Intesa Sanpaolo (ISP) Q3 2025 earnings summary

Executive summary

• Achieved record 9M net income of €7.6bn, up 5.9% year-over-year, with strong Q3 performance in commissions and insurance income, and a 20% return on equity.

• Operating margin and gross income reached all-time highs, supported by effective cost management and €5bn+ in technology investments.

• €5.3bn in dividends accrued in 9M 2025, with €3.2bn to be distributed as interim dividends in November, and a €2bn share buyback completed in October.

• Confirmed guidance for 2025 net income well above €9bn, with further capital returns and managerial actions planned for Q4.

• Significant ESG initiatives included €4.6bn in taxes generated, €24.9bn in social lending and urban regeneration since 2022, and expansion of social programs.

Financial highlights

• Net interest income was resilient at €11.1bn despite a significant Euribor decline; net fee and commission income rose 5.1% to €7,328m, and insurance business income increased 4.7% to €1,372m.

• Cost/income ratio improved to a best-in-class 38.9%, with operating costs down 0.4% year-over-year.

• Customer financial assets surpassed €1.4 trillion, growing by €33bn year-over-year.

• Operating margin grew 0.2% to €12.5bn; gross income before tax reached €11.6bn (+1.3%).

• Dividend yield estimated at ~7% for 2025, with a 70% cash payout ratio.

Outlook and guidance

• On track to deliver 2025 net income well above €9bn, supported by Q4 managerial actions and further cost efficiencies.

• Revenue growth is expected from resilient net interest income, higher fee and commission income, and insurance business, while operating costs are set to decrease further.

• Additional distribution for 2025 to be determined with full-year results.

• Cash payout ratio of 70% of consolidated net income is planned, with an increase in dividend per share for 2025.

• New dividend policy and business plan to be announced in early February.