(News Bulletin 247) – UniCredit announced Wednesday record results for its first quarter and raised its annual forecasts in the process, announcements which were greeted by a sharp rise in its action in Milan.
The Italian bank generated a net profit of 2.1 billion euros over the January-March period, compared with a profit of only 274 million euros a year earlier.
The consensus of analysts provided by the bank itself predicted a net profit of 1.3 billion euros.
Its net banking income increased by 18% to 5.93 billion euros, again exceeding the consensus which was aimed at 5.2 billion.
At 3.3 billion euros, net interest income jumped 43% compared to the previous year, while analysts expected around three billion.
The Milan-based group, which says it is continuing its “transformation” process, says it has reduced operating expenses by 0.6% year-on-year and 5.8% compared to the fourth quarter of 2022.
The financial institution, whose CET1 solvency ratio exceeds 16%, has raised its objectives for the full year, now forecasting a net profit of more than 6.5 billion euros this year.
UniCredit has also increased the amount of the envelope it intends to devote to redistributions to its shareholders, which should reach at least 5.75 billion euros in 2023.
Following these announcements, the action rose 6.5% on Wednesday morning on the Milan Stock Exchange, bringing its gains to more than 32% since the start of the year.
Copyright (c) 2023 News Bulletin 247. All rights reserved.
I have over 8 years of experience working in the news industry. I have worked as a reporter, editor, and now managing editor at 247 News Agency. I am responsible for the day-to-day operations of the news website and overseeing all of the content that is published. I also write a column for the website, covering mostly market news.
