General Bank closed the first half with the best results ever on the front commercial deposits (+30%, to 2,9 billion) and in the growth of assets under administration (+9%, to 43,6 billion). Core business, such as management fees, also improved, up 6% to a new high of $237,1 million.
THENet income consolidated amounted instead to 67,3 million euros, down by 52% compared to the same period of 2015. In a scenario of great volatility - explains a note - "the variable revenue items linked to trading and performance commissions have decreased by 65%”.
I Second-quarter profits up 29% (37,9 million) compared to the first, "but the drop in variable components already seen in the first quarter of the year was reflected in the half-year net result".
Il intermediation margin it decreased by 31,8% to 202 million, a change that "reflects the different trend of the aforementioned performance fees, as well as the normalization of trading activity and the definitive end of the refinancing operations promoted by the ECB (Ltro)" .
Il interest margin in the first half it decreased by 17,6% to 29,6 million and net commissions decreased by 34,7% to 152,8 million. Trading profits fell 28% to 18,1 million, while dividends were up 30% to 1,5 million.
I operating costs increased by 9,5% to 89,7 million and include the allocation of 2 million for the Single Resolution Fund and the Interbank Deposit Protection Fund but also the increase (+12%) in personnel expenses, linked to the strengthening of the commercial structure with 76 new entries mainly from the world of banks. and the increase in variable remuneration linked to last year's record results.
Il Operating income is down by 47,6% to 112,3 million. The results for the first half of 2016 – explains the bank – were achieved in a context of uncertainty which particularly worsened during the month of June following the historic referendum on Brexit. The total assets of the Banca Generali group as at 30 June rose by 24,6% to 7.620 million mainly thanks to the strong growth in deposits from retail customers during the period.
La capitalization of the bank further strengthened compared to the levels at the end of 2015, reaching 14,5% in terms of CET 1 ratio (14,3% at the end of 2015) and 16% in terms of Total Capital ratio (15,9% at end of 2015) on a transitional basis.
“A difficult semester due to market conditions – he comments Gian Maria Mossa, managing director of Banca Generali -, but we are proud of the great work done alongside customers and in the development of innovative tools. The new peaks reached in deposits, assets and bank solidity confirm the strong response to the bank's role as a cutting-edge point of reference in the protection of assets and families through tailor-made advice for affluent and private customers. The focus on technology and the evolution of internal processes with the recent reorganization makes us even faster and more competitive in facing the challenges for the second half of the year where we are confident we can reach new important goals”.
In the afternoon Banca Generali's share on the Stock Exchange it yields 1%, to 18,99 euros.
