Growth course at Valiant continues

The financial services provider Valiant is continuing its growth course: After the first half of 2021, a consolidated profit of 61.2 million francs can be reported, which corresponds to an increase of 1.8 percent compared to the same period of the previous year. Valiant increases operating income by 4.1 percent to CHF 211.3 million. It increased its operating profit by 0.2 percent to 74.1 million francs.

Strong in core business

Valiant's figures are positive mainly in the interest business. The financial services provider was able to increase gross income from the interest business by 4.4 percent to 169.5 million Swiss francs, while interest expenses continued to decline significantly. The active balance sheet structure management as well as the issuance of covered bonds contributed significantly to this, Valiant announced. Valiant has a high-quality and robust credit portfolio. In the first half of 2021, Valiant formed default risk-related value adjustments in the amount of CHF 6.8 million. The interest business resulted in net income of CHF 162.7 million, which Valiant thus increased by 5.3 percent compared to the same period last year.

Valiant increased the result from the commission and service business by 2.6 percent to 32.3 million francs. Strengthening the securities and investment business and hiring additional specialists is paying off, according to Valiant. The bank increased commission income from the securities and investment business by 7.3 percent to 23.8 million francs compared to the same period last year. Other ordinary income decreased by CHF 3.2 million (27.6 percent) to CHF 8.5 million due to lower income from investments. Income from trading operations increased by CHF 2.5 million (46.1 percent) to CHF 7.8 million.

Valiant achieved growth of 3.1 percent in client loans, thus reaching its annual growth target of at least 3 percent after just six months. As of mid-2021, customer loans amount to CHF 26.7 billion. Customer deposits increase by 3.4 percent to CHF 21.8 billion.

Further growth course through expansion

Valiant is also accelerating its geographical expansion from Lake Geneva to Lake Constance. The new openings of the branches in Zurich Oerlikon and in Liestal in the first half of 2021 will be followed by further new locations. In the fall of 2021, the offices in Bülach, Frauenfeld and Wohlen AG will be inaugurated. The bank has already found additional locations in Wädenswil, Winterthur, Uster, Meilen and Pully. A total of 14 additional branches are to be opened by 2024. This will create 170 full-time positions, 140 of which will be in customer advisory services. Since 2017, 44 percent of the growth in customer loans can be attributed to the new locations, Valiant says. As part of the expansion and investments in digitalization, operating expenses will increase by 5.6 percent to CHF 125.8 million in the first half of 2021.

For the second half of the financial year, Valiant continues to expect a stable business development. It relies on a strong liquidity and capital base and a stable business model. For the year 2021, Valiant expects a Group profit in line with the previous year.

The exact figures can be found here: valiant.ch/results