Financial Results

Berenberg's Profit Hits New High In 2015

Amisha Mehta Assistant Editor 21 January 2016

Berenberg's Profit Hits New High In 2015

The Hamburg-headquartered bank, which was founded in 1590, more than doubled its net profit year-on-year in 2015.

Net profit at Germany's Berenberg grew 160 per cent in 2015 to a record €104 million ($113 million), thanks to growth across its businesses including private banking.

Berenberg provides private banking services from 11 locations in Germany, UK and Switzerland, with specialised expertise for client groups including family entrepreneurs, senior executives, foundations, and professional athletes. Another private banking office is set to open in Münster, Germany in mid-2016.

Gross income grew 37 per cent to €423 million over the year as assets under management grew 11 per cent to €40.1 billion. Berenberg noted that exchange rate volatility in 2015 fuelled strong demand for currency risk hedging strategies. The bank said it is now one of the world's top five providers of active currency management services.

Berenberg's cost-income ratio stood at 72.2 per cent at the end of 2015, down from 85.7 per cent a year prior.

“We have a long-term orientation, and we are pleased that were able to generate such an outstanding result in 2015 despite further capital expenditures,” said Hans-Walter Peters, spokesman for Berenberg's managing partners.

“This proves once again that the Berenberg business model is very successful. We have further increased diversification not only in our business segments, but also in the regions in which we operate, and have therefore become more independent of single developments. Also in 2016, we will continue to invest in the expansion of our business.”

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