Banco BBVA Argentina S.A. announces Third Quarter 2022 results

Rhea-AI Summary

Banco BBVA Argentina S.A. (BBAR) reported its 3Q22 results, indicating inflation-adjusted net income of $9.7 billion, down 50.1% from 2Q22 but up 55.9% year-on-year. Accumulated net income for the first nine months of 2022 reached $34.8 billion, a 27.9% increase over the same period in 2021. Operating income rose by 24.0% to $48.4 billion compared to 2Q22. However, total consolidated financing to the private sector fell by 8.0% quarter-on-quarter, and total deposits dropped by 10.5% in real terms.

Positive

• Inflation-adjusted net income increased 55.9% year-over-year.
• Operating income grew 24.0% quarter-over-quarter and 99.3% year-over-year.
• The bank's regulatory capital ratio is at 26.2%, significantly above the required minimum.

Negative

• Net income decreased 50.1% compared to the previous quarter.
• Total consolidated financing to the private sector fell 8.0% in real terms compared to 2Q22.
• Total consolidated deposits declined 10.5% in real terms during the quarter.

BUENOS AIRES, Nov. 22, 2022 /PRNewswire/ -- Banco BBVA Argentina S.A (NYSE; BYMA; MAE: BBAR; LATIBEX: XBBAR) ("BBVA Argentina" or "BBVA" or "the Bank") announced today its consolidated results for the third quarter (3Q22), ended on September 30, 2022. 

As of January 1, 2020, the Bank started to inform its inflation adjusted results pursuant to IAS 29 reporting. To facilitate comparison, figures of comparable quarters of 2021 and 2022 have been updated according to IAS 29 reporting to reflect the accumulated effect of inflation adjustment for each period up to September 30, 2022.

3Q22 Highlights

• BBVA Argentina's inflation adjusted net income in 3Q22 was $9.7 billion, 50.1% lower than the $19.4 billion reported on the second quarter of 2022 (2Q22), and 55.9% higher than the $6.2 billion reported on the third quarter of 2021 (3Q21). In the first nine months of 2022, the accumulated net income was $34.8 billion, 27.9% above the $27.2 billion recorded in the first nine months of 2021.
• In 3Q22, BBVA Argentina posted an inflation adjusted average return on assets (ROAA) of 2.4% and an inflation adjusted average return on equity (ROAE) of 13.5%. The nine month accumulated ROAA reached 2.9% while the nine month accumulated ROAE was 16.8%.
• Operating income in 3Q22 was $48.4 billion, 24.0% above the $39.0 billion recorded in 2Q22 and 99.3% over the $24.3 billion recorded in 3Q21.
• In terms of activity, total consolidated financing to the private sector in 3Q22 totaled $582.4 billion, falling 8.0% in real terms compared to 2Q22, and 6.4% compared to 3Q21. In the quarter, the decrease was mainly driven by a fall in credit cards, other loans, prefinancing and financing of exports and in consumer loans by 8.8%, 18.2%, 22.4% and 5.7% respectively. BBVA's consolidated market share of private sector loans reached 8.47% as of 3Q22.
• Total consolidated deposits in 3Q22 totaled $1.2 trillion, decreasing 10.5% in real terms during the quarter, and 7.9% compared to 3Q21. Quarterly decrease was mainly explained by sight deposits, which fell 17.9%. The Bank's consolidated market share of private deposits reached 6.68% as of 3Q22.
• As of 3Q22, the non-performing loan ratio (NPL) reached 1.07%, with a 236.87% coverage ratio.
• The accumulated efficiency ratio in 3Q22 was 69.0%, improving versus 2Q22's 71.3%, and versus 3Q21's 69.7%.
• As of 3Q22, BBVA Argentina reached a regulatory capital ratio of 26.2%, entailing a $180.9 billion or 221.3% excess over minimum regulatory requirement. Tier I ratio was 26.0%.
• Total liquid assets represented 78.5% of the Bank's total deposits as of 3Q22.

3Q22 Conference Call

Wednesday, November 23 - 12:00 p.m. Buenos Aires time (10:00 a.m. EST)

To participate please dial-in:

+ 54-11-3984-5677 (Argentina)

+ 1-844-450-3851 (United States)

+ 1-412-317-6373 (International)

Web Phone: click here

Conference ID: BBVA

Webcast & Replay: click here

 

To access the full report click here

To access webcast presentation click here

About BBVA Argentina

BBVA Argentina (NYSE; BYMA; MAE: BBAR; LATIBEX: XBBAR) is a subsidiary of the BBVA Group, the main shareholder since 1996. In Argentina, it is one of the leading private financial institutions since 1886. Nationwide, BBVA Argentina offers retail and corporate banking to a broad customer base, including: individuals, SME's, and large-sized companies.

BBVA Argentina's purpose is to bring the age of opportunities to everyone, based on our customers' real needs, providing the best solutions, and helping them make the best financial decisions through an easy and convenient experience. The institution relies on solid values: "The customer comes first, We think big and We are one team". At the same time, its responsible banking model aspires to achieve a more inclusive and sustainable society.

Investor Relations Contact

Carmen Morillo Arroyo
Chief Financial Officer

Inés Lanusse
Investor Relations Officer

Belén Fourcade
Investor Relations
investorelations-arg@bbva.com 
ir.bbva.com.ar

 

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SOURCE Banco BBVA Argentina S.A.

FAQ

What were Banco BBVA Argentina's earnings for 3Q22?

Banco BBVA Argentina reported an inflation-adjusted net income of $9.7 billion for 3Q22.

How did BBAR's 3Q22 operating income compare to previous quarters?

Operating income in 3Q22 was $48.4 billion, up 24.0% from 2Q22.

What was the change in BBAR's total deposits in 3Q22?

Total consolidated deposits decreased by 10.5% in real terms in 3Q22.

How did BBAR's financing to the private sector perform in 3Q22?

Total consolidated financing to the private sector fell by 8.0% in real terms compared to 2Q22.

What is BBAR's regulatory capital ratio as of 3Q22?

BBAR's regulatory capital ratio as of 3Q22 was 26.2%, well above the minimum requirement.