Azimut Holding (AZM) H2 2024 earnings summary

Executive summary

• Achieved record revenues of €1,470 million in FY 2024, up 12% year-over-year, with strong growth in recurring and performance fees.

• Adjusted net profit reached €588 million, a 29% increase year-over-year, marking a new all-time high for recurring net profit.

• Net inflows for 2024 totaled €18.3 billion, with robust international expansion, especially in the US, Australia, Brazil, and Turkey.

• Assets under management grew to approximately €110 billion, reflecting a 13% CAGR since 2019.

• Board approved the spin-off of The New Bank (TNB), entering an exclusivity agreement with FSI, with the transaction expected to close in 2H 2025.

Financial highlights

• Recurring fees increased by 11% year-over-year, with insurance revenues up 45% and performance fees more than doubled versus 2023.

• Operating profit (EBIT) increased 11% to €653 million, with a 44.4% margin.

• Net financial position improved to €722 million after full bond repayment, more than doubling year-over-year.

• Consolidated net profit was €576 million, up from €435 million in FY 2023.

• Dividend yield stands at 6.7%, with a proposed €1.75 per share for 2024.

Outlook and guidance

• 2025 targets reconfirmed: net inflows of €10 billion and net profit guidance between €400 million and €1.25 billion, depending on TNB authorization.

• Plans to expand into two new markets, one in Africa and one in Asia, with a focus on organic and selective inorganic growth.

• Cost inflation expected between 7%-10% for 2025.

• Conservative approach to guidance, with one-off costs and limited performance fees included in lower-end estimates.