MILAN, July 30 Reuters Italy39;s biggest bank Intesa Sanpaolo on Tuesday raised its profit forecast for this year and the next, after posting better than expected second quarter earnings.

With net lending income still rising despite euro zone interest rates having peaked and a strategy to grow net fees bearing fruit, Intesa posted a net profit of 2.47 billion euros for the three months through June, above a Reuters consensus forecast of 2.28 billion 2.5 billion.

It expects net profit in 2024 and 2025 to surpass 8.5 billion euros 9.2 billion, while it had previously guided for a net income above 8 billion euros.

Total revenues came in at 6.86 billion euros in the second quarter, above an average 6.54 billion analyst forecast.

Intesa said it planned to pay out a cash interim dividend of 3 billion euros out of 2024 profits.

1 0.9231 euros

Reporting by Valentina Za Editing by Keith Weir

Source Reuters