10 years have passed since Poste Italiane debuted on the stock exchange on 27 October 2015, at the end of what was characterized as the largest IPO in Europe. Since that date, the stock has achieved a series of successes, updating its historical high several times, more than tripling its capitalization from the initial 8 billion euros and distributing approximately 7 billion in dividends to its shareholders. A trend that the company led by Matteo del Fante plans to continue in the years to come.
The anniversary was celebrated today in Milan at the headquarters of the Italian Stock Exchange. In addition to the CEO of Poste Matteo del Fante and the President Silvia Maria Rovere, also present were the General Director Giuseppe Lasco, the CEO of the Italian Stock Exchange Fabrizio Testa and the Undersecretary for the Economy Federico Freni.
“The listing on the stock exchange marked the beginning of a path of transparency and constant dialogue with the market, in full compliance with our public service mission”
underlined the President of Poste Italiane, Silvia Maria Rovere.
A success resulting from winning strategies
“We have concentrated our action on innovation and the implementation of sustainable business strategies that have proven successful, while maintaining our identity as a company with a strong social vocation rooted in the territory”
commented CEO Del Fante. The manager also wanted to quantify this success, explaining that every 100 euros invested 10 years ago have now become 540 in dividends and share growth, following an average annual growth of 15% in the operating result and 14% in the dividend.
Digital transformation at the center
Poste Italiane’s growth has been supported by an unprecedented digital transformation, which has allowed the company to establish itself as the largest payments platform in Italy, with over 3 billion transactions per year, and as the leading issuer of payment cards with over 30 million cards in circulation. Poste Italiane has also consolidated its insurance leadership, with assets under management of 165 billion euros and has strengthened its role as a safe haven for savings, with over 450 billion in assets guaranteed by the State.
The market rewarded the stock
Since its debut on the market with a capitalization of 8 billion euros, Poste Italiane has more than tripled its value in recent years, bringing its capitalization to over 26 billion, at the end of a path in which it has distributed over 7 billion euros in dividends, guaranteeing its shareholders constant and growing remuneration, the result of a long-term strategic vision based on innovation, business diversification and capital solidity.
Positive outlook: growing profits and dividends
Speaking on the sidelines of the ceremony, Del Fante stated that “the prospects for the end of the year are good”. “We raised the objectives for both operating margin and net profit in July,” the CEO recalled, saying he was “optimistic” for the quarterly report which will be presented on November 13th. And as profits increase there will also be more dividends for shareholders.
“We have a dividend policy that is based on 70% of net profit, so by definition if net profit rises there are more dividends“
confirmed Del Fante.
Another trance on the market? There’s no talking about it
The number one of Poste also responded to a question on the possibility that the MEF would place a further tranche of shares and admitted that “it was discussed” a year ago, but “the shareholder (the MEF) has not given us further recent indications”. The State currently holds 29.26% of the company, while another 35% is in the portfolio of Cassa Depositi e Prestiti.
