January-September 2013



At the close of September 2013, performing loans managed by the area amounted to €37,321m, equivalent to a year-on-year growth of 6.7%, with a very positive performance in the retail portfolio.

Within the retail segment, loans to small businesses have posted the strongest growth, with a double-digit rate of 18.5% to €1,963m. There was also a very positive performance in consumer finance and credit cards, which together amounted to €9,943m, with an increase of 8.6% on the figure as of 30-Sep-2012. Worth noting is the success of the consumer finance campaign for pre-approved customers, which also boosted growth in lending and improved the quality of origination.

In the wholesale portfolio, SMEs posted the best growth, with an increase of 16.6% over the last twelve months to €6,029m as of 30-Sep-2013. The area continues to be very active in business with large corporations by finance through the placement of bonds on the market, once more making BBVA Bancomer one of the leaders in this business, with a market share of 20.5% according to the latest information available at the end of September (provided by Dealogic). Lastly, loans to Mexican government agencies have began to show a moderate recovery due to the greater boost from public spending in recent months, as well as the implementation of new commercial plans to create incentives for activity in this segment.

Asset quality ratios have remained stable, with an NPA ratio of 4.1% as of 30-Sep-2013 (4.0% at the close of the previous quarter) and a coverage ratio of 105% (compared with 109% at the close of June 2013).

Customer funds, which include demand deposits, time deposits, repos, mutual funds and other off-balance sheet funds, totaled €61,102m at the end of September, with a year-on-year rise of 10.4%. The performance of demand deposits is particularly notable, with an increase of 12.7% on the close of 30-Sep-2012. The biggest rises here are in the commercial and institutional banking unit (up 20.3%) and the retail segment (up 7.9%). The strategy of increasing the profitability of time deposits has given priority to lower-cost deposits, which has led to a year-on-year decline of this heading of 2.6%, partly offset by the rise of mutual funds and investment companies (up 1.5% since 30-Sep-2012), which ended the quarter at €16,713.

Lastly, the insurance business has performed very well again, with cumulative written premiums through September being 5.5% up on the figure for the same period the previous year. MetaSegura, an insurance policy that allows holders to choose the sum insured and the term that suits them best, is the product that has performed best. The positive performance of this activity, combined with reduced levels of claims, has resulted in a positive contribution from this business to the earnings in the area.

Mexico. Performing loans breakdown

(September 2013)

Mexico. Deposits from customers breakdown

(September 2013)