This article first appeared on GuruFocus.
Release Date: July 30, 2026
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Net income rose 16% year-on-year to 555.5 million, driven by strong core revenue growth.
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Net commission income increased 10% to nearly 706 million, supported by a 12% rise in management and investment management fees.
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Net interest income remained robust at 478.5 million, benefiting from a stronger funding base and favorable repricing dynamics.
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The cost-income ratio improved to 36.1% from 37.6% in full-year 2025, reflecting effective cost discipline.
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Customer inflows reached 6.37 billion, up 4%, with managed asset inflows of 4.2 billion, and the customer base grew 3% to nearly 2.1 million.
Negative Points
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Renewed geopolitical tensions, higher energy prices, and market volatility added complexity to the operating environment.
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The ratio of acquisition cost to growth commissions inched up from 34.8% to 35.8%, due to a timing mismatch between costs and revenues.
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Impairment on loans increased from 14 million to over 20 million, influenced by an exceptionally low base in Q1 2025.
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The leverage ratio declined from 9.5% to 8.6%, mainly due to a temporary expansion of the banking book from government bond investments.
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Certificate sales, which boosted banking service fees, are expected to decline slightly in the second half of the year.
Q & A Highlights
Q: What drove the strong performance in certificate sales (1.2 billion in H1), and what is the outlook for H2? A: CEO Massimo Doris explained that the high volume was driven by favorable market conditions leading to the early redemption of many autocallable certificates, allowing customers to lock in coupons and reinvest. For H2, a slight decline is expected as the autocallable phenomenon is unlikely to repeat at the same pace.
Q: What is the outlook for Net Interest Income (NII) for the remainder of 2026 and into 2027? A: CEO Massimo Doris provided guidance for 2026, expecting NII to be up 15% to 18% versus 2025. For 2027, the bank expects a 5% increase, based on an average Euribor assumption of 2.6%. He noted that this is subject to revision based on actual Euribor rates.
Q: What is driving the acceleration in the ‘Grandi Patrimony’ (high net worth) segment? A: CEO Massimo Doris attributed the acceleration to a mix of factors: existing clients’ assets growing into the >2 million bracket, new client acquisition, the strengthening of the Banca Mediolanum brand in private banking, increased expertise of the network, and targeted recruitment of experienced professionals from traditional banks.
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