Non-performing loans stood "at a minimum" with 2.6% as of June 30

CaixaBank closed the first semester with a profit of 2,137 million euros, 35.8% more than in the same period of 2022, "due to the excellent commercial evolution", it communicated this Friday to the National Securities Market Commission (CNMV). ).

During the first half of the year, the bank's 'core' income grew by 31.3% year-on-year, to 7,110 million euros, and the entity has highlighted the increase in interest income, which was 4,624 million, 55.2% more .

It also registered growth in the result of the insurance service (18.5%) and in the income from bancassurance affiliates (59.2%), which offset the 4.2% drop in commissions.

Specifically, recurring bank commissions show a year-on-year reduction of 7.6%, "impacted, fundamentally, by the suppression of custody commissions for deposits from large companies."

The CEO, Gonzalo Gortázar, explained that the "solid result is a consequence of the good progress of the commercial activity, as well as the prudent management of credit risk".

He highlighted that the return on equity stood "at levels of 10% after a long period of very low returns".

CaixaBank obtained dividend income of 145 million euros, and the attributable results of entities accounted for using the equity method totaled another 145 million, with a year-on-year increase of 30.5%.

The result of financial operations stood at 143 million euros in 2023, compared to 244 the previous year (-41.5%), therefore the gross margin between January and June reached 6,673 million, with an increase of 23, 1% compared to the same period of the previous year.

The "positive" evolution of the entity from January to June allowed it to achieve ROE profitability of 10.2%, while the recurring efficiency ratio --without including extraordinary expenses-- dropped to 45.7%.

DEFAULT "IN MINIMUMS"

CaixaBank has ensured that delinquency was "at a minimum", with 2.6% as of June 30, the best data in the last 15 years.

Doubtful balances fell to 10,317 million after "the good evolution of asset quality indicators and the active management of delinquency", which means 373 million less in the year.

Insolvency funds stood at 7,880 million and the coverage ratio rose to 76%, with a cost of risk in the last 12 months of 0.27%.

RESOURCES AND CREDITS

Customer funds at June 30 stood at 627,824 million, 2.7% more than at the same time in 2022, "thanks to the usual positive seasonality of demand savings at the end of the second quarter and the good evolution in long-term savings products.

Assets under management stood at 156,111 million (5.5%) "due to the favorable evolution of the markets and the positive net subscriptions, which included 111,340 million (6.4%) in investment funds, portfolios and sicav's, and 44,771 million (3.4%) in pension plans.

In the first six months, net subscriptions to investment funds, pension plans and savings insurance reached 5,100 million euros.

CaixaBank also recorded continued growth in protection insurance, with year-on-year increases of 3.4% in new life-risk production and 13.6% in non-life.

Regarding the healthy credit portfolio, CaixaBank closed the first semester at 354,199 million; and the sustained growth in the loan portfolio to companies (2.2%) and the good evolution of consumer credit (1.2%) offset the greater deleveraging in home purchase loans, with a reduction in the portfolio of 2 .6%

Regarding new production, in the first half of the year 21,026 million new loans were granted to companies, 5,172 for consumption and 4,654 for mortgages.

LIQUIDITY AND CAPITAL

The entity's liquid assets were 146,646 million as of June 30, with an increase of 7,636 million, while the Liquidity Coverage Ratio (LCR) was 207% as of June 30.

The drawn balance of the European Central Bank (ECB) policy at the end of the semester was 8,477 million corresponding to TLTRO III, since in the second quarter of this year there was an ordinary amortization for an amount of 7,143 million.

Regarding capital, the CET1 ratio was 12.5% ​​(12.4% without application of the temporary adjustments of IFRS 9), after the extraordinary impact of the first application of the IFRS 17 regulation that subtracted 20 basis points.