Information unaudited Information ungeprüftLLB Group achieves solid result

Dear shareholders

What counts in turbulent times? For the LLB Group it is having a stable foundation, a clear strategy and the trust of our clients. These strengths enabled us to achieve a solid business result in the first half of 2025. And this even though the business environment was anything but easy.

LLB Group achieves solid result

The net profit of the LLB Group stood at CHF 91.0 million (first half of 2024: CHF 90.2 million), the same level as in the equivalent period in the previous year. At  CHF 117.2 billion, the business volume attained a new record. Growth achieved  organically and through acquisitions stood at CHF 4.4 billion in the first half of 2025. Both market divisions contributed to the net new money inflow of CHF 1.4 billion. Client assets under management reached CHF 100.9 billion, also a new record value. This total also contained, for the first time, client assets that accrued to us through the acquisition of ZKB Österreich. Net new loans amounted to CHF -0.3 billion (first half of 2024: CHF +0.2 billion). Within the scope of measures to enhance the rentability of the lending book, low-margin loans were reduced thereby increasing profitability.

Operating income increased by 10.5 per cent to CHF 312.8 million. The development of fee and commission income was especially pleasing. The higher level of client assets under management, the takeover of ZKB Österreich and intensified client trading activity all contributed to this increase of CHF 24.0 million. Falling interest rates led to a decline in interest differential business and reduced interest income. In contrast, the difference between Swiss franc and especially US dollar interest rates had a positive effect on the LLB Group’s interim business result.

Operating expenses of CHF 204.6 million (+15.5 %) were in line with our corporate strategy. The acquisition of ZKB Österreich acted as a significant cost driver. The takeover led to an increase in total personnel of around 100 employees. Furthermore, operating expenses also contained integration costs amounting to CHF 7.1 million. In total, thanks to strict cost controls, we able to slow the rise in operating expenses.

At 65.7 per cent, the Cost Income Ratio stood at the same level as in the previous year (first half of 2024: 65.2%) and therefore within our self-defined target range of 65 per cent. Without the integration of the former ZKB Österreich, the Cost Income Ratio would have stood at 63.8 per cent.

Successful implementation of strategy

Since January 2022, we have been pursuing our ACT-26 strategy, which is based on the three core elements growth, efficiency and sustainability. In the first half of 2025, we once again reached important milestones in the implementation of the strategy.

Growth: At the beginning of August, we were able to complete the merger of LLB Bank AG (formerly ZKB Österreich) with Liechtensteinische Landesbank (Österreich) AG. Thanks to the takeover, we have strengthened our position as the leading wealth management bank in Austria and have underscored the strategic importance of the Austrian market. In Switzerland too, with our move into the Modissa building on the Bahnhofstrasse in Zurich, we have put in place a visible sign of our intention to further strengthen our private banking and corporate client business.

Efficiency: With the successful introduction of our new online banking programme in the first half of 2025, we have attained a key milestone. In the meantime, most of our clients use this modernised digital client interface, which convinces thanks to its uniform design, intuitive navigation and extended functionality. Our digital „willbe“ investment app was also supplemented with innovative features such as the possibility of investing in gold und ETFs. In parallel with these innovations, we are making rapid progress in the digitalisation of our processes – for example, the automation of credit and lending procedures and various digital self-service options for our clients. In the second half of the strategy period, we shall sharpen our focus on efficiency and operative excellence. We are continuing to digitalise our processing procedures, seamlessly integrate digital solutions in our systems and thus create the basis for convincing client experiences and the highest level of efficiency.

Sustainability: We are continuing to make significant progress in this strategic core element. Currently, we are focusing on the implementation of regulatory provisions. In March 2025, we published our first sustainability statement in accordance with the new EU sustainability standards. In this respect, our ESG data base helps us to better monitor and control the corresponding impacts and risks. And we have just launched a groupwide project with the aim of further developing our ESG risk management and making it fit for the future.

Changes in Board of Management

With Michael Hartmann, we have gained an acknowledged expert with vast experience for the Group Board of Management. He has headed the Retail and Corporate Banking Division, a vital business sector in achieving our strategic ambitions, since June 2025. His expertise and experience will enable him to make a decisive contribution to attaining the LLB Group’s growth objectives. We are convinced that he will prove to be a competent successor for Urs Müller, who will retire next spring.

In June 2025, Group CEO Gabriel Brenna decided to leave the LLB Group. He was a member of the Group Executive Board since October 2012. On 1 March 2021, he was appointed Group Chief Executive Officer and Chairman of the Group Executive Board of the LLB Group. The Board of Directors would like to thank Gabriel Brenna for his great commitment to the company.

Christoph Reich has taken over the function of Group CEO ad interim with immediate effect. He joined the LLB Group as Group CFO and member of the Group Executive Board in 2012. In addition, he has been Deputy Group CEO since 2022. The Board of Directors would like to thank Christoph Reich sincerely for his readiness to take over this function.

Outlook

For the full 2025 year, we expect to attain a lower business result than in the previous year. The principal reasons for this lower result are the substantially lower level of interest rates – particularly in the Swiss franc region – as well as the one-time integration costs in connection with the takeover of ZKB Österreich. Furthermore, it can be assumed that the current geopolitical and economic uncertainties will persist. Nevertheless, we are well prepared for the future because we have in place a strategy that works, as well as a diversified and well proven business model. Moreover, we have already proven many times that we are also successful even in challenging periods.

Thank you for your trust

We would like to thank you, dear shareholders, for your loyalty and dedication to our company. A note of thanks also goes to our clients for their trust in us. The times may indeed be challenging, but together we can look into the future with confidence.

Yours sincerely

Georg Wohlwend

Chairman of the Board of Directors

Christoph Reich

Group CEO a. i.