Azimut posts drop in adjusted net profit, selects spin off staff
May 9 (Reuters) – Italian asset manager Azimut Holding (AZMT.MI), opens new tab said on Thursday it was confident of exceeding its profit target for the year, after reporting a drop in first-quarter net profit when adjusted for one-off accounting and tax items.
The company, which is working on a project to be able to raise funds from bank deposits, said it was confident 2024 net profit would come in above its existing 500 million euro ($538 million) goal, on net inflows projected above 7 billion euros.
Azimut shares dropped as much as 4.9% after the results, but recouped losses to stand flat at 25.7 euros each by 1354 GMT.
Azimut in March said it would spin-off roughly half of its financial adviser network and find a banking partner to invest in the business. Failing that, it would buy a banking licence and list the hived-off business within six-to-nine months.
The Bank of Italy normally takes at least six months to vet any acquisition that would hand the buyer a banking licence.
Under the project, Azimut Holding will transfer part of its assets under management to the new entity and pocket royalties for 20 years on the revenue those assets generate.
Source: REUTER