Banca IFIS (IF) Q3 2026 earnings summary

Executive summary

• 9M26 net banking income was €571.0m; parent-attributable net loss was €67.3m after a €71.8m IFRS 5 write-down on the NPL business. Ordinary-operations profit was €4.6m.

• New lending to SMEs and individuals grew 23% in 9M26 to more than €10bn; commercial revenues were broadly stable YoY.

• Transformation priorities include the NPL sale, supervisory remediation and illimity integration; the merger is scheduled for 7 December 2026.

Financial highlights

• 9M26 net banking income was €571.0m, including €391.8m net interest income and €99.0m net commission income.

• Net credit risk losses were €115.0m, including €38.2m from illimity; excluding illimity, losses were €76.8m versus €23.5m in 9M25.

• Operating costs were €435.9m, including €116.0m from illimity; excluding illimity, costs rose 5.1% YoY to €319.9m.

• Consolidated 3Q26 total revenues were €164.5m and parent-attributable net loss was €75.1m, including the €71.8m IFRS 5 adjustment.

• 3Q26 stand-alone net revenues were €121m, down 13% YoY; Commercial & Corporate Banking revenues were €80m versus €84m, and NPL revenues €36m versus €54m.

Outlook and guidance

• FY26 net profit guidance remains €100m–€110m, including ~€70m of DTA recognition, and excludes potential NPL-sale and Bank of Italy inspection impacts.

• Binding NPL sale offers are expected by mid-December 2026; the impact on FY26 reported profit remains unquantifiable pending transaction terms and completion.

• illimity merger is scheduled for 7 December 2026; annual cost synergies of €50m and revenue synergies of €25m are expected from 2027.

• Regulatory remediation plans cover AML/compliance and prudential findings; remaining actions are targeted for completion by Jun-27.

• A new business plan is expected in early 2027, after key strategic milestones and new SREP capital requirements.