Intesa sees 2022 profit at high end of range after strong Q3

INTESA Sanpaolo said profit in the full year would be at the upper end of the range it had previously provided after reporting stronger-than-expected earnings for the third quarter and sharply cutting exposure to Russia in the period.

Net income at Italy’s biggest bank totalled 930 million euros (S$1,285 million) in July-September.

That was well above the figure of 829 million euros in a Reuters analyst forecast, as the boost to earnings from higher interest rates more than offset weakening net fees, and loan loss provisions also declined.

Intesa had said in August it expected 2022 net profit to be above 4 billion euros, unless it had to raise provisions against losses on its Russian and Ukrainian assets, in which case profit would be above 3 billion euros.

Intesa, which together with domestic rival UniCredit is among European banks most exposed to Russia, said it had cut the exposure by 2.3 billion euros, or around 65 per cent, in the quarter. REUTERS