(Alliance News) - Kruso Kapital Spa announced Monday that it has approved its strategic plan to 2026, in which it expects pawn loan outstandings to rise to EUR176 million as of 2026 from EUR121 million as of Dec. 31, 2023, and ROTE over the plan period to exceed 30 percent and regulatory ratios above the regulatory minimum.

As the company explained in a note, the increase in lending combined with the already high profitability of pawn lending and the rate scenario assumed in the plan, together with higher revenues from the Art-Rite auction house business, result in an average annual compound growth in net interest and other banking income to 2026 of 20 percent.

At the end of the plan, a brokerage margin of EUR36 million is estimated. In addition, to 2026 operating costs are expected to grow in line with business growth, but less than proportionate to revenue growth: in the three-year period Cost Income is expected to be less than 70%, 76% in 2023.

Predominantly due to the consolidation of the company in Portugal, group resources at the end of the plan will be just under 150 FTE, according to the press note.

Kruso Kapital is flat at EUR1.87 per share.

By Claudia Cavaliere, Alliance News reporter

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