Varengold Bank AG / DE0005479307
09.04.2024 - 12:51:40Varengold Bank AG: Preliminary unaudited figures for 2023 and a good start to the year in Q1 2024
| Varengold Bank AG / Key word(s): Annual Results/Quarter Results 09.04.2024 / 12:51 CET/CEST The issuer is solely responsible for the content of this announcement. Special audit still ongoing Audit of annual financial statements 2022 in final stages Preliminary EBT 2023 in the amount of EUR 25.8 million Preliminary EBT for Q1 2024 at EUR 5.9 million Hamburg, 09/04/2024 – Varengold Bank AG (symbol: VG8) looks back on a turbulent year 2023. The special audit ordered by the German Federal Financial Supervisory Authority (BaFin) in accordance with Section 44 of the German Banking Act (KWG) led to restrictions and restructuring measures in the payment transaction business in mid-2023 and thus to a significant loss of commission income in the context of further business planning. The special audit is still ongoing, with two of the three audit items having been completed to date. Due to this special audit and the resulting findings, PricewaterhouseCoopers GmbH Wirtschaftsprüfungsgesellschaft, as the auditor for the financial year 2022, was also unable to complete the necessary audit procedures at the Bank within the regularly scheduled time frame. Following the consideration of positive and negative value-enhancing factors as part of the work on the financial statements 2022 and the performance of additional audit procedures, the annual audit report for 2022 is currently being finalised. The Bank assumes the outstanding audit opinion to be issued in the foreseeable future. Varengold Bank immediately took preventative measures as a result of the restrictions in the payment transaction business in June 2023 and not only reorganised the Commercial Banking division, but also implemented a cost reduction programme and expanded the Marketplace Banking division with a focus on the lending business. For the financial year 2023, the Bank reports preliminary and unaudited earnings before taxes (EBT) as a key performance indicator of EUR 25.8 million (preliminary EBT 2022: EUR 26.8 million). At EUR 65.3 million, net income is around 20% below the previous year's level, while administrative expenses fell by around 6% to EUR 33.7 million. The Management Board is convinced that the Bank has taken the right measures to counter the effects of last year's special audit. The first quarter of 2024 got off to a satisfactory start. Varengold Bank generated net income of EUR 14.1 million in the first three months. Administrative expenses totalled EUR 7.3 million in this period. In general, the Bank's business activities have recently benefited from the current interest rate environment, with around 50% of net income in the first quarter, for example, attributable to interest on overnight deposits at the Bundesbank. The Bank expects this effect to decrease over the course of the year. As at 31 March 2024, the Bank reported a preliminary EBT of EUR 5.9 million. About Varengold Bank AG Varengold Bank is a German financial institution founded in 1995 and granted a full banking licence in 2013. In addition to its head office in Hamburg, the bank has a presence in Sofia. Core business areas are Marketplace Banking and Commercial Banking (Transaction Banking). Within Marketplace Banking, the focus is on the cooperation with European Fintechs, especially lending platforms. Varengold Bank’s service portfolio includes Funding, Debt and Equity Capital Markets products, Fronting Services for products subject to banking licence requirements / Banking-as-a-Service (BaaS) and International Payment Services as well as Trade Finance. Varengold Bank is registered with the Federal Financial Supervisory Authority (BaFin) under no. 109 520 and its shares (ISIN: DE0005479307) have been listed on the Open Market of the Frankfurt Stock Exchange since 2007. For more information, see www.varengold.de. Disclaimer Disclaimer on forward-looking statements / no duty to update This communication contains forward-looking statements that are subject to certain risks and uncertainties. Future results may differ materially from those currently expected, namely due to various risk factors and uncertainties such as changes in the business, economic and competitive situation, fluctuations in exchange rates, uncertainties regarding legal disputes or investigations, and the availability of financial resources. The reader should therefore not over-rely on these statements, particularly in connection with contracts or investment decisions. Varengold Bank AG assumes no responsibility for updating the forward-looking statements contained in this communication. Note This announcement does not constitute an offer or invitation to subscribe for or purchase any securities of Varengold Bank AG in the United States of America, Germany or any other jurisdiction. This announcement does not constitute a recommendation regarding the placement of the securities described in this announcement. Contact: Ms. Sanja Schultz-Szabo (Head of Corporate Development) 09.04.2024 CET/CEST Dissemination of a Corporate News, transmitted by EQS News - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The EQS Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.eqs-news.com |
| Language: | English |
| Company: | Varengold Bank AG |
| Große Elbstraße 39 | |
| 22767 Hamburg | |
| Germany | |
| Phone: | +49 (0)40 / 668649-0 |
| Fax: | +49 (0)40 / 668649-49 |
| E-mail: | investorrelations@varengold.de |
| Internet: | www.varengold.de |
| ISIN: | DE0005479307 |
| WKN: | 547930 |
| Listed: | Regulated Unofficial Market in Berlin, Dusseldorf, Frankfurt (Basic Board), Hamburg, Munich, Stuttgart, Tradegate Exchange |
| EQS News ID: | 1876603 |
| End of News | EQS News Service |
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