Leonteq expects an adjusted loss in the low double-digit million range for the 2025 financial year. The business model remains relatively dependent on market conditions, according to a statement published on Thursday.

In its half-year results in July, the company presented a roadmap for implementing its strategy over the next 12 to 24 months. The aim is to improve profitability and strengthen capital efficiency. Leonteq says it has made important progress in implementing the strategy. This includes the transition to SA-FRTB (Standardized Approach – Fundamental Review of the Trading Book), with a CET1 ratio of over 15 percent as of the end of November.

Leonteq had agreed transitional arrangements with Finma and is allowed to apply the Simplified Standardized Approach (SSA) to calculate market risk-weighted assets until the end of 2026. The transition to the new regime was completed in record time in November 2025, and thus significantly earlier than planned, the company adds.

Normalization After a Turbulent First Half

The underlying loss is attributed to a significant reduction in positive hedging contributions, despite a steady improvement in customer activity. This is due to the normalization of market conditions following a period of heightened volatility at the beginning of the year.

Underlying costs are now expected to be lower thanks to the measures taken. They are estimated at around 205 million francs, compared with the previous estimate of 220 million francs. Restructuring and the announced regulatory adjustments are expected to result in costs of around 10 million francs.

Progress in Client Business

Management reports a restoration of confidence and a revitalization of client activity across all regions. Between July and November, more than 127'000 client transactions were executed – an increase of 18 percent compared with the same period last year. The number of products issued rose by 49 percent to more than 27'000, and transaction volume increased by 23 percent to 11,9 billion francs.

Margins in this period were around 60 basis points, below the previous year but stable compared with the first half of 2025. The lower margin is attributed to a change in the partner mix.

Acceleration of Business Activity

After seasonally weak summer months, business activity accelerated significantly. As a result, commission and fee income is expected to be comparable to the first half-year.

«Our progress in client activity and in restoring client confidence underscores that our ROE strategy is moving in the right direction,» CEO Christian Spieler says.

Fine in Germany

Restructuring efforts will continue. In Japan, the sale of the local branch has been agreed, with completion expected in the first quarter of 2026.

Furthermore, regulatory legacy cases are reportedly nearing completion. In Germany, the Federal Financial Supervisory Authority (BaFin) has imposed an administrative fine of 35'000 euro for breaches of supervisory duties. This relates to a measure announced back in 2023.

Search for a New Chairman Underway

Chairman of the Board Christopher Chambers has also announced that, after more than eight years in the role, he will not stand for re-election at the next Annual General Meeting. The process to appoint his successor is underway.