Grupo Aval Acciones Y Valores Sa · BVC:GRUPOAVAL
Grupo Aval Acciones Y Valores Sa — FY2020 Earnings Presentation
22 slides from Grupo Aval Acciones Y Valores Sa's earnings presentation, Mar 15, 2021
Slide 1: Report of 4Q2020 and FY 2020 consolidated results
Grupo AAA | Report of 4Q2020 and FY 2020 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 4Q19 3Q20 4Q20 D 4Q20 vs. 3Q20 4Q20 vs. 4Q19 As of December 31st, 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 1.18x.
Slide 3: 4Q20 and FY2020 Consolidated Earnings Results IFRS
1 4Q20 and FY2020 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 .. 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 5: Consolidated key results for the year
3 Consolidated key results for the year 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 gross loa
Slide 6: Key results per region for the year
4 COP $tn 2019 2020 20 vs 19 2019 2020 20 vs 19 Gross Loans $ 124.2 $ 131.2 5.6% $ 55.2 $ 70.6 27.8% Deposits $ 119.2 $ 132.0 10.8% $ 56.3 $ 79.8 41.8% Deposits/Net Loans 1.00 x 1.05 x 0.05 x 1.02 x 1.13 x 0.11 x 90 days PDLs / Gross Loans 4.0% 4.5% 52 bps 1.6% 1.8% 19 bps Allowance/90 days PDLs 1.3
Slide 7: Macroeconomic context - Colombia
5 Macroeconomic context - Colombia ( 1 | 2 ) (4.2%) (4.1%) (8%) (6%) (4%) (2%) 0% 2% Trade balance Current Account Deficit 3.3 3.2 3.6 1.8 2.2 2.1 1.5 2.6 1.3 1.5 1.2 1.3 2.2 2.2 2.9 3.0 3.1 3.5 3.2 3.3 0.1 - 15.6 - 8.3 - 3.5 I II III IV I II III IV I II III IV I II III IV I II III IV I II III IV 20
Slide 8: Macroeconomic context - Colombia
6 Macroeconomic context - Colombia ( 2 | 2 ) Source: Ministry of Finance. Projections start in 2021. Real and Projected Fiscal Deficit Fiscal Rule (% of GDP) Colombian Peso Exchange Rate Source: Banco de la República de Colombia. 4Q15 1Q16 2Q16 3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19
Slide 9: Macroeconomic context – Central America
7 (3%) (1%) 1% 3% 5% 7% Dec-18 Jun-19 Dec-19 Jun-20 Dec-20 CR ES GU HO NI PA Cenam 3.2% 4.2% 5.2% 3.2% 1.0% 0.3% (1.6%) Macroeconomic context – Central America 3.2% 3.0% 2.1% 3.8% 2.7% 2.4% - 3.9% - 5.9% - 9.0% - 5.5% - 2.0% - 6.6% - 9.0% - 5.5% 3.6% 4.0% 2.3% 4.0% 4.9% 4.0% - 0.5% 2019 2020E 2021E
Slide 10: Digital strategy
8 Digital strategy 1.5 1.8 2.1 3.2 0.9 1.2 1.4 1.6 2.4 3.0 3.5 4.8 2017 2018 2019 2020 1 10 14 21 4 5 8 16 5 15 22 37 2017 2018 2019 2020 164 672 956 122 176 269 621 122 340 941 1,578 2017 2018 2019 2020 + 66 cases Clients Sales (000) Products Advanced analytics Fraud Churn Origination Scoring Prici
Slide 11: ESG Highlights
9 ESG Highlights 28.5% of our principal board members are women. ESRA implementation in some of our subsidiaries. Corporate Governance & Risk Management Issued a Ps 300 billion … Green Bond adhesion to included in Economic Impact 58% of loans disbursed were granted to women Environmental initiatives
Slide 12: Assets
10 Net loans and leases Fixed income investments Unconsolidated equity investments Other 60.7 11.7 2.1 25.5 3Q20 60.6 12.2 2.4 24.9 4Q20 62.4 10.5 2.1 25.0 4Q19 Assets Assets Breakdown (%) Total Assets Exc. FX = Growth excluding FX movement of Central American Operations (1) Includes Ps.16.5 trillio
Slide 13: Loans and receivables
11 Loans and receivables Gross loans Gross loans Breakdown % Growth excluding FX movement of Central American Operations (1) Exc. FX = Growth excluding FX movement of Central American Operations (1) Includes Ps. 11.6 trillion of gross loans of Multi Financial Group. Ps. 6.7 trillion of commercial lo
Slide 14: Loan portfolio quality
12 Loan portfolio quality Charge offs / Average 90+ PDLs Cost of Risk Quality Coverage 4.36% 5.16% 4.90% 3.26% 3.21% 3.56% 30 days PDLs / Gross loans 90 days PDLs / Gross loans 2.30% 3.08% 3.71% 2.07% 2.91% 3.51% Impairment loss / Average gross loans Impairment loss, net / Average gross loans 1.40x
Slide 15: Loan portfolio quality: days past due formation
13 Loan portfolio quality 30 days past due formation 90 days past due formation (1) (2) 30 days past due loans 90 days past due loans Loans by Stages (%) (1) Past Due Loans + 30 / Total Loans including interest accounts receivable (2) Past Due Loans + 90 / Total Loans including interest accounts rec
Slide 16: Funding composition
14 230.3 282.5 270.5 4Q19 3Q20 4Q20 Deposits Banks and others Bonds issued Interbank borrowings Funding composition (%) 4Q19 3Q20 4Q20 8.8 78.3 9.7 76.8 10.3 76.2 2.7 10.3 3.0 10.4 4.0 9.5 Q/Q% = - 4.3%; Y/Y% = 17.4%; (Exc. Fx = 15.8%) (Exc. Fx = - 0.2%) 17.2% 18.0% 16.1% 4Q19 3Q20 4Q20 1.01x 1.07x
Slide 17: Capital
15 4Q19 3Q20 4Q20 4Q19 3Q20 4Q20 4Q19 3Q20 4Q20 4Q19 3Q20 4Q20 Primary capital (Tier 1) 9.1 9.7 8.9 9.6 8.4 8.7 8.5 8.8 8.7 9.7 11.0 10.7 Solvency Ratio 12.8 12.7 12.1 11.8 10.5 10.6 10.6 10.4 10.5 10.7 12.3 12.0 19.9 20.8 20.7 13.5 14.6 14.8 33.3 35.4 35.4 4Q19 3Q20 4Q20 Attributable equity Minorit
Slide 18: Net Interest Margin
16 4Q19 3Q20 4Q20 4Q20 / 4Q19 4Q20 / 3Q20 3.0 3.2 3.4 10.8% 3.5% 5.63% 5.08% 5.29% 4Q19 3Q20 4Q20 2.56% 2.95% 3.78% Cost of funds NIM – Net Interest Margin Net Interest Margin (1) Loans Interest Margin (2) Net Investments Margin (3) Net Interest Income (1) (Trillions) (1) Net Interest Income and Net
Slide 19: Fees and other operating income
17 4Q19 3Q20 4Q20 Energy & gas 143 194 594 Infrastructure 478 637 500 Hotels 9 -16 13 Agribusiness 14 5 11 Other -105 -86 -102 Total 539 734 1,016 Fees and other operating income Gross fee income Other operating income Non - financial sector (1) (1) Net income from sales of goods and services (2) Re
Slide 20: Efficiency ratios
18 4.1% 3.1% 3.4% 4Q19 3Q20 4Q20 FY19 3.8% FY20 3.4% 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 othe
Slide 21: Profitability
19 Profitability Figures in Ps. Billions Net income attributable to controlling interest ROAA (1) ROAE (2) (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 attributable to Aval's shar
Slide 22: Signature
20 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: March 12, 2021 GRUPO AVAL ACCIONES Y VALORES S.A. By: /s/ Jorge Adrián Rincón Plata Name: Jorge
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