The company’s management had already issued a profit warning in early June, as reported by finews.com. It announced that there would be no profit in the first half. In addition, Chairman Veit de Maddalena took over operational leadership after CEO Gebhard Giselbrecht left the firm.

Now the figures are in: Net profit plunged to just 0,2 million francs, compared to a profit of 7,4 million francs in the prior-year period.

Significant Decline in Client Assets

Compared to the end of 2024, assets under management dropped by more than 16 percent to 4,8 billion francs. This decline was due to both the underperformance of the healthcare sector and the resulting client reallocations, Bellevue stated on Thursday. The trend was further amplified by the weak U.S. dollar.

The average asset base fell by around 24 percent year-on-year, and by 16 percent compared to the end of 2024. This led to a corresponding 23 percent drop in asset management service revenues to 27,0 million francs.

Unrealized Investment Losses Weigh on Results

In addition, market-driven, unrealized investment losses on financial assets negatively impacted the half-year result by 2,0 million francs. As a result, total income declined by 31 percent to 25,0 million francs.

On the cost side, optimization measures initiated will not fully take effect until 2026, Bellevue added. Operating expenses declined by 11 percent to 22,7 million francs, primarily due to lower personnel costs.

Despite the challenges of recent years, Bellevue remains confident that the healthcare sector is a structural growth market. The company sees several potential catalysts for a turnaround in the second half of the year.