This the third of the major Liechtenstein-based banks to have reported half-year figures in recent days.

VP Bank increased first half profit by 12.7 per cent from a year ago to SFr32.4 million (about $40 million), the Liechtenstein-based bank said yesterday. Assets under management rose by 6.4 per cent to SFr57.1 billion over the same period.

The bank attributed the improvement to growth in commission and service income, which offset a fall in net interest income, alongside continued cost reductions. Net new money inflows totalled SFr1.4 billion in the first half, an annualised growth rate of 5.2 per cent. 

Other Liechtenstein banks reporting results in recent days include LGT and LLB Group: see here and here, respectively.  

VP Bank said it expects net inflows to normalise in the second half of the year, in line with the seasonal pattern of stronger first half growth. The bank cited a persistently low interest rate environment, currency effects and geopolitical uncertainty as continuing factors shaping market conditions but said its capital and liquidity position left it well placed to sustain earnings.

Operating income fell 2.2 per cent to SFr171.6 million, as higher commission income and dividend receipts from financial instruments were not enough to offset weaker net interest income, trading income and other operating income. 

Operating costs fell 5.3 per cent to SFr135.2 million, with lower personnel, general and administrative costs and depreciation partly offset by higher credit loss expenses and provisions. The cost/income ratio improved by 2.7 percentage points to 78.8 per cent.

Total assets increased 7.3 per cent since the end of 2025 to SFr11.5 billion, with a loans to deposit ratio of 61.3 per cent. 

The bank's Tier 1 and Common Equity Tier 1 ratio rose to 26 per cent, and its liquidity coverage ratio stood at 157.6 per cent, above regulatory requirements, it said. 

"Despite a persistently challenging interest rate and currency environment, we were able to further increase our profit. Particularly encouraging is the positive performance in the commission business and services, which fully offset the decline in net interest income,” Urs Monstein, group chief executive officer of VP Bank, said. 

In other recent news, VP Bank Ltd Singapore Branch appointed Vincent Koo as chief risk officer, effective 24 August.