Intesa Sanpaolo posted a 10% rise in
net profits to €2.80bn ($3.79bn) for fiscal 2009, from €2.55bn a
year earlier, boosted by the strength in retail operations.
But Italy’s largest retail bank,
with a branch network of 6,000, also saw its retail loans drop 5.2%
to €374bn, while customer deposits rose slightly at 1%.
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The bank remained upbeat, however,
and said it expected its net income this year to be higher than in
2009.
It still ranks number one in Italy
for total loans and total deposits, with market shares of 16.4% and
17.8% respectively.
The bank said that the domestic
retail operations are “momentarily suffering from historic low
market yields” but remain the strength behind the group.
On the downside, net fee and
commission income dropped 6.3% to €5.34m, while net interest income
fell 9% to €10.48m.
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By GlobalDataThe bank said this was down to the
elimination of overdraft charges impacting around 190m
accounts.
The cost-income ratio also
increased, from 53.1% in 2008 to 58.7% in 2009.
Intesa’s main rival, UniCredit
reported net income of €1.7bn for fiscal 2009, a slump of 58% on
the year before, but ahead of some analysts’ forecasts.
