Release Date: November 21, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Q: Can you provide an overview of the economic environment and its impact on BBVA Argentina's performance in the third quarter of 2024? A: Ines Lanusse, IR Contact Officer, explained that the third quarter of 2024 saw significant fiscal consolidation and relative exchange rate stability, contributing to a moderation of inflation. Despite a sharp contraction in the first half of the year, there are signs of economic recovery. BBVA Research forecasts a 4% decline in GDP for 2024, followed by a 6% expansion in 2025. Inflation is expected to reduce to 125% by year-end, down from 211% in the same period of 2023.
Q: How has BBVA Argentina's digital transformation progressed, and what impact has it had on customer acquisition? A: Ines Lanusse highlighted that by the end of September 2024, 83% of new customer acquisitions were through digital channels, up from 80% a year ago. Retail digital sales reached 92.6% in the third quarter, representing 73.7% of the bank's total sales in monetary value. This digital shift is seen as crucial for sustaining and expanding the bank's competitive position.
Q: What were the key financial results for BBVA Argentina in the third quarter of 2024? A: Ines Lanusse reported that the inflation-adjusted net income was ARS99.2 billion, a decrease of 21.6% quarter over quarter. The quarter's ROAE was 16.9%, and ROAA was 2.9%. The decline in operating results was due to lower interest income and FX results, partially offset by decreased operating expenses.
Q: Can you elaborate on the changes in BBVA Argentina's loan portfolio during the third quarter of 2024? A: Ines Lanusse noted that private sector loans totaled ARS5.5 trillion, increasing 26.5% quarter over quarter in real terms. Growth was driven by a 48% increase in discounted instruments, a 51% rise in consumer loans, and a 14.2% increase in credit cards. Loans in foreign currency also increased significantly, mainly due to export financing.
Q: How did BBVA Argentina's funding and deposit base evolve in the third quarter of 2024? A: Ines Lanusse stated that total deposits reached ARS8.5 trillion, increasing 30.9% quarter over quarter. Private non-financial sector deposits in pesos rose by 12.4%, with significant growth in time deposits and checking accounts. Deposits in foreign currency, expressed in pesos, increased by 84.9%, influenced by a fiscal amnesty.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
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