2017 Annual Report
2017 Annual Report is available
Thursday 02 August 2018
On Thursday, 2nd of August, Amundi is releasing its first-half and second-quarter 2018 results. Amundi’s results and business activity are both up sharply and ahead of targets. This high level of profitability has been achieved in particular thanks to the synergies generated by the successful integration of Pioneer. Business activity has been brisk (+€42.4bn) thanks to Retail, MLT assets, and International.
These results, which are ahead of Amundi’s targets, attest to the Group’s solid financial structure. This strength was particularly recognised by Fitch agency, which confirmed Amundi’s A+ rating in June 2018 -one of the best in the sector.
The first half of 2018 closed on a high level of business activity, bringing assets1 under management to €1.466tn, with adjusted net income up sharply (+13.6%2), higher than the announced targets .
These high net inflows1 are mainly driven by Retail, MLT (Medium-Long Term) assets, and International.
The Retail segment enjoyed strong momentum, with net inflows of +€34.6bn (versus +€22.2bn in H1 20172), generated by all distribution channels:
Business activity in the Institutional segment was strong at +€7.8bn in H1 2018 (compared with +€4.1bn in H1 20172), with robust commercial activity for Sovereign and other Institutional clients. Conversely, the Corporates and Corporate Savings segment (-€10.7bn2) felt the seasonal effect of treasury products.
Net inflows by asset class consisted primarily of MLT assets (+€36.5bn or 86% of the total). In addition, the standouts among the commercial successes of this first half (excluding JVs) were:
From a geographic viewpoint, net inflows were once again driven by the international segment with a significant contribution from Asia (+€30.1bn) and Italy (+€6.7bn, an increase).
Adjusted net income, Group share3 was up significantly (+13.6%2) thanks to a solid increase in net asset management revenue and an improved cost/income ratio3 (-2.4 pts vs. H1 20172). This performance confirms the Group’s ability to expand while keeping its costs under control.
Net income, Group share was €492m, up +13.63 compared with H1 20172. This increase was greater than the stated target of +7% per year5.
Net inflows1 in the second quarter (+€2.6bn) were higher than Q2 20172 (-€2.9bn in combined net inflows), driven mainly by Retail (+€12.9bn); Institutional (-€10.3bn) suffered from seasonal outflows on treasury products used by Corporates for paying dividends.
At €679m, net revenues rose by +€2.8%3, thanks to a marked increase of 4.1%4 in net management fees, among other factors.
With operating expenses down (-4.0%), the cost/income ratio improved by 1.33 points (vs Q2 2017) to stand at 50.2%3.
Adjusted net income, Group share3 totalled €252m (+12.2% vs Q2 2017).
In the first half of 2018, Amundi came in ahead of its strategic roadmap for both business activity and profitability. The integration of Pioneer has been successfully developed and is bearing fruit. These excellent results, in a less favourable environment, confirm the strength and the resilience of the Group's business model, which relies on its diverse business lines (client segments, investment expertise and regions). Amundi has a significant growth potential, based on strengthened investment expertise and a powerful international network.
Yves Perrier, Amundi's CEO
1. Assets under management and inflows include assets under advisory and assets sold and take into account 100% of assets under management and inflows on the Asian JVs. For Wafa in Morocco, assets are reported on a proportional consolidation basis.
2. Change using comparable (6 months Amundi + 6 months Pioneer, or 3 months Amundi + 3 months Pioneer) and adjusted data.
3. Adjusted data in H1 2018: before amortisation of distribution contracts (€25m after tax) and before costs associated with the integration of Pioneer (€12m after tax). In H1 2018: before amortisation of distribution contracts (€12m after tax) and before costs associated with the integration of Pioneer (€6m after tax). Refer to methodology section on page 7 of this release.
4. Target calculated based on 2017 adjusted and combined net income excluding the non-recurring level of financial income. Press release of 09/02/2018
2017 Annual Report is available
A strong start to the year, confirming Amundi’s growth trend
Amundi’s 2017 Registration document is available