Varengold Bank AG

VG8

Equity

ISIN DE0005479307 / Valor 2934661

Xetra (2025-03-14)

EUR 2.90%

Varengold Bank AG
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About company

Varengold Bank AG, a German financial institution, operates primarily within the niche of Marketplace Banking and Commercial Banking. In its Marketplace Banking segment, the bank specializes in partnering with online marketplaces that facilitate financing for businesses and consumers, often referred to as peer-to-peer platforms. Varengold Bank plays a crucial role in financing the growth of Fintech companies, offering them essential Fronting Services and Banking-as-a-Service solutions. This enables these platforms to scale rapidly by providing the necessary financial infrastructure. On the other hand, in its Commercial Banking division, Varengold caters to the needs of customers engaged in foreign trade. The bank offers foundational banking products and services, including account management and international payment processing. This dual focus allows Varengold Bank to serve a diverse range of clients, from innovative Fintech startups to traditional businesses seeking to expand their international trade operations.

Summarized from source with an LLMView SourceSector: Finance

Net Income Growth

In the first half of 2022, Varengold Bank AG reported a significant increase in net income, reaching 33.4 million EUR. This represents a 40% growth compared to the same period in the previous year, where net income was 23.8 million EUR. This substantial increase highlights the bank's strong performance and effective business strategies during this period.

Earnings Before Taxes

Varengold Bank AG's earnings before taxes (EBT) for the first six months of 2022 grew to 18.2 million EUR. This is more than double the EBT of 8.1 million EUR reported in the same period of the previous year. The impressive growth in EBT underscores the bank's ability to generate higher profitability from its operations.

Revenue from Core Business Areas

The Transaction Banking core business area of Varengold Bank AG continues to be a dependable revenue generator. The bank's customers in this area, particularly producers and wholesalers of foods and medications, have significantly contributed to the revenue growth. This sector's stability and the bank's expertise in foreign trade business have been pivotal in maintaining strong revenue streams.

Administrative Expenses

Despite the increase in key financial figures, Varengold Bank AG managed to keep its administrative expenses moderately increased. For the first half of 2022, administrative expenses were reported at -12,524 TEUR, compared to -9,908 TEUR in the same period of the previous year. This controlled increase in expenses reflects the bank's efficient cost management practices.

Outlook for Annual Results

Given the excellent results in the first six months of 2022 and a well-filled transaction pipeline, Varengold Bank AG expects a strong annual result. The bank anticipates exceeding its previous EBT forecast by 50%, now expecting an EBT of 28 to 32 million EUR. This optimistic outlook is supported by the bank's robust performance and strategic initiatives.

Summarized from source with an LLMView Source

Key figures

-2.03%1Y

-32.2%3Y

-9.38%5Y

Performance

55.6%1Y

94.1%3Y

88.5%5Y

Volatility