EFG Posts Record Profit From Insurance Recovery
Zurich-based EFG International saw profits in the first six months of 2025 reach a record high, driven in part by a recovery from a settlement with a Taiwanese insurance company.
EFG’s net profit for the first half of 2025 grew 36 percent year-on-year to a record high of 221.2 million Swiss francs ($279.1 million), according to the bank’s financial results. This included a contribution of 45.4 million francs related to a previously announced recovery from a settlement with a Taiwanese insurance company.
Operating income rose 15 percent to 853.9 million francs due to higher net banking fees, commission income and stable net interest income. Operating expenses increased 4 percent to 573.6 million, reflecting significant investments in talent and client coverage in recent years.
Excluding the insurance recovery, net profit for the period was 175.8 million francs, up 8 percent.
Dollar Weakness Hits AUM
While EFG registered 5.4 billion in net new assets – an annualized growth rate of 6.5 percent above its target range of 4-6 percent – alongside positive market performance, assets under management fell 2 percent compared to end-2024 to 162.3 billion francs due to 11.7 billion francs of negative foreign exchange impact.
«This strong result reflects the consistent and successful delivery of our strategy which builds on organic growth complemented by strategic acquisitions. Over the last 18 months, we have attracted over CHF 15 billion of net new assets and are adding more than CHF 10 billion to our asset base through the announced acquisitions,» said EFG CEO Giorgio Pradelli.
«At the same time, we are mindful of the challenges ahead, in particular the structural weakness of the US dollar and the expected interest rate cuts. However, with our well-diversified business model and offering, we are well-positioned to generate further sustainable and profitable growth.»
