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Ad hoc announcement pursuant to Art. 53 LR

21 May 2025

4M25: Record net profit of around CHF 130 million; annualised NNA growth rate of 5.5%

  • Record net profit of approximately CHF 130 million¹ in the first four months of 2025 (4M24: more than CHF 110 million). Annualised return on tangible equity² exceeded 21% for the period
  • Net new assets totalled CHF 3.0 billion, corresponding to an annualised growth rate of 5.5%, at the upper end of EFG’s target range of 4-6%
  • Assets under Management totalled CHF 159.2 billion at end-April 2025 compared to CHF 165.5 billion at end-2024; this reflects mainly net foreign exchange impacts of around CHF 8.5 billion due to the strengthening of the Swiss franc and strong net new assets; pro-forma Assets under Management of approximately CHF 167 billion including Cité Gestion
  • Revenue margin was 97 basis points in the first four months of 2025, compared to 96 basis points for the first four months of 2024 and for the full year 2024
  • Cost/income ratio improved to approximately 70% in the first four months of 2025, compared to 72.9% for the full year 2024
  • Strong capital position, with a CET1 Ratio of 17.1% and a Total Capital Ratio of 20.8%. Liquidity Coverage Ratio of 211% at end-April 2025
  • Investor Day on 25 November 2025: EFG strategy update for the next cycle

Subsequent events (after 30 April 2025)

  • Insurance recovery in relation to previously announced settlement with a Taiwanese insurance company with expected net contribution of around CHF 45 million to net profit for 1H25 
  • Continued successful de-risking with sale of part of the life insurance portfolio. This follows the divestment of the synthetic life insurance portfolio in February 2025

Giorgio Pradelli, CEO of EFG International:

We generated strong operating results for the first four months of 2025 and recorded robust net asset inflows against the backdrop of significant market volatility and a persistently complex operating environment. This demonstrates our resilience and our ability to provide timely solutions to our clients, acting as their trusted advisors during this period of heightened uncertainty. 

Our well-diversified business model and offering across geographies enabled us to further increase our top line and to deliver record profitability. While market volatility since the beginning of April led to higher levels of client activity, especially in foreign exchange trading, the strengthening of the Swiss franc had a negative impact on our Assets under Management. At the same time, we continued to de-risk and maintained our disciplined approach to costs during the period, resulting in an improved cost/income ratio of approximately 70%.

As our current strategic cycle draws to a close, we remain confident about our ability to exceed our 2025 ambition. For the remainder of the year, we will focus on serving our clients through our global network and on executing our strategic priorities. We look forward to updating investors and other stakeholders on our future strategic direction, priorities and financial targets for the next strategic cycle at our Investor Day on 25 November. 

Continued growth momentum with annualised NNA growth rate of 5.5%

Net new assets totalled CHF 3.0 billion for the first four months of 2025, corresponding to an annualised net new asset growth rate of 5.5%, at the upper end of EFG’s target range of 4 6%. All of EFG’s business regions recorded net inflows during the reporting period, with particularly strong contributions from the Latin America, Asia Pacific and UK regions. New CROs who joined EFG in 2023-2025 continued to contribute significantly to total net new assets, while existing CROs contributed roughly one third to net new assets in the period. 

Revenue-generating Assets under Management declined to CHF 159.2 billion at end-April 2025, compared to CHF 165.5 billion at end-2024. This reflects net foreign exchange impacts of around CHF 8.5 billion, mostly due to the strengthening of the Swiss franc, slightly negative market performance as well as strong new assets.

Assets under Management pro forma were approximately CHF 167 billion including assets managed by Cité Gestion. The closing of the transaction announced on 19 February 2025 is expected in the third quarter of 2025 and is subject to regulatory approval.

Strong operating performance and improved cost/income ratio 

In the first four months of 2025, EFG achieved a record net profit of approximately CHF 130 million and the annualised return on tangible equity exceeded 21%. This compares to a net profit of more than CHF 110 million for the first four months of last year and of CHF 321.6 million for the full year 2024. 

Operating income was higher in the first four months of 2025 compared to same period of 2024, demonstrating EFG’s well diversified business. The increase was driven by significantly higher net banking and commission income as well as substantially higher net other income, reflecting increased client trading activity supported by market volatility. Interest related income (net interest income and income from interest rate swaps) in the first four months of 2025 was higher compared to the previous year.

The revenue margin in the reporting period increased to 97 basis points (4M24: 96 basis points; FY24: 96 basis points), including a marginal contribution from the life insurance portfolio. The decrease in the net interest income margin was offset by higher net banking and commission income margin as well as higher net other income margin compared to the previous year period. 

Operating expenses in the first four months of 2025 increased compared to the previous year, albeit at a slower pace than revenues. While personnel expenses were driven by EFG’s previous investments in its talent base and client coverage in 2023 and 2024 and by higher variable compensation accruals on the back of higher revenues, other operating expenses decreased slightly, demonstrating EFG’s continued cost discipline. As previously announced, the efficiency measures that EFG is implementing are expected to deliver annual cost savings of CHF 60 million by 2025 compared to the 2021 cost base.

The cost/income ratio improved to approximately 70% in the first four months of 2025, compared to 72.9% for the full year 2024. 

Continued CRO hiring momentum

In the first four months of 2025, EFG hired or made offers to hire 29 new CROs. This compares with EFG’s ambition to hire an average of 50-70 CROs per year and underscores its attractiveness as an employer. 

By end-April 2025, EFG’s total number of CROs worldwide was 695, compared to 703 CROs at end-2024. 

Solid capital and liquidity position

EFG maintained a solid capital position in the first four months of 2025. As of end-April 2025, EFG’s Common Equity Tier 1 (CET1) Ratio was 17.1 %, compared to 17.7% at end-2024. EFG’s Total Capital Ratio was 20.8%, compared to 21.5% at end-2024. The decrease reflects the adoption of Basel 3 Final in Switzerland, effective 01 January 2025. 

The Liquidity Coverage Ratio was 211% at end-April 2025 compared to 242% at end-2024.

SUBSEQUENT EVENTS (after 30 April)

EFG’s strategy of sustainable and profitable growth has been consistently complemented by actions to de-risk its business and its balance sheet. The following events occurred after 30 April 2025 and are therefore not reflected in the financial performance for the first four months of 2025 (discussed above).

Net contribution of around CHF 45 million expected in 1H25 due to insurance recovery

EFG is today announcing that in May 2025 an insurance settlement has been reached in principle (subject to final confidential documentation) relating to losses incurred in the context of the 22 February 2023 announcement of a final settlement of multi-jurisdictional legal proceedings with a Taiwanese insurance company. EFG expects its net profit for the first half of 2025 to include a net contribution of around CHF 45 million. 

Further de-risking of life insurance portfolio 

EFG is today announcing the successful outright sale of a part of its portfolio of directly held life insurance policies (accounting for approximately 20% of its total life insurance portfolio). The sale, effective 15 May, has a marginally positive impact on EFG’s earnings in the first half of 2025. 

Following this transaction, the current carrying value of EFG’s life insurance exposure dropped below CHF 275 million, relative to the CHF 363.9 million carrying value at end-2024 as disclosed on 19 February 2025. For more details on EFG’s life insurance exposure, please refer to EFG’s full-year 2024 results presentation.

Together with the previously announced divestment of its synthetic life insurance portfolio on 24 February 2025, EFG is further de-risking its life insurance exposure and strengthening its balance sheet.

EFG Investor Day 2025

As EFG’s current strategic cycle draws to a close, EFG remains confident about its ability to exceed its 2025 ambition. EFG looks forward to updating investors and other stakeholders on its future strategic direction, priorities and financial targets for the next strategic cycle at its Investor Day on 25 November.

Financial calendar

23 July 2025: Half-year results 2025
25 November 2025: Investor Day and 10 months trading update

 

1 All financial figures in this media release are unaudited.
2 Alternative performance measures and Reconciliations: This media release and other communications to investors contain certain financial measures of historical and future performance and financial position that are not defined or specified by IFRS, such as “return on tangible equity”, "net new assets", "Assets under Management", "operating profit", "cost/income ratio", “Liquidity Coverage Ratio”. These alternative performance measures (APM) should be regarded as complementary information to, and not as a substitute for the IFRS performance measures. The definitions of APM used in this media release and other communications to investors, together with reconciliations to the most directly reconcilable IFRS line items, are provided in the section headed "Alternative performance measures" in the Full-year Report 2024 available at www.efginternational.com/annual-report-2024. 
 

Important disclaimer

This document has been prepared by EFG International AG (“EFG”) solely for use by you for general information only and does not contain and is not to be taken as containing any securities advice, recommendation, offer or invitation to subscribe for, purchase or redeem any securities regarding EFG. 

This media release includes forward-looking statements that reflect EFG’s intentions, beliefs or current expectations and projections about EFG’s future results of operations, financial condition, liquidity, performance, prospects, strategies, opportunities and the industries in which it operates. Forward-looking statements involve all matters that are not historical facts. EFG has tried to identify those forward-looking statements by using the words ‘may’, ‘will’, ‘would’, ‘should’, ‘expect’, ‘intend’, ‘estimate’, ‘anticipate’, ‘project’, ‘believe’, ‘seek’, ‘plan’, ‘predict’, ‘continue’ and similar expressions. Such statements are made on the basis of assumptions and expectations which, although EFG believes them to be reasonable at this time, may prove to be erroneous.

These forward-looking statements are subject to risks, uncertainties and assumptions and other factors that could cause EFG’s actual results of operations, financial condition, liquidity, performance, prospects or opportunities, as well as those of the markets it serves or intends to serve, to differ materially from those expressed in, or suggested by, these forward-looking statements. Important factors that could cause those differences include, but are not limited to: changing business or other market conditions, legislative, fiscal and regulatory developments, general economic conditions in Switzerland, the European Union and elsewhere, and EFG’s ability to respond to trends in the financial services industry. Additional factors could cause actual results, performance or achievements to differ materially. In view of these uncertainties, readers are cautioned not to place undue reliance on these forward-looking statements. EFG and its subsidiaries, and their directors, officers, employees and advisors expressly disclaim any obligation or undertaking to release any update of or revisions to any forward-looking statements in this media release and any change in EFG’s expectations or any change in events, conditions or circumstances on which these forward-looking statements are based, except as required by applicable law or regulation.