Banca Generali (BGN) investor relations material

Executive summary

• Achieved record first-half net profit of €279 million (up 39% YoY), with total assets at €121.1 billion (+14% YoY) and net inflows at €4.4 billion (+47% YoY), all at historic highs.

• Strong performance in asset management, product innovation, and successful integration of Intermonte and Insurbanking initiatives.

• Advisor network expanded to 2,473 FAs (+3% YTD), including 64 new senior professionals.

• Strategic investments in AI, digital platforms, and ETF initiatives to drive future growth.

Financial highlights

• Net financial income for H1 at €189 million (+6.8% YoY), with net interest income at €167.4 million (+3.5% YoY) and trading gains up 42%.

• Total gross fees for H1 at €742 million (+25% YoY), with recurring fees at €616 million (+12% YoY) and variable fees tripling YoY.

• Operating costs increased to €182 million (+11% YoY), with core costs at €164 million (+8% YoY) due to investments in IT, data, and AI.

• Cost/income ratio improved to 30.0% (down from 34.8% YoY), reflecting efficiency gains.

• One-off €20 million tax charge in H1 due to Luxembourg corporate taxation.

Outlook and guidance

• Net inflows target for 2026 raised to €7.5 billion (from €6.5 billion), with management fee margin expected at 1.40–1.42% mid/long term.

• Core operating cost guidance for the long term remains at 6–8% growth, with a temporary spike in 2026 due to growth investments.

• Tax rate expected to normalize to 27–28% by 2028, with higher rates in 2026–2027 due to Luxembourg tax changes.

• Continued focus on sustainable growth, digital innovation, and leveraging Intermonte integration.