Corporate | 14 March 2014 07:28

Baader Bank AG: Positive operating result in 2013 for Baader Bank – significant growth in market making earnings

Baader Bank AG / Key word(s): Final Results

14.03.2014 / 07:28

Positive operating result in 2013 for Baader Bank – significant growth in market making earnings

Baader Bank Group achieved a provisional operating result just short of EUR 1.5 million for 2013 (previous year: EUR 11.1 million). The 2013 result after taxes was minus EUR 0.2 million. Loan loss provisions together with lower earnings contributions from other income sources prevented the operating result from being better. As a result of changes to its assessment basis, some EUR 2.1million was released in 2013 from the fund for general banking risks. At the Annual General Meeting on 1 July 2014 shareholders will be asked to approve a dividend of EUR 0.01 (previous year: EUR 0.05). The distribution will be made from the taxable deposit account.

Net trading income rose by EUR 7.1 million to EUR 42.6 million, principally as a result of market making activities. The Bank managed to consolidate its leading position on German stock markets in 2013. Further afield, the bank entered into a partnership with the Swiss BX Berne eXchange for foreign equity trading purposes.

Net fee and commission income rose by EUR 10.3 million to EUR 49.5 million. The newly added Helvea Group contributed nearly EUR 12.6 million in the first year of consolidation. Pleasing results were also posted by a number of other companies within the group – notably, Baader & Heins, CCPM and Gulf Baader Capital Markets. Administrative expenses rose by around 13 per cent to EUR 105.4 million. The principal reasons for this increase were the higher costs associated with the implementation of supervisory requirements and the initial consolidation of Helvea within the group. As at the year-end, Baader Bank Group employed 473 members of staff (31.12.2012: 430).

Taking into account the fund for general banking risks, equity available to the group as at the year-end amounted to EUR 135.3 million (31.12.2012: EUR 138.9 million). As at the reporting date, the group’s equity ratio stood at 17.8 per cent (31.12.2012: 21.6 per cent). This change relates predominantly to the 19.7 per cent increase in Baader Bank Group’s balance sheet total, which now stands at EUR 617.9 million.

Prospects:
The group’s results in 2014 will continue to be adversely affected by the costs associated with the implementation of numerous regulatory requirements and by the integration of Helvea. Nevertheless, based on current expectations – and subject to there being no extraordinary and as yet unforeseen events leading to a negative effect on profitability – we expect to see a significant increase in the result after taxes in 2014 compared to that in 2013.

Key figures in EUR million 2013 2012
Net interest income 4.5 4.9
Current income 1.7 1.6
Net fee and commission income 49.5 39.2
Net trading income 42.6 35.5
Administrative expenses – 105.4 – 93.2
Other income/expenses 4.1 3.9
Loan loss provisions 4.5 19.3
Operating result 1.5 11.1
Net loss / profit after taxes – 0.2 8.8
Equity 110.2 111.6
Fund for general banking risks 25.2 27.3
Equity ratio 17.8% 21.6%

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Language:	English
Company:	Baader Bank AG
	Weihenstephaner Str. 4
	85716 Unterschleißheim
	Germany
Phone:	+49 89 5150 1882
Fax:	+49 89 5150 29 1880
E-mail:	communications@baaderbank.de
Internet:	www.baaderbank.de
ISIN:	DE0005088108
WKN:	508810
Listed:	Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, München (m:access), Stuttgart; Frankfurt in Open Market

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