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Research Tree provides access to ongoing research coverage, media content and regulatory news on CREDIT SUISSE GROUP AG-REG. We currently have 7 research reports from 1 professional analysts.
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CREDIT SUISSE GROUP AG-REG
CREDIT SUISSE GROUP AG-REG
Q3 net profit down by 95% yoy but a profit
03 Nov 16
Pre-tax profit decreased by 74% to CHF222m for Q3 16 compared to Q3 15 and was up by 12% compared to Q2 16. Net revenues were down by 10% to CHF5.4bn for Q3 16 compared to Q3 15. Total operating expenses were up by 2% to CHF5.1bn for Q3 16 compared to the same period last year. The tax ratio was a high 83% in Q3 16, compared to around 10% for Q3 15 and Q2 16 each due to non-tax deductable litigation provisions of CHF306m in Q3 16. The net profit attributable to shareholders declined therefore by 95% to CHF41m for Q3 16 compared to Q3 15. The net result attributable to shareholders was a loss of CHF91m for 9M 16. RoE was 0.4% for Q3 16 compared to 7.1% for Q3 15. Assets under management were up by 3.4% to CHF1,255bn at the end of September 2016 compared to year end 2015. Net new money inflow was CHF11.9bn for Q3 16 compared to CHF16.2bn for Q3 15. Credit Suisse’s fully applied Basel III common equity tier 1 (CET1) ratio was 12.0% at the end of September 2016 compared to 11.4% at the end of 2015. The fully applied CET1 leverage ratio was 3.4% at the end of September 2016.
Net profit down by 84% yoy but a profit
28 Jul 16
Pre-tax profit decreased by 89% to CHF199m for Q2 16 compared to Q2 15 and compared to a loss of CHF484m for Q1 16. Net revenues were down by 27% to CHF5.1bn for Q2 16 compared to Q2 15. Total operating expenses were down by 6% to CHF4.9bn for Q2 16 compared to the same period last year. The net profit attributable to shareholders declined by 84% to CHF170m for Q2 16 compared to Q2 15 and compared to a loss of CHF302m for Q1 16. The net result attributable to shareholders was therefore a loss of CHF132m for H1 16. RoE was 1.5% for Q2 16 compared to 10% for Q2 15. Assets under management were slightly up by 0.3% to CHF1,218bn at the end of June 2016 compared to year end 2015. Net new money inflow was CHF12.1bn for Q2 16 compared to CHF13.7bn for Q2 15. Credit Suisse’s fully applied Basel III common equity tier 1 (CET1) ratio was 11.8% at the end of June 2016 compared to 11.4% at the end of 2015. The fully applied CET1 leverage ratio was unchanged at 3.3% at the end of June 2016.
Disappointing Q1 figures
10 May 16
The pre-tax result was a loss of CHF484m for Q1 16 compared to a profit of CHF1.51bn for Q1 15. Net revenues were down by 30% to CHF4.6bn for Q1 16 compared to Q1 15. Total operating expenses were down by 3% to CHF5.0bn for Q1 16 compared to the same period last year. The net result attributable to shareholders was a loss of CHF302m for Q1 16 compared to a profit of CHF1.05bn for Q1 15. RoE was -2.6% for Q1 16 compared to +9.9% for Q1 15. Assets under management were down by 3% to CHF1,181bn in Q1 16 compared to year end 2015 due to some negative currency impacts. Net new money inflow was CHF10.5bn for Q1 16 compared to CHF14.9bn for Q1 15. Credit Suisse’s fully applied Basel III common equity tier 1 (CET1) ratio was unchanged at 11.4% at the end Q1 16 compared to the end of 2014. The fully applied CET1 leverage ratio was unchanged at 3.3% at the end of March 2016.
CS speeds up restructuring
23 Mar 16
Credit Suisse announced today that it is accelerating its restructuring plan released in October 2015. • The group is increasing its 2018 net cost saving target from CHF2.0bn to at least CHF3.0bn. The operating cost base will now decline from CHF21.2bn to below CHF18bn in 2018. Credit Suisse also announced today some targets for FY2016. • It has increased the committed reduction to global headcount from 4,000 to 6,000 in 2016. • The net cost saving target is CHF1.4bn for 2016 or to achieve an operating cost base of CHF19.8bn. Credit Suisse is going to scale down the new segment Global Markets (GM) in 2016 ahead of what was originally planned in October. It is expecting a loss contribution from GM in Q1 16 partly due to further write-downs of $346m. • The additional headcount reduction of 2,000 in 2016 is based on an acceleration of the GM restructuring. • The targets for business reduction of GM in 2016 were accelerated from around $84bn to $60bn for RWA and from $380bn to $290bn for leverage. In terms of look-through CET1 ratio, Credit Suisse intends to operate within a range of between 11% and 12% in 2016. The partial IPO of the Swiss UB planned for 2017 is on track.
Disastrous Q4 15 results, as expected, due to restructuring measures
04 Feb 16
Preliminary net result attributable to shareholders dropped from a profit of CHF691m for Q4 14 to a loss of CHF5.83bn for Q4 15. Preliminary net result attributable to shareholders switched from a profit of CHF1.9bn for FY2014 to a loss of CHF2.94bn for FY2015. Net revenues were down by 9% to CHF23.8bn for 2015 compared to 2014. Total operating expenses increased by 15% to CHF25.9bn for 2015. The pre-tax result declined from a profit of CHF3.63bn for 2014 to a loss of CHF2.42bn for 2015. RoE was negative with -6.8% for 2015 compared to 4.4% for 2014. Assets under management declined by 11% to CHF1,214bn at the end of 2015 compared to 2014. Net new money inflow was CHF49.1bn for 2015 compared to CHF29.9bn for 2014. Credit Suisse’s fully applied Basel III common equity tier 1 (CET1) ratio was 11.4% at the end of 2015 compared to 10.1% at the end of 2014. The release of the 2015 report is due on 24 March 2016.
Weaker Q3 figures, two capital increases and a new structure
21 Oct 15
Credit Suisse (CS) released kind of preliminary Q3 15 figures. Net revenues were down by 8% to CHF5.98bn for Q3 15 compared to Q3 14. Total operating expenses decreased by 3% to CHF5.02bn for Q3 15. Net income attributable to shareholders declined by 24% to CHF779m for Q3 15. RoE was 7.1% for Q3 15 compared to 9.7% for Q3 14. Assets under management were down by 4.6% to CHF1,294bn in Q3 15 despite net new money inflows of CHF16.4bn. Credit Suisse’s fully applied Basel III common equity tier 1 (CET1) ratio was 10.2% at the end Q3 15 compared to 9.5% at the end of 2014. The release of the full Q3 15 report is due on 30 October. Credit Suisse decided to strengthen its balance sheet through a proposed rights offering of c.CHF4.7bn and a private placing of c.CHF1.35bn. In a first step, a number of qualified investors have committed to purchase 58m new registered shares. Existing shareholders will not have preemptive subscription rights for these new registered shares. The gross proceeds for Credit Suisse Group AG are expected to amount to around CHF1.35bn. In a second step, Credit Suisse intends to issue up to 261m new registered shares. Shareholders of Credit Suisse will be allotted one preemptive subscription right for each registered share they hold on 20 November 2015 (after close of trading). 13 preemptive subscription rights entitle their holder to purchase two new registered shares at the offer price of CHF18 per share. Credit Suisse Group AG expects the gross proceeds of the rights offering to amount to c.CHF4.7bn. The preemptive subscription rights are expected to be traded on the SIX Swiss Exchange from 23 November to 1 December 2015. The listing and the first day of trading of the new registered shares on the SIX Swiss Exchange are expected to take place on 4 December 2015. Credit Suisse released a new strategy to increase profits and capital generation by: - serving the large and growing segment of wealthy entrepreneurs in emerging markets; - growing its Universal Bank in its Swiss home market, with a partial IPO planned by 2017; - reducing capital usage significantly in its Investment Banking operations; - lowering its fixed costs by delivering CHF3.5bn of gross cost savings by end-2018 (CHF2bn net); - investing CHF1.5bn in new growth initiatives in the next three years; - implementing a streamlined organisational structure, fully aligned with these strategic objectives, with three geographic divisions – Swiss Universal Bank (CHUB), Asia Pacific (APAC), and International Wealth Management (IWM) – and two investment banking divisions: Global Markets and Investment Banking and Capital Markets (IBCM); - changing the leadership structure to reflect the strategic and structural initiatives, with six new members joining the Executive Board.
N+1 Singer - Morning Song 30-11-2016
30 Nov 16
Sanderson has delivered full year results in line with expectations and the 19 October trading update after a strong finish to the year compensated for a slower start. A healthy level of pre-contracted recurring revenue (50%), incremental sales to existing customers and new customer wins at higher average order values helped deliver solid revenue growth in both the Digital Retail (+9%) and Enterprise (+12%) divisions. A decent order book and good sales momentum suggest that the company is on track to deliver on unchanged profit expectations for the current year. We continue to view the valuation (FY17 EV/EBITDA 8.6x) as undemanding given an attractive combination of accelerating growth potential, strong cash generation and growing dividends.
VPC Speciality Lending Investments PLC – sticking to your knitting pays dividends
05 Dec 16
A 25% discount on a dividend paying vehicle suggests either (a) lack of belief in the NAV, (b) lack of belief in the dividend, (c) concerns over future delivery, (d) a shareholder’s base not normally exposure to “closed end structures” or (e) some combination of (a) to (d). We had a first meeting with the management team and London representative of VPC Speciality Lending to try to better understand why the share price had fallen quite so much.
N+1 Singer - Grainger - Final results in line, further progress on PRS investment pipeline
01 Dec 16
Grainger has reported FY16 final results this morning with key NNNAV and recurring PBT metrics in line with our forecasts. Sales performance and rental income growth was strong in H2, as previewed in the positive FY trading update driving our 19% PBT upgrade in early October (11/10). The PRS investment pipeline continues to grow now standing at £389m secured and £347m in legals as Grainger pursues an £850m investment target by 2020. A 3.05p final dividend is in line with the revised policy to distribute 50% net rental income. The shares continue to trade on a significant, and unwarranted, 20%+ discount to NNNAV. We reiterate our BUY recommendation.
Panmure Morning Note 30-11-2016
30 Nov 16
Brewin Dolphin’s results for FY16 are a mixed bag, with most numbers beating consensus but the key numbers failing to beat management’s KPIs. So although AUM is up more than 10% and revenue/adjusted PBT/EPS/DPS beat consensus estimates, in our view the continuing struggle to increase revenue and expand margins could weigh on the valuation. Despite this, our investment case is unchanged and we retain our Buy recommendation and price target of 320p.
05 Dec 16
As we mentioned in our 18 November 2016 note, a continuation vote was expected to be announced before the end of 2016. The announcement last Friday included details of the continuation vote, and in particular, a recommendation by the Directors to replace the June 2015 strategy of selling non-core assets and developing the core projects, with a new strategy of an orderly sale of the Company’s assets, with a target of selling all assets by 31 December 2019 and a distribution policy for returning monies to shareholders following disposals. Alongside these recommendations, there are proposed changes to the remuneration for the investment manager.