Segment reporting
Structure
VP Bank Group adjusted its organisational structure as of 1 July 2020, creating the new Client Solutions organisational unit. The external segment reporting reflects the organisational structure of VP Bank Group as of 31 December 2020 and the internal reporting to management. These form the basis for assessing the financial performance of the segments and the allocation of resources to the segments.
VP Bank Group consists of the six organisational units “Intermediaries & Private Banking”, “Client Solutions”, “Chief Executive Officer”, “Chief Financial Officer”, “Chief Operating Officer” and “Chief Risk Officer”.
The four organisational units “Chief Executive Officer”, “Chief Financial Officer”, “Chief Operating Officer” and “Chief Risk Officer” are regrouped together under the business segment “Corporate Center” for segment reporting.
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 2020 | ||||
in CHF 1,000 | Intermediaries & | Client | Corporate | Total |
|---|---|---|---|---|
Total net interest income | 101,345 | 1,677 | 10,543 | 113,565 |
Total net income from commission | 119,353 | 31,254 | –10,628 | 139,980 |
Income from trading activities | 31,808 | 2,479 | 22,346 | 56,632 |
Income from financial instruments | 0 | 0 | 7,900 | 7,900 |
Other income | 32 | 323 | 615 | 970 |
Total operating income | 252,538 | 35,733 | 30,776 | 319,047 |
Personnel expenses | 64,303 | 10,960 | 86,854 | 162,117 |
General and administrative expenses | 7,816 | 4,973 | 46,075 | 58,864 |
Depreciation of property, equipment and intangible assets | 5,584 | 527 | 22,652 | 28,763 |
Credit loss expenses | 19,416 | –30 | –27 | 19,359 |
Provisions and losses | 393 | 4 | 3 | 400 |
Services to/from other segments | 55,074 | 2,421 | –57,495 | 0 |
Operating expenses | 152,585 | 18,855 | 98,063 | 269,503 |
Earnings before income tax | 99,953 | 16,878 | –67,287 | 49,544 |
Taxes on income |
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| 7,922 |
Group net income |
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| 41,622 |
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Segment assets (in CHF million) | 6,213 | 65 | 7,245 | 13,523 |
Segment liabilities (in CHF million) | 9,808 | 898 | 1,792 | 12,498 |
Client assets under management (in CHF billion)1 | 36.0 | 11.5 | 0.0 | 47.4 |
Net new money (in CHF billion) | 0.8 | 0.5 | 0.0 | 1.4 |
Headcount (number of employees) | 356 | 81 | 553 | 990 |
Headcount (expressed as full-time equivalents) | 334.2 | 75.3 | 507.5 | 917.1 |
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The recharging of costs and revenues between the business units takes place on the basis of internal transfer prices, actual recharges or prevailing market conditions. Recharged costs within the segments are subject to an annual review and are amended to reflect new economic conditions, where necessary. | ||||
- Calculation in accordance with Table P of the Guidelines to the Liechtenstein Banking Ordinance issued by the Government of Liechtenstein (BankO).
Business segment reporting 2019 | ||||
in CHF 1,000 | Intermediaries & | Client | Corporate | Total |
|---|---|---|---|---|
Total net interest income | 115,300 | 2,382 | –2,580 | 115,101 |
Total net income from commission | 115,207 | 31,223 | –9,264 | 137,166 |
Income from trading activities | 29,895 | 2,137 | 28,953 | 60,985 |
Income from financial instruments | 0 | 2 | 14,269 | 14,271 |
Other income | 30 | 338 | –116 | 252 |
Total operating income | 260,432 | 36,082 | 31,261 | 327,775 |
Personnel expenses | 67,316 | 11,056 | 87,019 | 165,391 |
General and administrative expenses | 9,167 | 4,570 | 42,561 | 56,298 |
Depreciation of property, equipment and intangible assets | 6,631 | 699 | 22,013 | 29,343 |
Credit loss expenses | –6,494 | –228 | –31 | –6,753 |
Provisions and losses | 533 | 19 | 3 | 555 |
Services to/from other segments | 51,357 | 2,380 | –53,737 | 0 |
Operating expenses | 128,510 | 18,496 | 97,828 | 244,834 |
Earnings before income tax | 131,922 | 17,586 | –66,567 | 82,941 |
Taxes on income |
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| 9,398 |
Group net income |
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| 73,543 |
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Segment assets (in CHF million) | 6,554 | 229 | 6,617 | 13,400 |
Segment liabilities (in CHF million) | 9,311 | 839 | 2,224 | 12,374 |
Client assets under management (in CHF billion)1 | 35.4 | 11.4 | 0.0 | 46.8 |
Net new money (in CHF billion) | 1.5 | 0.6 | 0.0 | 2.1 |
Headcount (number of employees) | 349 | 72 | 522 | 943 |
Headcount (expressed as full-time equivalents) | 327.6 | 66.9 | 479.2 | 873.7 |
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The recharging of costs and revenues between the business units takes place on the basis of internal transfer prices, actual recharges or prevailing market conditions. Recharged costs within the segments are subject to an annual review and are amended to reflect new economic conditions, where necessary. | ||||
- Calculation in accordance with Table P of the Guidelines to the Liechtenstein Banking Ordinance issued by the Government of Liechtenstein (BankO).