A bank of excellence in support of the real economy

Figures as at 31 March 2025

The results for the first quarter 2025 highlight that Intesa Sanpaolo is able to generate solid sustainable profitability, with a net income of €2.6bn. The net income outlook for 2025 is confirmed at well above €9 billion.

Intesa Sanpaolo is fully equipped to continue operating successfully in any scenario thanks to the Group’s key strengths, notably:

• resilient profitability also due to the integrated management of revenues to create value; specifically, in Q1 2025 - with respect to the previous quarter - this translated in growth in profits on financial assets and liabilities at fair value that more than offset the decrease in net interest income;
• a solid capital position, with the Common Equity Tier 1 ratio up by around 45 basis points in Q1 2025 to 13.3%⁽¹⁾, and the zero-NPL bank status;
• significant investment in technology and high flexibility in managing operating costs, also due to the acceleration in technological transformation (62% of applications already cloud-based); 9,000 people leaving the Group by 2027 (around €500m savings in personnel expenses on a fully operational basis starting from 2028) with:
  • trade union agreement relating to Italy for 4,000 voluntary exits by 2027 of people close to retirement age, 2,350 of which by 2025 (already around 1,900 exits in Q1 2025), and 3,500 new hires of young people by the first half of 2028 (already around 190 hires in Q1 2025), 1,500 of which as Global Advisors for the Network commercial activities, specifically in Wealth Management & Protection (already around 140 hires in Q1 2025);
  • by 2027, through natural turnover of people, 3,000 exits in Italy, 1,000 of which by 2025 (already around 250 exits in Q1 2025), and 2,000 net exits in international subsidiaries, 500 of which by 2025 (already around 230 exits in Q1 2025);
• its leadership in Wealth Management, Protection & Advisory with €900bn in customers’ direct deposits and assets under administration to fuel growth in assets under management.

As regards technology, generating additional contribution to 2025 gross income of around €500m not envisaged in the 2022-2025 Business Plan⁽²⁾:

• new cloud-native technological platform (isytech), already available to mass market retail customers with the new digital bank, Isybank, and to be progressively extended to the entire Group: €4.4bn in IT investments already deployed and around 2,350 IT specialists already hired, with an additional contribution to 2025 gross income of around €150m not envisaged in the Business Plan;
• new digital channels:
  • Isybank, the Group’s digital bank with a lower-than-30% cost/income business model and around one million new customers by 2025 - with an additional contribution to gross income of around €200m by 2025 - not envisaged in the Business Plan: around 700,000 accounts already opened by new customers and around 350,000 Intesa Sanpaolo customers migrated;
  • Fideuram Direct, the digital Wealth Management platform for Private Banking, with around 150,000 customers in 2025 (around 20% of the current customer base of Fideuram): already around 78,000 customers and €3bn in customer financial assets as at 31 March 2025; collaboration with BlackRock to extend the platform to European Private and Affluent customers, starting with Belgium and Luxembourg;
• artificial intelligence, with around 150 Apps and 300 specialists in 2025 (already 110 Apps and around 230 specialists as at 31 March 2025) and an additional contribution to 2025 gross income of around €100m not envisaged in the Business Plan, not including further potential upside from the adoption of Generative AI solutions.

As regards the leadership in Wealth Management, Protection & Advisory, Intesa Sanpaolo can leverage on a unique set of enablers for revenue growth deriving from this business:

• top-notch digital tools;
• distinctive advisory networks, with around 17,000 people dedicated⁽³⁾ expected to grow to around 20,000 by 2027;
• fully owned insurance and asset management product factories;
• around €1,400bn in the Group’s customer financial assets;
• customer financial assets, managed through the 360-degree advisory services provided by the Banca dei Territori Division and the Private Banking Division, which amounted to €145bn as at 31 March 2025 and increased by €22bn compared with 31 March 2024;
• the organisational set-up overseeing the growth of revenues from commissions of the Group, specifically through the Wealth Management Divisions structure and the “Fees & Commissions” Control Room.

The solid performance of income statement and balance sheet in the quarter translated into significant value creation for all stakeholders, which is also grounded in the Group’s strong ESG commitment. Specifically:

• significant cash return to shareholders: €1.8bn of dividends accrued in Q1 2025 (in addition to remaining dividends for 2024 of €3bn to be paid in May 2025 and the buyback of €2bn to be launched in June 2025);
• €1.6bn taxes generated;
• expansion of the food and shelter programme for people in need (55.7 million interventions in the period 2022 - Q1 2025);
• enhancement of initiatives to fight inequalities and foster financial, social, educational and cultural inclusion (€22bn of social lending and urban regeneration in the period 2022 - Q1 2025);
• an amount equal to around €1.5bn total costs to be contributed in the five-year period 2023-2027 to support initiatives addressing social needs (over €0.7bn of which already included in the results for 2023, 2024 and Q1 2025, and the remaining portion included, on a pro-rata basis, in the outlook for full-year 2025 net income), with around 1,000 people devoted to supporting these initiatives.

Significant ESG commitment, with a world-class position in social impact and a strong focus on climate.

Intesa Sanpaolo is the only Italian bank listed in the Dow Jones Best-in-Class Indices⁽⁴⁾ and in the CDP Climate A List, and the only Italian bank, the first bank in Europe and the second worldwide in the 2025 Corporate Knights “Global 100 Most Sustainable Corporations in the World Index” and ranks first among the banks of the peer group by Sustainalytics. Furthermore, Intesa Sanpaolo:

• has been recognized in the FTSE Diversity & Inclusion Index - Top 100 as first bank and seventh company in the world and the only bank in Italy among the 100 most inclusive and diversity-conscious workplaces;
• in March 2025, was included in the Equileap Top Ranking 2025 among the 100 best companies in the world for gender equality;
• has been the first major Italian banking group to obtain the certification for gender parity “Prassi di Riferimento (PDR) 125:2022” envisaged by the National Recovery and Resilience Plan, thanks to its commitment to diversity and inclusion;
• has been the first bank in Italy and among the first banks in Europe to obtain the Gender Equality European & International Standard (GEEIS) - Diversity certification.

As a result of the strategic decisions taken, Intesa Sanpaolo has maintained its position as one of the most solid international banking Groups. In addition to the above, the Group’s key strengths are also: robust liquidity, strong funding capability and low leverage.

Specifically, with regard to the components of the Group’s liquidity:

• the high level of available unencumbered liquid assets (including eligible assets with Central Banks received as collateral and excluding eligible assets currently used as collateral) amounted to €207bn at end of March 2025;
• the high level of liquid assets (comprising available unencumbered liquid assets, excluding eligible assets received as collateral, and eligible assets currently used as collateral) amounted to €278bn at end of March 2025;
• liquidity indicators well above regulatory requirements: Liquidity Coverage Ratio at 147%⁽⁵⁾ and Net Stable Funding Ratio at 121%⁽⁶⁾;
• the sources of funding were stable and well diversified, with retail funding representing 77% of direct deposits from banking business (including securities issued);
• medium/long-term wholesale funding was €0.9bn in Q1 2025 and included a benchmark transaction of Tier 2 of €0.5bn by Intesa Sanpaolo Assicurazioni (around 89% was placed with foreign investors).

The MREL ratio as at 31 March 2025⁽⁶⁾, calculated on risk-weighted assets, was 36.7% for the total and 22.1% for the subordination component (36.4% and 21.8%, respectively not including in capital any Q1 2025 net income) compared with requirements of 26.2% and 18.5%, respectively, comprising a Combined Buffer Requirement of 4.5%.

The Group’s leverage ratio as at 31 March 2025 (which includes exposures to the European Central Bank) was 5.8% (5.7% not including in capital any Q1 2025 net income), best in class among major European banking groups.

Intesa Sanpaolo continues to operate as a growth accelerator in the real economy: with around €21bn of medium/long-term new lending in Q1 2025. Loans amounting to around €15bn were granted in Italy, of which around €13bn was granted to households and SMEs. In Q1 2025, the Group facilitated the return from non-performing to performing status of around 640 Italian companies thus safeguarding around 3,200 jobs. This brought the total to around 145,000 companies since 2014, thus safeguarding around 722,000 jobs over the same period.

⁽¹⁾ Compared with 12.8% at end of 2024 pro-forma deducting the negative impact of Basel 4
⁽²⁾ Additional contribution to 2025 gross income from isytech, Isybank, Fideuram Direct and Artificial Intelligence, which offsets the impact from higher inflation and the renewal of the labour contract
⁽³⁾ Financial advisors, Private Bankers, Global Advisors (with hybrid contract, employed with part-time indefinite-term contract and on a self-employed basis), relationship managers for Exclusive customers, relationship managers for Affluent customers and Digital Branch relationship managers
⁽⁴⁾ Previously named Dow Jones Sustainability Indices
⁽⁵⁾ Average for the last twelve months
⁽⁶⁾ Preliminary management figures