Julius Baer Reports 125% Profit Increase in 2024

Julius Baer Group Ltd. reported a remarkable recovery in 2024, with net profit soaring 125% to approximately 1.022 billion Swiss francs, rebounding from a significant slump the previous year due to losses linked to the Signa real estate bankruptcy. Assets under management also rose 16% to 497 billion francs, bolstered by net new money inflows of 14.2 billion francs and favorable market conditions. Newly appointed CEO Stefan Bollinger announced a major governance overhaul, reducing the executive board from 15 to five members and targeting an additional 110 million francs in cost savings. The bank plans to maintain its dividend at 2.60 francs per share for a fourth consecutive year, despite not initiating a new share buy-back program. Analysts have expressed concern over the bank's cost-to-income ratio, which has been declining since 2021. The restructuring efforts aim to improve efficiency and align hiring with revenue growth as the bank moves forward from its past financial challenges.