DGAP-News

Baader Bank continues strong growth in first quarter of 2021 - Seite 2

Net interest income is shaped by the low interest rate environment and, like current income, is not of material significance to the Group. The total for the first quarter of 2021 is EUR -0.3 million (Q1 2020: EUR -0.6 million). Revenues fell slightly to EUR 3.1 million (Q1 2020: EUR 3.2 million). Other income increased to EUR 3.8 million (Q1 2020: EUR 0.4 million).

Constant running costs through economies of scale, personnel costs in sync with earnings and growth

At the end of the first quarter of 2021, total expenses amounted to EUR 58.9 million. The increase was disproportionately low against the growth in income and earnings at 17% (Q1 2020: EUR 50.4 million). This is primarily due to the higher variable personnel costs, which are in sync with the further increase in earnings. Personnel expenses are up overall for the first quarter, to EUR 24.9 million (Q1 2020: EUR 11.3 million). Other administrative expenses remain almost unchanged at EUR 12.6 million (Q1 2020: EUR 11.9 million) due to considerable economies of scale, likewise, the costs for depreciation and amortisation of intangible assets and property, plant and equipment at EUR 1.96 million (Q1 2020: EUR 1.97 million).

Expenses for other depreciation, amortisation and for risk provision are down significantly, by 89%. The figure for the first quarter of 2021 is EUR 1.1 million (Q1 2020: EUR 10.2 million). This reflects the fact that significant risk positions have been reduced in the past. The quarterly result also includes expenses in the amount of EUR 18.4 million for the transfer to the fund for general banking risks.¹

As of 31 March 2021, the Group's total number of employees (in full-time equivalents) is 410 (Q1 2020: 382).

Capital strength extended, balance sheet total exceeds EUR 1.0 billion for first time

The growth is also reflected in the expansion of the balance sheet total. At EUR 1.15 billion as at the reporting date of 31 March 2021 (31 December 2020: EUR 888.6 million) and with a balance sheet equity ratio of 12.8% (31 December 2020: 13.6%), Baader Bank is thus underpinning its capital strength, which also supports future growth and investment phases. At the end of March 2021, the Common Equity Tier 1 ratio (CET 1) was 18.7% (31 December 2020: 14.6%).