Liechtensteinische Landesbank (LLB) increased its annual profit in 2016 by around 20 per cent to CHF 103.9 million, according to a statement from the bank. Operating income also rose by nearly 19 per cent to CHF 371.7 million.
Uncertainty on the financial markets led to a 2.6 per cent decline in free and commission income to CHF 145.7 million. Nonetheless, net interest income increased by 4.2 per cent to CHF 138.1 million. Net trading income also grew, rising from CHF 33.1 million in 2015 to CHF 55.9 million in 2016.
LLB reported what it called “gratifying” inflows of net new money in the home markets as well as the growth markets, while outflows in the traditional markets slowed down. Net new money outflows were CHF 65 million, much lower than 2015’s CHF 206 million. According to the bank, client loans reached a record high with CHF 11.5 billion.
The LLB Group invested strongly in personnel last year and now has 858 full-time equivalent positions. In December 2015, that figure was only 816. Operating increases increased by 16.8 per cent over the previous year to CHF 258.2 million. Despite higher expenses, the cost/income ratio was improved.
The Board of Directors once again proposes a higher dividend of CHF 1.70 per share. The State of Liechtenstein will receive a total of CHF 38.4 million from the LLB Group.