Banca Ifis resists the crisis, even if in the first half of the year it practically halves its net profit compared to the same period of 2019, and also updates its 2020 guidance, with net profit for the full year now estimated at between 50 and 65 million euros. However, despite the difficult context, the institute led by Luciano Colombini improved its financial position, as evidenced by the increase in CET1 to 11,58%, up 62 basis points compared to 31 December 2019. The NPL policy also remained in line with the objectives of the plan announced this winter: from January to July were acquired for 1,3 billion euros. And Banca Ifis is also keen to let it be known, in a note, that in this complicated moment for the country's productive fabric, it has not lacked decisive support for SMEs: over 18.000 moratoriums were requested in July, 98% of which were approved.
“The first half year – comments the CEO Colombini – confirmed the validity of the strategy and the financial solidity of Banca Ifis, in an unprecedented macroeconomic context. We managed to close with a profit and funding was stable in both the retail and institutional components. I would like to point out that in the six months, despite the macroeconomic uncertainty, Banca Ifis has accelerated innovation and digital transformation of the business and the operating model and, compared to forecasts at the beginning of the year, expects to increase investments in digitalisation. We are continuing to operate with efficiency and confidence", added the manager, also recalling the operation, closed in full lockdown, which saw Banca Ifis acquire 70% of Farbanca, in addition to the important rebranding project implemented by the young vice president Ernest Furstenberg.
As for the prospects for 2020, Colombini admitted that “the scenario ahead of us remains uncertain. However, assuming the progressive stabilization of the macroeconomic context and the absence of further periods of lockdown, for the 2020 financial year we estimate to achieve a net profit of between 50 and 65 million euros. In fact, for the second half of the year, also in the light of the recoveries made in July, equal to 25 million euro compared to the 17 million monthly average of the second quarter, we expect a progressive improvement in the Npl sector, which should return to full capacity in the last quarter of the year".
Here are the other main data for the semester. The intermediation margin amounted to 212,8 million euros, down by 23,8% compared to the 279,2 million euros of the same period of 2019. Net value adjustments for credit risk, as at 30 June 2020 , amount to 33,3 million euros, -4,9% compared to 35,0 million euros as at 30 June 2019. Operating costs increased by 11,6% amounting to 155,5 million euros, mainly due to the solidarity fund. Personnel expenses, amounting to 60,7 million euros, show a decrease of 5,4%. The intermediation margin of the Npl Sector1 amounted to 73,0 million euro compared to 125,5 million euro as at 30 June 2019. Net fee and commission income was substantially in line with the corresponding period of the previous year.
Investors did not mind the half-yearly report. Today, in a negative session for Piazza Affari, with Unicredit being the worst stock in the Ftse Mib, Banca Ifis manages to gain more than 1%. over 9 euros per share.
