Investor Relations First Quarter 2018 Results

First Quarter 2018 Results

On April 25, 2018, Credit Suisse Group presented its first quarter 2018 results to investors and analysts as well as to media representatives.

  • Group 1Q18 reported pre-tax income of CHF 1.1 billion, up 57% year on year
  • 1Q18 adjusted* pre-tax income of CHF 1.2 billion, up 36% year on year; sixth consecutive quarter of year-on-year profit1 growth and highest quarterly adjusted* pre-tax income for the last 11 quarters
  • Quarterly costs2 reduced to lowest level in last 5 years; additional net cost savings of CHF 0.2 billion in 1Q18 at constant FX rates
  • Highest quarterly Wealth Management3 NNA in last 7 years with CHF 14.4 billion in 1Q18, up 20% year on year; record AuM of CHF 776 billion at end-1Q18, up 9% year on year at increased adjusted* net margins
  • IBCM with net revenues down 8% in USD year on year, reflecting lower levels of primary activity, against the Street down 17%4
  • GM5 with highest quarterly net revenues since the start of its restructuring in 1Q16. Net revenues up 2% in USD year on year (down 4% in CHF); adjusted* pre-tax income up 6% in USD and stable in CHF
  • Look-through CET1 ratio of 12.9%
  • 1Q18 net income attributable to shareholders of CHF 694 million, up 16% year on year. Group tax rate expected to drop to mid-20s for 20196
  • Driving higher shareholder returns; 1Q18 Group reported RoTE of ~8%, up from 6.5% in 1Q17 and ~-3% in 1Q16, an ~11 percentage point improvement in two years

* Adjusted results are non-GAAP financial measures. For a reconciliation of the adjusted results to the most directly comparable US GAAP measures, see the Appendix of this Media Release.
1 Referring to adjusted* pre-tax income.
2 Referring to adjusted* operating expenses.
3 Relating to SUB PC, IWM PB and APAC PB within WM&C.
4 Source: Dealogic as of March 31, 2018; includes Americas and EMEA only.
5 Excluding revenues from SMG of USD 7 million in 1Q18 and USD 80 million in 2Q16.
6 Based on currently available information and beliefs, expectations and opinions of management as of the date hereof. Actual tax rate for 2019 may differ. On the basis of the current analysis of the base erosion and anti-abuse tax (BEAT) regime, we continue to regard it as more likely than not that the Group will not be subject to this regime in 2018. However, there are significant uncertainties in the application of BEAT and this interpretation will be subject to review once further guidance has been issued by the US Department of Treasury.

Webcast Replay

  • Presentation to investors and analysts / Q&A (English)
  • Presentation to the media (English | German)

Telephone Conference Replay

  • Switzerland: +41 44 580 34 56
  • Europe: +44 1452 550 000
  • USA: +1 866 247 4222

The telephone replay function will be available for 10 days.

Conference IDs

  • Presentation to investors and analysts: 4691539
  • Presentation to the media: EN: 1588148 | DE: 4398664