Consolidated results for first half 2009 approved: net profit of UniCredit Group 937 million EUR

The Board of Directors of UniCredit approved the consolidated results for first half 2009

which show a net profit of €937 million (mn), €490 mn of which recorded in the second

quarter. Profit before tax rises 9.2% QoQ thanks to a solid operating performance despite an

increase in loan provisions which, in line with the macroeconomic conditions, rise to €2,431

mn.

 

Operating profit in first half 2009 reaches €6,636 mn, €3,896 mn of which reported in the

second quarter (an increase of more than €1 billion (bn) QoQ). The improvement of the

second quarter with respect to the first quarter is attributable, above all, to an increase in

revenues with strong acceleration in net trading, hedging and fair value income, as well as to

a rise QoQ in both net interest and net commissions. The focus on efficiency continues with

a cost/income ratio that drops below 50% in second quarter 2009.

 

In both the first and second quarters the solid trend in operating profit reflects how important diversification is for the Group, as the commercial banking activities report solid results (operating profit +0.8% QoQ) and the Markets & Investment Banking (MIB) Division shows a further improvement with an operating profit of €870 mn in second quarter 2009 versus €330 million in first quarter 2009.

 

UniCredit Group’s operating income, equal to €14,326 mn in first half 2009, rises 7.1%

YoY on a like-for-like perimeter and foreign exchange basis, and €7,764 mn in second

quarter 2009, an increase of 6.6% QoQ on a like-for-like basis. This result is primarily due to

the recovery of net trading, hedging and fair value income but of note is also the growth

QoQ of both net interest and net commissions (which begin to rise again after a six quarter

declining trend).

 

In first half 2009 the Net profit attributable to the Group totals €937 mn, a decline

compared to the €2,975 mn recorded in the same period of the prior year, which reflects a

decidedly more difficult macroeconomic scenario. The quarterly trend, rather, shows

improvement with the Net profit attributable to the Group in second quarter 2009 rising from

the €447 mn reported in first quarter 2009 to €490 mn.

 

Total assets amount to €983 bn (€1,028 bn at March 2009), a further decline of 4.4% QoQ

which brings the drop from the beginning of 2009 to 6.0% (-€63 billion). Of note is the

progress made in reducing the Trading assets, equal to €157 bn at June 2009, €59 bn net

derivatives, a drop of €8.3 bn QoQ. There was a decided reduction in net interbank funding

in second quarter 2009 which comes in at €50 bn compared to €82 bn at the end of the first

quarter (a drop of almost 40% QoQ).

At the end of June 2009, the Group’s organization consists of a staff^2[2] of 168,007, a further

reduction of 2,725 over March 2009 and of 6,512 over December 2008. The reduction in the

first half involves all the main business divisions with the largest decreases in Retail, the CEE

area and the Corporate Centre.

 

The Group’s network at the end of June 2009 consists of 9,974 branches (10,131 at March

2009 and 10,251 at December 2008).

 

Milan, August 4th, 2009

Investor Relations:

Tel. +39-02-88628715; e-mail: investorrelations@unicreditgroup.eu

Media Relations:

Tel. +39-02-88628236; e-mail: mediarelations@unicreditgroup.eu

 

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