BBVA Bancomer/2018 Annual Report
Earnings
Net interest income totaled 132,650 million pesos in 2018, equivalent to annual growth of 8.2%.
This growth was driven by higher volumes of loans and deposits. Loan-loss provisions were down
2.7% due to the healthy performance of the loan portfolio. As a result, net interest income adjusted
for credit risks was 100,340 million pesos in December 2018, up 12.2% on the figure reported a
year earlier.
This performance has seen GFBB maintain high profitability indicators, with a net interest margin
(NIM) of 6.0% at December 2018, while the NIM adjusted for credit risk stood at 4.9%.
Fees and commissions saw an annual increase of 8.8%, totaling 27,010 million pesos at the end of
December 2018. The outperformers were fees and commissions from management, and trading
volume of mutual funds, followed by banking fees. Credit and debit card fees were up 6% year on
year, following an increase in the number of transactions carried out with these products.
However, proper management of income allows GFBB to position itself as one of the most efficient
institutions in the financial system, with an efficiency ratio - measured as an expense-to-income
ratio of 37.2% at the end of December 2018.
-
Net profit totaled 52,638 million pesos at year-end 2018, up 15.4% (+7,035 million pesos).
Net Profit
B
2018
B
52,638
45,603
+15.4%
(billion pesos and
annual change %)
Net interest income
B
2018
2017
Source: GFBB financial statements.
This performance has seen GFBB
maintain high profitability
indicators at December 2018.
2017
Source: GFBB financial statements.
Ratios (%)
Return on Equity (ROE)
Net Interest Margin (NIM)
Cost-to-Income Ratio
NPL Ratio
GFBB
Market*
25.4
16.1
6.0
5.1
37.2
49.8
2.0
2.1
* Market comprising five groups at December 2018 (Citibanamex, Santander, Banorte, HSBC and Scotiabank).
Source: Financial Groups Quarterly Report.
133
+8.2%
Key information
123
(billion pesos and
annual change %)
General multiple banking indicators in Mexico
Trading income was down 15.7% in the year compared to December 2018, impacted by trading in
financial derivative instruments and due to the result of investments in securities for sale.
Other income (expense) from transactions compared favorably with December 2017, mainly due to
the capital gain obtained from the sale of a real estate asset in the second quarter of 2018.
Expenses were up 6.5% in the year, largely because of a higher wage cost following the inflation
adjustment made to staff salaries.
Meanwhile, continuous investment activity helped generate a stronger banking infrastructure.
At the end of December 2018, BBVA Bancomer had a total of 1,833 branches and 12,610 ATMs to
serve its entire customer base.
Total multiple banking institutions
Branches
Million pesos
Dec-16
Dec-17
Dec-18
47
Employees
Total banking assets (million pesos)
Constant GDP (million pesos)
% of GDP
12,522
230,319
8,667,759
18,476,233
46.9%
48
12,744
240,667
9,023,185
18,749,848
48.1%
50
12,755
254,880
9,566,513
18,389,170
52.0%
Aggregate gross banking portfolio
(million pesos)
4,339,096
4,745,891
5,185,153
% of GDP
Traditional deposits (million pesos)
23.5%
4,526,559
25.3%
5,005,013
28.2%
5,367,203
32
Source: CNBV, Bank of Mexico.
BBVA Bancomer/2018 Annual ReportView entire presentation