apoBank generates stable net profit in first half of the year


  • Growth in core business continued
  • IT migration successfully completed
  • Investment costs impact on operating result
  • Forecast 2012: net profit expected to reach previous year’s level
  • Implementation of new sales concept prepared

Deutsche Apotheker- und Ärztebank (apoBank) completed the first six months of 2012 with a net profit of €23.5 million, on a par with that of the same period in the previous year (30 June 2011: €23.5 million). This is based on the following two key developments: The core business of the Bank - i.e. the direct business with health care professionals and their organisations - grew overall; this growth was partly offset by the final costs of the IT migration completed in spring 2012 as well as investments in the VorWERTs future programme, which is set to expand the Bank’s market position and increase its performance. The operating result, i.e. the profit before risk provisioning, at €132.8 million, remained below the previous year’s value, as expected (30 June 2011: €160.2 million).

Herbert Pfennig, Spokesman of the Board of Directors of apoBank: "In spite of intense competition for our clientele, we have won new customers and members for the Bank in the first six months. This is a clear success. In order to continue this positive trend and reinforce the efficiency of the Bank, we have modernised our IT and launched the VorWERTs future programme."

Business development in detail

In the first half of 2012, apoBank increased its net interest income to €343.1 million (30 June 2011: €320.9 million). Here, the Bank benefited in particular from the new lending business, which reached €2.2 billion, on a par with the level of the previous year, and the resulting rise in the Bank’s loan portfolio. Customer deposits went up to €19.7 billion (31 December 2011: €19.3 billion) in spite of an intense competitive environment. The competition on conditions and the low interest rate level had an impact here.

apoBank posted net commission income of €50.6 million, a decline compared to the previous year (30 June 2011: €58.5 million). This trend primarily reflects the reticence of private investors in the ongoing EU debt crisis, which can be observed throughout the sector.

At €245.6 million, administrative expenses were considerably higher than in the same period of the previous year (30 June 2011: €219.5 million). Here, as expected, the costs of the IT migration completed earlier in the year and the investment costs for the VorWERTs future programme had a particularly strong effect.

Risk costs and precautionary measures for the customer lending business, at €38.5 million, were up on the prior-year level due to the increase in the loan portfolio (30 June 2011: €33.5 million), albeit still at a low level when compared to the sector as a whole.

Risk costs and precautionary measures for financial instruments and participations amounted to €53.6 million (30 June 2011: €61.8 million). Here, the risk costs for financial instruments were at a low level. Participations did not affect the Bank’s result.

In the first half of 2012, the Bank’s equity situation improved again. Both the solvency ratio, i.e. the equity ratio, and the core capital ratio, at 13.4% and 9.0% respectively, were higher than at year-end 2011 (31 December 2011: 13.0% and 8.5% respectively). The Bank’s regulatory equity capital decreased to €2.6 billion (31 December 2011: €2.7 billion), due to planned portfolio maturities in the area of subordinated capital, among other reasons. This positive development was primarily the result of the ongoing reduction of risk-weighted assets. The Bank was able to reduce these positions considerably by €1.3 billion to €19.5 billion (31 December 2011: €20.8 billion). The reduction of the structured financial products, in line with strategy, made a considerable contribution here.

As at the end of the first half of 2012, apoBank’s balance sheet total remained stable at €38.7 billion compared with year-end 2011 (31 December 2011: €38.8 billion).


Based on the growth in the core business in the first half, apoBank expects the business and performance continue at a similar level in the second half of the financial year. This should result in a net profit on a par with 2011 and will enable the Bank to let its members participate in the profit and make a statutory allocation to its reserves.

The Bank will push ahead with its VorWERTs future programme in the second half of the year. Here, the focus will be on implementing the new, target-group-specific customer support concept.

"Our unique strength is our specialisation in health care professionals. No other bank has our level of expertise in this area. We want to use this advantage to expand our market position and continue to grow. This is why we have developed a new customer support concept as part of VorWERTs, which enables us to provide even more effective and individual support to health care professionals," says Pfennig. "At the same time, we are working towards structuring the Bank more efficiently. Thus, we will be ideally positioned to hold our own in the face of increasing competition."

You will find the Interim Report 2012 here.