FinecoBank Banca Fineco (FBK) Q1 2025 earnings summary

Executive summary

• Net profit for Q1 2025 reached €164.2 million, up 11.7% year-over-year, with revenues at €329.3 million (+0.7% y/y), driven by strong Investing (+11.3% y/y) and Brokerage (+21.7% y/y) growth, offsetting a 10.8% y/y decline in net interest income.

• Client acquisition accelerated, with 55,000 new clients in Q1 2025 (+39.8% y/y) and 15,126 in April (+31% y/y); net sales in Q1 totaled €3.2 billion (+44% y/y), with April net sales at €1.25 billion (+48% y/y).

• Total Financial Assets as of March 31, 2025, stood at €142.3 billion (+11.0% y/y), with Private Banking TFA at €68.7 billion (+14.6% y/y).

• Growth is underpinned by a focus on transparency, efficiency, and a diversified business model, not reliant on short-term offers.

• Operating leverage remains robust with a cost/income ratio at 26.5%, and operating costs up 10% y/y (+7% y/y excluding growth-related costs).

Financial highlights

• Net commissions rose to €140.4 million (+9.2% y/y), trading profit increased to €27.3 million (+56.3% y/y), and gross operating profit was €242.0 million.

• Operating costs were €87.2 million (+10.0% y/y), with a cost-to-income ratio of 26.5%.

• Loans to customers totaled €6,132.2 million (+0.6% y/y), with a non-performing loan ratio of 0.08% and 83.9% coverage.

• Gross operating profit was €242.0 million; profit before taxes €236.4 million (+12.7% y/y); ROE at 24%.

• CET1 ratio at 24.1%, TCR at 33.1%, leverage ratio at 5.34%, LCR at 888%, NSFR at 390%.

Outlook and guidance

• 2025 guidance expects robust non-financial income, with a different mix due to market corrections and record brokerage revenues.

• Every €1 billion change in AUM from May 1 generates ~€4.5–4.7 million in revenues for the remainder of the year.

• Operating costs projected to grow ~6% y/y, excluding €5–10 million for growth initiatives; payout ratio expected at 70–80%.

• Cost/income ratio to remain below 30%; leverage ratio target above 4.5%; cost of risk expected between 5–10 bps.

• Net sales and client acquisition trends expected to remain strong.