Ad hoc announcement pursuant to Art. 53 LR

20 March 2025

Media information

Following a record year in 2024, Swissquote now targets a pre-tax profit of half a billion Swiss francs by 2028

2024 was the best year ever on multiple fronts for Swissquote. Client assets grew from CHF 58.0 billion to CHF 76.3 billion over the year, marking an impressive increase of +31.5%. This growth was supported by net new money inflows of CHF 8.3 billion, one of the best levels ever recorded. The total number of accounts increased by more than 75,000 in 2024, close to the combined growth of 2023 and 2022. Financially, 2024 was also a record-breaking year, with net revenues reaching CHF 661.0 million (+24.4%) and the pre-tax profit climbing to CHF 345.6 million (+35.3%). The diversification of the business model helped Swissquote navigate the pressure on net interest income following a 125 bps decline in CHF interest rates. Non-transaction-based revenues accounted for 48% of total net revenues, while net revenues from customers domiciled outside of Switzerland made up 42%, underscoring the evolution into not only a multi-asset-class platform but also an international one. The pre-tax profit at CHF 345.6 million is very close to the CHF 350 million target initially set for 2025 back in March 2022. This reflects an average annual pre-tax profit growth over 15%. For 2024, the Board of Directors is proposing a dividend of CHF 6.00 per share, corresponding to approximately 30% of the net profit. Looking ahead to 2028, Swissquote expects to continue growing with a new pre-tax profit target set at CHF 500 million.

Spotlight on revenue mix

In 2024, net revenues reached CHF 661.0 million, an increase of +24.4% compared to the previous year (CHF 531.4 million). Most of the revenue categories showed growth. The crypto market benefitted from a global change of perception and the total crypto market capitalisation almost doubled during the year, as Bitcoin surpassed the threshold of USD 100,000 at the end of 2024. In that context, net crypto assets income increased by +353.2% to CHF 85.5 million, which represented approximately 13% of total net revenues. Net fee and commission income increased by +24.7% to CHF 178.2 million, driven by growing investor appetite for foreign securities. Despite a declining interest rate environment, net interest income continued to grow (+5.2% compared to last year) supported by higher cash deposits of customers (total balance sheet up by +33.4%) and a more favourable currency mix in such cash deposits. Net eForex income remained affected by low FX volatility and decreased by -6.4% to CHF 94.7 million compared to last year. Net trading income increased by +41.3%, supported by a stronger foreign-currency-designated trading activity.

Pre-tax profit margin at its highest level

In the context of record-breaking net revenues, a large portion of the increase impacted positively profitability. Total expenses grew by +16.5% to CHF 315.7 million, mainly because of higher payroll and related costs. Payroll and related expenses increased by +15.6% as a result of a higher average headcount (+7.4%) and expenses attributable to variable remuneration (CHF 6.5 million increase compared to 2023). In a context of a positive year 2024, marketing expenses were strategically increased by +18.2% to further support and sustain momentum (initial budget at CHF 29 million). The increase of other operating expenses and depreciation also included a few one-off costs (CHF 7.1 million). In 2024, the pre-tax profit grew by +35.3% to a new record level of CHF 345.6 million (CHF 255.4 million). The pre-tax profit margin grew to 52.3% (48.1%), while the net profit increased to CHF 294.2 million (CHF 217.6 million), with the net profit margin rising to 44.5% (41.0%).

Client assets at CHF 76.3 billion, accounts up +13.2% in 12 months

The total number of accounts increased during 2024 by more than 75,000 accounts, reaching a total of 650,089 as of 31 December 2024. Client assets reached CHF 76.3 billion at the end of 2024, an increase of +31.5% thanks to net new money and positive market impact. The net new money reached CHF 8.3 billion (CHF 5.0 billion) and was purely organic. All geographies showed positive momentum, with particular growth in Switzerland and in Europe, where the net new money reached respectively CHF 5.1 billion and CHF 2.2 billion. In 2024, customer deposits increased by CHF 2.7 billion and the portion of such customer deposits remained stable (as a percentage of total client assets) at 15%. Interestingly, the relative importance of CHF customer deposits decreased down to 50% in 2024. The remaining 50% consisted mainly of USD and EUR customer deposits.

Yuh profitable ahead of plan

As at 31 December 2024, the mobile finance app Yuh increased the total number of accounts to more than 285,000 (+ 48.0% compared to last year) and its client assets to CHF 2.8 billion (+101.6% compared to last year). Ahead of its initial business plan, Yuh reached profitability (on a stand alone basis) already in 2024 and the contribution to Swissquote’s pre-tax profit was positive. For the time being, the primary focus of Yuh remains the consolidation of its leadership position in Switzerland. The pre-tax profit contribution is to remain positive in 2025.

Solid equity position providing future opportunities

As of 31 December 2024, total balance sheet assets reached CHF 13.3 billion (CHF 10.0 billion). During the period, a change in the currency mix of the balance sheet was observed due to higher activity on foreign securities and crypto assets. As a consequence, the relative importance of cash and balances with central banks (mainly CHF currency) decreased to 42% (46%). The capital ratio, which already takes into account the dividend proposed to be paid in 2025, remained solid at 23.5% (25.1%).

Full year guidance 2025 and new mid-term outlook 2028

Moving forward, Swissquote will further grow its net revenues and pre-tax profit. The new medium-term target puts pre-tax profit at CHF 500 million in 2028. By then, the diversification and the nature of net revenues should continue to improve, together with the pre-tax profit margin.

For 2025, Swissquote will consolidate its successful year 2024 and grow net revenues to CHF 675 million (+2.1%) and pre-tax profit to CHF 355 milllion (+2.7%).

Changes in the corporate organisation and AGM

Swissquote announces the following changes to its corporate organisation:

Beat Oberlin, a long-standing member of the Board of Directors since 2016 and Chairman of the Nomination & Remuneration Committee, will not be standing for re-election at this year’s Annual General Meeting.

Hans-Rudolf Köng will be proposed as a new member of the Board of Directors at the upcoming Annual General Meeting. After more than 12 years as the CEO of PostFinance, he currently holds various board roles. He will bring to the Board his extensive banking and financial expertise, as well as executive experience in a systemic and AA-rated bank.

Markus Dennler, Chairman of the Board of Directors, commented: “We are convinced that Hans-Rudolf Köng will be a valuable addition to our Board of Directors. His deep expertise and leadership experience will help us navigate future opportunities and challenges. At the same time, on behalf of the entire Board, I would like to sincerely thank Beat Oberlin for his many years of dedication and his significant contributions to Swissquote’s success. His insights and commitment have played an essential role in shaping the growth experienced in the last years.”

At the upcoming Annual General Meeting, the Board of Directors will also propose a two-year renewal of the capital band, the terms of which will otherwise remained unchanged.

As the current external auditor has served for over 20 years, Swissquote announces the launch of a request for proposal process to select a new external auditor for the financial year 2026 onwards. The selected firm will be proposed for election at the AGM in 2026.

The complete 2024 Annual Report is available at:

https://www.swissquote.com/en/group/investor-relations/financial-reports

For more news (and full press-releases) please visit our news room: https://en.swissquote.com/company/media/press-releases

Best regards,

Nadja Keller
CEO Assistant / Media Relations Manager
nadja.keller@swissquote.ch
+41 44 825 88 01