(AOF) – Amundi recorded adjusted net income in the first quarter of 2022 up 5% to 324 million euros, “in an environment that has become less buoyant”. “This growth is explained by the scope effect (integration of Lyxor from the first of 2022) but also by a significant increase in revenues and by the maintenance of excellent operational efficiency (cost/income ratio of 50.6%) “, explained the asset manager.
Adjusted net income increased by 8.4% to 835 million euros despite a decline of 36.2% to 71 million euros in performance fees, which are very volatile.
Amundi recorded net inflows of 3.2 billion euros in the first quarter. In medium-long-term assets (excluding joint ventures), net flows amounted to 21 billion euros over the quarter, despite the crisis in Ukraine.
In total, taking into account outflows in treasury products (-€26.3 billion excluding joint ventures) and a negative market effect (-€46.4 billion), assets managed by Amundi reach 2021 billion euros at March 31, 2022, up 15.1% over one year and down 2.1% compared to the end of December 2021.
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Key points
– First in Europe and eighth worldwide in asset management with €2.1 billion in assets, resulting from the merger of the management activities of Société Générale and Crédit Agricole;
– Activity focused on Europe, particularly France (48% of outstandings), ahead of Italy (10%), rest of Europe (17%) and Asia (18%);
– Balance of the client base: insurers (23%), institutions and sovereigns (24%), third-party distributors (16%), joint ventures (14%), international networks (8%), French networks (6%) …;
– Economic model based on an independent IT platform and multiple distribution channels for the 100 million customers in 36 countries, the group being organized into 3 divisions – the French subsidiaries (including CPR, BFT, Etoile gestion, etc.), the international subsidiaries and joint ventures (the Chinese ABC-CA or BOC, the Indian SBI, the Korean NH or the Moroccan Wafa, etc.);
– Capital 69.5% owned by Crédit Agricole, the 15-member Board of Directors being chaired by Yves Perrier, Valérie Baudson being Chief Executive Officer;
– Solid financial position, rated A+, the best in the sector, with tangible equity of €3.5 billion and a CET1 ratio of 16.1%.
Challenges
– After achieving the objectives of the 2022 plan a year ahead of schedule, towards a new 2025 program, presented on June 22;
– Two-pronged innovation strategy – solidity, continuity and security of IT equipment, with the global ALTO platform supporting activities – and the offer of innovative products;
– “Ambition 2025” environmental strategy, the group being the world leader in responsible social investment with ESG assets of €847 billion, with constant innovation – divestment from unconventional hydrocarbons in 2022 / savings at the service of sustainable development -net-zero products under active management, €20 billion in assets under management with impact, 40% of ETFs in ESG and deployment of the ESG decision support solution “Alt sustainability” / integration of criteria ESG in compensation, 30% reduction in CO2 emissions per employee and advisory vote on “Say-on-climate”;
– Success of Amundi Technology, a business line of technological products and services, showing strong growth in France and internationally;
– European number 1 in ETFs after the integration of Lyxor, a specialist in alternative management, which is expected to return on equity of +10% in 2025.
Challenges
– Strong disparities between customer segments, retail being the best remunerated;
– Maintenance of operational excellence with a cost/income ratio reduced to 47.9%;
– In China, continued customer share gains by the new Amundi-BOC subsidiary.