Italian financial group Unipol (UNPI.MI) reported full-year profits and dividends that exceeded analysts’ expectations, leading to a share price increase of as much as 6%. The strong performance was partly driven by its core insurance business. Unipol distributes its insurance policies through BPER and Banca Popolare di Sondrio.
Unipol also cited contributions from BPER (EMII.MI) and Banca Popolare di Sondrio (BPSI.MI) as contributing to the positive results. Unipol is a major shareholder in both banks and backed BPER’s 5.4-billion-euro cash-and-share offer for Popolare di Sondrio, which was completed in July. The banks approved a merger plan in November, with integration expected to be finalised by mid-April.
Unipol Chair Carlo Cimbri stated that BPER’s current priority is the integration with Popolare di Sondrio, rather than pursuing new mergers or acquisitions. Unipol, the largest shareholder in BPER with approximately a 20% stake, is closely monitoring potential consolidation in the Italian banking sector. Cimbri told reporters that Unipol is preparing to “stay safe in a world of wolves”.
Unipol has proposed a dividend of 1.12 euros per share, a 31.8% increase from the previous year, following a net profit jump to 1.53 billion euros in 2025. The results indicate that Unipol is on track to surpass targets outlined in its 2025-2027 plan, including a cumulative consolidated profit of 3.8 billion euros and cumulative dividend payout of 2.2 billion euros by the end of the period. While there are no plans to upgrade these targets, the dividend level set for 2025 is considered a minimum and could be raised if conditions permit.
