Grupo Aval Acciones Y Valores Sa · BVC:GRUPOAVAL
Grupo Aval Acciones Y Valores Sa — Q2 2016 Earnings Presentation
21 slides from Grupo Aval Acciones Y Valores Sa's earnings presentation, Sep 6, 2016
Slide 1: Report of 2Q2016 consolidated results
Report of 2Q2016 consolidated results Information reported in Ps billions (1) 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 2Q15 3Q15 4Q15 1Q16 2Q16 D 2Q16 vs. 1Q16 2Q16 vs. 2Q15 As of June 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
Slide 3: IFRS 2Q16 Consolidated Earnings Results
1 IFRS 2Q16 Consolidated Earnings Results
Slide 4: Grupo Aval is an issuer of securities in Colombia and the United States
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
Slide 5: Main highlights of our 2Q2016 results under IFRS (1/2)
3 The following are the main highlights of our 2Q2016 results under IFRS: (1/2) • Attributable Net Income for the quarter was 601.1 billion pesos or 27 pesos per share, showing a 6% increase versus the comparable 2Q2015 result of 569.0 billion pesos or 26 pesos per share. • Total net loan portfolio
Slide 6: Main highlights of our 2Q2016 results under IFRS (2/2)
4 The following are the main highlights of our 2Q2016 results under IFRS: (2/2 ) • Cost of risk for 2Q2016 was 2.1% before recoveries of provisions and 1.9% after recoveries of allowances for loan losses. These ratios were affected by significant non - recurrent provisions made during the quarter an
Slide 7: Macroeconomic context - Colombia
5 GDP Growth Expectations (%) Source: Bloomberg Consensus Source : DANE. Unemployment (%) Current Account balance (USD mm) Source : Banrep and DANE . 2.3 2.8 3.3 3.8 4.3 4.8 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-16 Feb-16 Mar-16 Apr-16 May-16 Jun-16
Slide 8: Macroeconomic context - Colombia
6 4.50% 7.75% 7.24% 4.0% 5.0% 6.0% 7.0% 8.0% Dec-14 Feb-15 Apr-15 Jun-15 Aug-15 Oct-15 Dec-15 Feb-16 Apr-16 Jun-16 Aug-16 Colombian Central Bank's Interest Rate (EoP) DTF (1) Inflation (%) Source: DANE Source : Banrep . (1) End of period DTF rate . Source: Banrep and DANE Central Bank’s Monetary Pol
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 2Q15 1Q16 2Q16 2Q16 vs. 1Q15 2Q16 vs. 2Q15 Average 2,496.45 3,263.49 2,993.00 - 8.3% 19.9% End of period 2,598.68 3,000.63 2,919.01 - 2.7% 12.3
Slide 10: Macroeconomic context – Central America
8 3.9% 6.8% 4.0% 4.1% 3.5% 3.1% 1.7% 4.3% 6.4% 4.3% 4.3% 3.9% 3.7% 2.5% Central America Panama Nicaragua Costa Rica Guatemala Honduras El Salvador Real GDP CAGR ’13 - ’16E Real GDP CAGR ’15 - ’18E Macroeconomic context – Central America 1.0 2.0 3.0 4.0 5.0 6.0 7.0 8.0 9.0 10.0 Jan-10 May-10 Sep-10 J
Slide 11: Assets
9 Assets Assets Breakdown Total Assets Figures in Ps. Trillions (1) Foreign operations reflect Central American operations. 193.9 214.9 215.7 2Q15 1Q16 2Q16 2Q16 / 2Q15 = 11.2% 2Q16 / 1Q16 = 0.4% 2Q16 / 2Q15 = 7.8% 2Q16 / 1Q16 = 1.2% Growth excl. FX movement of Central American Operations 64.8% 13.2
Slide 12: Loans
10 Loans Gross loans Gross loans Breakdown Figures in Ps. Trillions % Growth excluding FX movement of Central American Operations 126.5 141.0 143.0 2Q15 1Q16 2Q16 2Q16 / 2Q15 = 13.1% 2Q16 / 1Q16 = 1.4% 2Q16 / 2Q15 = 9.7% 2Q16 / 1Q16 = 2.2% Growth excl. FX movement of Central American Operations 61.8
Slide 13: Loan portfolio quality
11 Loan portfolio quality 0.6x 0.9x 1.1x 2Q15 1Q16 2Q16 Charge offs / Average NPLs 2.7% 2.7% 2.7% 1.6x 1.5x 1.6x 1.1x 1.0x 1.0x 2Q15 1Q16 2Q16 Allowances / NPLs Allowance / 30+ PDLs Allowances / Total loans 2.6% 2.7% 2.8% 1.7% 1.8% 1.7% 2Q15 1Q16 2Q16 30 days PDLs / Total loans NPLs / Total loans 1.
Slide 14: Loan portfolio quality
12 Loan portfolio quality 2Q15 1Q16 2Q16 2Q15 1Q16 2Q16 Commercial 1.8% 2.0% 2.1% 1.3% 1.4% 1.3% Consumer 4.1% 4.1% 4.1% 2.8% 2.7% 2.7% Mortgages 2.8% 2.9% 2.7% 1.2% 1.2% 1.1% Microcredit 10.1% 10.1% 10.5% 10.1% 10.1% 10.5% Total loans 2.6% 2.7% 2.8% 1.7% 1.8% 1.7% Past due loans (1)(*) Non-performi
Slide 15: Funding
13 Funding Figures in Ps. Trillions 2Q15 1Q16 2Q16 Others 0.3% 0.3% 0.3% Time deposits 38.5% 39.1% 40.5% Checking accounts 23.1% 24.0% 21.9% Savings accounts 38.2% 36.7% 37.3% Total Deposits 2Q16 / 2Q15 = 11.8% 2Q16 / 1Q16 = 0.1% 122.5 136.9 137.0 Deposit composition 2Q16 / 2Q15 = 8.5% 2Q16 / 1Q16 =
Slide 16: Capital
14 Capital Attributable Shareholders Equity Attributable Equity + Minority Interest Figures in Ps. Trillions Consolidated Capital Adequacy of our Banks (%) 2Q15 1Q16 2Q16 Minority interest 8.1 8.5 8.7 Attributable equity 14.1 14.4 15.1 Attributable Equity + Minority Interest 2Q16 / 2Q15 = 7.1% 2Q16
Slide 17: NIM – Net Interest Margin
15 NIM – Net Interest Margin 5.3% 5.7% 5.6% 2Q15 1Q16 2Q16 3.4% 4.1% 4.5% Avg.cost of total funds 6.4% 6.5% 6.5% 2Q15 1Q16 2Q16 9.9% 10.9% 11.3% Avg. yield on loans 0.9% 1.3% 0.8% 2Q15 1Q16 2Q16 4.4% 5.7% 5.6% Avg. yield on fixed income (1) Net Interest Income and Net Interest Margin: Includes net i
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 . 2Q15 1Q16 2Q16 Income from non-fin
Slide 19: Efficiency ratio
17 Efficiency ratio 46.2% 44.1% 47.2% 2Q15 1Q16 2Q16 3.3% 3.4% 3.5% 2Q15 1Q16 2Q16 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
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
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: September 6, 2016 GRUPO AVAL ACCIONES Y VALORES S.A. By: /s/ Jorge Adrián Rincón Plata Name: Jo
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