In December, derivatives specialist Leonteq issued a profit warning after the Swiss financial market regulator Finma confiscated more than 9 million francs in profits. As a result, the annual figures are correspondingly disappointing. A successor has been found for the departing CEO.
Swiss- and -Singapore-based derivatives specialist Leonteq appointed Christian Spieler (pictured below) as the new CEO, effective March 1, 2025. He will take over operational management from co-founder Lukas Ruflin, who announced his resignation last summer and plans to transition to the Board of Directors.
Christian Spieler (Image: Leonteq)
Spieler brings more than 25 years of experience at major global financial institutions in Frankfurt and London. Most recently, he worked as an external consultant at Bain & Company, focusing on projects in the financial institutions and capital markets sector.
Until 2021, he was responsible at Citi for equities, fixed income, foreign exchange, and commodities trading in the German and Austrian markets, as well as for warrant trading and distribution across Europe.
Profit Slump
The company has also released its annual figures, reporting a significant drop in profits. Net profit fell to 5,8 million francs, down from 20,6 million in the previous year – a decline of almost three-quarters.
Leonteq had already anticipated significantly lower profits in December. The Swiss financial market regulator Finma had identified serious violations of risk management regulations and fiduciary duties, leading to the confiscation of unlawfully generated profits amounting to 9,3 million francs.
Pre-tax profit fell by 57 percent in 2024 to 7,9 million francs.
Dividend Cut
Shareholders will also feel the impact. The Board of Directors is proposing a dividend of 0,25 francs per share, down from 1.00 Swiss francs in the previous year.
Operating income continued to decline in 2024, decreasing by 8 percent to 238,5 million francs. The company attributes this to «persistently low market volatility.» The most significant drop was in trading income, which fell by 41 percent to 21,5 million francs. On the other hand, commission and service business revenue remained stable, increasing by 1 percent to 214,4 million francs.
«This financial year has undoubtedly been disappointing,» commented outgoing CEO Ruflin on the figures. The company is planning a cost-cutting program worth 10 million francs.
New Requirements
Additionally, as of early 2025, Leonteq is subject to expanded capital and risk distribution requirements, which are to be fully implemented by mid-2026. The restructuring and regulatory transition costs for 2025 are estimated at approximately 10 million francs. Excluding these one-time costs, management expects a profitable underlying result for 2025.
The previous guidance through 2026 has been suspended. Leonteq plans to announce new medium-term targets once the transition to the new regulatory framework has progressed further.
