Banks: Berenberg admits errors and presents financial statement

Hamburg's private bank Berenberg has presented its outstanding 2025 annual financial statement following the forced replacement of its management board. The bank acknowledged errors in its previous financial reporting, which came to light during the statement's preparation.

An investigation initiated by the bank's administrative board revealed that Berenberg's results had been inflated, and loans were granted to management members under non-standard conditions. The bank emphasized that these issues did not affect its client business.

Deloitte, the auditing firm, provided an unqualified audit opinion on the 2025 annual financial statement. Berenberg reported a net profit of 20.2 million euros for 2025. This figure represents a substantial decrease from the 81.6 million euros profit recorded in 2024. The bank stated that the disputed incidents involving the former management have been addressed in the 2025 financial statement.

The bank's management board was unexpectedly replaced on June 19. Germany's financial supervisory authority, BaFin, appointed two special representatives. Reports suggest the BaFin's intervention was prompted by indications of potential corporate governance violations during the audit of the 2025 financial statement, although BaFin did not provide specific details. A lawyer for a former manager confirmed that an objection had been filed against BaFin's decision.