UniCredit reported a net profit of EUR 2.8 billion for the first quarter of 2025, an increase of 8.3% year-on-year and the highest quarterly result in the Italian lender's history. The outcome was published on 12 May. The result came even as net interest income declined to EUR 3.5 billion amid lower euro interest rates.
Return on tangible equity reached 22% for the quarter, with an adjusted RoTE of 26% when calculated at a normalised 13% Common Equity Tier 1 ratio. The reported CET1 ratio stood at 16.1%.
FEE INCOME DRIVES REVENUE GROWTH
Revenues rose 2.8% year-on-year to EUR 6.5 billion in the first quarter, supported by fee income, which grew 8.2% compared with the same period in 2024. The fee-to-revenue ratio reached 36%. The bank reported growth across all fee categories, led by investment and financing fees and client hedging fees.
UniCredit operates in Italy, Germany, Austria and Central and Eastern Europe.
GUIDANCE AND DISTRIBUTIONS
UniCredit raised its full-year 2025 net profit guidance to above EUR 9.3 billion.
The bank also raised its guidance for 2025 distributions, which it said would be higher than in 2024, with ongoing share buybacks reducing the share count. In the first quarter the bank accrued distributions equal to 100% of net profit.
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