2022-2025 business plan sees profits rise
MILAN, Italy, 04 Feb. 2022 (GLOBE NEWSWIRE) — Intesa Sanpaolo unveils its new business plan for 2025 and remains faithful to its vocation as a bank with very generous dividend policies.
The new business plan promises to return more than 22 billion euros to investors, confirming Intesa Sanpaolo’s pole position among the main European banks in terms of shareholder generosity and meeting the 16 billion euros promised by UniCredit in its 2021 plan -2024 announced last December.
More specifically, over the four-year period, the Group has committed to distribute more than 22 billion euros to shareholders in the form of cash dividends with a distribution rate of 70% each year of the plan and a redemption of 3 .4 billion euros in 2022; any new distribution will be assessed year by year from 2023. As part of its 2022-2025 business plan, Intesa Sanpaolo also aims to increase its net profit from 4.2 billion euros (in 2021) to 6, 5 billion euros.
A significant increase in profitability is expected with ROTE and ROE reaching 13.9% and 11.6% respectively in 2025, compared to 9.1% and 7.6% in 2021.
Current gross income is expected to reach €10.1 billion in 2025, compared to €6.6 billion in 2021.
The Carlo Messina-led group also expects net profit of around €5 billion in 2022, after hitting its 2021 profit target of over €4 billion.
The Group’s ambition is to become a “zero NPL” bank with no calendar provisioning impact; in this regard, Intesa Sanpaolo expects a reduction in bad debts in 2025 to 9.3 billion euros gross, compared to 15.2 billion euros in 2021, and to 4.6 billion euros net, compared to 7.1 billion euros in 2021.
As part of the new 2022-2025 business plan, Intesa Sanpaolo is committed to creating value of more than
520 billion euros for all stakeholders. Shareholder return policies are accompanied by policies in favor of households and companies with new medium/long-term loans to the real economy of 328 billion euros.
New loans to support non-profit activities, vulnerable people and young people are expected to amount to €25 billion; for people in need, young people and seniors, investments and donations of around 500 million euros are planned; for the environment, new green economy, circular economy and green transition loans are expected to amount to €88 billion, with a strong focus on supporting the green transition of businesses and SME.
In terms of personnel, the business plan provides for the hiring of approximately 4,600 people.
Equita Sim stressed that the plan’s objectives are in line with expectations, with a significant return to shareholders.
LaPresse SpA Communications and Press Office Director
Barbara Sanicola – [email protected] – +39 02 26305578 – M +39 333 3905243Inasmuch asInasmuch as
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