Financial statements for six months ended 31/12/22 approved

RECORD RESULTS, EXCELLENT GROWTH AND QUALITY

3M RESULTS:

Revenues ~€900m, up 20% YoY , with all income streams growing
Net profit ~€293m, up 11% QoQ and YoY
Strong revenue growth (up 19% QoQ and 20% YoY), above €900m in 3M for first time
NII ~€450m (up 13% QoQ and up 19% YoY) on asset growth and repricing
(total loans €54bn, up 2% QoQ, up 6% YoY) and effective cost of funding management
(€10bn in funding raised since February 2022 at a cost of ~80 bps )
High growth in fee income to ~€260m (up 25% QoQ and up 9% YoY) on record
Investment Banking results (€117m, up 70% QoQ) and a solid performance in WM
(€118m, up 5% QoQ, NNM: €2bn, TFAs up 5% to ~€83bn)
Further improvement in credit quality, in Consumer Finance in particular
(Group gross NPLs < 2.4%; coverage: 73.2% NPLs, 1.34% performing loans, overlays ~€280m)
Efficiency preserved (cost/income ratio 42%)
High capital levels: CET1 15.1%, FL  14.0%
(600 bps above SREP and post-model revalidation discounted to end-Sept. 2022)
Dividend accrual: cash payout 70%

6M RESULTS AHEAD OF STRATEGIC PLAN TARGETS

Revenues ~ €1,660m (up 14% YoY), vs €3bn plan target for 12M FY 2022-23
Positive contribution from all divisions and sources:
CF +7% €560m, WM +12% €407m, CIB +20% €430m, Ins +2% €198m, HF +163% €82m
NII up 15% €843m, Fees up 7% €472m, Trading up 53% €148m
GOP ~ €968m (up 17% YoY), cost of risk at 59 bps
Net profit ~ €555m (up 6% YoY)
6M EPS €0.65 vs €1.1 plan target for 12M FY 2022-23; ROTE 14% (vs 11%) 

STRONG PUSH ON DIGITAL

CF: focus on instant lending, two fintechs acquired in BNPL
WM: new digital advisory platform in co-operation with Armundia

SUSTAINABILITY

MSCI rating raised from “A” to “AA”
Increasing commitment to tackling climate transition risks
 

^{1 YoY: end-Dec. 2022 vs end-Dec. 2021; QoQ: end-Dec. 2022 vs end-Sept. 2022.
2 Spread: bps vs Eur 3M
3 The fully-loaded ratio has been calculated without the Danish Compromise, i.e. with the Assicurazioni Generali investment deducted in full (approx. 105 bps) and with the IFRS 9 FTA effect applied in full (approx. 5 bps).}