Banca Mediolanum (BMED) Q1 2025 earnings summary

Executive summary

• Net income for Q1 2025 reached €243.3 million, up 10–10.4% year-over-year, driven by robust commercial momentum, resilient business model, and positive market effects despite a decline in net interest income.

• Total net inflows surged 22.9–23% YoY to €3.77 billion, with managed asset inflows up 71% to €2.01 billion; April 2025 set a new record for managed asset inflows.

• Customer base grew by 2% to over 1.96 million, supported by network expansion and promotional initiatives.

• Loans granted in Q1 totaled €849 million, up 51% YoY; credit book reached €17.78 billion.

• General insurance gross premium increased 26% YoY to €53.3 million.

Financial highlights

• Net commission income rose 8.9–9% YoY to €316.2 million, while net interest income fell 18–18.2% YoY to €180 million due to rate changes and deposit promotions.

• Contribution margin was €495 million; operating margin stable at €279 million.

• Management and investment management fees increased 13% YoY to €410.5 million.

• Performance fees reached €39.2 million (+32% YoY); market effects contributed €52 million (+106% YoY).

• Total assets under administration and management rose to €140.3 billion, up 1–1.3% from year-end.

Outlook and guidance

• 2025 guidance: managed asset net inflows around €7.5 billion, NII to decrease ~5% YoY, cost/income ratio below 40%, cost of risk below 20bps, and base dividend to increase.

• NII expected to improve sequentially through 2025; guidance assumes further deposit promotions.

• Strategy focuses on organic growth, service quality, and strengthening the Family Banker network.