Net profit grew by 50% to 72,5 million Euro, a result mainly driven by revenue performance, which increased by 12% in the first half of 2022 compared to the same period last year.
Factoring and Leasing activities all grew at higher rates than the reference markets , confirming the dynamism of the Bank’s commercial network.
Collections from the Npl business increased, thanks to the increased efficiency of credit recovery activities and the quality of the portfolio, due to the prudent approach taken when purchasing Npl portfolios in recent years.
Significant reserves set aside for Covid in previous years, unused, were reclassified to cope with potential macroeconomic risks arising from the conflict between Russia and Ukraine, and the slowdown in economic growth.
Results first half 2022
Reclassified data – 1 January 2022 / 30 June 2022
- Net banking income is up 11,6% to 324 million Euro (290,4 million Euro at 30.06.2021) and benefits from the greater revenues of the Npl Segment of 135,0 million Euro (+9,5% compared to 30.06.2021) and of the Commercial & Corporate Banking Segment of 142,2 million Euro (+1,6% compared to 30.06.2021).
- Operating expenses, amounting to 185,5 million Euro (+7,5% compared to 172,5 million Euro as at 30.06.2021), are up due to higher personnel expenses (73,6 million Euro compared to 67,7 million Euro as at 30.06.2021, due to the growth in variable remuneration and the contribution, in terms of resources, throughout the half-year period linked to the former Aigis Banca acquisition) and other administrative expenses (114,6 million Euro compared to 111,5 million Euro as at 30.06.2021) due to higher costs mainly related to the Group’s strategic projects.
- The Parent Company’s net profit amounts to 72,5 million Euro, up 50% from 48,3 million Euro in the first half of 2021.
- Credit cost of 33,7 million Euro, down from 43,5 million Euro in the corresponding period of 2021.
- Solid liquidity position: approximately 1 billion Euro at 30 June 2022 in reserves and free assets that can be financed by the ECB (LCR above 1.000%).
Capital requirements
- CET1 comes to 14,92% (15,44% as of 31 December 2021) and TCR of 19,00% (19,63% as of 31 December 2021), calculated excluding the first half 2022 profit. CET1 would stand at 15,91% including the positive effects of the application of EU Delegated Regulation 954/2022 published in the Official Journal on 21 June 2022 and effective from July 2022, which allows for a reduction in the risk-weighting on loans acquired from the Npl business and the transfer of loans to the National Health System (NHS) carried out by the Bank in June 2022 (recognition of the risk transfer is expected by September 2022).
