Financial Results

Liechtenstein's LLB Reports Says Net Profit Fell In 2020

Tom Burroughes, Group Editor, London, 12 March 2021


Following the strong result in the 2019 financial year, LLB said it recorded a "solid" net profit in 2020, amidst an "extremely challenging year."

Group net profit at Liechtensteinische Landesbank declined by 11 per cent to SFr109.8 million in 2020, while operating income fell by 5 per cent to SFr430.3 million ($465 million). Operating costs came in at SFr306.7, down by 1.5 per cent.

The Vaduz-based bank said that its cost/income ratio narrowed a touch to 69.8 per cent last year, in from 70 per cent. Return on equity slipped to 5.3 per cent from 6.0 per cent.
Its Tier 1 ratio – a measure of its capital buffer – rose to 21.6 per cent from 19.6 per cent.

Client assets under management rose in 2020, reaching SFr79.7 billion, a gain of 4.4 per cent on a year earlier. Net new money inflows decelerated to SFr3.274 billion, down by 21 per cent, LLB said. 

At SFr199.1 million, net fee and commission income was down year-on-year (2019: SFr209.2 million). Net brokerage rose by 21.0 per cent year-on-year to SFr42.1 million. Higher transaction-related earnings compensated for the lower portfolio-related revenues and lower performance-dependent fees.

LLB said it will propose a stable dividend of SFr2.20 to the General Meeting of Shareholders on 7 May 2021.

Register for WealthBriefing today

Gain access to regular and exclusive research on the global wealth management sector along with the opportunity to attend industry events such as exclusive invites to Breakfast Briefings and Summits in the major wealth management centres and industry leading awards programmes