UniCredit Beats 2Q Expectations -- Earnings Review
August 06 2020 - 4:33AM
Dow Jones News
By Pietro Lombardi
UniCredit SpA posted better-than-expected results for the second
quarter. Here is what you need to know:
NET PROFIT: Net profit for the period was 420 million euros
($498.3 million), down from EUR1.85 billion in the same period last
year, when they included the sale of the bank's stake in FinecoBank
SpA, the Italian bank said Thursday. Analysts had forecast a net
profit of EUR335 million, according to a consensus forecast
provided by the bank.
REVENUE: Quarterly revenue fell 7.7% on year to EUR4.17 billion,
beating expectations of EUR4.12 billion.
WHAT WE WATCHED:
-PROVISIONS: In the second quarter, the bank set aside EUR937
million for credit losses, up from the EUR707 million it had stowed
away a year earlier. However, this is lower than the EUR1.09
billion analysts had expected.
-REVENUE STREAMS: Trading income rose by almost 19% on year.
Fees and commissions dropped 12% while net interest income was down
4.5%.
-TARGETS: The bank confirmed its profits guidance for next year.
It also confirmed its guidance for a cost of risk of between 100
basis points and 120 basis points for this year. Underlying profits
in the second half of this year should be in line with the
first-half's, Chief Executive Jean Pierre Mustier said in a call
with journalists.
Write to Pietro Lombardi at pietro.lombardi@dowjones.com;
@pietrolombard10
(END) Dow Jones Newswires
August 06, 2020 04:18 ET (08:18 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
Unicredit (BIT:UCG)
Historical Stock Chart
From Aug 2024 to Sep 2024
Unicredit (BIT:UCG)
Historical Stock Chart
From Sep 2023 to Sep 2024