Unicredit reported €6.1 billion net profit for the first half of 2025, „best H1 in the bank’s history”

On 22 July 2025, the Board of Directors of UniCredit S.p.A. („UniCredit” or „the Group”) approved the Consolidated First Half Financial Report as of 30 June 2025. 

„Unicredit posted €6.0 billion of net revenues in 2Q25, or €6.4 billion up 0.5% year on year when excluding a €335 million negative impact in trading profit line, mainly due to hedging costs connected to Commerzbank equity consolidation only partially offset by trading gains on other strategic investments.” – according to the press release. Core revenue stood at €5.9 billion in 2Q25, up 1.3% year on year.

Net interest income („NII”) was down 0.3% quarter on quarter at €3.5 billion, a resilient performance given the lower Euribor in the quarter, largely thanks to a disciplined management of our deposits pass-through, closing the quarter at an average of circa 31 per cent. NII was down 2.8 per cent year on year.

The Group confirmed its structurally low Cost of Risk („CoR”) at 10 basis point in 2Q25, booking €109 million of loan loss provision („LLPs”). The Group has a good quality credit portfolio with sound coverage levels and strong lines of defence with €1.7 billion of overlays on the performing portfolio.

Fees in the second quarter were down 1.0 per cent Y/Y, but up 1.1 per cent if excluding non-recurring impacts from the contracts renegotiation in payments that impacted 2Q24, securitisation costs and different timing of incentive schemes versus prior year. Fees increased 3.6 per cent half-year on half-year, the improvement was spread across most fee categories, and particularly led by investment (up 8.8 per cent half-year on half-year), insurance (up 0.9 per cent half-year on half-year), as well as client hedging fees, more than offsetting payment fees trend resulting from positive non-recurring impacts in 2Q24. The benefit of our diversification and product factories resulted in a fee base of 35 per cent out of total gross revenues.

In 2Q25 operational costs were €2.3 billion, an increase of 0.7 per cent both year on year and half-year on half-year due to the broader perimeter, or down 1.4 per cent half-year on half-year on a like-for-like basis. Thanks to the proactive actions taken in the past quarters, our cost-income-ratio („C/I”) is only slightly up half-year on half-year, due to the revenue impact from the strategic portfolio and to the broader perimeter.

„On the back of the excellent results delivered and the strong foundation in place to structurally increase our key financial metrics, we upgraded our 2027 ambitions to a net profit equal to or above €11 billion, RoTE above 20% and total shareholder distribution equal to or above €30 billion between FY25 and FY27 with continued strong EPS and DPS growth.” – the bank said.

Andrea Orcel, Chief Executive Officer of UniCredit S.p.A. said:

„UniCredit has achieved outstanding financial results, with a record breaking Q2 contributing to the best H1 in the bank’s history. We reported a quarterly net profit of €3.3 billion and a robust RoTE of 24.1%, with core revenues rising year-over-year to €5.9 billion. We are protected for the future as our low cost of risk, strong asset quality and unmatched overlays safeguard against potential macroeconomic downturns.

We ended the quarter with a best-in-class proforma CET1 ratio of 16.2% (pro-forma for Danish Compromise). This exceptional performance in H1 along with additional levers for further growth have enabled us to raise our guidance for 2025 and ambitions for 2027, projecting at least €30 billion in total shareholder distributions of which at least €15 billion in cash from 2025-2027. We look to the future with confidence.„