Grupo Aval Acciones Y Valores Sa · BVC:GRUPOAVAL
Grupo Aval Acciones Y Valores Sa — Q3 2022 Earnings Presentation
18 slides from Grupo Aval Acciones Y Valores Sa's earnings presentation, Nov 18, 2022
Slide 1: Report of 3Q2022 consolidated results
Grupo a hi ad Report of 3Q2022 consolidated results Information reported in Ps billions and under IFRS (1) We refer to billions as thousands of millions.
Slide 2: Debt service coverage and leverage ratios
Debt service coverage and leverage ratios 3Q21 2Q22 3Q22 As of September 30 th , 2022 our combined double leverage (calculated as investments in subsidiaries at book value, subordinated loans to subsidiaries, AT1 investments, and goodwill as a percentage of shareholders' equity) was 1.26x. Finally,
Slide 3: 3Q22 Consolidated Earnings Results IFRS
1 3Q22 Consolidated Earnings Results IFRS
Slide 4: Disclaimer
2 Disclaimer Grupo Aval Acciones y Valores S . A . (“Grupo Aval”) is an issuer of securities in Colombia and in the United States (“SEC”) . As such, it is subject to compliance with securities regulation in Colombia and applicable U . S . securities regulation . Grupo Aval is also subject to the ins
Slide 5: Consolidated key results for the quarter
3 Consolidated key results for the quarter Gross loans e xcludes interbank and overnight funds . PDLs 90 + defined as loans more than 90 days past due . Cost of Risk c alculated as Impairment loss on loans and other accounts receivable net of recoveries of charged - off assets divided by average gro
Slide 6: Macroeconomic context - Colombia (1 | 2)
4 5.62% 0% 2% 4% 6% 8% 10% 12% 14% Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 12-Month inflation Lower target range Upper target range 12.22% Oct - 22: Dec - 21: (2.7%) (5.6%) (9%) (7%) (5%) (3%) (1%) 1% Trade balance Current Account Deficit Source: Banco de la República de Colombia and DANE. Source: DANE.
Slide 7: Macroeconomic context - Colombia (2 | 2)
5 - 5.6 - 3.6 - 2.0 - 2.3 - 3.3 - 3.2 - 3.2 - 4.0 - 3.6 - 3.1 - 2.5 - 7.8 - 7.1 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Real fiscal deficit Projected fiscal deficit (Jun - 2022) 9.3% 9.5% 10.4% 15.9% 13.8% 10.6% 10.8% 11.2% 18.4% 15.2% 2017 2018 2019 2020 2021 LTM average na
Slide 8: Assets
6 Assets Assets breakdown (%) Total assets (1) Pro - forma Total assets, net loans and leases, fixed income investments, unconsolidated equity investments and other assets for 3 Q21 are calculated based on the reported consolidated figures excluding BHI’s contribution to these numbers. (2) Net loans
Slide 9: Gross loans and their breakdown
7 (1) Pro - forma Gross Loans and their breakdown for 3Q21 are calculated based on the reported consolidated figures excluding BHI’s con tribution to these numbers. 150.3 166.6 175.1 Pro forma 3Q21 2Q22 3Q22 Y/Y% = 16.5% Q/Q% = 5.1% Loans and receivables Gross loans Gross loans breakdown Figures in
Slide 10: Loan portfolio quality
8 Loan portfolio quality Charge offs / Average 90+ PDLs Cost of Risk Quality Coverage Pro forma 3Q21 2Q22 3Q22 4.97% 4.38% 4.33% 3.80% 3.33% 3.23% 30 days PDLs / Gross loans 90 days PDLs / Gross loans 1.63% 1.77% 1.76% 1.30% 1.40% 1.36% Impairment loss / Average gross loans Impairment loss, net / Av
Slide 11: Loan portfolio quality: days past due formation
9 Loan portfolio quality 30 days past due formation (1) 90 days past due formation (2) Loans and coverage by Stages (%) Pro - forma PDLs, charge - offs, gross loans, allowances and breakdown by stages and type for 3Q21 are calculated based on the repor ted consolidated figures excluding BHI’s contri
Slide 12: Funding and deposits
10 145.6 160.0 166.5 Pro forma 3Q21 2Q22 3Q22 Y/Y% = 14.4% Q/Q% = 4.1% = 1.01x 1.00x 0.99x Funding breakdown (%) Pro forma 3Q21 2Q22 3Q22 Deposits 69.7% 70.0% 70.3% Banks and others 9.0% 11.4% 12.6% Bonds issued 14.2% 14.0% 12.3% Interbank borrowings 7.0% 4.6% 4.8% Funding (1) Pro - forma Total fund
Slide 13: Capital adequacy and equity
11 3Q21 2Q22 3Q22 3Q21 2Q22 3Q22 3Q21 2Q22 3Q22 3Q21 2Q22 3Q22 Core Equity Tier 1 9.9 10.0 10.1 9.3 10.3 9.9 11.8 12.1 11.6 12.7 10.6 10.6 AT1 1.3 - - - - - - - - - - - Primary capital (Tier 1) 11.1 10.0 10.1 9.3 10.3 9.9 11.8 12.1 11.6 12.7 10.6 10.6 Solvency Ratio 13.5 12.8 13.1 11.7 11.2 11.5 13.
Slide 14: NIM – Net Interest Margin
12 NIM – Net Interest Margin Net Interest Margin (2) Loans Interest Margin (3) Net Investments Margin (4) Net Interest Income (2) (Trillions) Pro - forma Net Interest for 3Q21 is calculated based on the reported consolidated figures excluding BHI’s contribution to these numbers. (1) Pro - forma rati
Slide 15: Fees, other operating income and discontinued operations
13 Fees, other operating income and discontinued operations Gross fee income Other operating income Non - financial sector (*) (*) Net income from sales of goods and services (**) Reflects net NFS from Nexa BPO, Megalinea and Aportes en L ínea call - centers and other subsidiaries (**) (1) Pro - for
Slide 16: Efficiency ratios
14 2.7% 2.6% 2.7% Pro forma 3Q21 2Q22 3Q22 Efficiency ratios Cost to income (1) Cost to assets (2) Pro - forma total other expenses, net interest income, net income from commissions and fees, net income from sales of goods and services, net trading income, net income from other financial instruments
Slide 17: Profitability as reported
15 779.7 675.5 408.1 507.5 272.3 Pro forma 3Q21 2Q22 3Q22 Discontinued operations Continued operations $17.2 $29.7 $35.0 Profitability as reported Figures in Ps. Billions Net income attributable to controlling interest ROAA reported (2) ROAE reported (3) (1) The outstanding shares at the end of June
Slide 18: Signature
16 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. Date: November 17, 2022 GRUPO AVAL ACCIONES Y VALORES S.A. By: /s/ Jorge Adrián Rincón Plata Name: Jo
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