage ratio stood at 255%.
Despite the positive results, EFG maintains a “cautious stance” regarding the market outlook for the latter half of 2025 and the future, acknowledging the ongoing complexity of the operating environment.
The bank has also revised its cost savings expectations, now aiming to deliver annual savings of Sfr 66m from 2023 to 2025, an increase from the previously announced Sfr 60m. As of the end of June, EFG has already realised CHF 63 million of these savings.
Additionally, the board of directors of EFG International has approved a share buyback programme, targeting the repurchase of up to 9 million EFG shares by 31 July 2026.
This initiative aims to fund variable deferred share-based compensation for employees and will be conducted through market-sensitive open market purchases by a third party.
EFG CEO Giorgio Pradelli said: “This strong result reflects the consistent and successful delivery of our strategy which builds on organic growth complemented by strategic acquisitions. Over the last 18 months, we have attracted over CHF 15 billion of net new assets and are adding more than CHF 10 billion to our asset base through the announced acquisitions.
“At the same time, we are mindful of the challenges ahead, in particular the structural weakness of the US dollar and the expected interest rate cuts. However, with our well-diversified business model and offering, we are well positioned to generate further sustainable and profitable growth. We remain confident about our ability to exceed our 2025 ambition.”
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