Continued improvement in operating performance with net income of CHF 937 million, up 45% year on year, and increased RoTE at 10%
Highlights
- Group Return on Tangible Equity (RoTE)1 significantly higher year on year at 10%, versus 8% for 1Q19 and 7% for 2Q18
- Returned CHF 1.3 billion of capital to shareholders, including CHF 570 million worth of shares repurchased year to date and payment of 2018 dividend of CHF 695 million
- Group net income attributable to shareholders of CHF 937 million, up 45% year on year, and Group pre-tax income (PTI) of CHF 1.3 billion, up 24% year on year
- CHF 9.5 billion of Wealth Management Net New Assets (NNA) added in 2Q19 after CHF 9.6 billion in 1Q19, and record Assets under Management (AuM) of CHF 797 billion
- Increased Group AuM by CHF 113 billion in the first six months of 2019 to reach CHF 1.5 trillion, with NNA of CHF 59 billion for 1H19
- Global Markets revenues up 8% year on year with Fixed Income sales and trading up 11% and Equity sales and trading up 3%; restructured GM platform achieved PTI of USD 359 million, up 141% year on year, with a return on regulatory capital of 11%
- 11th consecutive quarter of year on year positive operating leverage, with operating expenses of CHF 4.3 billion, down 5% year on year
- Maintained strong capital position, with CET1 ratio of 12.5% and Tier 1 leverage ratio of 5.3%
Tidjane Thiam, Chief Executive Officer of Credit Suisse, commented:
“In the second quarter, we continued to deliver a strong operating performance through the disciplined execution of our strategy, with higher profits, both year on year and sequentially. We achieved an RoTE of 10% for the first time since we launched our restructuring in 4Q15. We have been explicit that we wanted to be a leading wealth manager with strong investment banking capabilities, and we have continued to make progress on both of these fronts.
“These results, delivered in a challenging environment, indicate that our bank has emerged from three years of restructuring with a strong franchise and an efficient platform, allowing us to support our clients and generate growing returns for our shareholders, with CHF 1.3 billion of capital returned to investors year to date. The results demonstrate the continued value of our regional, client-focused operating model, allowing us to fully leverage our leading wealth management and investment banking capabilities as we support our clients and help them protect and grow their wealth.”
