Corporate | 13 October 2011 11:40
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Baader Bank AG / Key word(s): Quarter Results/Quarter Results
Baader Bank feels the impact of the sovereign debt crisis Unterschleissheim, 12 October 2011 During the third quarter of 2011, Baader Bank AG felt the impact of the sovereign debt crisis. 'Our business is subject to politically driven capital markets which are highly unpredictable,' said Uto Baader, Chairman of the Executive Board of Baader Bank AG in Unterschleissheim. In the reporting period, impairments on securities in particular led to a year on year decline in net trading income at Baader Bank from EUR13.3 million to EUR8.2 million; in the nine-month comparable period this equates to a drop of 20.8% to EUR35.3 million. Nevertheless, in a quarterly and nine-month comparison, the net fee and commission income remained level at EUR7.6 million and EUR25.5 million respectively. This can be attributed primarily to the successful development of investment banking activities. Additionally, earnings were negatively impacted by impairments on securities in the banking book in accordance with the strict 'lower of cost or market' rule. In the third quarter of the year, the income from ordinary activities amounted to minus EUR9.0 million (3rd quarter 2010: EUR1.9 million). In the nine-month comparable period, income from ordinary activities was down to minus EUR3.8 million against EUR8 million in the previous year. From July to September, post-tax results showed a loss of EUR 9.3 million (third quarter 2010: EUR1.1 million profit); the first nine months of the current year showed a post-tax loss of EUR4.4 million (previous year: EUR11.9 million profit). The increase in administrative expenses over the first nine months of 2011 is due to the expansion of investment banking activities. 'These expenses should thus be viewed as an investment in the future,' said Baader. In the period July to September 2011, administrative expenses were slightly higher at EUR19.5 million than in the same quarter of 2010 (EUR19.0 million). This corresponds to an increase from EUR59.1 million to EUR63.8 million in the nine-month comparable period. The Group's equity amounted to EUR100.1 million as at 30 September 2011 (31 December 2010: EUR110.3 million). In the first nine months of the year, earnings per share amounted to minus EUR0.10 (previous year: EUR0.26). The Group employed a staff of 412 employees as at 30 September 2011 (30 September 2010: 367).
The Executive Board
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| Language: | English | |
| Company: | Baader Bank AG | |
| Weihenstephaner Str. 4 | ||
| 85716 Unterschleissheim | ||
| Germany | ||
| Phone: | +49 (0)89/ 5150-0 | |
| Fax: | +49 (0)89/ 5150-291030 | |
| E-mail: | info@Baaderbank.de | |
| Internet: | www.Baaderbank.de | |
| ISIN: | DE0005088108 | |
| WKN: | 508810 | |
| Listed: | Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, München (m:access), Stuttgart; Open Market in Frankfurt | |
| End of News | DGAP News-Service |
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