Slide 1: 4Q24 Results
4Q24 Results Alessandro Foti CEO and General Manager Milan, March 2025 FINECO. SIMPLIFYING BANKING.
Slide 2: Disclaimer
Disclaimer ◼ “Pursuant to the paragraph 2 of Article 154 bis of the Consolidated Law on Financial Intermediation (Legislative Decree no. 58 of February 24, 1998), Erick Vecchi, in his capacity as manager responsible for the preparation of FinecoBank S.p.A. (the “Bank”)’s financial reports, declares
Slide 3: Agenda: Fineco Financial Results
Agenda ✓Fineco Financial Results ❑ Fineco Commercial Results ❑ Next steps ❑ Key messages 3
Slide 4: Executive Summary: further acceleration in our expected growth
Executive Summary: further acceleration in our expected growth Successful growth story: our diversified business model allows us to deliver strong results in every market condition Strong net profit and operating leverage Solid capital and liquidity position ◼ 2024 Net Profit is 652.3 mln, +7.1% y/y
Slide 5: Delivering strong Net Profit in every market condition
Delivering strong Net Profit in every market condition Net Profit at 652.3 mln. Results supported by sound acceleration of Investing and Brokerage, confirming the effectiveness of our initiatives, and Net Financial Income. Strong operating leverage confirmed FY24/ mln FY23 FY24 FY23 Revenues Net fin
Slide 6: Our priority: accelerating on Investing
Our priority: accelerating on Investing Growing AUM thanks to our best-in-class market positioning, coupled with higher efficiency on the value chain through FAM Increasing Investing revenues thanks to FAM Investing Revenues, mln +11.7% 367.5 329.1 mln 4Q23 3Q24 4Q24 FY23 FY24 +11.7% Investing 88.5
Slide 7: Combining growth potential from FAM and emerging advisory trend
Combining growth potential from FAM and emerging advisory trend FAM key to sustain AUM margins thanks to more efficient value chain, Fineco best placed to catch clients demand for efficient and fair solutions FAM consistently contributing to FBK net sales, with strong room to grow as a % of our Inve
Slide 8: Brokerage: higher floor as the structure of the market is changing
Brokerage: higher floor as the structure of the market is changing Increased interest in financial markets by clients and big jump into a more digitalized society Structural growth in revenues: the floor is continuously going up thanks to a higher Active investors Avg monthly revenues 2017-2019 FTSE
Slide 9: Brokerage: new initiatives building a potential to be unlocked
Brokerage: new initiatives building a potential to be unlocked Superior price/quality offer, new initiatives and new market trends are the key drivers of our strong brokerage performance A relentless growth of our brokerage active client base Base of active clients (on monthly basis) Equity +~40% Dr
Slide 10: High quality lending
High quality lending Offered exclusively to the existing base of clients, leveraging on our internal Big Data analytics Commercial Loans Portfolio, eop mln Cost of Risk on commercial loans (2) Current accounts/Overdraft (1) Cards Personal loans Mortgages 7 bps 5 bps 5 bps -5.3% Dec.23 Sep.24 Dec.24
Slide 11: Solvency, liquidity ratios
Solvency, liquidity ratios Capital position well above requirements Current Dec.23 Sept.24 Dec.24 (€/bn) Dec.23 Sept.24 Dec.24 Requirement CET1 Ratio 24.34% 27.29% 25.91% 8.51% CET1 Capital 1.15 1.28 1.31 SOLVENCY Total Capital Ratio 34.91% 37.96% 35.78% 12.88% Tier1 Capital 1.65 1.78 1.81 Leverage
Slide 12: Agenda: Fineco Commercial Results
Agenda ❑ Fineco Financial Results ✓Fineco Commercial Results ❑ Next steps ❑ Key messages 12
Slide 13: Clients' profile and focus on Private Banking
Clients’ profile and focus on Private Banking Improving the quality of our client base Avg TFA per Private client(1) € bn, TFA 0.5-1mln 5-10mln AuM Client segmentation 1-5mln >10mln AuC 140.8 1.0mln 122.6 Deposits 9.1% 107.9 106.6 91.7 49% 8.8% 81.4 46% 33.9% 10% 69.3 45% 42% 41% 42% 37% 48.1% 35% 3
Slide 14: TFA and Net Sales evolution
TFA and Net Sales evolution Successful shift towards high added value products thanks to strong productivity of the network Breakdown of total TFA, bn Breakdown of total Net Sales, bn +14.7% AUM since the end of 2014: +183.9% 144.6 10.7 8.8 140.8 10.3 10.1 122.6 9.3 2.7 38% 38% 107.9 106.6 34% 3.6 4
Slide 15: Net sales organically driven key in our strategy of growth
Net sales organically driven key in our strategy of growth The structure of recruiting is changing: more interest in the quality of the business model by PFAs Total Net Sales, bn – Organic / Recruit, % Total recruits Organic Total recruits Organic New PFAs recruited in the year PFAs recruited over t
Slide 16: Agenda: Next steps
Agenda ❑ Fineco Financial Results ❑ Fineco Commercial Results ✓Next steps ❑ Key messages 16
Slide 17: 2025 Guidance
2025 Guidance Our diversified business model key to successfully deal with the current volatile environment Revenues ➢ o/w INVESTING REVENUES: expected to increase low double digit in FY25 vs FY24 (with neutral market effect going forward) Capital ➢ o/w BANKING FEES: expected with a slight decrease
Slide 18: A unique positioning for a long-term growth story
A unique positioning for a long-term growth story Huge potential to gain additional market share of Italian households’ wealth Fineco, a long term growth journey just at the beginning €, bn Italian households TFA (Bankit) other Equity 5,902 GROWING STRUCTURAL TAILWINDS 5,692 195 Insurance and pensio
Slide 19: Stepping-up our growth trajectory thanks to strong clients' acquisition
Stepping-up our growth trajectory thanks to strong clients’ acquisition Solid improvement in the quality our new clients, coupled with an unprecedented opportunity for our Investing Constantly raising the bar of our healthy new clients’ acquisition Thd, # CAGR New clients (per month) Feb.25: 20k new
Slide 20: Innovation and Simplification Project
Innovation and Simplification Project Further simplifying clients’ user experience thank to easy-to-use new tools and a more efficient marketing engine BROKERAGE INVESTING BANKING ✓Further evolution of FinecoX Applying AI to further improve IN WORK PROGRESS ✓New faster onboarding PFA efficiency and
Slide 21: Agenda: Key messages
Agenda ❑ Fineco Financial Results ❑ Fineco Commercial Results ❑ Next steps ✓Key messages 21
Slide 22: Long term sustainability at the heart of Fineco business model
Long term sustainability at the heart of Fineco business model We are a looking-forward organization playing for the long-run and able to generate a positive impact for all our stakeholders and the society as a whole Fineco corporate purpose: “to support customers in taking a responsible approach to
Slide 23: Fineco as a profitable FinTech Bank: ICT a key business driver
Fineco as a profitable FinTech Bank: ICT a key business driver Leveraging on a deep-rooted internal know-how to expand platform scalability and operating gearing HYPERAUTOMATION COST EFFICIENCY DATA DRIVEN OMNICHANNEL Our strong emphasis on Ensuring our vast data Through comprehensive Blending RPA,
Slide 24: Healthy and sustainable growth with a long term horizon
Healthy and sustainable growth with a long term horizon Highly scalable operating platform… 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 CAGR (2014-2024) 123 141 + 11% 92 108 107 69 81 1,656 + 6% 67 1,487 1,563 TFA (bn) 49 55 60 1,370 1,428 1,358 1,200 1,278 637 677 + 16% Clients (thd, #)
Slide 25: ESG Multi-Year Plan 2024-2026 fully integrated within Banks' strategy
ESG Multi-Year Plan 2024-2026 fully integrated within Banks’ strategy Combining business growth and financial strength with the principles of social and environmental sustainability, in order to create long-term value for all Stakeholders ❑ New strategy focuses on challenging ESG objectives(1) withi
Slide 26: Annex
Annex 26
Slide 27: P&L condensed
P&L condensed P&L condensed(1) mln 1Q23 2Q23 3Q23 4Q23 FY23 1Q24 2Q24 3Q24 4Q24 FY24 Net financial income 157.4 170.8 180.2 179.5 688.0 180.8 182.5 177.6 170.3 711.2 o/w Net Interest Income 157.4 170.8 180.0 179.5 687.7 179.0 182.5 178.5 170.4 710.5 o/w Profit from treasury management 0.0 0.1 0.1 0.
Slide 28: FY24 P&L FinecoBank and Fineco Asset Management
FY24 P&L FinecoBank and Fineco Asset Management Fineco Asset FinecoBank FinecoBank mln Management Individual Consolidated Net financial income 1.6 709.6 711.2 Dividends 0.0 122.1 0.0 Net commissions 171.5 355.5 527.0 Trading profit 0.1 79.0 79.0 Other expenses/income -2.0 1.5 -0.8 Total revenues 171
Slide 29: Details on Net Interest Income
Details on Net Interest Income Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & Volumes & mln 1Q23 2Q23 3Q23 4Q23 FY23 1Q24 2Q24 3Q24 4Q24 FY24 Margins Margins Margins Margins Margins Margins Margins Margins Margins Margins Financial Investments 108.1 27,846
Slide 30: Focus on Bond portfolio
Focus on Bond portfolio Bond Portfolio (nominal value) € bn, eop 23.7 bn Bond portfolio Nominal value: 23.7 bn: 0.9 5.5 Italy ▪ o/w 67% at fixed rate, avg yield: 141 bps 6.8 Spain Other Govies (1) ▪ o/w 33% at floating rate (swapped), avg spread: 32 bps on 3m Eur (2) 4.2 SSA Residual maturity total
Slide 31: Details on Net Commissions
Details on Net Commissions Net commissions by product area mln 1Q23 2Q23 3Q23 4Q23 FY23 1Q24 2Q24 3Q24 4Q24 FY24 Banking 14.6 15.6 12.0 13.2 55.3 12.0 12.0 13.5 12.9 50.4 Brokerage 31.3 24.2 23.5 27.0 105.9 33.0 28.9 24.7 29.6 116.1 o/w Equity 22.8 16.1 17.6 17.3 73.8 23.2 20.8 19.0 24.2 87.1 Bond 3
Slide 32: Revenues breakdown by Product Area
Revenues breakdown by Product Area mln 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 FY23 FY24 Net financial income 153.8 166.1 174.6 173.3 171.5 172.2 167.6 160.2 667.8 671.5 o/w Net interest income 153.8 166.0 174.5 173.3 169.8 172.2 168.6 160.3 667.6 670.8 o/w Profit from Treasury Management 0.0 0.1 0.
Slide 33: Breakdown Total Financial Assets
Breakdown Total Financial Assets mln Mar.23 Jun.23 Sep.23 Dec.23 Mar.24 Jun.24 Sep.24 Dec.24 AUM 54,132 55,803 55,400 58,016 60,425 61,645 63,808 66,383 Funds and Sicav 35,962 37,373 36,807 38,839 40,708 41,557 43,557 45,645 Insurance 15,052 14,708 14,359 13,760 13,579 13,242 12,982 12,944 AUC under
Slide 34: Increasing quality and productivity of the Network
Increasing quality and productivity of the Network Total Assets per PFA TFA concentration per PFA Eop, mln AUM AUC Deposits PFAs with TFA >20mln are 68% and hold 92% of TFA +12.6% +14.1% +40 +4.0% 106.7bn 121.7bn 2,962 2,999 3,002 100 100 40.6 39.0 > €35mln 36.0 +13.0% €25-35mln 37% y/y 43% 68% 22.0
Slide 35: Balance Sheet
Balance Sheet mln Mar.23 Jun.23 Sep.23 Dec.23 Mar.24 Jun.24 Sep.24 Dec.24 (1) Due from Banks 1,860 1,934 2,224 2,643 3,808 3,222 3,293 2,334 Customer Loans 6,312 6,184 6,058 6,199 6,098 6,116 6,051 6,236 Financial Assets 24,366 22,630 21,648 21,417 20,426 20,750 21,532 23,454 Tangible and Intangible
Slide 36: Safe Balance Sheet: simple, highly liquid
Safe Balance Sheet: simple, highly liquid Diversified investment portfolio 34.7 bn (1) Financial Assets Customer deposits ◼ Investment strategy based on a diversified blend of EU government bonds, Customer loans Other liabilities supranational and agencies Due from Banks (2) Equity 23.5 ◼ 99% not ex
Slide 37: Deep dive on our transactional liquidity
Deep dive on our transactional liquidity Our business model has fully fledged banking platform used by all our clients for their daily activities Granular and retail deposit base, very sticky thanks to the quality of our customer experience 98% Retail clients 77% Guaranteed deposits by DGS (<€100k)
Slide 38: Leverage Ratio comfortably under control
Leverage Ratio comfortably under control Leverage Ratio Sensitivity: multi-year view Delta Retained earnings = Tier 1 Capital (mln) 0 150 300 400 450 500 550 600 650 -2,000 5.97% 6.39% 6.68% 6.82% 6.96% 7.10% 7.24% 7.37% OUR PRIORITIES -1,500 5.88% 6.30% 6.58% 6.71% 6.85% 6.99% 7.13% 7.27% Starting
Slide 39: Fineco Asset Management in a nutshell
Fineco Asset Management in a nutshell FAM is active on 7 business lines, providing not only the expertise of the best Asset Managers but also solutions managed internally by FAM to deepen further the range of strategies and the flexibility of FAM catalogue of products. 1 GLOBAL DEFENCE 2 PROFILE FUN
Slide 40: Preserving our best price/quality ratio
Preserving our best price/quality ratio Competitive landscape(1) € Online € 106 avg € 157 avg Branch online costs branch costs Ing (Conto Arancio Più) 0 Widiba 20 53 Webank 24 Fineco 40 Illimity (Conto Illimity Classic) 46 Banca Sella (Conto Start) 62 161 B.Generali (BG Privilege Plus) 72 84 HelloBa
Slide 41: ESG highlights, ratings and Indices
ESG highlights, ratings and Indices Our ESG ratings and Indices RATING AGENCY EVALUATION SCALE AS TODAY ESG INDICES (0-100) 68 Fineco included in: (100-0) 12.1 (0-100) 82 (CCC-AAA) AA Moody's Analytics (0-100) 59 (From D- to A) C S&P Global 1200 ESG index S&P Global LargeMidCap ESG (F-EEE) EEE- Inde
Slide 42: Commitment towards Net-Zero emissions by 2050
Commitment towards Net-Zero emissions by 2050 RESPONSIBLE FINANCE - Scope 3 emissions from internal investment portfolio 2021 2026 2030 2050 Exposure in countries, institutions and banks: > 70% of 2021 Total Consolidated Assets % exposure in debt securities of sovereign and bank issuers with a Net-Z
Slide 43: Funding
Funding Fixed Income Senior Preferred instruments ➢ €300 mln Senior Preferred (6NC5) issued on February 16th, 2023 in order to ➢ €500 mln Senior Preferred (6NC5) issued on October 14th, 2021 in order to be have an additional buffer above the Fully Loaded MREL Requirement on LRE. immediately complian