BBVA earns 1,210 million until March and returns to pre-pandemic levels

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BBVA earns 1,210 million until March and returns to pre-pandemic levels . Specifically, the Spanish group obtained a net profit of 1,210 million between January and March 2021, compared to the losses of 1,792 million registered a year before. These negative results were due to the large provisions made due to the pandemic and adjustments in the valuation of assets. In a statement sent to the Spanish stock market supervisor, the CNMV, BBVA highlights that these results allow it to recover pre-pandemic levels thanks to lower provisions for provisions and write-offs. This adds to the behavior of recurring income despite "the complexity of the environment." Loans and advances to customers decreased by 0.1%, to 322,866 million. While customer resources increased by 1.7%, up to 437,979 million, the entity adds. BBVA is currently immersed in the negotiation of a collective dismissal that will affect some 3,450 employees in Spain .


The default rate worsens The default rate and the insolvency coverage rate worsened slightly compared to March 2020. They stood at 4.3% and 81%, respectively. While the cost of risk maintained the downward trend, at 1.17%, excluding the sold part of the US business. The Group's solvency, measured by the CET1 'fully loaded' maximum quality capital ratio, which includes all legal requirements, stood at 13.55%. They are 155 Phone Number Data basis points above the minimum (8.59%). This ratio includes the capital gains generated by the sale of the business in the US, announced last November, as well as the objective of repurchasing up to 10% of its own shares. In this way, the bank explains, the results of the sold business are included in the area called Corporate Center, under a single line of the income statement. Profits after taxes from discontinued activities, which in this case are losses of 2,224 million.



BBVA results by geographic areas By geographical areas, Mexico remained the subsidiary that contributes the most to the group as a whole, almost 40% of the total. This market represented profits of 493 million euros, 46.9% more, due to lower write-downs. Spain was in second position . With a contribution of 30.6% after managing to overcome losses and earn 381 million compared to the negative 130 million a year ago. Also for less sanitation. In South America , attributable profit improved by 150% and reached €104 million, excluding BBVA Paraguay. And in Turkey , which includes Garanti, Romania and the Netherlands , the bank earned 191 million, 96% more. BBVA also wins in Asia The area called Rest of Business incorporates the wholesale activity carried out in Europe (excluding Spain) and in the New York (USA) office. Also the institutional business that it develops in that country through its broker BBVA Securities and the banking business of the five branches that the bank has in Asia .