Grupo Aval Acciones Y Valores Sa · BVC:GRUPOAVAL

Grupo Aval Acciones Y Valores Sa — Q3 2016 Earnings Presentation

21 slides from Grupo Aval Acciones Y Valores Sa's earnings presentation, Nov 30, 2016

  1. Slide 1: Report of 3Q2016 consolidated results

    Report of 3Q2016 consolidated results Information reported in Ps billions (1) and under IFRS (1) We refer to billions as thousands of millions.

  2. Slide 2: Debt service coverage and leverage ratios

    Debt service coverage and leverage ratios 3Q15 2Q16 3Q16 D 3Q16 vs. 2Q16 3Q16 vs. 3Q15 As of September 30 th , 2016 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 1.2x

  3. Slide 3: IFRS 3Q16 Consolidated Earnings Results

    1 IFRS 3Q16 Consolidated Earnings Results

  4. Slide 4: Grupo Aval is an issuer of securities

    2 Grupo Aval Acciones y Valores S.A. (“ Grupo Aval”) is an issuer of securities in Colombia and in the United States, registered with Colombia’s National Registry of Share s and Issuers ( Registro Nacional de Valores y Emisores ) and the United States Securities and Exchange Commission (“SEC”). As s

  5. Slide 5: Main highlights of our 3Q2016 results under IFRS (1/2)

    3 The following are the main highlights of our 3Q2016 results under IFRS: (1/2) • Attributable Net Income for the quarter was 613 . 9 billion pesos or 27 . 6 pesos per share, showing a 38 % increase versus the comparable 3 Q 2015 result of 444 . 8 billion pesos or 20 pesos per share . Year to date,

  6. Slide 6: Main highlights of our 3Q2016 results under IFRS (2/2)

    4 The following are the main highlights of our 3Q2016 results under IFRS: (2/2 ) • Cost of risk for 3 Q 2016 was 1 . 9 % before recoveries of provisions and 1 . 7 % after recoveries of allowances for loan losses, returning to more normalized levels after the figures for 2 Q 2016 , 2 . 1 % and 1 . 9

  7. Slide 7: Macroeconomic context - Colombia

    5 GDP Growth Expectations (%) Source: Bloomberg Consensus Source : DANE. Unemployment (%) Current Account balance (USD mm) Source : Banrep and DANE . Macroeconomic context - Colombia 2.0 2.5 3.0 3.5 4.0 4.5 5.0 Jan-15 Feb-15 Mar-15 Apr-15 May-15 Jun-15 Jul-15 Aug-15 Sep-15 Oct-15 Nov-15 Dec-15 Jan-1

  8. Slide 8: Macroeconomic context - Colombia

    6 7.75% 1.2% 6.48% 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 2014 1Q15 2Q15 3Q15 4Q15 1Q16 2Q16 3Q16 oct-16 Real GDP growth Inflation Colombian Central Bank's Interest rate Inflation (%) Source: Banrep Source : Banrep . (1) End of period DTF rate (2) End of period 3 - month interbank (IBR) rate Source: Banr

  9. Slide 9: Macroeconomic context - Colombia

    7 Source: Bloomberg Source: Bloomberg. ( 100=Jan 31, 2015) Colombian Peso Exchange Rate COP vs Emerging markets’ currencies Colombian Peso vs WTI US$/barrel 3Q15 2Q16 3Q16 3Q16 vs. 2Q16 3Q16 vs. 3Q15 Average 2,938.94 2,993.00 2,948.97 - 1.5% 0.3% End of period 3,086.75 2,919.01 2,880.08 - 1.3% - 6.7

  10. Slide 10: Macroeconomic context – Central America

    8 Macroeconomic context – Central America 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 Jan-15 Mar-15 May-15 Jul-15 Sep-15 Nov-15 Jan-16 Mar-16 May-16 Jul-16 Sep-16 Nov-16 CR GU HO 1.75 3.00 5.50 11.5% 13.8% 8.5% 13.8% 10.2% 14.2% 10.5% Central America Panama Costa Rica El Salvador Guatemala Honduras Nicaragua So

  11. Slide 11: Assets

    9 Assets Assets Breakdown Total Assets Figures in Ps. Trillions (1) Foreign operations reflect Central American operations. 209.4 215.7 216.4 3Q15 2Q16 3Q16 3Q16 / 3Q15 = 3.3% 3Q16 / 2Q16 = 0.3% 3Q16 / 3Q15 = 5.4% 3Q16 / 2Q16 = 0.7% Growth excl. FX movement of Central American Operations 65.6% 12.3%

  12. Slide 12: Loans

    10 Loans Gross loans Gross loans Breakdown Figures in Ps. Trillions % Growth excluding FX movement of Central American Operations 138.2 143.0 144.1 3Q15 2Q16 3Q16 3Q16 / 3Q15 = 4.2% 3Q16 / 2Q16 = 0.8% 3Q16 / 3Q15 = 6.2% 3Q16 / 2Q16 = 1.1% Growth excl. FX movement of Central American Operations 61.2%

  13. Slide 13: Loan portfolio quality

    11 Loan portfolio quality 1.0x 1.1x 0.8x 3Q15 2Q16 3Q16 Charge offs / Average NPLs 2.5% 2.7% 2.8% 1.6x 1.6x 1.5x 1.0x 1.0x 1.0x 3Q15 2Q16 3Q16 Allowances / NPLs Allowance / 30+ PDLs Allowances / Total loans 2.5% 2.8% 2.7% 1.6% 1.7% 1.8% 3Q15 2Q16 3Q16 30 days PDLs / Total loans NPLs / Total loans 1.

  14. Slide 14: Loan portfolio quality

    12 Loan portfolio quality 3Q15 2Q16 3Q16 3Q15 2Q16 3Q16 Commercial 1.8% 2.1% 1.9% 1.3% 1.3% 1.4% Consumer 3.8% 4.1% 4.2% 2.5% 2.7% 2.8% Mortgages 2.8% 2.7% 2.9% 1.1% 1.1% 1.2% Microcredit 9.4% 10.5% 11.2% 9.4% 10.5% 11.2% Total loans 2.5% 2.8% 2.7% 1.6% 1.7% 1.8% Past due loans (1)(*) Non-performing

  15. Slide 15: Funding

    13 Funding Figures in Ps. Trillions 3Q15 2Q16 3Q16 Others 0.4% 0.3% 0.3% Time deposits 38.5% 40.5% 42.9% Checking accounts 23.0% 21.9% 20.8% Savings accounts 38.1% 37.3% 36.0% Total Deposits 3Q16 / 3Q15 = 5.5% 3Q16 / 2Q16 = - 0.6% 129.1 137.0 136.2 Deposit composition 3Q16 / 3Q15 = 7.5% 3Q16 / 2Q16

  16. Slide 16: Capital

    14 Capital Attributable Shareholders Equity Attributable Equity + Minority Interest Figures in Ps. Trillions Consolidated Capital Adequacy of our Banks (%) 3Q15 2Q16 3Q16 Minority interest 8.2 8.7 8.6 Attributable equity 13.7 15.1 15.2 Attributable Equity + Minority Interest 3Q16 / 3Q15 = 8.4% 3Q16

  17. Slide 17: NIM – Net Interest Margin

    15 NIM – Net Interest Margin 5.3% 5.6% 5.8% 3Q15 2Q16 3Q16 3.5% 4.5% 4.8% Avg.cost of total funds 6.3% 6.5% 6.8% 3Q15 2Q16 3Q16 10.0% 11.3% 11.9% Avg. yield on loans 0.5% 0.8% 0.5% 3Q15 2Q16 3Q16 4.2% 5.6% 5.6% Avg. yield on fixed income (1) Net Interest Income and Net Interest Margin: Includes net

  18. Slide 18: Fees and other operating income

    16 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 Loss. (2) Includes equity method income, dividend income and other income . 3Q15 2Q16 3Q16 Income from non-fin

  19. Slide 19: Efficiency ratio

    17 Efficiency ratio 51.7% 47.2% 45.9% 3Q15 2Q16 3Q16 3.5% 3.5% 3.4% 3Q15 2Q16 3Q16 Efficiency Ratio is calculated as personnel plus administrative and other expenses divided by net interest income plus net trading income, other income and fees and other services income, net ( e xcluding others). Ope

  20. Slide 20: Profitability

    18 Profitability Figures excluding wealth tax (1) ROAA for each quarter is calculated as annualized Net Income divided by average of total assets . ROAA for 1Q16 excludes the effect of Ps 267.7 billion of wealth tax paid during the period . (2) ROAE for each quarter is calculated as annualized Net I

  21. Slide 21: Signature

    19 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 30, 2016 GRUPO AVAL ACCIONES Y VALORES S.A. By: /s/ Jorge Adrián Rincón Plata Name: Jo

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