Cembra Achieves 6% Growth in Net Revenues and 4% Rise in Net Income in H1 2024

Cembra Money Bank AG reported a 4% increase in net income to CHF 78.3 million for the first half of 2024. Net revenues saw a 6% rise to CHF 268.0 million, driven by higher net interest income. The cost/income ratio improved to 50.4%. The bank’s net financing receivables grew by 2% to CHF 6.8 billion.

CEO Holger Laubenthal highlighted successful strategic initiatives, including the roll-out of a new banking platform for auto leasing partners. Personnel expenses increased by 2%, but operating expenses remained stable. The bank's loss rate normalized at 1.0%, and the Tier 1 capital ratio stood at 17.1%.

Interest income grew by 18% to CHF 236.6 million as a result of asset growth and successful repricing. Commission and fee income rose by 2%, mainly due to increased activity in the credit cards sector. Operating expenses remained stable despite ongoing restructuring efforts.

The bank’s funding cost increased to 1.62%, reflecting a diversified funding portfolio. Shareholder equity decreased by 3% due to a dividend payout. Significant progress was made in strategic transformations, including enhancements to the Cembra App and the legal merger within the BNPL business.

Cembra expects continued growth, aiming for increased net income and achieving mid-term targets through 2026, including a dividend of at least CHF 4.00 for the current financial year.