(Finance) – The Banca Popolare del Lazio Group closed the first half of 2024 with a consolidated net profit equal to 9.2 million euros, down from 11.4 million euros in the same period of 2023.
The analysis of the individual economic components shows an increase in the intermediation margin, both in relation to the interest margin (+1.59%), and the margin from services (+0.37%). The slight increase in operating costs (+3.3%) is mainly due to the increase in administrative expenses, which is affected both by the higher costs related to the renewal of the ABI national collective labor agreement, which took place at the end of 2023, and by the increase in prices generated by the well-known inflationary dynamics that have not yet been completely quelled.
The bank highlights that the “delicate economic situation calls for careful credit selection” and is reflected in the trend of gross employment Group slightly decreasing (-1.5%), for an amount equal to 2,066 million euros and a slight increase in impaired loans, which brought the NPL ratio net of default interest to 6.71% and to 3.41% at net values.
The Group has therefore adopted, in a prudential logic, a strong provisioning policy, determining a coverage ratio total of 51.26%, compared to 50.71% last December. The credit coverage figure is higher than the system average of 49.7% and significantly higher than the average of smaller banks (Less Significant Banks), which stands at 32.2%.
The data is increasing collection extended to 3,758 million euros, which compared to the end of last December, increases by 162 million euros, equal to +4.5%. Direct collection from customers stands at 2,489 million euros (+1.69%). The increase in indirect collection is more significant, standing at 1,269 million euros (+10.5%).
The index data CET1which summarises the solidity of our Banking Group, has been growing sharply since 30 June 2023, with an increase of 135 pp, reaching 18.6% (17.24% at 31/12/2023), a value well above the limits imposed by the supervisory authority.