Italy's Fineco cuts guidance on 2023 lending income as profits rise

(Reuters) - Italy's FinecoBank on Tuesday trimmed its guidance for net financial income this year, which it expects to peak in the fourth quarter, sending its shares down nearly 4%.

FinecoBank said its net financial income, a measure that combines profits from the bank's treasury portfolio with those it reaps from the gap between interest rates earned on loans and those paid on deposits, would grow around 70% over 2022.

In February, it had upgraded that forecast saying the net financial income would rise by 80% in 2023.

The Milan-listed bank said its net profit for the first quarter was 147.3 million euros ($162.15 million), up 19% compared to a year earlier, broadly in line with a Refinitiv analyst consensus of 146.1 million.

Its net financial income rose 46.5% in January-March to 157.4 million euros, reflecting a 165.3% jump in the net interest margin while the contribution from the treasury portfolio was zero for a second straight quarter.

($1 = 0.9084 euros)

(Reporting by Carlo Giovanni Boffa; editing by Valentina Za)