Banca Monte dei Paschi di Siena (BMPS) Q3 2025 earnings summary

Executive summary

• Net profit for the first nine months of 2025 reached €1,366 million, up 17.5% year-over-year, with Q3 net profit at €474 million, up 16.5% year-over-year, driven by strong fee growth and commercial performance.

• The acquisition of Mediobanca was completed with an 86.3% acceptance rate, consolidating its subsidiaries as of 30 September 2025 and creating the third largest player in the Italian banking market.

• Integration process is structured and progressing, with a new group business plan to be presented in Q1 2026.

• Commercial performance was robust: €12.8bn in wealth management gross inflows (+18% y/y), €4.8bn in new retail mortgages (2.2x y/y), and new consumer finance up 17% y/y.

• Strong commercial momentum and disciplined cost management led to another solid quarter, with teams maintaining focus despite the transaction.

Financial highlights

• Net operating profit for 9M 2025 was €1,389 million, up 3.7% year-over-year; Q3 net operating profit was €453 million.

• Total revenues for 9M 2025 were €3,054 million, stable year-over-year (+0.5%).

• Net interest income for 9M 2025 was €1,638 million, down 7.4% year-over-year due to lower rates; net fee and commission income rose 8.5% to €1,185 million.

• Operating expenses increased 1.4% year-over-year to €1,411 million, mainly due to higher HR costs.

• Cost of risk improved to 42 bps, down from 53 bps at end-2024.

Outlook and guidance

• Full-year 2025 pre-tax profit guidance raised to well above €1.6 billion, with a new business plan to be presented in Q1 2026.

• CET1 ratio projected to remain above 16% at year-end, supporting a 100% payout policy for coming years.

• Combined group targets €8 billion in revenues and around €3 billion in adjusted net profit, with return on tangible equity expected around 14%.

• EUR 700 million industrial synergies target reconfirmed; business plan and further details to be presented in Q1 next year.

• Net interest income is expected to remain high by historical standards, while commissions are projected to grow.