BBVA He won the 1164 million euros in the first quarter, 9.8% less than in the same period last year. The company has also been lower than expected by consensus of analysts, pointing to a profit of 1,200 million euros in the period. Except for comparative results BBVA Chile in the first quarter of 2018 (the divestment in July 2018), the result was 7.7% lower.
The company attributed the decline to profit higher provisions in the US and Turkey compared to the first quarter of 2018, and the provisions for " The deterioration of the macro environment in most geographical regions& Rdquor ;. Indeed, the market has been very aware of the numbers that the bank chaired by Carlos Torres give your business in Turkey, a region that last year was the biggest headache for the face, the collapse of the Turkish lira.
guaranteeTurkish branch of the bank, He earned 142 million euros from January to March, 7.7% less than in the same period last year (-29.2% at current exchange rates). However, this figure represents an increase of 54.8% over the last three months of 2018, suggesting that the worst thing about this segment of the business has passed.
CEO of the legal entity, Onur Genç, He said, "We started the year with positive dynamics ;, & rdquor allocating net profit growth of over 10%, thanks to strong repeat income generation and efficiency. "In addition, we continue to receive the benefits of our digital transformation, both in growth and customer loyalty ;, & rdquor says the manager.
The annual comparison, Bank foreclosed BBVA Chile they account for more uniform calculation. Thus, it appears that the net interest income advancing 5.8% in the first quarter compared to the same period last year (9.5% in constant terms), to 4,420 million euros. The company itself has been stagnant commission income, while income from financial operations (ROF) rose 8.7%.
Business in Spain, down
In Spain, once crossed toxic brick CerberusThe Bank has an integrated real estate business in national activities and renamed "Spain." Activities in this area is developing steadily, with an increase of 1.8% from creciditicia investments in the first quarter, primarily a business covering consumer credit and credit cards, which are nominated by 19.7%.
Amounts due to customers increased by 4.3% in the country, mainly due to the investment fund. In total, the bank earned 345 million euros in Spain, 14.7% lower than a year earlier.
Capital and profitability
In terms of profitability, the Bank closed the first quarter with ROE (return on equity) of 9.9%. compared with 11.5% higher while capital ratio of highest quality of Set 1 at full load He stood at 11.35%, Virtually identical to the 11.3% that the company dismissed 2018. However, we must bear in mind that the data for the first quarter marked by absorbing impact IAS 16 standard which came into force earlier this year. Nevertheless, of BBVA still need to improve in order to achieve a range of between 11.5% and 12% It supports the goal.
credit quality indicators remained stable. The default rate in March remained at the same level as in December (3.9%), and the coverage rate is 74%, with 73% three months ago. "The cost of risk amounted to 1.06, with an increase in the first quarter of 2018, which was especially under release of provisions and more favorable macroeconomic environment "Show the bench.
Fully digital offensive Banco Santander, BBVA holds the pulse of the Cantabrian people with more than half of its customers, 53%, and using digital channels to interact with the bank. Blue stand, which is also 57% of sales through these channels, counts exceed the threshold of 50% this year.