HSBC Trinkaus & Burkhardt AG reported earnings results for the six months ended June 30, 2014. For the period, the bank reported pre-tax profit of EUR 108.1 million, which was 18% lower compared with EUR 131.9 million for the same period in 2013. Net profit declined to EUR 72.6 million compared to EUR 88.5 million a year ago, due to the bank' withdrawal from Luxembourg, which is near completion, as well as the cost of investment in infrastructure to implement the growth initiative in Germany. Adjusting for the impact of the withdrawal from Luxembourg, operating revenues increased by 0.5% to EUR 347.5 million compared to EUR 345.8 million a year ago. Net interest income increased by EUR 6.2 million to EUR 87.6 million from EUR 81.4 million in the same period of 2013. This is primarily due to an improvement in net interest income earned in the client lending business, partially offset by lower levels of interest income from financial assets as a result of adverse market conditions.

As the general economic environment is expected to remain solid, a slight increase in revenues is expected for the remaining six months of 2014. Overall, the bank expects a single-digit percentage decline in profit before tax.