Intesa Sanpaolo 2Q Net Profit Beats Expectations -- Update

(Updates to include CEO comment and outlook)

By Pietro Lombardi

Intesa Sanpaolo SpA (ISP.MI) said Wednesday that second-quarter net profit fell compared with the same period last year, when results were boosted by a cash contribution from the Italian government, but still beat consensus estimates.

Net profit for the period was 927 million euros ($1.09 billion), the bank said. This compares with net profit of EUR4.34 billion a year earlier, when the bank booked a EUR3.5 billion public contribution related to the rescue of two regional banks.

Analysts had expected net profit of EUR864 million for the quarter, according to a consensus forecast provided by FactSet.

Excluding the cash contribution, net profit for the second quarter of 2017 stood at EUR837 million, the bank said.

For the first six months of the year, net profit stood at EUR2.18 billion, a 25% increase on the year excluding the exceptional contribution, Intesa said.

"This is the best first-half result recorded since 2008," Chief Executive Carlo Messina said in a statement.

The bank confirmed it expects 2018 net income to surpass the previous year's, excluding the public cash contribution.

"Half-year results show that the bank is firmly on track to deliver on the 2018-2021 business plan targets," it said.

Write to Pietro Lombardi at [e-mail]

(END) Dow Jones Newswires

August 01, 2018 09:54 ET (13:54 GMT)

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