Quintet weighed down by its expansion strategy
The old KBL posted a net loss of 43.7 million euros for the year 2019. The high expenses devoted to acquisitions abroad are indeed weighing on the balance sheet of the private bank.
The old KBL posted a net loss of 43.7 million euros for the year 2019. The high expenses devoted to acquisitions abroad are indeed weighing on the balance sheet of the private bank.
(JFC, with Marco Meng) – Quintet Private Bank, the new name of Kredietbank Luxembourg since January, recorded a loss of 43.7 million euros for the past financial year, announced Friday the banking institution. Revenues of 443.1 million euros were in fact offset by expenses amounting to 470.5 million euros in 2019.
“The increase in expenses reflects the company’s significant investment in human resources – both in the back office and in the front office – products, a new brand and geographic expansion,” said the press release. Based in Luxembourg, the private bank has offices in around fifty European cities.
“We are investing in the future and our financial results reflect this,” said Jakob Stott, successor to Jürg Zeltner, who died at the end of March 2020 at the age of 52. “While profitability continues to be affected by large, long-term investments across the business, we remain committed to our franchise expansion strategy,” he admits.
