Banco Davivienda SA · BVC:PFDAVVNDA
Banco Davivienda SA — Q2 2021 Earnings Presentation
29 slides from Banco Davivienda SA's earnings presentation, August 2021
Slide 1: Davivienda Corporate Presentation - 2Q21
Davivienda Corporate Presentation - 2Q21
Slide 2: Disclaimer
The information hereby presented is exclusively for informative and illustrative purposes and it is not, nor does it pretend to be, a source for legal or financial assessment of any kind. Certain statements in this presentation are “forward-looking” statements within the meaning of the U.S. Private S
Slide 3: Content
Content Page Page 1 About Davivienda 4 7 Digital Transformation and DaviPlata 13 2 Grupo Bolívar 5 8 Wealth Management 17 3 Ownership Structure 6 9 PDL, Coverage and Cost of Risk 18 4 Results of Our Sustainable Management 8 10 Capital Structure 20 5 History 9 11 Key Ratios 21 6 Loan Portfolio and Fu
Slide 4: Banco Davivienda at a glance
Banco Davivienda at a glance Main Financials Loans: $ 12.6 Loans: $ 10.8 USD Billion Y/Y Customers: 7.3M Customers: 360k 3 Assets $ 37.4 -1.5% 2 Gross Loans $ 29.6 1.3% Deposits $ 23.9 1.4% Equity $ 3.6 4.5% Net Profit1 147.2 M 54.1% Loans: $ 6.2 Customers: 1.2M Customers: +12.7M Main Ratios AUM: $
Slide 5: Our main shareholder: Grupo Bolívar
Our main shareholder: Grupo Bolívar Among the most important conglomerates in Colombia. with over 80 years of experience. Consolidated Figures USA (Miami) Assets USD 40 Billion Honduras Equity USD 4.4 Billion El Salvador Customers +18 million Colombia Costa Rica Employees +24 thousand Countries 6 Pa
Slide 6: Ownership Structure as of Jun. 2021
Ownership Structure as of Jun. 2021 COMMON SHARES TOTAL SHARES 76.1%² 100%¹ PREFERRED SHARES 23.9%³ 1. Total Outstanding Shares: 451,670,413. 2. Ordinary Shares account for 76.1% of Total Shares (343,676,929). 3. Preferred Shares account for 23.9% of Total Shares (107,993,484). 4. Figures as of June
Slide 7: Results of Our Sustainable Management
Results of Our Sustainable Management Environmental Social Green Financing Social Financing USD Million USD Million - Construction - Social Housing - Renewable energy - Social Housing for - Sustainable infrastructure Women - Energy efficiency - Women SMEs Carbon footprint: -18% Y/Y Coalition for econo
Slide 8: Milestones of Sustainable Growth
Milestones of Sustainable Growth Proven Track Record of Organic and Inorganic Growth The Corporation The Local Bank A Regional Banking Platform Creating Ecosystems 2021 2021 13.7% 2020 2019 2021 2015 16.0% 11.8% Market Share 1994 2016 2013 by Assets(2) 3.8% 2018 Assets 15.0% $37.4bn (1) 2012 Market
Slide 9: A Diversified Loan Portfolio
A Diversified Loan Portfolio¹ USD Billion 2004 Jun. 2021 Y/Y Commercial -3.3% $1.3 $29.6 Consumer 0.9% Mortgage 11.9% Total 1.3% Y/Y Colombia COP 1.9% $1.3 $29.6 International USD 4.0% Colombia USD -11.3% 1. Consolidated Gross Loans Figures in USD Billion Exchange rate as of june 2021: COP/USD: 3,749
Slide 10: A portfolio focused on strategic segments and products
A portfolio focused on strategic segments and products USD Billion 2% Mortgage Loans Consumer Loans $7.4 $8.2 Commercial Loans $14.0 Figures in USD Billion. Exchange rate as of June 2021: COP/USD: 3,749. 10
Slide 11: Stable and diversified funding sources
Stable and diversified funding sources USD Billion $31.6 Loans / Deposits 123.8% 125.2% 130.7% 128.9% 122.3% 123.9% Loans / Funding Sources 94.2% 92.9% 97.2% 95.9% 93.4% 93.7% International Issuances Portfolio Securitization4 Amount Yield to Coupon Maturity Price¹ Issued Maturity Senior Notes (Global
Slide 12: Digital Transformation of our Business
Digital Transformation of our Business Digital Customers1 86% 88% 89% 78% 47% 37% CONS COL CR PN SV HN Credits Employees and retirees Mortgage Consumer Loans Vehicle Guaranteed Consumer Loans Payroll Insurances Payment Methods LE FR AB I EN LI DL RE Vehicle* Credit card Y Technology eCard Life QR Co
Slide 13: Digital Transformation Evolution
Digital Transformation Evolution Product Sales Digital Banking (Thousands of products) Y/Y 35% Digital Deposits Digital Loans (Million) (Million) 47% 14% 1.3x 1.4x Y/Y Y/Y 56% 46% 115% 53% 50% Y/Y 44% 62% Y/Y 54% Traditional Channels Digital Channels Digital Investments Transactional Mix (Thousand)
Slide 14: DaviPlata, Our Digital Native Bank
DaviPlata, Our Digital Native Bank Transfer money¹ Pay bills Daviplata Customers Mobile Top-up airtime Receive remittances Products Withdraw money Insurances 12.2 12.7 +500K Platform 3.0 Q/Q 2.7 Shops: QR Payment Payment E-commerce: DaviPlata With products in the sector Method 4.5 4.4 + 1.5M e-cards
Slide 15: DaviPlata, New Functionalities
DaviPlata, New Functionalities Social Seller Profile +9.5 M customers Marketplace in the App Manage a business profile with no fees Connect businesses Manage the business’s with Daviplata finances customers’ day-to-day Organize products in catalogs and share them on social networks New sales channel fo
Slide 16: Wealth Management
Wealth Management USD Billion AUM Evolution Y/Y $17.9 $18.0 14.7% Investment Funds Securities brokerage, investment funds, $15.6 Funds and portfolios Voluntary Pension Funds research and investment banking 17.8% services Assets under custody 10.2% Trust Funds 15.3% International Investments Jun. 202
Slide 17: Credit Risk Management
Credit Risk Management PDL, CoR, Loans by Stages (%) Loans by Stages PDL1 > 90 days Portfolio 2Q20 1Q21 2Q21 Commercial 3.76% 3.68% 3.91% Consumer 0.75% 3.63% 2.90% Mortgage 4.07% 4.91% 4.96% Total 3.00% 3.98% 3.90% Mortgage2 (120) 3.81% 4.06% 4.17% 2Q20 1Q21 2Q21 Total3 (120) 2.94% 3.76% 3.70% Stag
Slide 18: Credit Risk Management
Credit Risk Management Coverage (%) Coverage1 Loan Loss Reserves / Gross Loans2 Portfolio 2Q20 1Q21 2Q21 Portfolio 2Q20 1Q21 2Q21 Commercial 128.2% 154.1% 143.5% CommercIal 4.8% 5.7% 5.6% Consumer 821.3% 237.3% 234.7% Consumer 6.2% 8.6% 6.8% Mortgage 55.6% 38.1% 47.5% Mortgage 2.3% 1.9% 2.4% Total 1
Slide 19: Capital Structure
Capital Structure Capital Adequacy Ratios Equity USD Billion Distance vs Minimum requirements 714 bps 11.50% 3.00% 1.50% 1.50% 1.00% CET1 4.50% 7% New minimum Mar.21 Jun.21 Jun.21 Mar.21 Jun.21 BIII requirements + Buffers1 Common Equity Tier 1 (CET1) Tier 2 Additional Tier 1 (AT1) Y/Y: 4.5% Q/Q: 3.8
Slide 20: Key Ratios
Key Ratios ROAA & ROAE NIM NIM (Including FX and Derivatives) Fee Ratio Cost-to-income ROAE = Net Profit (12 months) / Average Equity (5 periods) Fee ratio = Fees / (Interest Income + Fees) ROAA = Net Profit (12 months) / Average Assets (5 periods) Cost-to-income = Operating Expenses / (gross financ
Slide 21: A leading banking institution in Colombia
A leading banking institution in Colombia Customers¹ +17.3 Million Branches 525 ATMs 2.2 Thousand Banking correspondents +15 Thousand Employees 12.3 Thousand USD Billion June 2021 Y/Y Ranking Market Share Assets 28.5 -2.1% 3 13.7% Gross Loans 23.0 -0.3% 2 16.0% Commercial 10.3 -5.0% 3 13.6% Consumer
Slide 22: Our operations in Central America
Our operations in Central America Honduras Total Central America¹ USD Million Jun. 21 Y/Y El Salvador Assets 9,457 -1.5% Customers +1.2million Costa Rica Gross Loans 6,198 4.0% Branches 140 Commercial 3,173 0.8% ATMs 520 Panamá Consumer 1,633 9.3% Mortgage 1,392 5.8% Employees +4.1 thousand Deposits
Slide 23: Board of Directors and Corporate Governance Committees
Board of Directors and Corporate Governance Committees Audit Committee BoD Members Supports BoD in supervising effectiveness of internal controls Composed of three directors, two are independents members of the BoD Reviews financial audited statements prior submission to the BoD Corporate Governance
Slide 24: Experienced Management Team
Experienced Management Team Efraín Forero. Chief Executive Officer ● CEO since 1990 ● Holds a Bachelor degree in Industrial Engineering from Universidad Javeriana and an M.S. from University of Michigan ● Has over 31 years of experience in the financial sector Ricardo León. Álvaro Carrillo. Executiv
Slide 25: Macroeconomic Fundamentals Colombia
Macroeconomic Fundamentals Colombia Appendix 1 Economic Activity Index (Y/Y) Davivienda’s PMI1 Source: National Administrative Department of Statistics (DANE) Source: Banco Davivienda. 1. PMI: Purchasing Managers' Index | IHS Markit Exchange Rate and Oil Prices Monetary Policy Rate and Inflation Sour
Slide 26: Macroeconomic Fundamentals Central America
Macroeconomic Fundamentals Central America Appendix 1 Gross Domestic Product (Y/Y) Inflation (Y/Y) Exchange Rate Monetary Policy Rate Source: Central Banks from Central America.
Slide 27: Consolidated Balance Sheet
Consolidated Balance Sheet Appendix 2 USD Million June 2020 March 2021 June 2021 $ Q/Q Q/Q $ Y/Y Y/Y ASSETS Cash and interbank funds 3,645 2,682 3,003 321 12.0% -642 -17.6% Investments 4,299 4,369 4,290 -80 -1.8% -9 -0.2% Loans 27,874 27,255 28,088 833 3.1% 214 0.8% Commercial 14,446 13,490 13,965 4
Slide 28: Consolidated P&L
Consolidated P&L Appendix 2 2Q20 1Q21 2Q21 $ Q/Q Q/Q $ Y/Y Y/Y June 2020 June 2021 $ Y/Y Y/Y Total income 841 672 744 72 10.7% -96 -11.5% 1,618 1,417 -201 -12.4% Loans 750 675 697 22 3.3% -53 -7.1% 1,494 1,372 -122 -8.1% Commercial 290 230 237 6 2.7% -53 -18.4% 563 467 -96 -17.1% Consumer 285 248 26
Slide 29: Visit us at ir.davivienda.com
Investor Relations and Capital Management ir@davivienda.com + (57 1) 220 3495 ir.davivienda.com Bogotá - Colombia Visit us at ir.davivienda.com