Intesa Sanpaolo outperforms the consensus with double-digit earnings growth. After passed the EBA stress tests, Intesa Sanpaolo collects another positive result in a few days by announcing the accounts for the nine months and the third quarter.
In detail, in the months of July, August and September, Intesa Sanpaolo's net profit rose by 28,2%, reaching 833 million euros and beating the estimates of analysts who expected profits of 792 million. Since the beginning of the year, the profit therefore breaks through the 3 billion mark (reaching 3,012 to be exact) compared to 2,38 billion in the same period of the previous year, a figure which however does not include the 3,5 billion cash contribution for the acquisition of the Veneto banks, considering the which the result would have been equal to 5,888 billion.
Intesa also announces that the profit would reach 3,4 billion also taking into account the net capital gain deriving from the transaction with Intrum, which will be accounted for by the end of the year, and would therefore amount to 90% of the 3,8 billion recorded in 2017.
As regards the other financial parameters, i net proceeds in the nine months increased by 4,3% to 13,7 billion euros, while the net interest recorded a slight decrease (-1,1%) to 5,5%. +0,4% to 5,9 billion for net commissions with operating costs down 3,2% to 6,9 billion and a cost/income ratio down to 50,5%.
Intesa Sanpaolo speaks of results "fully in line with the objectives of the 2018-2021 business plan" and which "confirm the group's support for Italy also with the commitment to become a point of reference in terms of social and cultural responsibility" .
The results of the first nine months of 2018, communicates Intesa Sanpaolo, are the best since 2008. In detail, from January to September the group recorded the best results for 10 years in terms of net income, operating income and adjustments on credits. It was also the best nine months ever in terms of fees.
As regards the guidance, Intesa confirms once again for 2018 the net profit target above 3,8 billion last year and an 85% payout.
During the post-financial press conference, the CEO of Intesa Sanpaolo, Carlo Messina, also spoke of future dividends: “We'll see at the end of the year but I think my shareholders will be very happy'. said the bank's number one, reiterating once again the prospect that the institution would distribute a "very generous" cash dividend on the 2018 financial statements. Responding to questions from analysts on the subject, Messina also commented: 'You know, I'm a lover of dividends'.
After publication of the accounts, in Piazza Affari the Intesa Sanpaolo stock shot up, gaining 2,34% to 2,0225 euros and clearly beating the performance of the other securities in the banking sector (FTSE Italia Banche +0,3%) weighed down by tensions over the Italian manoeuvre.
