Grupo Aval Acciones Y Valores Sa · BVC:GRUPOAVAL
Grupo Aval Acciones Y Valores Sa — Q2 2020 Earnings Presentation
21 slides from Grupo Aval Acciones Y Valores Sa's earnings presentation, Sep 1, 2020
Slide 1: Slide 1
Slide 2: Definitions of key ratios
Gross loans excludes interbank and overnight funds. PDLs 90+ defined as loans more than 90 days past due. Net Interest Margin includes net interest income plus net trading income from debt and equity investments at FVTPL divided by total average interest-earning assets. Fee income ratio is calculate
Slide 3: Debt service coverage and leverage ratios
Debt service coverage and leverage ratios 2Q19 1Q20 2Q20 D 2Q20 vs. 1Q20 2Q20 vs. 2Q19 As of June 30th, 2020 our combined double leverage (calculated as investments in subsidiaries at book value, subordinated loans to subsidiaries and goodwill as a percentage of shareholders' equity) was 1.20x. Fina
Slide 4: IFRS 2Q20 Consolidated Earnings Results
1 IFRS 2Q20 Consolidated Earnings Results
Slide 5: Disclaimer
2 Disclaimer Grupo Aval Acciones y Valores S . A . (“Grupo Aval”) is an issuer of securities in Colombia and in the United States .. 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 inspection
Slide 6: 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. Net Interest Margin includes net interest income plus net trading income from debt and equity investments at FVTPL divided by total average interest -
Slide 7: Key results per region for the quarter
4 Key results per region for the quarter 64.2% of Assets 35.8% of Assets ( 1 ) Central America refers to Leasing Bogotá Panamá (LBP) operation expressed in Colombian Pesos, at the exchange rate of each period . ( 2 ) Attributable net income for Grupo Aval of Ps 323 . 4 bn for 2 Q 20 corresponds to t
Slide 8: Macroeconomic context - Colombia
5 Source: Banco de la República de Colombia and DANE. Source: DANE. Seasonally adjusted , constant prices of 2015 GDP Macroeconomic context - Colombia ( 1 | 2 ) Oil Exports/Total Exports 2014: 52.8% 2015: 40.4% 2016: 34.0% 2017: 35.0% 2018: 40.2% Source : Banco de la República de Colombia . (4.0%) (
Slide 9: Macroeconomic context - Colombia
6 Macroeconomic context – Colombia ( 2 | 2 ) Source: Banco de la República de Colombia. Urban unemployment defined as unemployment of 13 cities and their metropolitan areas. * Last twelve months average from July 2019 to June 2020. 12.9% 13.0% Jan - 20 13.7% 12.8% Jan - 19 Source: Ministry of Financ
Slide 10: Macroeconomic context - Central America
7 Macroeconomic context – Central America Panamá Nicaragua Costa Rica Honduras Guatemala El Salvador Central America ( 1) Source: IMF (WEO April 2020); (1) Aggregate growth of all the Central American countries. Source: SECMCA. CR: Costa Rica, ES: El Salvador, GU: Guatemala, HO: Honduras, NI: Nicara
Slide 11: Total assets and assets breakdown
8 62.9% 10.2% 2.0% 24.9% 2Q19 61.1% 11.3% 2.0% 25.7% 2Q20 Colombian operations , 70.5% Foreign (2) , 29.5% Colombian operations , 67.3% Foreign (2) , 32.7% Colombian operations , 64.2% Foreign (2) , 35.8% 60.9% 10.2% 1.9% 27.1% 1Q20 Net loans and leases Fixed income investments Unconsolidated equity
Slide 12: Gross loans and loans breakdown
9 170.7 200.7 209.3 2Q19 1Q20 2Q20 2Q20 / 2Q19 = 22.6% 2Q20 / 1Q20 = 4.3% 2Q20 / 2Q19 = 16.6% 2Q20 / 1Q20 = 7.0% Growth excl. FX movement of Central American Operations 55.4% 55.7% 56.7% 33.2% 32.5% 31.1% 11.2% 11.6% 12.0% 0.2% 0.2% 0.2% Commercial Consumer Mortgages Microcredit 25.6% 14.8% 32.0% -
Slide 13: Loan portfolio quality
10 2.46% 2.32% 3.20% 2.23% 2.15% 3.10% 2Q19 1Q20 2Q20 Impairment loss / Average loans Impairment loss, net / Average loans Loan portfolio quality Charge offs / Average 90+ PDLs Cost of Risk 4.52% 4.16% 4.05% 3.22% 3.14% 3.00% 2Q19 1Q20 2Q20 30 days PDLs / Total loans 90 days PDLs / Total loans 0.72x
Slide 14: Loan portfolio quality by type
11 Loan portfolio quality 2Q19 1Q20 2Q20 2Q19 1Q20 2Q20 Commercial 4.20% 4.11% 4.08% 3.62% 3.45% 3.60% Consumer 4.94% 4.11% 3.80% 2.69% 2.60% 1.96% Mortgages 4.60% 4.37% 4.44% 2.61% 2.98% 2.71% Microcredit 16.93% 15.15% 13.34% 12.42% 14.37% 12.14% Total loans 4.52% 4.16% 4.05% 3.22% 3.14% 3.00% 30 d
Slide 15: Funding
12 1.00x 1.04x 1.04x 2Q19 1Q20 2Q20 Deposits / Net loans (%) 18.0% 19.8% 18.9% 2Q19 1Q20 2Q20 Cash / Deposits (%) Funding Figures in Ps. Trillions Total deposits Total funding Cash / Deposits (%) Deposits / Net loans (%) * (1) (1) Includes Ps. 16.3 trillion of funding of Multi Financial Group. Growt
Slide 16: Capital
13 Capital Attributable Shareholders Equity Attributable Equity + Minority Interest Figures in Ps. Trillions Consolidated Capital Adequacy of our Banks (%) 2Q19 1Q20 2Q20 Minority interest 12.3 13.6 14.2 Attributable equity 18.3 19.5 19.9 2Q20 / 2Q19 = 11.6% 2Q20 / 1Q20 = 3.4% 30.6 33.0 34.2 18.3 19
Slide 17: NIM - Net Interest Margin
14 NIM – Net Interest Margin Net Interest Margin (1) Loans Interest Margin (2) Net Investments Margin (3) 2Q19 1Q20 2Q20 2Q20 / 2Q19 2Q20 / 1Q20 3.0 2.7 3.3 9.6% 20.2% Net interest income(1) (trillions) (1) Net Interest Income and Net Interest Margin: Includes net interest income plus net trading in
Slide 18: Fees and other operating income
15 Fees and other operating income Figures in Ps. Billions (1) Includes income from trading and hedging derivatives reflected as part of the net trading income on the Statement of Profit or L oss. (2) Includes share of profit of equity accounted investees, net of tax, and dividend income. Gross fee
Slide 19: Efficiency ratios
16 Efficiency ratios Cost to income efficiency ratio is calculated as total other expenses divided by net interest income plus net income from commissions and fees, net income from sales of goods and services, net trading income, net income from other financial instruments mandatory at FVTPL and tot
Slide 20: Profitability
17 813.2 700.2 323.4 2Q19 1Q20 2Q20 Net income attributable to controlling interest $36.5 $31.4 $14.5 EPS $29.0 Profitability (1) ROAA for each quarter is calculated as annualized Net Income divided by average of total assets. (2) ROAE for each quarter is calculated as annualized Net Income attribut
Slide 21: Signature
18 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: August 31, 2020 GRUPO AVAL ACCIONES Y VALORES S.A. By: /s/ Jorge Adrián Rincón Plata Name: Jorg
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