Banca Mediolanum S p A : Presentazione (Presentation Q12025)

Q1 2025 Results & Business Update

Table of content

and colour key

3

Q1 2025 Group Results

21

30

32

Q1 2025 Domestic Market Results Q1 2025 Spain Results

43

Business Update Mediolanum Facts

Q1 2025 Group Results

Group

4 Economic & Financial Highlights Q1 2025

€ mn

FY 2024

FY 2023

Change

Excellent start of the year thanks to full-service & versatile business model

Net Commission Income

1,168.0

1,029.5

+13%

Net Interest Income

811.1

752.4

+8%

€ mn

Key ratios

*G&A expenses & Contribution to banking & insurance industries / Contribution margin

13

34.2%

38.4%

243.3

52.0

279.1

495.1

180.0

316.2

18

Annualised Cost of risk (bps - R12M)

34.1%

Acquisition costs/Gross commission income Ratio

39.0%

Cost/Income Ratio*

FY 2024

Q1 2025

+10%

220.5

Net Income

+106%

25.3

Market Effects

-1%

283.1

Operating Margin

-2%

504.0

Contribution Margin

-18%

220.0

Net Interest Income

+9%

290.5

Net Commission Income

Change

Q1 2024

Q1 2025

Very positive start of the year w/ significantly-higher average AUM. Negative market performance in Q1 25 offset by net new money

Contribution Margin

1,976.5

1,766.5

+12%

NII impacted by change in rates & success of promo initiatives. Unfavourable comparison vs 2024 due to timing & volume mismatch of promo offers. Update to 2025 expectations: -5% confirmed

Operating Margin

1,093.6

987.7

+11%

Market Effects

393.4

89.7

+338%

Comprehensiveness of business model enabled Operating Margin to remain stable despite declining rates & market headwinds in Q1

Net Income

1,119.6

821.9

+36%

Good contribution from performance fees in Jan-Feb, mainly thanks to PIR fund w/ daily crystalisation as well as profit-taking activity by customers

Bottom line keeps delivering thanks to resiliency of BMED business model

FY 2023

39.9%

33.0%

19

214

FY 2024

FY 2023

Key ratios

Cost/Income Ratio*

39.0%

39.9%

Acquisition costs/Gross commission income Ratio

Q1 2024

39.3%

32.6%

19

215

Efficiency remained high given the disciplined approach to costs and different seasonality vs Q1 2024

34.1%

33.0%

Payout to Family Bankers substantially stable across quarters

Cost of risk (bps)

18

19

Average Recurring Fee (bps)

212

214

Average Recurring Fee (bps) 205 212

CoR even lower than usual thanks to better outlook provided by risk

models

Group

5 Business Results Highlights Q1 2025

Robust commercial performance w/high quality & quantity net inflows

Q1 2025

Q1 2024

Change

FY 2024

Change

€ bn

Total Net Inflows		3.77		3.06		+23%
Net Inflows into Managed Assets		2.01		1.18		+71%
Total AUA/AUM		140.30		125.90		+11%	138.49		+1%
Loans Granted		0.85		0.56		+51%
Credit Book		17.78		16.91		+5%	17.62		+1%
General Insurance Gross Premiums (€ mn)		53.27		42.39		+26%

Extremely strong start of the year, with substantial growth in net new money. Strong contribution once again from both new & existing customers

Best start of the year thanks to distinctive investment strategy & flow resiliency. Target of 7.5 bn confirmed

Total financial assets fueled by the growth of deposits and net inflows into managed assets, which offset negative market performance in the quarter

Strong pick-up in mortgage volumes also favoured by easing of rate environment and recovery of residential RE market

Credit book increased maintaining extremely high quality thanks to prudent approach to the business

Healthy growth of premiums attributable to both stand-alone & loan protection policies

6 Growth & Resilience Drivers

Customer acquisition reflects success of our initiatives

Q1 2025

Group

Automatic investment services provide great visibility to future flows

31/03/2025

31/12/2024

Change

Bank Customers

Bank Customer Acquisition

Family Bankers

o/w Private Bankers & Wealth Advisors

AUM - Private Bankers & Wealth Advisors

IIS - Money market AUM

Double Chance - Assets in deposit accounts

Instalment Plans - Annualised yearly flows

IIS - Intelligent Investment Strategy shifts from money market to equity over 3-5 yrs. Double Chance shifts from deposit accounts to equity over 3-24 months Instalment plans shifts from current accounts to equity on a monthly basis

Customer base continues to grow at a good pace,

1,963,300		1,918,600		+2%
64,500		197,900

also thanks to promotional initiatives

6,491		6,415		+1%
899		906		-1%
€ 40.95 bn		€ 41.33 bn		-1%

FB network development continues as we train professionals from other sectors & traditional banks. 421 Banker Consultants actively support Family Bankers as at end of March

€ 3.60 bn		€ 2.87 bn		+26%
€ 0.93 bn		€ 1.02 bn		-9%
€ 1.93 bn		€ 1.69 bn		+14%

Automatic investment services explain consistency of net inflows into managed assets & support the increase of recurring fees over time.

IIS currently the main gateway to equity investments

7 Capital Adequacy & Balance Sheet Highlights

Q1 2025

Group

Simple & solid balance sheet structure, strong capital generation

Q1 2025

FY 2024

CET1 Ratio		22.5%		23.7%
MREL TREA		24.5%		25.9%
Risk-weighted assets (€ bn)		15.10		14.11
Leverage Ratio		7.8%		7.8%
Retail Loan/Deposit Ratio		59.0%		62.1%
NSFR		180%*		180%
LCR		465%		387%

CET1 Ratio remained extremely robust after implementation of final terms of Basel III

Well above the 21.1% requirement

RWAs increased due to regulatory change: main impact on operational risks, also because of record-breaking revenues from commissions in 2024

Leverage Ratio stable & well above regulatory requirements

Growth in deposits driven by customer acquisition & success of promo

offers focused on increasing share of wallet of existing customers

Easily surpassing the requirements for long & short-term liquidity obligations

Total Capital Ratio: 22.5%. SREP Req. on Total Capital Ratio: 12.8% for 2025 including P2G. Leverage Ratio = CET1 / Banking Group Assets. * NSFR available as at FY 2024

8 Income Statement

€ mn

Q1 2025

Group

Entry fees	Q1 2025	Q1 2024	Change
	16.9	13.0	+30%
Management fees	343.6	303.3	+13%
Investment Management fees	66.9	60.1	+11%
Net insurance result	56.4	48.0	+18%
Banking service fees	48.5	51.2	-5%
Other fees	13.8	12.5	+10%
Gross Commission Income	546.1	488.0	+12%
Acquisition costs	(186.9)	(158.9)	+18%
Other commission expenses	(42.9)	(38.6)	+11%
Net Commission Income	316.2	290.5	+9%
Net interest income	180.0	220.0	-18%
Net income on other investments	(0.3)	2.1	n.s.
LLP (Impairment on loans)	(1.4)	(8.8)	-84%
Other revenues & expenses	0.6	0.3	+126%
Contribution Margin	495.1	504.0	-2%
G&A expenses	(185.4)	(176.1)	+5%
Contributions to banking & insurance industries	(4.6)	(22.1)	-79%
Depreciation & Amortization	(7.7)	(9.0)	-14%
Provisions for risk & charges	(18.2)	(13.7)	+32%
Operating Margin	279.1	283.1	-1%
Market effects	52.0	25.3	+106%
- o/w Performance fees	39.2	29.6	+32%
- o/w Net income on investments at fair value	12.8	(4.3)	n.s.
Extraordinary items	(1.1)	(10.8)	-90%
PROFIT BEFORE TAX	330.0	297.5	+11%
Income tax	(86.7)	(77.0)	+13%
NET INCOME	243.3	220.5	+10%

9 Income Statement by Quarter

€ mn

Q1 2025

Group

Entry fees	Q1 24	Q2 24	Q3 24	Q4 24	Q1 25
	13.0	15.6	13.8	18.2	16.9
Management fees	303.3	316.9	323.5	340.2	343.6
Investment Management fees	60.1	62.4	63.6	66.8	66.9
Net insurance result	48.0	48.9	52.6	49.9	56.4
Banking service fees	51.2	46.8	43.1	45.9	48.5
Other fees	12.5	12.8	12.4	14.0	13.8
Gross Commission Income	488.0	503.3	509.0	535.0	546.1
Acquisition costs	(158.9)	(165.2)	(176.3)	(192.8)	(186.9)
Other commission expenses	(38.6)	(40.4)	(46.0)	(48.9)	(42.9)
Net Commission Income	290.5	297.6	286.8	293.2	316.2
Net interest income	220.0	198.0	195.4	197.7	180.0
Net income on other investments	2.1	16.4	(0.3)	15.6	(0.3)
LLP (Impairment on loans)	(8.8)	(9.6)	(4.9)	(9.3)	(1.4)
Other revenues & expenses	0.3	(1.5)	0.0	(2.5)	0.6
Contribution Margin	504.0	500.9	477.0	494.7	495.1
G&A expenses	(176.1)	(190.0)	(169.6)	(200.6)	(185.4)
Contributions to banking & insurance industries	(22.1)	(5.6)	(4.3)	(3.6)	(4.6)
Depreciation & Amortization	(9.0)	(9.4)	(9.5)	(14.0)	(7.7)
Provisions for risk & charges	(13.7)	(12.9)	(11.9)	(30.7)	(18.2)
Operating Margin	283.1	283.0	281.8	245.7	279.1
Market effects	25.3	15.7	20.1	332.2	52.0
- o/w Performance fees	29.6	11.7	9.6	325.8	39.2
- o/w Net income on investments at fair value	(4.3)	4.0	10.6	6.4	12.8
Extraordinary items	(10.8)	(0.8)	0.4	(20.9)	(1.1)
PROFIT BEFORE TAX	297.5	298.0	302.3	557.0	330.0
Income tax	(77.0)	(68.6)	(77.9)	(111.7)	(86.7)
NET INCOME	220.5	229.4	224.4	445.3	243.3

10 Net Interest Income

€ mn

YoY Trend QoQ Trend

Q1 2025

Group

752811

407

313274

163141

231

235253229

178192

239248

270

180

220

198

198

Q1 24

Q2 24

Q3 24

Q4 24

Q1 25

180

195

11 Acquisition Costs in detail

€ mn

Q1 2025

Group

	Q1 2025	Q1 2024	Change
Total commissions	149.5	130.5	+15%
One-time commissions	19.9	17.4	+14%
Ongoing commissions	129.7	113.1	+15%

Total incentives & bonuses	28.2	18.9	+49%
Incentives on individual net inflows	16.2	11.8	+37%
Contest & bonuses	10.9	6.0	+83%
Reimbursement of costs for customers events	1.1	1.2	-1%

Costs related to the agency agreement

8.4

8.7

-3%

Prexta agent commissions

0.8

0.9

-5%

TOTAL ACQUISITION COSTS

186.9

158.9

+18%

12 2025 Net Inflows Q1 2025

€ mn

Group

	Q1 2025	Q1 2024
GROUP TOTAL NET INFLOWS	+3,765	+3,064
Managed Assets	+2,014	+1,180
- o/w Mutual Funds, U/L & Managed Accounts	+2,123	+966
Administered Assets	+1,752	+1,885

Italy - Banca Mediolanum Total Net Inlows	+3,063	+2,766
Managed Assets	+1,566	+927
- o/w Mutual Funds, U/L & Managed Accounts	+1,674	+730
Administered Assets	+1,497	+1,839

Spain - Banco Mediolanum Total Net Inflows	+705	+306
Managed Assets	+451	+261
- o/w Mutual Funds & U/L	+452	+244
Administered Assets	+254	+45

Germany	-3	-8
Managed Assets	-3	-8
- o/w Mutual Funds & U/L	-3	-8

13 AUA/AUM Trend

€ mn

Q1 2025

Group

Administered Assets (Q1 25: € 39.6 bn) Managed Assets (Q1 25: € 100.7 bn)

10y CAGR 9.4%

108.4

138.5 140.3

118.1

27.729.830.1

93.3

84.7

75.774.1

68.8

62.1

56.5

50.2

44.7

39.539.8

34.8

103.7

0.1 0.6 0.9 1.3 1.6 2.0 2.6 3.1 4.7 5.3 5.5 6.1

17.920.419.922.023.6

7.2 9.5 13.0

25.6

85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Q1

25

14 Assets under Administration/Management

€ mn

Q1 2025

Group

	31/03/2025	31/12/2024	Change	31/03/2024	Change
Italy - Banca Mediolanum	126,499	125,092	+1%	114,222	+11%
Mutual Funds & U-L Policies	84,827	85,243	-0%	75,895	+12%
Other Life Insurance Reserves	2,067	2,010	+3%	1,966	+5%
Banking	39,604	37,839	+5%	36,361	+9%
Spain - Banco Mediolanum	13,446	13,026	+3%	11,303	+19%
Mutual Funds & U-L Policies	9,669	9,549	+1%	7,829	+24%
Other Life Insurance Reserves	119	114	+4%	168	-29%
Banking	3,657	3,363	+9%	3,306	+11%
Germany	356	374	-5%	377	-6%
Mutual Funds & U-L Policies	356	374	-5%	377	-6%
TOTAL AUA/AUM	140,300	138,493	+1%	125,902	+11%

15 Mutual Funds & Unit-linked policies look-through Q1 2025

as at 31/03/25

Group

Equity 55%

Fixed Income 44%

Money market funds

(incl. 'Intelligent Investment

Strategy')

7%

Cash & Other 1%

Certificates not included. Cash: liquidity not invested. Other: may include hedging derivatives (shown as negative).

16 Loans Granted

€ mn

Q1 2025

Group

	Q1 2025	Q1 2024	Change
Mortgages	452	250	+81%
Personal Loans	247	164	+51%
Salary-backed Loans (Prexta)1	149	146	+2%
TOTAL	849	561	+51%
3rd-party Loans	5	4	+12%

1. Includes Prexta unsecured loans

17 Credit Book Trend

€ mn

Q1 2025

Group

Salary-Backed Loans (Prexta) Lines of Credit

Personal Loans

Mortgages

6.5 7.1 7.8

8.9

10y CAGR 12%

12.1 10.4 14.4

16.4 17.0

17.6 17.8

4.1 4.8 5.6

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q1 2025

18 Credit Book & Quality

€ mn

Q1 2025

Group

	31/03/2025	31/12/2024	Change	31/03/2024	Change
Mortgages	12,639	12,512	+1%	12,061	+5%
Personal Loans	2,474	2,437	+2%	2,379	+4%
Lines of Credit	522	557	-6%	531	-2%
Salary-backed loans (Prexta)1	2,144	2,112	+2%	1,934	+11%
TOTAL	17,780	17,618	+1%	16,906	+5%

	31/03/2025	Italian Banks
Gross NPE	1.45%	2.8%2
Net NPE	0.77%	1.4%3
Annualised Cost of risk2	0.13%

1. Includes Prexta unsecured loans

2. Bank of Italy - 'Banks and Financial Institutions: Credit Conditions and Risk by Sector and Geographical Area - Q1 2025'

3. Bank of Italy - ''Financial Stability Report No. 2 2024'

19 General Insurance Gross Premiums

€ mn

Q1 2025

Group

	Q1 2025	Q1 2024	Change
Stand-alone policies	43.1	36.5	+18%
New business	7.9	7.2	+9%
In-force business	35.2	29.3	+20%

Loan protection policies

10.1

5.8

+73%

Group health policies

0.1

0.0

n.s.

GROSS PREMIUMS

53.3

42.4

+26%

20 Balance Sheet Structure - Banking Group Q1 2025

as at 31/03/2025

Straight-forward & solid balance sheet structure

Group

€ mn

3,820

19,018

640

1,819 300 Other liabilities

Other Assets

SP Bond

Equity

4,361

5,158

30,571

• Treasury dpt. carry-trade positions

• Short duration (<1 week on avg.)

• Current account mandatory for all customers

• Stable source of credit book funding

  & flows into managed assets

• Flexible cost of funding as main costs are linked to deposit account initiatives w/ short duration (Double Chance & Time Deposits)

Cash

42,209

42,209

• High quality book: CoR at 13 bps

• Mainly retail & collateralised

Loans to customers

ECB

Due from Banks

• Short duration (1.9 yr)

• No sensitivity to ITA spread: all assets in HTC portfolio

Financial Assets

Deposits

703

17,780

248

Repo

Total

Assets

Total

Liabilities

Q1 2025 Domestic Market Results

22 Mutual Funds - AUM Trend

€ bn - including U-L assets

Q1 2025

Italy

85.2 84.8

69.7 71.2

63.1

59.1

55.3

50.0

14.115.515.2

44.2

39.8

35.3

29.2

23.7

19.620.0

15.8

47.6

0.1 0.6 0.9 1.1 1.3 1.5

1.9 2.2 3.7 4.0 3.8 3.8 4.3 5.0

7.4

8.7 9.6 8.4 10.011.0

11.7

23 Mutual Funds - Assets under Management

€ mn

Q1 2025

Italy

	31/03/2025	31/12/2024	Change	31/03/2024	Change
'Best Brands' funds on funds (IRL)	29,440	30,086	-2%	28,202	+4%
'Challenge' mutual funds (IRL)	28,101	28,231	-0%	23,786	+18%
Funds of Hedge Funds (IRL)	30	36	-16%	35	-14%
'Fondi Italia' mutual funds (ITA)	8,650	8,292	+4%	7,600	+14%
'Real estate' fund (ITA)	153	155	-1%	186	-18%
3rd-party stand-alone funds	5,580	5,511	+1%	4,665	+20%
Other	3,776	3,738	+1%	3,340	+13%

Adj. for own mutual funds in FoFs & Managed accts

(547)

(554)

-1%

(572)

-4%

MyLife' U-L policy	17,723	17,650	+0%	15,163	+17%
Other U-L policies	22,215	22,833	-3%	20,966	+6%

Adj. for own mutual funds in U-L policies

(30,295)

(30,736)

-1%

(27,476)

+10%

ASSETS IN MUTUAL FUNDS & U-L

84,827

85,243

-0%

75,895

+12%

24 Mutual Funds - Assets by A.M. Company

as at 31/03/2025 - including U-L assets

Q1 2025

Italy

(Italy) 10.5%

ot

co

Mediolanum International Funds (Ireland) 74.4%

Mediolanum Gestione Fondi

her A.M. mpanies 15.1%

25 Banking - Assets under Administration

€ mn

Q1 2025

Italy

	31/03/2025	31/12/2024	Change	31/03/2024	Change
Cash deposits	26,584	25,211	+5%	24,645	+8%
Repurchase agreements	4	4	+7%	3	+66%
3rd-party structured bonds	3,670	3,520	+4%	3,300	+11%
Other securities	9,346	9,104	+3%	8,413	+11%
BANKING ADMINISTERED ASSETS	39,604	37,839	+5%	36,361	+9%

Italy

26 Banking - Interest Spread Q1 2025

4.00%

3.50%

3.00%

2.50%

2.00%

4.07%

3.92%

3.56%

3.89%

1.99%

Total Book

3.70%

3.61%

3.41%

3.20%

1.88% 1.95%

2.85%

2.76%

2.90%

2.44%

1.76%

4.50%

4.00%

3.50%

3.00%

2.50%

2.00%

Customer Book

1.50%

1.00%

0.50%

0.00%

1.71% 1.73%

1.45% 1.44%

Q2 24 Q3 24 Q4 24 Q1 25

Interest Income Interest Spread Cost of Funding

1.50%

1.00%

0.50%

0.00%

1.22% 1.16% 0.99% 1.11%

Q2 24 Q3 24 Q4 24 Q1 25

Customer Interest Income Customer Interest Spread Customer Cost of Funding

27 Bank Balance Sheet Highlights

€ mn - as at 31/03/2025

Q1 2025

Italy

	Liabilities	Assets
Customers	26,657	16,231

Treasury	5,649	17,972
Interbank / intra-group deposits & repos	801	710
ECB refinancing	0	437
MTS refinancing	4,548	0
Securities (bonds)	300	16,826

Other liabilities / assets

5,867

3,969

TOTAL	38,172	38,172

Operating Liquidity (24hr): 13,318

28 Family Banker Network - Italy

Change in headcount & Split by Average Portfolio Year 2025

379

-24

-12

94

421

4,422

4,438

Turnover rate

(last 12m)

3.2%

34%

22%

26%

9%

9%

4,801 4,859

Q1 2025

Italy

> € 30 mn

34%

21%

26%

9%

10%

€ 20-30 mn

€ 10-20 mn

Avg. Portfolio

28.0

01/01 Resigned Retired Recruited 31/03

Family Bankers Banker Consultants

Avg. Portfolio

28.1

€ 5-10 mn

< € 5 mn

Average portfolio calculated on Family Bankers only

29 'Private Bankers' & 'Wealth Advisors'* - Italy

as at 31/03/2025

Q1 2025

Italy

Wealth Advisors

( > € 70 mn AUM)

Private Bankers

( > € 30 mn AUM)

886 879

827

Average assets in portfolio 49.8 117.5

o/w Managed Assets 36.7 87.3

565 584

35 45

544

75

768

125

791

125

127

160

158

83 124 146

36

177 215 248

322

362

409

446

455

529

530

539

469

643

666 700

726

721

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Q1 25

* 'Private Bankers' & 'Wealth Advisors' are a subset of Family Bankers who mainly deal with affluent & HNW customers

Q1 2025 Spain Results