Italian multinational UniCredit achieves a record net profit of €9,314 million in 2024, marking an 8.1% increase from the previous year.
In a remarkable display of financial prowess, UniCredit has reported an unprecedented net profit of €9,314 million for the fiscal year 2024, marking an impressive 8.1% increase from the previous year’s figures. This achievement underscores the Italian lender’s resilience and strategic acumen in navigating the complexities of the financial landscape.
The bank’s total income surged to €24,844 million, reflecting a 4.3% uptick compared to the prior year. Notably, net interest income experienced a commendable rise of 2.5%, reaching €14,358 million, while fee income demonstrated robust growth, climbing 7.6% to €8,139 million. However, it is worth mentioning that intermediation turnover witnessed a slight decline of 0.2%, settling at €1,739 million.
In terms of risk management, provisions allocated for credit risk escalated by 14.4% to €641 million in 2024, with €357 million set aside in the fourth quarter alone. This proactive approach reflects UniCredit’s commitment to maintaining financial stability amidst potential uncertainties.
The return on tangible equity (RoTE) showcased a commendable improvement, rising to 17.7% from 16.6% in 2023. The CET1 core capital ratio remained steadfast at 15.9% by year-end, mirroring the previous year’s performance. However, a nuanced examination of the fourth quarter reveals a contrasting narrative, as UniCredit’s net profit experienced a decline of 18.4%, amounting to €1,564 million, despite a modest turnover increase of 0.7% to €6,002 million.
During this quarter, net interest income exhibited a slight uptick of 1.1%, reaching €3,652 million, while fee income surged by an impressive 8.9%, totaling €1,975 million. This juxtaposition of quarterly performance highlights the inherent volatility within the banking sector, emphasizing the need for continued vigilance and adaptability in an ever-evolving economic environment.
