Banca Popolare di Milano (BPM) posted a small rise in net profits for the first six months of the year, the Italian bank reported on Friday.
First-half net profit reached 158.1 million euros ($176 million), up 2.6 percent on the same period a year before. Second-quarter net profit read 109.8 million euros, versus an estimate of 74 million euros in an analyst poll from the bank, according to Reuters
Shares in the bank jumped Friday morning after the results were out to trade 2.9 percent higher on the day.
Shares of BPM have been on a sharp downward run since mid-2015, knocked by fears regarding the large pile of toxic loans in the Italian bank sector.
However, its results in the European Banking Authority (EBA)'s recent stress tests placed it and Italian rivals Intesa Sanpaolo and UBI Banca somewhere in the middle of peers for perceived resilience to a big economic shock.
"This situation is so nervous and volatile and news is so different coming from different supervisory authorities," BPM CEO Giuseppe Castagna told CNBC on Friday.