Segment reporting
Structure
External segment reporting reflects the organisational structure of VP Bank Group and the internal reporting to Management. The latter form the basis for assessing financial performance of the segments and the allocation of resources to the segments.
VP Bank Group consists of the six organisational units “Chief Executive Officer”, “Client Business”, “Investment Solutions”, “General Counsel & Chief Risk Officer”, “Chief Financial Officer” and “Chief Operating Officer”.
For segment-reporting purposes, the organisational unit “Client Business” is divided into two business segments “Client Business Liechtenstein” and “Client Business International”. The unit “Investment Solutions” is managed, for segment-reporting purposes, in “Client Business Liechtenstein” and “Client Business International”. The four organisational units “Chief Executive Officer”, “Chief Financial Officer”, “Chief Operating Officer” and “General Counsel & Chief Risk Officer” are regrouped together, for segment reporting, under the business segment “Corporate Center”.
Revenues and expenditures as well as assets and liabilities are allocated to the business segments based on the responsibilities for the clients and the principle of origination. Insofar as a direct allocation is not possible, the positions in question are reported under the Corporate Center. Furthermore, the Corporate Center includes adjustments made on consolidation.
Business segment reporting 2018 |
|
|
|
|
in CHF 1,000 | Client | Client | Corporate | Total |
|---|---|---|---|---|
| Liechtenstein | International |
|
|
Total net interest income | 78,876 | 39,340 | –7,239 | 110,977 |
Total net income from commission | 91,261 | 39,015 | –6,004 | 124,272 |
Income from trading activities | 18,734 | 8,968 | 27,282 | 54,984 |
Income from financial instruments | 0 | 86 | –1,732 | –1,646 |
Other income | 100 | 2,490 | –339 | 2,251 |
Total operating income | 188,971 | 89,899 | 11,968 | 290,838 |
Personnel expenses | 34,383 | 54,313 | 68,988 | 157,684 |
General and administrative expenses | 4,538 | 30,555 | 27,776 | 62,869 |
Depreciation of property, equipment and intangible assets | 4,838 | 3,311 | 16,968 | 25,117 |
Valuation allowances, provisions and losses | –2,858 | –11,062 | 557 | –13,363 |
Services to/from other segments | 41,888 |
| –41,888 | 0 |
Operating expenses | 82,789 | 77,117 | 72,401 | 232,307 |
Earnings before income tax | 106,182 | 12,782 | –60,433 | 58,531 |
Taxes on income |
|
|
| 3,814 |
Group net income |
|
|
| 54,717 |
|
|
|
|
|
Segment assets (in CHF million) | 4,112 | 4,761 | 3,556 | 12,428 |
Segment liabilities (in CHF million) | 6,961 | 4,102 | 384 | 11,447 |
Client assets under management (in CHF billion)1 | 25.0 | 16.5 | 0.0 | 41.5 |
Net new money (in CHF billion) | –0.2 | 3.4 | 0.0 | 3.2 |
Headcount (number of employees) | 197 | 330 | 407 | 933 |
Headcount (expressed as full-time equivalents) | 183.3 | 313.3 | 371.9 | 868.4 |
- Calculation in accordance with Table P of the Guidelines to the Liechtenstein Banking Ordinance issued by the Government of Liechtenstein (FL-BankO).
Business segment reporting 2017 |
|
|
|
|
in CHF 1,000 | Client | Client | Corporate | Total |
|---|---|---|---|---|
| Liechtenstein | International |
|
|
Total net interest income | 74,227 | 29,978 | 230 | 104,435 |
Total net income from commission | 90,612 | 37,131 | –3,867 | 123,876 |
Income from trading activities | 20,059 | 8,361 | 21,824 | 50,244 |
Income from financial instruments | 8 | 78 | 19,132 | 19,218 |
Other income | 0 | 2,527 | –198 | 2,329 |
Total operating income | 184,906 | 78,075 | 37,121 | 300,102 |
Personnel expenses | 35,216 | 41,361 | 58,213 | 134,790 |
General and administrative expenses | 3,744 | 22,329 | 31,725 | 57,798 |
Depreciation of property, equipment and intangible assets | 3,430 | 3,163 | 16,971 | 23,564 |
Valuation allowances, provisions and losses1 | –1,000 | 4,074 | 10,534 | 13,608 |
Services to/from other segments | 39,689 | 0 | –39,689 | 0 |
Operating expenses | 81,079 | 70,927 | 77,754 | 229,760 |
Earnings before income tax | 103,827 | 7,148 | –40,633 | 70,342 |
Taxes on income |
|
|
| 4,572 |
Group net income |
|
|
| 65,770 |
|
|
|
|
|
Segment assets (in CHF million) | 4,151 | 4,111 | 4,516 | 12,778 |
Segment liabilities (in CHF million) | 7,301 | 3,434 | 1,048 | 11,784 |
Client assets under management (in CHF billion)2 | 26.7 | 13.7 | 0.0 | 40.4 |
Net new money (in CHF billion) | 0.4 | 1.5 | 0.0 | 1.9 |
Headcount (number of employees) | 195 | 279 | 387 | 861 |
Headcount (expressed as full-time equivalents) | 183.4 | 262.2 | 353.9 | 799.5 |
- The provision for a single payment of CHF 10.9 million which is to be made to the German authorities as part of an agreement is shown in corporate center.
- Calculation in accordance with Table P of the Guidelines to the Liechtenstein Banking Ordinance issued by the Government of Liechtenstein (FL-BankO).
The recharging of costs and revenues between the business units takes place on the basis of internal transfer prices, actual recharges or on prevailing market conditions. Recharged costs within the segments are subject to an annual review and are amended to reflect new economic conditions, where necessary.