Banco Davivienda SA · BVC:PFDAVVNDA
Banco Davivienda SA — Davivienda — Q1 2024 Earnings Presentation
32 slides from Banco Davivienda SA's earnings presentation, May 2024
Slide 1: Davivienda Corporate Presentation 1Q24
Davivienda Corporate Presentation 1Q24
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 Credit Risk Management 18 4 Sustainable Management 7 10 Capital Structure 20 5 History 9 11 Key Ratios 21 6 Loan Portfolio and Funding Sources 10 12 Col
Slide 4: Banco Davivienda at a Glance
Banco Davivienda at a Glance Loans: $15.5 Bn Loans: $12.0 Bn Main Figures Customers: 9.5 M Customers: 417 k USD Billion Y/Y 2 Assets $ 45.8 -5.8% 2 Gross Loans $ 35.3 -6.5% Deposits $ 32.1 0.6% Equity $ 4.0 -5.6% Net Profit1 -$ 73.5 -221.4% Deposits: $217.6 M Loans: $7.8 Bn Customers: 17.7 M Customer
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 52.8 billion Equity USD 5.0 billion Honduras Customers 23.7 million El Salvador Employees 26.3 k Costa Rica Colombia Countries 6 Panama
Slide 6: Ownership Structure
Ownership Structure Inversiones Meggido Other 1.7% 11.6% Inversiones Other companies Cusezar 3.2% 11.9% Common shares 371,069,401 Foreign Retail 76.1% 74.7% investors 1.3% 5.1% Inversiones Meggido Inversiones Meggido 9.2% Retail 1.3% Inversiones Other 5.1% Inversiones Cusezar Total shares companies
Slide 7: Our Sustainable Management
Our Sustainable Management THE WORLD IS THRIVING INCLUSIVE GREEN OUR HOME LET’S MAKE IT MORE Material Issues ● Finance and Sustainable Funding ● Inclusion and Financial Education ● Climate Change ● Responsible Investment ● Equality, Diversity, and Inclusion ● Eco-efficiency ● Corporate Governance ● Co
Slide 8: Results of Our Sustainable Management
Results of Our Sustainable Management Davivienda’s strategy is framed by policies that guide our actions Sustainable Loan Portfolio with principles of transparency and ethics. We updated our Human Rights Policy and our Tax Policy to reflect our commitment and include best practices 19% Y/Y 23% We exp
Slide 9: 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 Nov. 2023 Holding Internacional Mar. 2024 2024 US$187M 13.6% 2021 share issuance CF4 2024 2015 15.1% 2020 11.8% Market Share by 1994 201
Slide 10: A Diversified Loan Portfolio
A Diversified Loan Portfolio¹ USD Billion 2004 1Q24 Y/Y Commercial -5.9% Consumer -17.5% $1.3 $35.3 Mortgage 5.6% Total -6.5% Y/Y Colombia COP -3.7% $1.3 $35.3 International USD 2 6.2% Colombia USD -19.0% 1. Consolidated Gross Loans 2. Growth in USD Figures in USD Billion Exchange Rate as of March 20
Slide 11: A Portfolio Focused on Strategic Segments and Products
A Portfolio Focused on Strategic Segments and Products USD Billion 2% Mortgage Loans Consumer Loans 2% Unsecured Personal Loans Leasing Payroll Low Income Housing $10.0 $9.3 Credit Cards Vehicle Residential Revolving Loans Commercial Loans1 $15.9 Figures in USD Billion. 1. Energy and hydrocarbons: m
Slide 12: Stable and Diversified Funding Sources
Stable and Diversified Funding Sources USD Billion Demand deposits Term deposits $39.3 Credits Bonds Loans to Deposits 130.7% 128.9% 122.3% 120.2% 120.8% 110.2% 109.8% Loans to Funding Sources 97.2% 95.9% 93.4% 91.4% 92.6% 89.1% 89.7% International Issuances Portfolio Securitization2 (USD Million) Is
Slide 13: Results of our Digital Transformation
Results of our Digital Transformation Digital Products Portfolio2 Transactions by Channel Digital Sales (% of products) (USD Billion) (% of monetary transactions) 1 Digital Clients 92.6% -22% Y/Y 36% Y/Y 65% Y/Y Transactions by Channel Digital Sales (% of products) (% of monetary transactions) We ar
Slide 14: DaviPlata, a Neobank for Everyone
DaviPlata, a Neobank for Everyone Entrepreneurships, Informal Wallet Payment method Financial Offering Businesses, and P2P Ecard Loans - Popular Economy Micro Businesses Payment of utilities PSE Savings Mobile top-up QR Insurance Your option to solve Remittances your financial needs. Youth, Migrants,
Slide 15: DaviPlata, a Neobank for Everyone
DaviPlata, a Neobank for Everyone Customer Base Low-Amount Deposits Income (USD Million) (Million) (USD Million) 7% -5% 10% Y/Y Y/Y Y/Y 10% Y/Y With Products DaviPlata as Common with Monthly Transactional Subsidy Funding Deposits in the Sector Only Product Davivienda Average Income Income FTPs1 Davi
Slide 16: DaviPlata, a Neobank for Everyone
DaviPlata, a Neobank for Everyone Cross-Selling Results Ecards1 DaviPlata / Davivienda (Million) 8% Y/Y -27% -18% Y/Y Y/Y Active Users CAC Customer Satisfaction (30 Days) (12 Months) 3.4pts Y/Y -41% -4 pp Y/Y Y/Y 1.1pts -29% Y/Y Y/Y 2 1.Current cards 2. CAC in USD estimated with the average exchange
Slide 17: Wealth Management
Wealth Management USD Billion AUM Evolution Y/Y USD $9.4 Billion in AUM Trust Business 390 thousand customers -10.6% -20.4% USD $8.2 Billion in AUM -29.6% Brokerage Business 109 thousand customers 6.1% Funds and Portfolios Assets Under Custody Trust Funds Investment Funds & Securities Brokerage & Vo
Slide 18: Credit Risk Management
Credit Risk Management Total PDL & Coverage1 Coverage + Collaterals3 2 3 PDL by Segment Coverage by Segment1 1. Coverage: Loan Loss Reserves / Loans > 90 days 2. Total >120: (Mortgage > 120 days + Commercial > 90 days + Consumer > 90 days) / Gross Loans 3. Coverage + Collaterals = (Loan Loss Reserve
Slide 19: Credit Risk Management
Credit Risk Management CoR1 & Provision Expenses 1Q24 $ Q/Q Y/Y Provision Expenses 447 1.8% 67.9% Loans by Stages Coverage by Stages Figures in USD Million. The average rate COP/USD appreciated 9.4% Q/Q and 17.7% Y/Y 1. Cost of Risk = Provision Expenses / Gross Loans 19
Slide 20: Capital Structure
Capital Structure Capital Adequacy Ratios 1 Equity & RWAs2 Leverage Ratio 1Q24 Q/Q Y/Y Accounting Equity 4.0 3.6% -5.6% Common Equity Tier 1 3.5 2.6% -8.5% Additional Tier 1 0.5 2.2% -17.3% Total Technical Capital 4.9 1.7% -11.9% RWAs 33.6 1.1% -7.7% Credit Risk 28.1 -1.4% -9.9% Market Risk 0.9 2.8%
Slide 21: Key Financial Ratios
Key Financial Ratios NIM & Cost of Risk Other Income Ratios Non Financial Income Ratio 12 M Fee Income Ratio 12 M Efficiency Ratios ROAA & ROAE Cost-to-Income 12 M Excluding Non-Recurring Income Excluding Goodwill Impairment Cost-to-Assets NIM = Net Interest Income (12 months) / Average Earning Assets
Slide 22: A Leading Banking Institution in Colombia
A Leading Banking Institution in Colombia Customers¹ +22.2M Branches 529 ATMs 2.3k Banking Correspondents 31k Employees 13.3k Market March 2024 Y/Y Ranking USD Billion Share Assets $ 35.5 -3.1% 2 13.6% Gross Loans $ 26.5 -5.0% 2 15.1%² Commercial $ 11.4 -2.4% 3 12.1% Consumer $ 6.9 -21.0% 3 13.4% Mo
Slide 23: Our Operations in Central America
Our Operations in Central America Honduras Total Central America¹ USD Million Mar. 24 Y/Y Assets 11,543 4.1% El Salvador Gross Loans 7,799 6.2% Customers +1.7M Costa Rica Commercial 3,942 1.5% Branches 141 Consumer 2,295 14.5% ATMs 553 Panama Mortgage 1,563 7.2% Employees +4.3 K Deposits 7,896 7.9%
Slide 24: Board of Directors and Corporate Governance Committees
Board of Directors and Corporate Governance Committees BoD Members2 Audit Committee 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 Governa
Slide 25: Experienced Management Team
Experienced Management Team Javier Suárez Chief Executive Officer ● Civil Engineer from Universidad de los Andes, with a Masterʼs degree in Finance and a Masterʼs degree in Actuarial Sciences from Georgia State University. ● Over 30 years of experience in the financial industry. Álvaro Cobo Ricardo L
Slide 26: Appendix
Appendix B DNAVIVIENDN
Slide 27: Macroeconomic Fundamentals Colombia
Macroeconomic Fundamentals Colombia Economic Activity Index (Y/Y) Monetary Policy Rate, Inflation and Funding Rate Term Deposits 360 Days Dec. 23 MPR Inflation * 11.75%** 10.70%** 7.16%* Mar. 24 Quarterly Average 10.99% 12.25% Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Dec-23 Dec-10 Dec-12 Dec-14 Dec-1
Slide 28: Financial System Colombia
Financial System Colombia System Loan Portfolio Interest Rates on Loans Apr. 23 47.1% (Annual Growth) Dec. 23 (4-week moving average) Cap Rate1 31.2% 33.3%* Consumer 22.1%* 11.8% 22.6% Total 9.6% Mortgage 17.2%* 7.6%* 11.7% Mortgage 6.2% Commercial 11.1% 9.7% 16.8%* 3.1% 2.8%* Commercial Total 15.4%
Slide 29: Macroeconomic Fundamentals CAM
Macroeconomic Fundamentals CAM Gross Domestic Product (Y/Y) Inflation (Y/Y) Costa Rica 4.9%** 5.1% El Salvador 4.1% 4.5%* Honduras Honduras 4.7% 3.7% 4.8%* 3.9%* Panama Panamá 2.6% 2.5% 2.0% 1.7%* 3.3%* El Salvador 0.5% 0.8%* Costa Rica -1.2%* Dec-17 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Dec-23 Dec-17 D
Slide 30: Consolidated Balance Sheet
Consolidated Balance Sheet USD Million 1Q23 4Q23 1Q24 $ Q/Q Q/Q $ Y/Y Y/Y ASSETS Cash and Interbank Funds 4,532 4,669 3,802 - 867 -18.6% - 730 -16.1% Investments 5,439 5,032 5,393 362 7.2% - 45 -0.8% Gross Loans 37,742 35,389 35,281 - 108 -0.3% - 2,461 -6.5% Commercial 16,939 15,591 15,934 343 2.2%
Slide 31: Consolidated P&L
Consolidated P&L USD Million 1Q23 4Q23 1Q24 $ Q/Q Q/Q $ Y/Y Y/Y Total Income 1,490 1,403 1,348 - 56 -4.0% - 142 -9.5% Loans 1,309 1,213 1,200 - 13 -1.0% - 109 -8.3% Investment 157 148 109 - 39 -26.1% - 48 -30.3% Other Income 24 42 38 -4 -9.9% 14 60.7% Financial Expenses 826 834 776 - 58 -7.0% - 50 -
Slide 32: Investor Relations
Investor Relations www.ir.davivienda.com ir@davivienda.com + 57 (601) 220 3495 Bogotá - Colombia