Stock Markets February 26, 2026

Poste Italiane Posts Q4 Operating Profit Beat as Insurance Lifts Results

Insurance and payments divisions outperform, while net income and postal operations reflect one-offs and higher costs

By Jordan Park PST
Poste Italiane Posts Q4 Operating Profit Beat as Insurance Lifts Results
PST

Poste Italiane reported fourth quarter operating profit of €729 million, outperforming analyst estimates by 10%. Revenues were 3% above consensus while costs were 1% higher than expected. Net income fell short of forecasts, weighed down by one-off charges and an elevated tax rate. Insurance and payments divisions were the primary contributors to the operating beat, while mail and parcel results lagged amid higher costs. The company also declared a full-year dividend of €1.25 per share and provided 2026 guidance that aligns with analyst expectations.

Key Points

  • Q4 operating profit of €729 million beat analyst expectations by 10%, while net income fell short due to one-off charges and a higher tax rate.
  • Insurance revenues were 12% above forecasts driven by higher contractual service margin release, but insurance net profit missed estimates because of elevated finance costs tied to one-off items.
  • Payments division delivered operating profit about 20% above expectations; mail and parcel division underperformed due to higher costs.

Poste Italiane SPA reported a fourth quarter operating profit of €729 million, a result that exceeded analyst expectations by roughly 10% but was accompanied by net income that missed forecasts due to one-off charges and a higher-than-anticipated tax rate.

Revenue for the quarter came in about 3% above consensus estimates, while operating costs were roughly 1% higher than analysts had modelled. The group's net profit finished approximately 2% below projections, reflecting the impact of isolated items and elevated taxation levels.

Business-line performance

The company said its insurance arm was the primary driver of the quarterly operating outperformance, with insurance revenues running about 12% ahead of forecasts. Management attributed that upside largely to a higher release of contractual service margin. Despite the top-line surprise in insurance, the division's net profit missed expectations as finance costs were inflated by one-off items.

Poste's payments division also contributed positively, delivering operating profit roughly 20% above consensus on the back of stronger revenues and tight cost control. Conversely, the mail and parcel business underdelivered relative to estimates, with higher costs cited as the principal factor behind the shortfall.

Balance-sheet and flows

Total financial assets declined by about 1% versus the prior quarter. The company recorded net inflows of €0.2 billion into mutual funds and €0.6 billion into insurance products linked to former Eurovita Assicurazioni. Postal savings products attracted €0.6 billion in inflows, while overall deposits registered outflows totalling €5 billion for the period.

On regulatory capital metrics, Banco Posta's CET1 ratio fell to 19.8% from 20.5% in the previous quarter. The group's Solvency II ratio decreased to 304% from 312%. The reported leverage ratio was stable at 3.2%.

Capital returns and outlook

The board declared a full-year dividend of €1.25 per share, which is 3% above the consensus estimate of €1.21. An interim dividend of €0.40 was previously paid on November 26.

For 2026 the company guided adjusted operating profit above €3.3 billion and net income at €2.3 billion, figures that management said are in line with analyst expectations. The company flagged artificial intelligence as a lever to accelerate revenue growth and to improve cost efficiencies going forward.


Key takeaways

  • Operating profit beat driven by insurance and payments divisions; overall net income pressured by one-off charges and higher taxes.
  • Asset flows were mixed: mutual funds and insurance saw inflows while deposits experienced significant outflows.
  • Capital ratios softened slightly quarter-on-quarter, though leverage remained unchanged.

Impacted sectors

  • Insurance - results and capital metrics
  • Payments and financial services - revenue and profitability trends
  • Postal and logistics - cost pressures

Risks

  • Net income vulnerability from one-off charges and an elevated tax rate could continue to pressure reported profits - affects banking and financial reporting.
  • Deposit outflows of €5 billion indicate liquidity and funding risks for deposit-taking activities - impacts Banco Posta and retail banking operations.
  • Declines in capital ratios, including CET1 and Solvency II, may constrain regulatory flexibility if the trend persists - relevant to banking and insurance sectors.

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