Monte dei Paschi Posts First-Quarter Profits Above Forecasts Amid Growth
Monte dei Paschi di Siena Outperforms Expectations in First Quarter
First Quarter Financial Results
MILAN, May 12 (Reuters) - Italy's third-largest bank Monte dei Paschi di Siena on Tuesday posted better than expected first quarter profits on rising revenues, confirming industry trends as it closed the reporting season for the sector.
Impact of Mediobanca Acquisition and Governance Changes
After acquiring bigger rival Mediobanca last month and presenting a strategy for the combined group in February, Monte dei Paschi (MPS) was rocked by a governance crisis as the board pushed out CEO Luigi Lovaglio who was handed back his job by a shareholder vote in April.
Profit and Revenue Highlights
MPS said first-quarter net profit was 521 million euros ($612 million), above a bank-provided consensus forecast of 511 million euros. The figure was sharply down from a year ago when the result was boosted by tax benefits.
Revenues totalled 1.96 billion euros, with Mediobanca's contribution at around 925 million euros, above a 1.92-billion-euro analyst forecast.
Exchange Rate and Reporting Notes
($1 = 0.8508 euros)
(Reporting by Valentina Za, Editing by Louise Heavens)
