Switzerland's Cembra H1 net income rises on lower costs

Cembra Money Bank AG

23/07/2026 05:42

    

    Overview
  
Switzerland consumer finance provider's H1 net income rose 6% as operating expenses declined
Net revenues remained stable despite lower maximum interest rates and softer macro environment
Company to acquire Santander’s Swiss auto financing business, with deal expected to close Nov 2026

    

    Outlook
  
Cembra expects 2026 full-year performance in line with its previous guidance, excluding the transaction
Including the transaction, Cembra sees 2026 ROE around 14%, loss rate slightly above 1%
Company aims to pay a dividend of at least CHF 4.60 for the current financial year

    

    Result Drivers
  
COST REDUCTION - Operating expenses fell 9%, mainly due to lower external service costs and depreciation, improving the cost/income ratio
STABLE REVENUES - Net revenues remained stable as lower maximum interest rates and softer macro environment were offset by growth in loans and leases
TARGETED GROWTH - Net financing receivables rose 2%, supported by growth in personal loans, auto leases, and credit cards

    
Company press release: ID:nEQ4qRYnca

    

    Key Details
  

            Metric
          

            Beat/Miss
          

            Actual
          

            Consensus Estimate
          
H1 Revenue
 
CHF 267.20 mln
 
H1 EPS
 
CHF 3.15
 
H1 Net Income
 
CHF 92.30 mln
 
H1 Net Interest Income
 
CHF 184.30 mln
 
H1 Operating Expenses
 
CHF 116.30 mln
 
H1 ROE
 
14.10%
 

    

    Analyst Coverage
  
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy."
Wall Street's median 12-month price target for Cembra Money Bank AG is CHF93.35, about 3.8% above its July 22 closing price of CHF89.95
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago

    

    Reuters Recommended Reads
  
July 22 - Santander reaffirms mid-term goals after second-quarter net profit climbs
July 22 - Swiss bank EFG International reports lower-than-expected half-year profit growth
July 21 - Synchrony beats profit estimates on solid spending, higher interest income 

    
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)