Tradition H1 Revenue Up 10.4% at Constant FX, Swiss Franc Hits Reported

Compagnie Financière Tradition (SWX: CFT), an interdealer broker, reported first-half 2026 revenue of CHF 646.2 million, a 10.4% increase at constant exchange rates according to its latest trading update. However, when reported in Swiss francs, the growth narrowed to just 2.2% due to the appreciation of the Swiss franc against most major currencies, particularly the US dollar and Japanese yen.

In the second quarter, revenue reached CHF 306.5 million, down 1.1% from the same period last year in current terms, but up 3.6% at constant rates. The slowdown followed a robust first quarter, which saw 17.4% constant-currency growth. Tradition attributed the earlier spike to elevated volatility in April 2025 following US tariff announcements and geopolitical tensions in the Middle East.

The company operates in over 30 countries, with much of its business generated outside Switzerland, exposing it to significant currency translation effects. This is not the first time the company has noted the impact of CHF strength; in 2025, it similarly reported that the franc's appreciation reduced the dollar and yen value of overseas revenue.

Under IFRS, first-half revenue rose to CHF 597.8 million, up 3.1% in reported terms and 11% at constant rates. The interdealer broking division generated CHF 623.3 million, with constant-currency growth of 10.4% but only 2.6% in reported CHF. The retail investor business, which includes Japanese operations, saw reported revenue fall 6.7% to CHF 22.9 million, though constant-currency growth was 8.9%.

The Swiss franc's strength is a double-edged sword for forex traders. While it may signal a safe-haven appeal, it also impacts multinational companies' earnings. For those trading EUR/CHF or USD/CHF, the company's results highlight the ongoing pressure on CHF pairs as the franc remains resilient. The company did not provide a revenue forecast but said July trading activity continued at the first-half pace.

## Currency impact The appreciation of the Swiss franc against the US dollar and Japanese yen was a key factor reducing Tradition's reported revenue. This suggests continued strength in CHF, which could influence currency pairs such as USD/CHF and JPY/CHF. Traders may watch for further CHF appreciation driven by safe-haven flows and central bank policies, but this is informational only.

This is information, not investment advice.