Mediobanca delivered a net profit of €411m in the first six months of FY 2020-21, up 3x HoH, with revenues up 10% to €1,301m. The Group’s operations show a strong recovery in all business segments, helped by the ongoing investments in distribution capacity, specialized offering and technology, which enabled customer-driven activity to be maintained even remotely. Investment banking activity posted its best results in recent years, with revenues up 50% HoH to €364m, driven by fee income.
The Wealth Management division also accelerated, with NNM totalling €2.3bn, and revenues up 6% to €302m. Results in Consumer Banking also recovered from the slowdown in 1H due to the first lockdown, with revenues of €515m and net profit of €138m (up 6% HoH), on a positive trend in asset quality. Rigorous risk management has enabled the Group to halve its cost of risk in 6M to 50 bps, with risk indicators returning to their pre-Covid levels, and asset quality at its highest ever levels.
The Mediobanca Wealth Management division, of which CMB Monaco forms part, continues on the growth path mapped out for it in the Group’s 2019-23 Strategic Plan based on a specialist business model, delivering a net profit of €47m in 6M (up 46% HoH), and a ROAC of 21%. This picture, which emerges from the Mediobanca Group’s earnings results for 1H FY 2020-21, reflects the importance of the WM division’s contribution, gathering NNM of €2.3bn in the Affluent & Private in 6M, and initiatives to grow by acquisitions implemented in the alternative segment.
The process of strategically repositioning CMB’s activities towards Ultra High Net Worth clients continues.
