Annual Report
(continuation) Earnings growth was achieved without an increase in total assets. Warburg Bank’s total assets fell slightly to €4.53 billion (previous year: €4.55 billion) and its business volume fell to €4.63 billion (previous year: €4.79 billion). Total Warburg Banking Group assets fell to €8.75 billion (previous year: €8.96 billion), while the business volume fell to €8.89 billion (previous year: €9.23 billion). As in the past, we prepared our financial statements in accordance with the Handelsgesetzbuch (HGB – German Commercial Code) and have not exercised accounting options. The strict lower of cost or market principle was applied without exception in accordance with the imparity principle.
We are utilizing almost all of the profits for the year to further strengthen the Group; we are making a total of €50 million available as capital backing for our banking activities. The Banking Group’s liable capital rose by €40 million from €480 million to €520 million. The Bank’s own funds in accordance with the Kreditwesengesetz (KWG – German Banking Act) amount to €327.4 million. The Bank’s total ratio in accordance with the Solvabilitätsverordnung (SolvV – Solvency Regulation) improved to 12.8% (previous year: 10.4%). Warburg Bank’s Tier 1 capital ratio is 10.3%.
We are very happy with these developments. Over the years, we have built up a
wide range of activities so that we can compensate well for ups and downs in the various areas of
banking. The fact that we enhanced our entire service offering contributed to the growth in the
Warburg Banking Group’s earnings.
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