DGAP-News: DAB Bank's profit before taxes jumps to EUR48.33 million in financial year 2014


DGAP-News: DAB Bank AG / Key word(s): Final Results
DAB Bank's profit before taxes jumps to EUR48.33 million in financial
year 2014

27.02.2015 / 07:15

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DAB Bank's profit before taxes jumps to EUR48.33 million in financial year
2014

Positive non-recurring effect of EUR24.90 million resulting from change of
majority shareholder and related liquidation of investments / Operating
result also much higher

Munich, February 27, 2015. The DAB Bank Group (Munich) generated a profit
before taxes of EUR48.33 million in financial year 2014, which was more
than twice as high as the prior-year result (2013: EUR19.22 million). This
sharp increase resulted particularly from the change of the majority
shareholder and the related liquidation of investments with the previous
majority shareholder. On December 17, 2014, BNP Paribas Beteiligungsholding
AG notified the Management Board of DAB Bank AG that UniCredit Bank AG had
transferred its shares in DAB Bank AG to BNP Paribas Beteiligungsholding AG
in accordance with the terms of the purchase agreement signed by the
parties. Subsequently, the intragroup liabilities of UniCredit Bank AG to
the DAB Bank Group were unwinded at fair market terms. Due in particular to
the fact that interest rates had declined since the inception of these
investments, DAB Bank realized non-recurring income of EUR25.59 million. At
the same time, DAB Bank incurred non-recurring expenses of EUR0.70 million
on this transaction, so that the unwinding of these investments increased
the bank's profit before taxes by EUR24.90 million on balance.

DAB Bank also performed very well in its operating business. Adjusted for
the effect described above, the profit before taxes amounted to EUR23.44
million, reflecting an increase of about 22% over the prior-year result.
DAB Bank registered substantial gains in all key operating indicators in
2014. The number of customers rose by around 30,000 to reach 650,549. At
EUR36.37 billion, customer assets held in custody as of 31 December 2014
were almost EUR4 billion higher than the corresponding prior-year figure,
mainly as a result of very strong net fund inflows. Furthermore, DAB Bank
executed 5.52 million trades for its customers in 2014, reflecting a
substantial increase of 11% over the very high number for 2013. "DAB Bank
continued to generate strong operational growth in 2014," said Ernst Huber,
Management Board Spokesman of DAB Bank. "Our award-winning checking
account, our successful campaign to induce customers to switch their
investment holdings to a securities account with DAB Bank, and our
attractive offering of products and services for securities trading were
among the factors that helped us acquire numerous new customers again last
year, and they were even more active than in prior years."

While the net commission income of EUR85.71 million was little changed from
the prior-year figure, net interest income soared from EUR38.64 to EUR69.41
million. The unwinding of direct investments previously held with UniCredit
Bank AG contributed EUR21.37 million to this increase of nearly EUR31
million over the prior-year result. The trading and investment profit of
EUR5.87 million was 8% less than the prior-year figure. This figure also
contains a positive non-recurring effect of EUR4.22 million. DAB Bank
continued to practice strict cost discipline in 2014. Despite the
non-recurring expense effect of EUR0.70 million, administrative expenses
rose by only slightly less than 2% to EUR110.84 million, even as total
operating income rose by 23%, from EUR130.27 million in 2013 to EUR159.99
million in 2014.

The annual shareholders' meeting of DAB Bank AG will be held in Munich on
May 29. At this meeting, a resolution will be adopted to transfer the
shares held by DAB Bank AG's minority shareholders to BNP Paribas
Beteiligungsholding AG as the majority shareholder, in exchange for an
appropriate cash settlement. Due to the voluntary public takeover offer by
the new majority shareholder, no dividend payments are planned.

The figures stated herein are still preliminary. DAB Bank will publish its
Annual Report 2014 containing the final results on March 24, 2015.

 
Key indicators and results of DAB Bank (audited, but not yet officially
adopted numbers):

<pre>

Key indicators                                     2014      2013    Change
Customers                            No.        650,549   620,897     +4.8%
Securities accounts                  No.        625,769   617,070     +1.4%
Bank accounts                        No.        252,892   204,721    +23.5%
Trades executed                      No.       5,517,396 4,964,739   +11.1%
Trades per securities account,       No.           8.88      8.06    +10.2%
annualized
Customer assets                      EUR bn       36.37     32.49    +11.9%
thereof held in investment funds     EUR bn       17.91     15.45    +15.9%

Operating results
Net interest income                  kEUR        69,411    38,640    +79,6%
Trading and investment profit        kEUR         5,873     6,382     -8,0%
Net commission income                kEUR        85,705    85,953     -0,3%
Administrative expenses              kEUR       110,835   108,733     +1,9%
Profit before taxes                  kEUR        48,333    19,217   +151,5%
Consolidated profit after taxes      kEUR        32,019    12,271   +160,9%
Cost-income ratio                    %             69.6      85.0    -18.1%
Earnings per share                   EUR           0.35      0.13   +176.9%


</pre>

<pre>

Key indicators                                Q4/2014   Q3/2014   Q4/2013
Customers                            No.      650,549   642,580   620,897
Securities accounts                  No.      625,769   622,007   617,070
Bank accounts                        No.      252,892   242,694   204,721
Trades executed                      No.    1,496,450 1,326,120 1,247,032
Customer assets                      EUR bn     36.37     35.75     32.49
thereof held in investment funds     EUR bn     17.91     17.81     15.45

Operating results
Net interest income                  kEUR      32,177    12,466    11,495
Trading and investment profit        kEUR       3,749       142      -317
Net commission income                kEUR      21,606    20,941    23,346
Administrative expenses              kEUR      27,273    26,955    28,526
Profit before taxes                  kEUR      29,529     6,347     4,427
Profit after taxes                   kEUR      19,418     4,253     2,930
Earnings per share                   EUR         0.21      0.05      0.03


</pre>



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Language:    English                                                     
Company:     DAB Bank AG                                                 
             Landsberger Straße 300                                      
             80687 München                                               
             Germany                                                     
Phone:       +49 (0)89 500 68 1696                                       
Fax:         +49 (0)89 500 68 669                                        
E-mail:      ir@dab.com                                                  
Internet:    www.dab-bank.de                                             
ISIN:        DE0005072300                                                
WKN:         507230                                                      
Listed:      Regulated Market in Frankfurt (Prime Standard); Regulated   
             Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover,  
             Munich, Stuttgart                                           
 
 
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327423 27.02.2015