Credit Suisse has identified “material weaknesses” in its financial reporting processes.

In its overdue annual report, the bank said that management at the bank failed to “design and maintain an effective risk assessment process to identify and analyse the risk of material misstatements in its financial statements.”

Credit Suisse recently delayed publication of its annual report after US watchdog the Security and Exchange Commission (SEC) raised “last-minute” questions over its earlier financial statements.

The bank confirmed that its full-year results were unaffected by the flaws found in its financial reporting processes. The report revealed that the bank had suffered its worst year since the 2008 financial crisis when losses fell to $1.5 billion in the fourth quarter of 2022.

The company said it had been working to improve its reporting processes, adding that it has implemented measures “designed to help ensure that the material weaknesses are remediated with the highest priority.”

The measures, which the bank said would be constantly monitored, include strengthening its risk and control framework.

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