BHW: Light and shadow - how is the largest employer in Hameln?

BHW: Light and shadow - how is the largest employer in Hameln?

The BHW Bausparkasse, one of the largest private building societies in Germany with over two million customers, recorded an increase in the result before tax by 37 percent to 256.9 million euros in the 2024 financial year. This positive result can be attributed to several significant drivers, such as the improved cost development, especially in the area of ​​old -age provision, as well as lower commission expenses that are due to a falling new business.

However, BHW had to accept declines in the building society business due to the sunken interest rate level. The new business fell to 5.4 billion euros, compared to 7.2 billion euros in the previous year. According to the board spokesman Dietmar König, the focus is on growth and precise products. The return on equity before tax rose from 10.4 to 14.3 percent, while the expenditure-yield relation improved to 38.8 percent after 47.9 percent in the previous year. In addition, the sale of construction finance in the amount of 10 billion euros to Deutsche Bank strengthens the refinancing structure of BHW.

outlook on 2025 and strategy changes

For 2025, BHW Bausparkasse expects a moderate decline in income. The company plans to operate increased cross-selling to boost the building society shop. There is a special focus on financing for modernizations and energetic renovations with the "BHW 100" program.

The sales force proves to be crucial for the success of the building societies. Industry players such as the Schwäbisch Hall were able to increase their new business to 28 billion euros and increase their market share to 34.7 percent, while LBS Süd grew from EUR 33.7 to 37.2 percent for a gross business. In contrast, Wüstenrot recorded a drastic decline in new business by 42 percent and planned to start growth initiatives with sales partners.

The changes in the market are also influenced by mergers that reduced the structure of the industry from eight to five state building societies. However, these mergers bring an increased supervision by the ECB and are not expected as short -term. In addition, building society contracts are considered the "deadline business of the little man" and offer planning security.