Increased total assets and operating leverage drive double-digit growth of H1 net profit despite prudential provisions aimed at protecting clients
- Net profit: €190.1 million (+44%)
- Recurring net profit1: €83.3 million (+23%)
- Total revenues: €432.7 million (+43%)
- Core operating costs2: €101.4 million (+4.6%)
Three-year plan targets relating to total assets and net inflows exceeded
- Total assets: €80.4 billion (+17%)
- Assets under Advisory: €6.8 billion (+33%)
- H1 net inflows: €3.8 billion (+35%)
Dividends and capital solidity confirmed
- CET1 ratio at 15.3% and TCR Ratio at 16.5%
- Dividends: €1.25 floor on 2021 results already allocated, in addition to €3.3 approved for financial years 2019/2020
Milan, 27 July 2021 - the Board of Directors of Banca Generali approved the consolidated results at 30 June 2021.
Chief Executive Officer and General Manager Gian Maria Mossa stated: “This was our Bank’s best ever half year, driven by sharply growing commercial and financial results, with the positive contribution of all revenue components. We reached our most ambitious three-year plan targets regarding total assets and net inflows six months earlier than forecast: the total assets increase to over 80 billion was driven by higher-than-expected net inflows and inflows from new clients, and the positive trend continued also in the first weeks of July, leading us to revise our FY guidance upwards to a range of €5.5-6.0 billion. The solidity and sustainability of our business is also proven by our capital ratios, shareholder remuneration ability, and ongoing increase in recurring profit, which is mostly based on our Financial Advisors’ advisory and the Bank’s wide range of services. In the first half of the year, the variable component was affected by the commitment undertaken to protect the Clients’ positions in light of certain critical issues emerged with regard to some securitisation transactions which have felt, inter alia, the impact of the pandemic. Our focus on the protection of households’ life plans and the quality of our Financial Advisors were confirmed as the pillars of our competitive positioning, and the investors’ growing need for financial advisory leads us to look with great confidence to our prospects for the second half of the year.”
