Intesa Sanpaolo Raises Outlook After Net Interest Income Buoys Earnings

By Pierre Bertrand

Intesa Sanpaolo raised its 2023 outlook after reporting an increase in third-quarter earnings, boosted by net interest income.

The Italian bank said Friday that it expects to achieve more than 7.5 billion euros ($7.97 billion) in 2023 net income, or profit, up from more than EUR7 billion previously, on net interest income expected at more than EUR14 billion.

The bank had previously forecast net interest income--the difference between what lenders earn from loans and pay for deposits, and a key profit driver--to exceed EUR13.5 billion this year.

The increase is the third time this year the bank has raised its guidance.

Net profit for the period came to EUR1.9 billion, compared with EUR957 million in the prior-year period, on operating income, or revenue, which grew 27% to EUR6.37 billion.

Third-quarter net interest income came to EUR3.81 billion, a 60% on-year increase.

The result compares with expectations of EUR6.25 billion in quarterly revenue and net profit of EUR1.77 billion, according to analysts polled by FactSet.

Write to Pierre Bertrand at [e-mail]

(END) Dow Jones Newswires

November 03, 2023 08:37 ET (12:37 GMT)

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