Press Clipping: Beats forecast and confirms outlook
UPDATE 1-Intesa Sanpaolo Q2 net tops f'cast, shrs at yr high~
* Net profit 513 mln euros vs f'cast avg 419 mln
* Tier 1 ratio 7.77 pct, core Tier 1 ratio 6.9 pct
* Confirms outlook for full-year net profit
* Loan-loss provisions and adjustments 1.22 bln euros in q2
* Shares up 3.4 percent
MILAN, Aug 28 (Reuters) - Intesa Sanpaolo SpA <ISP.MI>, Italy's biggest retail bank, beat analysts' forecast for second-quarter net profit on Friday and confirmed its outlook for the full year.
Its shares rose after the results to be up 3.4 percent at 3.085 euros by 1125 GMT, outpacing the DJ Stoxx banks index <.SX7P> and hitting a year high of 3.1375 euros.
Intesa Sanpaolo had net income of 513 million euros, it said in a statement. The result topped the average of 419 million euros forecast in a Reuters poll of 10 analysts.
"In light of the 2009 half-year performance, it is reasonable to confirm expectations for a 2009 consolidated net income not much lower than that recorded in 2008," the bank said.
Like many European banks, trading profits in reviving financial markets helped fuel Intesa Sanpaolo's net profit.
Trading profits were 439 million euros, almost twice the level of the second quarter last year.
Italian rival UniCredit SpA <CRDI.MI> reported a better-than-expected second-quarter net profit this month on improved trading profit.
Intesa Sanpaolo's core Tier 1 ratio -- a standard measure of capital held against risky assets -- was 6.9 percent in the second quarter. To help shore up its capital position, the bank has said it will issue 4 billion euros in hybrid bonds under a government programme.
The bank has an estimated 2009 price/earnings ratio of about 16.5, below the sector average of about 18.2, according to Reuters data.
(Reporting by Ian Simpson; Editing by David Holmes) |
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