Dividends
Our dividend distribution policy aims to achieve a balance between the remuneration of shareholders, which will increase significantly over the term of the 2019-2023 strategic plan, and the maintenance of a high level of capitalisation
From 2020 to 2023, we paid out €2.2 billion to shareholders (including buyback), while maintaining solid capital ratios and achieving BP19-23 target, even if no dividend was distributed in FY19/20 due to the ECB ban on dividend distribution.
The AGM held in October 2023 approved:
- Dividend of €0.85 per share (for full year 22-23), in line with the 70% payout ratio indicated at the start of the financial year;
- New share buyback scheme currently worth approx. €200m (already authorized by ECB), in addition to the treasury shares already owned (8.5 million), as follows:
- Up to 17 million shares to be bought (2% of the share capital);
- Up to 17 million shares to be cancelled;
- Total amount of treasury shares to be held will be up to 3% of the share capital, for use in connection with the performance share schemes, for possible acquisitions and/or to be cancelled.
In May 2023, the Group approved its new shareholders distribution policy for the next three years which envisages a cash dividend payout of 70% (for a total dividend amount of €2.7bn in 3Y) and the introduction of the payment of an interim dividend starting from May 2024 (payments in May and November). These distributions will be complemented by share buyback and cancellation schemes involving a total of €1bn in 3Y, with the quantity to be decided annually. This distribution policy is subject to the annual authorization by the ECB, the approval by shareholders gathered in Annual General Meeting, and conditional upon CRR III Article 471 being approved definitively (under which application of the “Danish Compromise” will become permanent) and the maintenance of a CET1 FL ratio above 13.5%.
Our group distributes dividends once per year, usually in November (more details in financial timetable), following the approval by the shareholders’ meeting, normally held on 28 October of every year.
€ | FY 2014 | FY 2015 | FY 2016 | FY 2017 | FY 2018 | FY 2019 | FY 2020 | FY 2021 | FY 2022 | FY 2023 |
CASH DPS | 0,15 | 0,25 | 0,27 | 0,37 | 0,47 | 0,47 | 0 | 0,66 | 0,75 | 0,85 |
TOTAL DIVIDEND PAYD | 127 | 213 | 231 | 320 | 413 | 410 | 0 | 569 | 629 | 719 |
STATED PAYOUT | 27 | 36 | 38 | 43 | 48 | 50 | 0 | 70 | 70 | 70 |
SHARE BUYBACK | 0 | 0 | 0 | 0 | 0 | 163 | 105 | 0 | 241 | 0 |
GROUP NET PROFIT | 465 | 590 | 605 | 750 | 864 | 823 | 600 | 808 | 907 | 1027 |
CET1(%) | 11,1 | 12 | 12,1 | 13,3 | 14,2 | 14,1 | 16,1 | 16,3 | 15,7 | 15,9 |
NO. SHARES (M) | 861 | 867 | 871 | 881 | 887 | 887 | 887 | 887 | 865 | 849 |
€ | FY 2014 | FY 2015 | FY 2016 | FY 2017 | FY 2018 | FY 2019 | FY 2020 | FY 2021 | FY 2022 | FY 2023 |
CASH DPS | 0,15 | 0,25 | 0,27 | 0,37 | 0,47 | 0,47 | 0 | 0,66 | 0,75 | 0,85 |
TOTAL DIVIDEND PAYD | 127 | 213 | 231 | 320 | 413 | 410 | 0 | 569 | 629 | 719 |
STATED PAYOUT | 27 | 36 | 38 | 43 | 48 | 50 | 0 | 70 | 70 | 70 |
SHARE BUYBACK | 0 | 0 | 0 | 0 | 0 | 163 | 105 | 0 | 241 | 0 |
GROUP NET PROFIT | 465 | 590 | 605 | 750 | 864 | 823 | 600 | 808 | 907 | 1027 |
CET1(%) | 11,1 | 12 | 12,1 | 13,3 | 14,2 | 14,1 | 16,1 | 16,3 | 15,7 | 15,9 |
NO. SHARES (M) | 861 | 867 | 871 | 881 | 887 | 887 | 887 | 887 | 865 | 849 |