Azimut Holding (AZM) H1 2024 earnings summary

Executive summary

• Adjusted net profit reached €330 million in H1 2024, up 43% year-over-year, driven by strong international inflows and a capital gain from the Kennedy Lewis stake sale.

• Net inflows totaled €10 billion, 1.7x higher than H1 2023, already surpassing the full-year target and outperforming the Italian market.

• Total assets surpassed €100 billion for the first time in June 2024, with about 50% raised abroad, reflecting robust global growth.

• Management is confident in exceeding the €500 million net profit target for 2024, supported by operational performance and global expansion.

• Platform expansion and business growth led to a 16% increase in AUM and 20% in total assets year-over-year.

Financial highlights

• Total revenues rose 9% year-over-year to €702 million in H1 2024, driven by recurring revenues, performance fees, and insurance revenues.

• EBIT increased 9% to €312 million, maintaining a stable 44% margin.

• Finance income surged due to the Kennedy Lewis transaction, with realized and unrealized gains on investments.

• Net financial position improved to €637 million, up €245 million from December 2023, reflecting asset sales and strong cash generation.

• Cash and cash equivalents rose to €632.9 million at June 2024, from €464.6 million at December 2023.

Outlook and guidance

• Confident in exceeding 2024 targets, with net inflows already above the €7 billion goal and net profit expected to surpass €500 million.

• Continued focus on private markets, insurance, fintech, and international profitability, with full bond repayment expected by year-end.

• Deposit collection for the new bank to begin in Q3 2024, with ongoing negotiations for a strategic partner and future IPO.