CaixaBank continues the positive trend of Spanish banking and announces a 16% increase in profits. The entity recorded profits of 4,248 million euros until September due to greater commercial activitywhich translated into double-digit growth in businesses such as mortgages, business banking, consumer loans and wealth management.
The firm celebrates that the third quarter figures demonstrate the success of the 2022-2024 Strategic Plan, the last one piloted by its executive president, José Ignacio Goirigolzarri, who presented his resignation at the board of directors this Wednesday. His replacement will be the current vice president Tomás Muniesa, who will take office on January 1.
With a profit that is growing at a rate of 16% and an interest margin that rises 13.6% to 8,367 million euros, the CEO, Gonzalo Gortázar, highlights the strength of the bank based in Valencia. “We have had a third quarter that has continued the positive trend of the first six months of the year: intense commercial activity, contained defaults, solvency and liquidity well above requirements and profitability that has reached reasonable levels,” he says in a statement.
The margin, however, appears practically stable this quarter (+0.1%), which could already be an indicator of the effect of the interest rate cuts announced by the European Central Bank.
Meanwhile, the gross margin registered an increase of 10.3% to 11,793 million euros and the operating margin closed the month of September at 7,230 million, 14.5% more. Return on equity (ROE) reached 14.4%.
By business lines, the bank posted double-digit growth in segments such as consumer credit (+15%), business credit (+14%) and new mortgage production (+55%). The healthy credit portfolio rose 0.2% compared to September 2023 to 344,678 million euros “in an environment of good performance in all segments.” The listed company also wanted to highlight the 54.3% growth in wealth management products, such as investment funds, insurance and pension plans.
He did it, he assures, with a delinquent balance of 10,352 million and a delinquency rate of 2.7%.
Shareholder remuneration
CaixaBank’s board of directors also approved on Wednesday the distribution of an interim dividend of 40% of the profit for the first half of 2024. It will involve a payment of 1,070 million euros in November, equivalent to 14.88 cents per share.
The entity also made public a fifth share buyback program for up to 500 million euros that will begin on November 19 – the bank does not specify the date – and will last six months. From 2022, share buybacks will total 3.8 billion.
News in expansion.
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