year-on-year comparisons (up 5.0% and 7.9%,
respectively).
BBVA Colombia earned an attributable profit of €71m.
This was 22.2% more than in the same period of 2008.
Revenues performed well, both from net interest income
(up 16.8%) and fee income (up 11.6%), despite the fact
that here too, growth in lending has slowed down. It also
encouraged austerity in costs, which grew just 4.3%.
Operating income thus stood at €179m (up 27.4%).
In Peru, the improvement in the earnings of BBVA Banco
Continental continue to be based on very positive
performance of its net interest income. This has grown
35.7%, fuelled by a rise in the growth of business volumes
that was more moderate than in previous periods, but still
significant (up 14.4% in lending and up 10.1% in
customer funds). Other revenues also did well, with
moderation in costs, which boosted the year-on-year
growth in operating income to 42.2%. This brought the
half-year attributable profit up to €61m, 43.3% higher
than in the same period of 2008.
BBVA Banco Provincial in Venezuela recorded an
attributable profit of €134m, 24.0% above the figure from
the first half of 2008. The performance in net interest
income was exceptional, influenced by excellent
management of spreads, despite legal constraints on
lending and borrowing rates (in force since mid 2008) and
the growth in business volumes (up 12.2% in lending and
44.8% in customer funds). Expenses rose just 16.3%
against a backdrop of high inflation. The half-year
operating income reached €315m. This was 3.3% higher
than in the same period of 2008.
South America. Data per country (banking business, pensions and insurance)
(Million euros)
Country
Argentina
Chile
Colombia
Peru
Venezuela
Other countries (1)
TOTAL
1H09
Operating income
Δ% Δ% at constant
exchange rate 1H08
(1) Panama, Paraguay, Uruguay, Bolivia and Ecuador. Additionally, it includes eliminations and other charges.
Amongst the rest of the banks, the half-year earnings were
€15m in BBVA Panama (down 14.3%); €14m in BBVA
Paraguay (up 36.4%) and €3m in BBVA Uruguay (down
6.2%).
Pensions and Insurance
The pensions and insurance businesses in South America
contributed a combined attributable profit of €67m over the
first half of the year. This was 94.7% more than in the same
period of the previous year. Of this figure, €47m came from
the pension business and €20m from the insurance business.
The six months of good sales in all the companies was
accompanied by strict control of costs, while the financial
markets performed much more positively than in 2008.
AFP Provida generated an attributable profits of €31m in
Chile. This was up 162.6%, influenced by intense sales
activity and favourable market performance. More than
9.5% more funding was gathered than in the first six
months of 2008. All this led to significant progress in
revenues. These rose 62.7%. As cost growth was moderate
(up 6.0%), this boosted operating income, which stood at
€62m, up 144.5% on the previous year.
In Argentina, the Consolidar Group contributed an
attributable profit of €14m, thanks to the excellent
performance of the companies’ sales force.
Amongst the rest of the companies, AFP Horizonte in Peru
and AFP Horizonte in Colombia each reported a healthy
attributable profit of €8m. This was significantly more
than in the first half of 2008.
155 24.7 26.5 125 86 (1.8) (0.4) 88
182 73.5 89.6 105 68 52.1 66.3 45
199 24.6 37.4 160 82 32.5 46.0 62
241 53.0 45.1 157 68 57.6 49.4 43
331 20.9 5.3 274 140 44.4 25.7 97
23 39.2 21.6 17 19 16.7 2.2 16
1,132 35.2 31.1 837 463 32.1 29.0 351
1H09
Net attributable profit
2Q09 BUSINESS AREAS
South America
Δ% Δ% at constant
exchange rate 1H08
47
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