First-quarter net income at Amundi, Europe’s largest asset manager, fell 7.5 percent to 300 million euro when compared to the same period last year, “in line with the unfavourable evolution of the market,” the company said on Friday.
The firm nevertheless referred to a “strong performance” as a result of the diversification of its activities and its operational efficiency and good cost control.
“Amundi delivered a good performance in the first quarter of 2023, in an uncertain market environment,” said Valérie Baudson, CEO of Amundi. “Our adjusted net income remained stable at €300 million compared to the fourth quarter of 2022, thanks to the resilience of our revenues and good cost control. The productivity gains and continued synergies generated by the integration of Lyxor have enabled us to absorb the effects of inflation while continuing to invest.”
Assets under management stood at 1,934 billion euro at the end of the first quarter, up 1.6 percent from the previous quarter. Its retail assets under management stood at 578 billion euro end March, while it managed 1,064 for institutional clients at that moment. Amundi’s assets had peaked at 2,064 billion at the end of 2021.
Net revenue stable in first quarter
First-quarter net revenue fell 4.9 percent to 794 million euro when compared to same quarter last year but was stable when compared to the fourth quarter of last year, Amundi said.
Net management fees declined 3.9 percent in the first three months of this year to 736 million euro. These fees “were sustained at a high level,” said Amundi, thanks to higher margins stemming from “the mix effect”. Compared to the fourth quarter, net management fees increased 2.3 percent.
Operating costs increased 0.6 percent when compared to the first quarter last year, to 425 million euro. “Inflation, development investments, and the unfavourable exchange rate effect were largely absorbed by productivity gains and the pursuit of synergies generated by the integration of Lyxor,” Amundi said.
Amundi has scheduled its annual general meeting for Friday 12 May.