Pictet Group’s operating income and net profit fell in the first half of 2024, while its assets under management (AUM) or custody increased, its half-year report has shown.

Its unaudited figures revealed that the group’s operating income fell by 3 per cent year-on-year to £1.4bn in H1, with its total operating expenses before tax rose by the same percentage to £1.05bn.

Pictet’s net profit also declined in the first half of 2024, from £327m in H1 2023 to £287m at the end of June 2024.

However, the group’s AUM increased by 10 per cent compared to the end of December 2023, rising to £622bn in H1 2024.

The growth in AUM was attributed to favourable market conditions, positive investment performance, and new money inflows.

While Pictet’s total equity and capital ratio “remained strong”, its total equity fell from £3.7bn in H1 2023 to £3.4bn in H1 2024, and its total capital ratio declined from 29 per cent to 28.2 per cent.

The group’s total assets also decreased slightly, from £36bn at the end of December 2023 to £35bn at the end of June 2024.

Commenting on the results, Pictet senior managing partner, Marc Pictet, said: “We are satisfied with our results as we saw a robust increase in AUM due to good investment performance, favourable market conditions and new money inflows.

“At the same time, we experienced significantly lower interest income as clients invested a higher portion of their cash positions in revenue generating assets.

“Operating expenses grew as we continued to invest in our private assets and Asia businesses as well as technology and infrastructure.”

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