Italy's Poste see higher 2026 profit after insurance lifts Q4 operating result

By Elvira Pollina

MILAN, Feb 26 (Reuters) - State-backed financial conglomerate Poste Italiane on Thursday forecast a slight rise in 2026 profit after posting stronger than expected quarterly operating income, as it prepares to unveil a new multi-year strategy this year.

Fourth-quarter earnings before interest and tax (EBIT) beat expectations with a key boost from the insurance division thanks to the release of an accounting reserve.

Poste guided for an adjusted EBIT above 3.3 billion euros this year, which JPMorgan analysts said was slightly above forecast.

Poste also set a 2026 net profit goal of 2.3 billion euros, compared with last year's 2.2 billion euros.

"We recorded the best results in our history,” Chief Executive Matteo Del Fante said, citing strict cost controls and strong returns from the investment portfolio.

Poste, which is almost two thirds owned by the Italian state, hiked its dividend by 16% year-on-year to distribute 1.6 billion euros. That amounts to a payout ratio of 73%, up from 70% previously. It pledged to keep it above 70% in 2026.

Under Del Fante, a former JPMorgan banker at the helm since 2017, Poste has more than tripled profits.

Del Fante, whose mandate expires in April, has put himself forward for a new three-year term, but there is no political decision yet over his future, with coalition talks over appointments at key state‑controlled firms such as Poste set to enter a crunch phase in the coming weeks.

RECORD RESULTS

The group said 2025 revenues, adjusted to strip out items such as transportation costs for electricity and gas in its power supply business, rose 4% to a record 13.1 billion euros and would inch up further to 13.5 billion this year.

Poste's business expanded beyond traditional mail and parcels to comprise insurance, payments, savings management, energy and mobile phone services.

In 2025, it bought 27% of Telecom Italia (TIM), bringing the former phone monopoly back into state hands.

"TIM and Poste have disclosed potential cross-selling synergies from a number of initiatives, which we do not believe have been factored into consensus," JPMorgan said.

Poste, which runs around 13,000 post offices, said it would integrate its payments and financial services businesses.

(Reporting by Elvira Pollina; Editing by Valentina Za)