• Revenue increase of approx. EUR 2m compared to 1st half of 2019
• Earnings-before-tax (EBT) on level with previous year despite pandemic and risk precautions
• New Work-initiative driven forward
• Quick and straightforward access to KfW-Corona-Aid established

Hamburg, 16/07/2020 - Having recently announced that 2019 was the most successful year in Varengold Bank's history, the Hamburg-based financial institution, which celebrated its 25th Anniversary on July 10th, has managed to continue its strong performance in the 1st half of 2020.

Commission fees were the main driver of a EUR 2m increase in revenues compared to the 1st half of 2019. Most of these fees were generated through lending and financial transaction services within Commercial Banking, one of Varengold Bank AG's two core business areas.

Given the uncertainties associated with the continuing Covid-19 pandemic, Varengold will use this revenue increase for risk precautions. Nonetheless, its EBT of EUR 1,631,482 remains on the same level as in the previous year (June 30th, 2019: EUR 1,687,816).

A New Work-initiative, launched by the bank in 2019, contributed to the positive financial results: All employees were equipped with laptops and the collaboration software MS Teams. This, in addition to flexible working hours, has allowed for the continuation of uninterrupted business operations in spite of the Covid crisis.

This initiative, which has been enhanced by the initial lessons learnt from the pandemic, will bring about changes beyond the 1st half of 2020: Aside from further measures which will increase the bank's digitilisation, the bank's current waterfront premises are now being reviewed from a modern work place perspective.

Over the last 6 months Varengold has also placed a heavy focus on aiding German companies dealing with the financial fallout of the pandemic: After an expeditious "Hausbank" (EN: principal bank) accreditation by the KfW, the bank worked with the Berlin-based fintech Kapilendo to provide the German "Mittelstand" with a straightforward and digital access to the KfW's Corona Aid Programme. A novel and much-needed service that has proven popular since.

Disclaimer

This release contains forward-looking statements that involve certain risks and uncertainties. Future results may differ materially from those currently anticipated due to various risk factors and uncertainties, such as changes in business, economic and competitive conditions, currency exchange rate fluctuations, litigation uncertainties or investigations, and availability of financial resources. Varengold Bank AG assumes no responsibility for updating the forward-looking statements contained in this release.