Information unaudited Information ungeprüftLLB Group with profit at previous year’s level
Dear shareholders
Once again, the last few months have shown how quickly indicators – economic, geopolitical and on the financial markets – can change. In such situations, many people seek security and stability above all else. Exactly what the LLB Group stands for; as we again proved in the 2025 business year.
Robust business result
In 2025, the LLB Group demonstrated its earnings power in a challenging business environment and continued its dynamic growth. Group net profit stood at CHF 166.5 million (previous year: CHF 167.2 million) and was therefore at the same level as in the previous year. At the same time, at CHF 125.9 billion, the business volume reached a new record. Client assets under management also registered gratifying growth, rising to CHF 108.9 billion, including the assets under management that accrued to the LLB Group through its acquisition of the former ZKB Österreich. Net new money inflows amounted to CHF 3.7 billion, the result of contributions by both market divisions. Net new loans also showed a pleasing increase. Over the whole year, they reached CHF 540 million.
In comparison with the previous year, operating income climbed by 8.1 per cent to CHF 611.6 million. Fee and commission income developed particularly strongly. Higher volumes of client assets, the effect of the integration of the former ZKB Österreich, as well as the sharp increase in client trading activity contributed to this expansion in income. On the other hand, falling interest rates had a detrimental impact on interest differential business leading to lower interest income. The difference between interest rates in Swiss francs and foreign currencies had a beneficial effect together, here again, with intensified client trading activity. This compensated for the fall in interest differential business.
Operating expenses stood at CHF 410.4 million (+11.1 %). The increase was largely driven by the one-time integration costs of around CHF 10 million. In parallel to this we kept our costs firmly under control and focused our priorities to ensure the long-term improvement in efficiency. For example, the first synergy effects have already been realised and the upward trend in expenses has already noticeably slowed, in spite of the continuing integration phase. The Cost Income Ratio stood at 67.0 per cent (previous year: 66.4 %). Adjusted to disregard the integration costs of the former ZKB Österreich, it would have stood at 65.4 per cent.
Implementation of ACT-26 strategy
Since 2022, we have been pursuing our ACT‑26 strategy, which is based on three core elements: growth, efficiency and sustainability. In the 2025 business year, we diligently maintained this strategic course with the clear goal of positioning the LLB Group to ensure its continued success in the future. In concrete terms this means:
Growth: In 2025, we continued our targeted growth. In Austria, the former ZKB Österreich was successfully integrated, further strengthening our position in the Austrian market. In Switzerland, our new business location in the Modissa building of Zurich’s Bahnhofstrasse testifies to our clear intention of strengthening our private banking and corporate client business. And in Germany, we continued to consolidate and strengthen our business locations in Dusseldorf, Frankfurt and Munich to enable us to deliver even better services for our German clients.
Efficiency: During the second half of our ACT‑26 strategy period, we sharpened our focus on efficiency. Digitalisation is a crucial element of our efforts here. For example, in 2025 we completely renewed our online banking system. Its uniform design, intuitive navigation and expanded functionality are convincing features. At the same time, we have exploited synergies through harmonised and automated processes, especially with digital onboarding and with automated financing contracts and self-service e-banking requests. We are aiming to make additional efficiency gains by continuing to harmonise internal processes and structures, as well as reducing interfaces and assigning clear lines of responsibility. As a result of these measures, our processes and procedures are becoming leaner, more robust and more scalable. A recent example of this is the successful integration of the former ZKB Österreich.
Sustainability: Together with the government of Liechtenstein, we successfully launched the zero per cent energy mortgage in 2025. Our goal here was to send a strong signal to our clients in Liechtenstein and for the environment. The new mortgage enables renovations to property energy systems to be financed without interest and fees. In addition, we made further progress in implementing new regulatory provisions, enhancing the ESG database and developing our ESG risk management. These measures have increased the effectiveness of our sustainability initiatives and boosted our resilience in facing the challenges posed by climate change.
Broad refinancing basis
In cooperation with LGT, in 2025, LLB launched the “Liechtensteinisches Pfandbrief Institut” (mortgage bond institute). Officially founded in January 2026, this shared platform will enable us to issue mortgage bonds which are secured by first class mortgages on Liechtenstein properties. For investors, this represents an internationally proven investment with double protection. For us, it represents a broad, stable refinancing basis, and for our clients and the Liechtenstein financial centre more stability and long-term planning security.
Continuity in spite of changes
2025 was a year of change for the world, but also for LLB. New appointments were made to three key positions in the Executive Management. Michael Hartmann took over as head of the Retail & Corporate BankingDivision. Following the departure of Gabriel Brenna, Christoph Reich managed the Group on an interim basis until he was subsequently appointed Group CEO. Markus Schifferle succeeded him as Group CFO. The fact that we were able to fill these two functions from within our own ranks is a clear indication of how well our succession planning operates. And where external appointments were necessary, we made specific recruitments. This new composition of the Group Executive Management brings added strength to safeguard the Group’s future.
Dividends and re-elections
As shareholders, you have benefitted from our long-term dividend policy for many years. The sustained returns this provides are very attractive to investors. The Board of Directors proposes to the General Meeting of Shareholders on 17 April 2026 that the dividend remain stable at CHF 2.80. This corresponds to an attractive dividend yield of 3.3 per cent. At the 34th ordinary General Meeting of Shareholders, the first term of office of Board members Dr. Nicole Brunhart and Dr. Christian Wiesendanger comes to an end. Both have integrated well and made valuable contributions to the work of the Board. We therefore request that both members be re-elected and look forward to a continuation of the positive collaboration within the Board of Directors.
Outlook
In 2026, the business environment is likely to remain volatile. A clear course is therefore all the more important. This year, we also want to bring ACT‑26 to a successful conclusion. In parallel, we are already developing our successor strategy for the future to enable us to continue achieving business success and to permit us to exploit new opportunities. We expect to achieve a solid business result for the 2026 business year.
A note of thanks
Our goal is to safeguard the long-term, successful future of the LLB Group. That we have again achieved this in 2025 is due to the contributions of many stakeholders. We want to thank you, dear shareholders, for your trust and support. We would like to thank our clients for the partner-like relations we enjoy with them. Our employees deserve a special note of thanks for the passion, elan and focus that they bring to their work every day to drive forward the LLB Group and make it the success that it is: one of the most trustworthy banks in the world.
Yours sincerely
- Georg Wohlwend
- Chairman of the
Board of Directors
- Christoph Reich
- Group
CEO