Banco Davivienda SA · BVC:PFDAVVNDA
Banco Davivienda SA — Davivienda — Q1 2023 Earnings Presentation
25 slides from Banco Davivienda SA's earnings presentation, May 2023
Slide 1: Consolidated Financial Results - 1Q23
Davivienda Consolidated Financial Results - 1Q23
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: Macroeconomic Fundamentals Colombia
Macroeconomic Fundamentals Colombia Gross Domestic Product (Y/Y) Latam Exchange Rates (Index 100 = Dec 2017) *2021 = 11.0% *2022 = 7.3% *2018 = 2.6% *2019 = 3.2% ** *2020 = -7.3% Source: National Administrative Department of Statistics (DANE) * Annual growth. 2022 figure revised Source: Bloomberg Fin
Slide 4: Macroeconomic Fundamentals Colombia
Macroeconomic Fundamentals Colombia Interest Rates on Loans Right Time to Acquire (4-week moving average) Financial Obligations (%) March. 2023 Source: Colombia Central Bank. *April 14th, 2023 Source: Banco Davivienda *March, 2023 **April, 2023 PDL by Segment (> 30 days) 4 Source: Financial Superint
Slide 5: Macroeconomic Fundamentals CAM
Macroeconomic Fundamentals CAM Gross Domestic Product (Y/Y) Inflation (Y/Y) Source: Central Banks of Central America. *September, 2022.This data are being Source: Central Banks of Central America *January, 2022 **April, 2023 recalculated by Panama's National Institute of Statistics and Census. **Dece
Slide 6: 1Q23 Main Results
1Q23 Main Results Gross Loans and PDL Moderation of portfolio growth, in line with our adjustments in $145.01 Gross Loans origination policies. Q/Q: 0.2% Y/Y: 19.0% Consumer’s payment capacity impacted by macro conditions. However, current PDLs stand slightly above the last 3.67% PDL 5-year-average
Slide 7: 1Q23 Main Results
1Q23 Main Results Net Profit and ROAE Accum. Net 2021: 1.26 2022: 1.62 Profit (Tn COP) A similar Cost to Assets ratio 49.6% Cost to Income compared to 2019 (4Q19: 3.20% Q/Q: 188 bps Y/Y: 227 bps vs. 1Q23: 3.18%). Recovery in quarterly profits despite the challenging Net Profit environment. $ 236.91 Q/Q
Slide 8: Value Creation Initiatives
Value Creation Initiatives Margins Credit Risk Transitioning out of short-term higher-rate Consumer portfolio recomposition (risk liabilities. appetite adjustment). Access to low-cost and stable deposits Better origination through improved digital by increasing our market share in tools (KYC1, risk
Slide 9: Results of Our Sustainable Management
Results of Our Sustainable Management Sustainable Loan Portfolio Climate Strategy Carbon Footprint 25% 11 k Scopes 1 & 21 Carbon Neutral Verified in 2022 Y/Y Ton CO2e 13% Financed carbon emissions: 70% Y/Y 2.89 M Scope 32 of Colombia’s commercial loan Ton CO2e 62% portfolio measured Y/Y 2.9 M Ton CO2
Slide 10: Results of our Digital Transformation
Results of our Digital Transformation CR SV HN PA 91.8% Digital Clients 66.9% Digital Clients Digital Products Portfolio1 Transactions by Channel Transactions by Channel (COP Trillion) (% of monetary transactions) (% of monetary transactions) 3% Y/Y 32% Y/Y 53% Y/Y Digital Sales Consumer Loan Sales2
Slide 11: DaviPlata, a Neobank for Everyone
DaviPlata, a Neobank for Everyone Customer Base Low-Amount Deposits Income (Million) (COP $ Billion) (COP $ Billion) 12% 15% 57% Y/Y Y/Y Y/Y With Products in DaviPlata as Common with Transactional Subsidy Income Funding FTPs1 the Sector Only Product Davivienda Income Transactions2 and Purchases3 Dav
Slide 12: Balance Sheet - Assets
Activo Balance Sheet - Assets By Operation Q/Q Y/Y Assets Q/Q Y/Y Cash 6.6% 11.0% Colombia 3.0% 11.9% Net Investments 11.3% 24.7% COP -1.5% 41.8% Gross Loans 0.2% 19.0% CAM Loan Loss Reserves 2.3% 17.8% USD 2.0% 14.6% Others -3.9% 15.1% Assets 1.6% 18.6% By the end of March the COP appreciated 3.4%
Slide 13: Balance Sheet - Gross Loans
Balance Sheet - Gross Loans Growth by Operation (Y/Y)1 Growth by Segment (Y/Y) Gross Loans Mix Ex. FX Impact* 121.9 130.6 140.2 144.8 145.0 Q/Q Y/Y Q/Q Y/Y Commercial 1.1% 21.9% 2.1% 14.0% Consumer -1.9% 16.6% -1.2% 10.6% Mortgage 1.0% 16.8% 1.6% 12.7% Gross Loans 0.2% 19.0% 1.0% 11.9% By the end of
Slide 14: Balance Sheet - Credit Risk Management
Balance Sheet - Credit Risk Management Total PDL & Coverage 1 PDL by Segment Coverage by Segment2 1. Total >120: (Mortgage > 120 days + Commercial > 90 days + Consumer >90 days) / Gross Loans 2. Coverage: Asset Allowances / Loans > 90 days 14
Slide 15: Balance Sheet - Credit Risk Management
Balance Sheet - Credit Risk Management CoR1 & Provision Expenses 1Q23 $ Q/Q Y/Y Provision Expenses 1,043 -21.2% 49.3% Ex. FX Impact* -21.3% 47.2% Loans by Stages Coverage by Stages Figures in COP Billion. As of 1Q23 the average exchange rate depreciated 11.8% Q/Q and 21.7% Y/Y 1. Cost of Risk = Prov
Slide 16: Balance Sheet - Liabilities
Activo Balance Sheet - Liabilities Y/Y Funding Sources ($) Funding Ratios 21.0% 43.1% -9.5% 82.9% 68.8 72.0 71.0 73.2 -1.2% 65.9 -11.0% 1 Other Demand Deposits High-Cost Demand Deposits (Col) Funding Mix (%) Liquidity Ratios 52.8% 51.6% 48.0% 46.8% 41.7% Other Demand Deposits High-Cost Demand Deposi
Slide 17: Balance Sheet - Capital Structure
Balance Sheet - Capital Structure Capital Adequacy Ratios 1 Equity & RWAs2 Leverage Ratio 1Q23 Q/Q Y/Y Accounting Equity 16.2 -0.6% 16.3% Common Equity Tier 1 14.7 -0.9% 17.0% Additional Tier 1 2.4 -1.8% 24.0% Total Technical Capital 21.5 -1.7% 14.7% RWAs 140.0 4.5% 24.8% Credit Risk 120.0 0.7% 21.9
Slide 18: P&L - Financial Margin
P&L - Financial Margin 1Q23 Gross Financial Margin $ Q/Q Y/Y Loan Income 5,126 10.4% 68.2% Investment and Interbank Income 707 97.3% 1,268.3% Financial Income 5,834 16.7% 88.2% Financial Expenses 3,234 22.6% 214.0% Gross Financial Margin 2,600 10.0% 25.6% Provision Expenses 1,043 -21.2% 49.3% Net Fi
Slide 19: P&L - Non Financial Income & Expenses
P&L - Non Financial Income & Expenses 1Q23 1Q23 $ Q/Q Y/Y $ Q/Q Y/Y Fee Income 448 1.4% 10.8% Personal Expenses 609 10.7% 27.0% Other Net Income & Expenses 94 359.5% 49.2% Operating Expenses and Others 888 -2.7% 22.8% Non Financial Income 541 17.2% 16.0% Total Expenses 1,497 2.3% 24.5% Ex. FX Impact
Slide 20: P&L - Net Profit
P&L - Net Profit 1Q23 $ Q/Q Y/Y Net Profit2 Gross Financial Margin 2,600 10.0% 25.6% Provision Expenses 1,043 -21.2% 49.3% Net Financial Margin 1,557 49.8% 13.5% FX Changes, Derivatives -307 1,325.9% -442.5% Non Financial Income1 541 17.2% 16.0% Operating Expenses 1,497 2.3% 24.5% Income Before Tax 29
Slide 21: Expectations 2023
Expectations 2023 2023 E 1Q23 2023 E (Previous / Feb. 23) (Actual) (May. 23) Growth 8% - 10% Δ Y/Y 19.0% Δ Y/Y 6% - 8% Δ Y/Y Loan Portfolio PDL* 2.9% - 3.3% 3.67% 2.9% - 3.3% NIM 6.0% - 6.3% 6.15% 6.2% - 6.4% Cost of Risk 2.3% - 2.6% 2.61% 2.4% - 2.8% Profitability Non Financial Income 9% - 11% 16.0%
Slide 22: Visit us at ir.davivienda.com
Investor Relations and Capital Management ir@davivienda.com + (57 601) 220 3495 www.davivienda.com Bogotá - Colombia Visit us at ir.davivienda.com
Slide 23: Appendix
Appendix 23
Slide 24: DaviPlata, a Neobank for Everyone
DaviPlata, a Neobank for Everyone Cross-Selling Results Ecards1 DaviPlata / Davivienda (Million) 43% Y/Y 12% Y/Y 32% Y/Y Active Users CAC Customer Satisfaction (30 Days) (12 Months) +100% Y/Y -11pts Y/Y -6 +1.7pts Y/Y pp +0.4pts Y/Y 1.Current cards 24
Slide 25: Loan Portfolio - Relief Programs Evolution
Activo Loan Portfolio - Relief Programs Evolution COL Payment Behavior Up to date: 87.1% Past due 31 - 90 days: 5.6% Past due > 90 days: 7.3% % Portfolio under relief Commercial Consumer Mortgage CAM Payment Behavior Up to date: 90.2% Past due 31 - 90 days: 4.8% Past due > 90 days: 5.0% 25