Banco di Desio e della Brianza (BDB) Q1 2026 earnings summary

Executive summary

• Consolidated net profit for Q1 2026 reached €37.6 million, up 1.7% quarter-over-quarter and year-over-year, with an annualized ROE of 8.0%.

• Operating margin rose to €68.9 million (+13.1% YoY), driven by strong growth in net commissions, especially from Bancassurance, and improved cost/income ratio at 56.9%.

• Asset quality indicators remain stable, with a gross NPE ratio at 2.9% and coverage ratios consistent with expectations.

• ROE annualized at 8.0% (down from 9.3% at end-2025); cost of risk at 27 bps (down from 33 bps at end-2025).

• Cost/income ratio improved to 56.9% from 59.0% YoY.

Financial highlights

• Operating income increased by 7.4% YoY to €159.6 million, with net commissions up 24.1% YoY.

• Operating costs increased by 3.4% YoY, mainly due to extraordinary and non-recurring items, reaching €90.7 million.

• Result from operations grew 13.1% YoY to €68.9 million.

• Net profit attributable to the Parent Company was €37.6 million, up 1.7% YoY.

• Credit risk cost rose to 27 bps from 15 bps YoY.

Outlook and guidance

• Continued focus on commission growth and wealth management.

• The macroeconomic environment is marked by geopolitical tensions, especially the Middle East crisis, leading to higher energy costs and inflation risks.

• Italian GDP growth is expected to slow to +0.4% in 2026, with continued support from NRRP investments but facing weak external demand.

• The Group is maintaining enhanced risk controls and close monitoring of sectors most exposed to volatility.

• Asset quality and capital buffers expected to remain robust.