“We are perfectly aware that the bank is well ahead of schedule and so we are considering updating it. I want to underline that we are not currently working on it, but – considering that the bank is ahead of schedule – we are evaluating the possibility of updating or revising it”. This was stated by the new CEO of BPER, Gianni Franco Popein the conference call with analysts after the publication of the results for the first quarter of 2024.
“We have rather high costs if we look at our competitors – Papa replied to a question on the topic – But we have also substantially improved the cost income ratio. I see space to increase productivity and modernize the operating machine. We will also have one cost reduction resulting from the employee reduction scheme signed at the end of last year for the voluntary exit of 1000 colleagues. We expect a good portion will leave the bank by the end of the year. We expect a benefit from this front by the end of 2025. Together with other initiatives, this will improve the cost income ratio.”
“We expect three rate cuts of 25 basis points each this year by the ECBs, for 75 basis points in total, which will have a limited impact on the interest margin. We are pushing on commissions, especially in managed savings, but we also want to grow in ancillary businesses. Cesare Ponti, the bank specializing in private banking and asset management, is receiving “good feedback from the market and customers. “So we believe we will be able to grow commissions this year,” he added.
Regarding the shareholder distribution, he said that “we set aside 16 cents of dividends for the first quarter and today we are positioned for a payout of 50% or 70% depending on whether you look at accounting profit or recurring profit. More later we will evaluate the situation and we will decide on the ambitions to appropriately remunerate our shareholders“.
