About Massimo Doris
Massimo Doris, Chief Executive Officer of Banca Mediolanum, commented on the group's financial results for the first nine months of 2018, which were approved by the board of directors on November 6, 2018. He stated that he was "definitely satisfied" with the performance, reporting an operating margin of 221 million euros, a 26% increase compared to the same period in 2017. Group net income totaled 272 million euros, which he noted was in line with 2017, a year that included extraordinary events such as the sale of Banca Esperia. Doris highlighted that management fees reached 253 million euros and net interest income was 49 million euros for the third quarter alone.
Doris also reported that total assets under management surpassed 77 billion euros as of September 30, 2018, despite market volatility. He noted that Banca Mediolanum continued to grant loans to customers, with 1.451 billion euros in new loans during the first nine months, a 27% increase year-over-year, bringing the total credit book to over 8 billion euros. He added that the bank's net non-performing loan ratio remained at 0.72% and its Common Equity Tier 1 ratio was over 20%. Doris attributed customer trust to these figures, citing a customer satisfaction index of 85.7% measured by Doxa. The board also approved an interim dividend of 20 euro cents per share for 2018.
Source: AI-verified profile updated from Massimo Doris's recent appearances.
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Transcript (18 segments)
I
Interviewer0:12
A greeting on this first of August on which Banca Mediolanum has presented results. And for us it's time to comment on the results of these first six months with Massimo Doris, who is with us again. Welcome.
M
Massimo Doris0:22
Thank you and greetings to everyone.
I
Interviewer0:24
So, let's start as always with two very representative figures. I have seen in your press release a net profit of 450 million and total customer assets that have reached 130 billion euros. Let's also say that, if we talk about profitability, it is something that the entire sector shares thanks to the interest margin. Is that so?
M
Massimo Doris0:43
Yes, that's right. The rise in rates has benefited the results of the entire banking sector, also in our case. An important contribution because the sector suffered significantly in the years of negative rates. But in our case, the good result we have presented today is not only due to a significant interest margin, but also to the increase in total customer assets, those 130 billion euros, which impact net fees. And that revenue line has also grown, by 15%. So it's not only because of the interest margin. It's also thanks to this. To the growth of total customer assets.
I
Interviewer1:32
And what impact does the growth of your customers have on the results, which I have seen has also been significant?
M
Massimo Doris1:37
Well, those two numbers, the 450 million net profit and total customer assets, are the result of a customer base that continues to grow. We are still growing at an even faster pace than last year. We have exceeded 1,865,000 customers. And the number of Family Bankers is also growing. We have reached 6,314 between Italy and Spain. So more Family Bankers means more customers acquired, which we acquire not only through Family Bankers, but also through the web or app.
I
Interviewer2:21
Let's also talk about commercial results. Are the net inflows of these first six months in line with what you expected?
M
Massimo Doris2:27
The year started a bit slower, but I was sure that things would change during the year, as the months went by, and in fact we have exceeded 5.6 billion in total net inflows and 3 billion in managed net inflows in the first six months. This means 21% more total net inflows compared to the first six months of the previous year and 43% more managed net inflows. So we are really, very happy with the commercial results of these first six months.
I
Interviewer3:05
On the other hand, has the interest rate context slowed down lending a bit?
M
Massimo Doris3:08
Yes, because obviously with higher rates it has lowered the demand for credit, and that has happened a bit across the whole market. But the market, thanks also to a start... a first start of rate cuts, has seen that same demand begin to grow again. And as far as we are concerned, I want to remember that in our mortgages, since customers have the possibility to defer some installments without additional costs, that has helped our customers a lot to face that significant increase in rates. Now we all hope for a return to normalcy, to slightly lower rates, that is what will happen in the near future.
I
Interviewer4:00
Earlier you mentioned Spain, the Group's entity in that country. How is it contributing to all this?
M
Massimo Doris4:05
Spain (Banco Mediolanum) is also doing very well, with significant growth in total customer assets, net inflows much higher than last year, net profit is also higher, customers are growing... in short, Spain is doing very, very well. So satisfaction grows month after month, quarter after quarter...
I
Interviewer4:30
At this point, is it time for a summer break?
M
Massimo Doris4:35
Yes, there are holidays, but the bank does not close and customers always receive a response, also in August.
I
Interviewer4:44
And regarding our next meeting, will it be in November?
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Massimo Doris4:47
Exactly. For the results of the first nine months of the year.
I
Interviewer4:51
Thank you very much, good work and... happy holidays!
M
Massimo Doris4:54
Thank you and happy holidays to everyone.
