Banca Mediolanum (BMED) Q2 2026 earnings summary

Executive summary

• Net income for H1 2026 reached €555.5 million, up 16% year-over-year, driven by strong core business performance, diversified revenue streams, and organic growth.

• Operating margin rose 20% to €683.8 million, with contribution margin up 14% to €1.16 billion, reflecting robust revenue growth and disciplined cost management.

• Total assets hit a record €168.23 billion, up 8% since year-end 2025 and 16% year-over-year, supported by strong net inflows and market performance.

• Customer base expanded to 2,089,500, with 110,000 new clients acquired and a 5% increase in the Family Banker network to 7,164.

• Strategic initiatives in AI, longevity, and talent development are driving productivity and future growth.

Financial highlights

• Net commission income rose 10% to €705.7 million, supported by higher management and investment management fees.

• Net interest income surged 30% to €478.5 million, aided by a stronger funding base and lower funding costs.

• Banking service fees climbed 29% to nearly €158 million, with certificate sales up over 70% to €1.2 billion.

• General insurance gross premiums rose 13% to €129.1 million.

• Cost/income ratio improved to 36.1% from 37.6% at FY 2025.

Outlook and guidance

• Net inflows into managed assets expected to be around €9 billion for 2026, assuming normal market conditions.

• Net interest income projected to rise 15%-18% versus 2025; 2027 NII expected to grow 5% with a 2.6% average Euribor.

• Targeting a cost/income ratio of around 38% and cost of risk near 20 basis points.

• Dividend per share planned to increase from the €0.80 base, with €1.25 per share for 2025 and €0.65 paid in April 2026.

• Continued focus on prudence, credit quality, liquidity management, and cost control.