Mediobanca Banca di Credito Finanziario S.p.A.

For the full year, Mediobanca reported EUR 3.7 billion of revenue, up 6% on an average basis over the last two years, gross operating profit up 8%, net profit up 4%, and EPS up 7%, with cost/income broadly at 43%. Cost of risk was 44 basis points for the year, better than the 50-55 basis point budget, and return on risk-weighted assets was 2.9%, above the plan starting point of 2.4%. The group generated 270 basis points of capital and increased the total dividend to EUR 1.15 per share, up 7% year on year, including a EUR 0.59 final interim tranche payable next November. For the next year, management guided to EUR 123 billion-EUR 125 billion of TFA, EUR 10 billion of net new money, low mid-single-digit revenue growth, high single-digit fee growth, resilient NII, CoR reiterated at 55 basis points, profit of EUR 1.4 billion, and a capital ratio in the region of 14.5%.

CEO Alberto Nicola Nagel framed the year as the strongest in the company’s history, emphasizing stronger commercial execution, a more resilient franchise, and disciplined capital use. He said the bank is entering a new phase of the industrial plan, with a push toward EUR 4.4 billion of revenue in three years, higher recurring EPS, and a switch to full cash dividends starting next year. His tone was confident and strategic, with repeated emphasis on Mediobanca’s standalone trajectory and the optionality from Banca Generali.

Management highlighted several financial strengths: fees exceeded EUR 1 billion and rose 14%, NII was resilient and supported by Consumer Finance and new loan production in CIB, and cost of risk ended at 44 bps versus the budgeted 50-55 bps. Capital generation was described as very strong at 270 basis points, allowing higher dividends and continued buybacks, including a final EUR 400 million buyback tranche. On capital structure, management said the aim is to keep a Tier 1 ratio around 14.5% through more cash distribution, not because of regulatory headwinds, and noted that excess capital from some subsidiaries had reduced NII in places.

Analysts focused on the timing and feasibility of the Banca Generali process, including whether an AGM on August 21 is realistic, whether a deal could be launched before the Monte Paschi offer ends, and whether the offer would be legally binding if approved. Management said the timeline depends on authorization timing and on reaching a workable agreement with Generali, and that once an offer is published and conditions are met it is irrevocable, though the legal implications still need review. Questions also pressed on the 2026 guidance and the higher CoR assumption; management called the EUR 30 million-EUR 40 million NII difference a prudential adjustment tied to lower rates and funding costs, and said the higher Consumer Finance CoR guidance reflects prudence and mix rather than asset-quality deterioration.