Swiss private bank Lombard Odier's profits soared in the first six months. The Genevan firm's assets couldn't quite keep pace.
Lombard Odier's profits shot to 205 million Swiss francs ($209.7) from 69 million francs last year, the Genevan partner-controlled private bank said on Thursday.
Even if the bank boasted brisk business in the first half – the profit jump was mainly due to the sale of five pieces of prime real estate in Geneva as well as its private banking business in the Netherlands.
Lombard Odier looks good, even without the 125 million franc windfall: profit would have stood at 80 million francs without it, 16 percent higher than last year. Income climbed 10 percent to 592 million francs.
Sideways Asset Growth
The bank said that healthier client business in each of its business areas on the year, as well as higher assets in 2017, spurred profits. This year, assets stagnated: Lombard Odier attracted 3 billion francs in net new money, but this was quickly wiped out by stock market swings. This left managed assets largely unchanged at 274 billion francs.
«Our improved results in the first half reflect the favorable effect from acquiring private and institutional clients in a difficult market environment,» said Patrick Odier, the senior managing partner of the 222-year-old bank.
The bank is extremely solidly capitalized with a ratio of 26.5 percent. At 18.4 billion francs, its balance sheet also remained stable.
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