Compagnie Financière Tradition (CFT) H1 2024 earnings summary

Executive summary

• Adjusted revenues for H1 2024, including joint ventures, reached CHF 577 million, up 9.2% year-over-year at constant FX, with strong momentum across all regions and asset classes.

• Net profit attributable to shareholders rose 24.5% to CHF 60 million, with basic EPS of CHF 7.98, reflecting improved productivity and operational leverage.

• Operating profit including joint ventures increased 12% at constant FX to CHF 80 million, with margins improving to 13.8%.

• Shareholder equity before treasury stock stood at CHF 492 million, with a strong balance sheet and net cash position.

• The business model continues to deliver strong growth and profitability, supported by organic growth, cost management, and digitalization.

Financial highlights

• Net cash position, including JV share, was CHF 252 million, with gross cash at CHF 465 million and gross debt of CHF 213-215 million.

• EBITDA increased 10.6% to CHF 92 million, with a margin of 16.0%.

• Pre-tax result increased 22.8% to CHF 81.5 million; net profit group share up 24.5% in constant currencies.

• Dividend payout ratio targeted at 50% of net profit, with consistent dividend distribution policy.

• Share buyback program ongoing, with 4% of share capital held as treasury shares.

Outlook and guidance

• Growth momentum continued into July and August, with activity levels in line with H1.

• Focus remains on organic growth, broker productivity, cost management, digital/data initiatives, and high-margin data and analytics.

• Contribution margin targeted at 34%-35%, with ongoing efforts to optimize.

• Continued investment in data science and digitalization to support future growth.