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• Revenue: Highest level recorded in 2024, with a significant contribution from international operations.

• Net Profit: Second highest level achieved, with an adjusted net profit of EUR588 million, a 29% increase.

• Assets Under Management (AUM): EUR52 billion, with significant growth in private markets.

• Net New Money: EUR18.3 billion for 2024, with notable contributions from Italy, EMEA, Asia Pacific, and the Americas.

• Performance Fees: EUR100 million generated, accounting for 7% of total revenues.

• Insurance Revenues: EUR161 million, with EUR57 million from performance fees.

• Distribution Costs: EUR432 million, with a 13% increase in overall costs.

• EBIT: EUR653 million, with an EBIT margin of 44.4%.

• Dividend Proposal: EUR1.75 per share, totaling up to EUR251 million.

• Net Financial Position: Doubled compared to 2023, with significant bond repayment.

• Dividend Yield: 6.7% based on proposed dividend.

• Warning! GuruFocus has detected 6 Warning Sign with AZIHF.

Release Date: March 06, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Azimut Holding SpA (AZIHF) recorded the highest level of revenues and the second highest level of net profit in 2024.

• The company successfully completed a deleverage process, fully repaying all debt commitments.

• A dividend of EUR1.75 per share has been proposed, consistent with the company's dividend policy.

• Azimut Holding SpA (AZIHF) achieved EUR18.3 billion in net new money for 2024, with significant contributions from regions like Italy, EMEA, Asia Pacific, and the Americas.

• The company has a strong international presence, with asset management and distribution networks in 19 countries, and plans to expand further in Africa and Asia.

Negative Points

• The company faced a 13% increase in costs, with a 10% adjusted cost growth when accounting for extraordinary items.

• There is strong competition in the market for financial advisers, which could impact recruitment and retention.

• The EBIT margin slightly declined, attributed to one-off expenses and increased marketing and project costs.

• The completion of the TNB project is complex and requires more time, with ongoing negotiations and due diligence.

• The recurring net profit margin declined in 2024, influenced by various factors including overperformance-related expenses.

Q & A Highlights

Q: Why hasn't Azimut Holding utilized its strong net financial position for buybacks or other opportunities? A: Gabriele Blei, Co-CEO, explained that the focus has been on deleveraging, which has been successfully completed. The company is disciplined in cash use, financing projects internally or with minimal debt. A buyback program is considered an additional shareholder remuneration tool and will be proposed when deemed opportune.