Banco Bilbao Vizcaya Argentaria, S.a. · BME:BBVA
Banco Bilbao Vizcaya Argentaria — Q3 2019 Earnings Presentation
25 slides from Banco Bilbao Vizcaya Argentaria's earnings presentation, Oct 31, 2019
Slide 1: Group BBVA 3Q19
vy Creating Opportunities Group BBV 3Q19
Slide 2: Disclaimer
BBVA Corporate Presentation AIA Disclaimer This document is only provided for information purposes and does not constitute, nor should it be interpreted as, an offer to sell or exchange or acquire, or an invitation for offers to buy securities issued by any of the aforementioned companies. Any decis
Slide 3: Our purpose, global presence and financial highlights
BBVA Corporate Presentation OUR PURPOSE = To bring the age of opportunity to everyone BBVA’S GLOBAL PRESENCE FINANCIAL HIGHLIGHTS SEPTEMBER 2019 SEPTEMBER 2019 Loans and advances Deposits ya AX Total assets to customers - gross from customers ogg 709,017 €m 391,273 €m 379,333 €m 1225¢€mn 3.9% 75% Re
Slide 4: Purpose
BBVA Purpose Creating Opportunities
Slide 5: Bringing the age of opportunity to everyone
rpose ring he age of opportunity to everyone Creating opportunities for all our Stakeholders Promoting a more sustainable and inclusive Society Helping our Clients to achieve their life and business goals Engaging Employees in a more inclusive and agile organization Creating value for our Shareholde
Slide 6: New Value Proposition
BBVA PURPOSE New Value Proposition Based on our customers’ real needs Helping our customers to make the best financial decisions offering relevant advice that generate trust for our customers, being clear, transparent and based on integrity a Providing the best solutions Through an easy and convenie
Slide 7: Our Values
BBVA PURPOSE Our Values @ Customer comes first Se Weare empathetic @ Wehave integrity @ Wemeet their needs cA] We think big f= Weare ambitious @ We break the mold ® Weamaze our customers @ We are one team @ lamcommitted ® | trust others A lam BBVA BBVA Corporate Presentation iil
Slide 8: Results
3Q19 Results Creating Opportunities
Slide 9: Strong results in a challenging environment
BBVA Corporate Presentation Al 3Q19 RESULTS Strong results in a challenging environment +6.1% NET ATTRIBUTABLE PROFIT (€m) vs 3018 excluding BBVA Chile 1.787 a_ kobust growth in core revenues BBVA Chile sale a_ Excellent operating income growth 633 1.278 ici 1.164 1.225 and efficiency 1.001 a Sound
Slide 10: 9M19 Profit & Loss
BBVA Corporate Presentation Alley 3Q19 RESULTS 9M19 Profit & Loss Change 9M19/9M18 BBVA Group Net Interest Income 13,475 6.3 71 Net Fees and Commissions 3,743 3.4 3.8 Net Trading Income 893 2.6 3.9 Other Income & Expenses 13 -90.2 -89,7 Gross Income 18,124 48 SD) Operating Expenses -8,820 29 3.2 Ope
Slide 11: Excellent operating income growth and efficiency
BBVA Corporate Presentation AAI 3Q19 RESULTS Excellent operating income growth and efficiency GROUP OPERATING JAWS GROUP OPERATING INCOME EFFICIENCY RATIO (9M YoY (%); (CONSTANT €)) (YoY (%); (€M CONSTANT)) (%;€ CONSTANT) 9 +79% 1 4 5% 9.304 (7 =] INFLATION 6.0% 8.625 50,2% Averagel2m_ 49,4% 63% . 4
Slide 12: Leading digital transformation
3Q19 RESULTS Leading digital transformation DIGITAL CUSTOMERS MILLION, % GROWTH +24% +17% 31,0 26,3 21,3 Sep-17 Sep-18 Sep-19 CUSTOMER PENETRATION RATE, % 122) 1) 55.7%) MOBILE CUSTOMERS MILLION, % GROWTH +36% +26% 276 22,0 16,1 Sep-17 Sep-18 Sep-19 49.7% BBVA Corporate Presentation AAPA BEST MOBILE
Slide 13: Transformation boosting digital sales and client acquisition
BBVA Corporate Presentation AMR 3Q19 RESULTS Transformation boosting digital sales and client acquisition DIGITAL SALES Gl E2E DIGITAL ONBOARDING (% OF TOTAL SALES YTD, # OF TRANSACTIONS AND PRV!) FOR SMEs 58,9 50,9 UNITS ——— ei PRV 82.8 44,8 34,3 20,2 Sep-17 Sep-18 Sep-19 (>) First bank in Spain pr
Slide 14: The impact of transformation: Mexico
3Q19 RESULTS The impact of transformation: Mexico B-} (Sep-17 vs Sep-19) ih Ve GROWTH ENGAGEMENT Acquiring more clients and increasing sales Resulting in higher client satisfaction and retention ACTIVE INCREMENTAL +2.1m CLIENTS NPS al Q BBVA YTD SALES GROWTH ATTRITION RATE (9M17/9M19 PRV) (INDEX) +1
Slide 15: Outstanding trend in digital sales across the board
3Q19 RESULTS BBVA Corporate Presentation AMR Outstanding trend in digital sales across the board (% of total sales YtD, # of transactions and PRV') GROUP @ SPAIN 58,9 ‘ 51,7 50.9 44,0 2a _—* - + UNITS 343 , 34,9 PRV 20,2 20,0 Sep-17 Sep-18 Sep-19 Sep-17 Sep-18 Sep-19 1 MEXICO TURKEY 55,1 325 847 42,
Slide 16: Minority stake: 39% stake Cledara
Minority stake 39% stake Cledara
Slide 17: Results: Business Areas
3Q19 Results Business Areas Creating Opportunities
Slide 18: Unique footprint with high growth prospects
3Q19 RESULTS - BUSINESS AREAS BBVA Corporate Presentation AME Unique footprint with high growth prospects BREAKDOWN BY BUSINESS AREA TOTAL ASSETS SEP.19 South Restof Ameria Eurasia a Turk oe (or bn Mexico 15% US 12% GROSS INCOME“ 9M19 Rest of America Spain ff ™ 23% rate €18.1 bn 14% Us AN 13% Mexico
Slide 19: Business Areas: Spain, USA, Mexico
3Q19 RESULTS - BUSINESS AREAS Business Areas & Spain NET ATTRIBUTABLE PROFIT (9M19) ] 064 €M -2.5% vs. oma COVERAGE RATIO. 59% vs. 57% 3Q18 NPLRATIO 4.6% vs. 5.6% 3Q18 a Loans: Growth in most profitable retail segments offset by mortgages and public sector deleverage a Nil: Positive performance of c
Slide 20: Business Areas: Turkey, South America
3Q19 RESULTS - BUSINESS AREAS Business Areas itu rkey constant € NET ATTRIBUTABLE PROFIT (9M19) 380 €m -10.0% vs.omiz NPL RATIO COVERAGE RATIO 72% 75% vs. 5.2% 3Q18 vs. 76% 3Q18 Earnings resilience: 9M19 operating income +1.5% YoY. Improvement in customer spread both in TL and FC NII: Impacted by lo
Slide 21: CIB 9M19 Results
3Q19 RESULTS - BUSINESS AREAS CIB — 9M19 Results Business Activity (constant €, % YdD) LENDING 62 €bn +3,8% CUSTOMER FUNDS 38 €bn 67% a Concerns over global economic growth and uncertainty in markets environment Client’s Revenue (constant €, % YoY) 2,085€m +3% Wholesale banking O5% recurrent busines
Slide 22: Annex
Annex
Slide 23: BBVA had significant growth since 1995
ANNEX BBVA had significant growth since 1995 More than 160 years of history e 1995 e 1996 e 1997 e 1998 Banco Continental (Peru). Probursa (México) Banco Ganadero (Colombia) Bancos Cremi and Oriente (Mexico) Banco Francés (Argentina) Banco Provincial (Venezuela) B.C. Argentino (Argentina) Poncebank
Slide 24: Organizational chart
ANNEX Organizational chart Chief Executive Officer Onur Geng BUSINESS UNITS GLOBAL FUNCTIONS Corporate & Investment Banking 4 Client Solutions Luisa Gémez Bravo David Puente g@ Country Monitoring! £ Finance ude, Jorge Séenz-Azctinaga Sm Jaime Séenz de Tejada Country Manager Espafia 2) Global Risk Ma
Slide 25: Slide 25
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