THEGenerali annual meeting was marked byassenza of two key shareholders: Francesco Gaetano Caltagirone (6,19%), and the family holding company Del Vecchio, Dolphin (9,93%). On the contrary, they participated Mediobanca (with a share of 13,11%), i Benetton (with 4,83%) and the Foundation No. (with 1,92%), representing a total of 49,79% of the capital, down compared to the previous year. This absence seems to anticipate possible tensions regarding the renewal of the board of directors and the mandate of the CEO Philippe Donnet, both expiring next year.
Despite this, all the items on the agenda were approved with a very large majority: the budget 2023, dividend up by 10,3%, and the buyback of own shares and statutory amendments. All with overwhelming support from 99% of votes in favour. Only the votes on the votes fell below the 97% threshold remunerations, the first section of the report approved by 95,6% and the second by 96,8% of the capital present.
Il title is weak to Business Square: loses 0,52% to 22,97 euros per share.
Generali, Caltagirone and Delfin: a difficult coexistence
This is not the first time that Caltagirone, Delfin and Generali management have found themselves at odds. In 2022, together with other investors, they supported an alternative candidate for the CEO position, challenging Donnet, who was ultimately confirmed with the support of the outgoing board and Mediobanca.
The absence of the two shareholders at today's meeting seems to indicate a possible new phase of tension, especially in light of the proposals of amendment to the Capital Bill, which concern the possibility for the outgoing board to present a list of candidates for the renewal of the board itself.
Generali, ok with the 2023 budget and the 1,28 euro dividend
CEO Philippe Donnet presented the positive financial results of the previous year, highlighting record growth in operating profit and net profit. He confirmed the financial solidity of the group and the prospect of achieving the objectives set for the current year. Donnet also anticipated the new business plan, focused on sustainability and innovation, which will be presented in January 2025.
Notably, 2023 ended with Net income of 1,4 million euros, the largest profits ever – 3,6 billion euros, up 14,1% compared to the previous year – and a gross operating margin of 6,9 billion (+7,9%). Furthermore, it was decided to distribute to shareholders a dividend of 1,28 euros per share starting from May 22, 2024. However, shares traded starting from May 20, 2024 will no longer be entitled to the dividend. This proposed dividend leads to a total payout of €1.987 million.
In addition, a plan was approved for the purchase of own shares as part of the 2022-24 strategic plan. This plan provides for a maximum expenditure of 500 million euros and the purchase of shares not exceeding 3% of the company's share capital.
Finally, the assembly gave the green light to Group Long Term Incentive Plan (LTIP) for the period 2024-2026, which provides for the assignment of a maximum of 10,5 million shares.
