Balance sheet and business activity
The most relevant aspects of the Group's balance sheet and business activity as of June 30, 2019 are summarized below:
- Loans and advances to customers (gross) registered a growth of 0.8% in the first half of 2019 (up 1.1% at constant exchange rates), with increases in the business areas of Mexico, South America, the Rest of Eurasia, and, to a lesser extent, Spain.
- Non-performing loans fell by 2.2% in the first six months of 2019 (down 15.0% year-on-year), mainly due to the decrease registered in Spain resulting from the sale of non-performing loans portfolios and, to a lesser extent, in the Rest of Eurasia.
- In terms of customer deposits, time deposits decreased by 8.0% in the first half (down 15.2% year-on-year), primarily in Spain, Turkey and the United States, which was not compensated by the 3.2% increase in demand deposits in the first six months of 2019 (up 6.7% year-on-year), especially in Spain.
- Off-balance-sheet funds registered a growth of 5.8% in the first half of the year, thanks to the strong performance of, both, mutual funds and pension funds.
- In terms of tangible assets, the balance as of June 30, 2019 is affected, above all, by the implementation of IFRS 16 “Leases”, with a growth of 42.5% compared to the end of the previous fiscal year.
Consolidated balance sheet (Millions of euros)
| 30-06-19 | ∆% | 31-12-18 | 30-06-18 | |
|---|---|---|---|---|
| Cash, cash balances at central banks and other demand deposits | 44,565 | (23.4) | 58,196 | 37,279 |
| Financial assets held for trading | 105,369 | 16.9 | 90,117 | 91,018 |
| Non-trading financial assets mandatorily at fair value through profit or loss | 4,918 | (4.2) | 5,135 | 4,377 |
| Financial assets designated at fair value through profit or loss | 1,403 | 6.9 | 1,313 | 1,487 |
| Financial assets at fair value through accumulated other comprehensive income | 63,364 | 12.5 | 56,337 | 63,212 |
| Financial assets at amortized cost | 430,930 | 2.7 | 419,660 | 426,349 |
| Loans and advances to central banks and credit institutions | 16,421 | 25.3 | 13,103 | 17,092 |
| Loans and advances to customers | 377,155 | 0.8 | 374,027 | 377,175 |
| Debt securities | 37,354 | 14.8 | 32,530 | 32,082 |
| Investments in subsidiaries, joint ventures and associates | 1,638 | 3.8 | 1,578 | 1,470 |
| Tangible assets | 10,302 | 42.5 | 7,229 | 6,987 |
| Intangible assets | 8,262 | (0.6) | 8,314 | 8,377 |
| Other assets | 26,876 | (6.7) | 28,809 | 49,295 |
| Total assets | 697,626 | 3.1 | 676,689 | 689,850 |
| Financial liabilities held for trading | 91,358 | 13.1 | 80,774 | 83,667 |
| Other financial liabilities designated at fair value through profit or loss | 8,922 | 27.6 | 6,993 | 6,221 |
| Financial liabilities at amortized cost | 513,937 | 0.9 | 509,185 | 503,073 |
| Deposits from central banks and credit institutions | 61,457 | 3.7 | 59,259 | 62,041 |
| Deposits from customers | 375,104 | (0.2) | 375,970 | 367,312 |
| Debt certificates | 62,685 | 2.6 | 61,112 | 62,349 |
| Other financial liabilities | 14,692 | 14.4 | 12,844 | 11,370 |
| Liabilities under insurance and reinsurance contracts | 10,634 | 8.1 | 9,834 | 9,500 |
| Other liabilities | 18,085 | 6.2 | 17,029 | 35,112 |
| Total liabilities | 642,936 | 3.1 | 623,814 | 637,573 |
| Non-controlling interests | 5,839 | 1.3 | 5,764 | 6,400 |
| Accumulated other comprehensive income | (6,923) | (4.1) | (7,215) | (6,612) |
| Shareholders’ funds | 55,774 | 2.7 | 54,326 | 52,490 |
| Total equity | 54,690 | 3.4 | 52,874 | 52,278 |
| Total liabilities and equity | 697,626 | 3.1 | 676,689 | 689,850 |
| Memorandum item: | ||||
| Guarantees given | 45,650 | 1.0 | 45,831 | 45,207 |
- General note: the application of accounting for hyperinflation in Argentina was performed for the first time in September 2018 with accounting effects on January 1, 2018, recording the impact of the nine months in the third quarter. In order to make the 2019 information comparable to the 2018, the balance sheet of the first three quarters of 2018 has been reexpressed to reflect the impacts of inflation on its assets and liabilities.
Loans and advances to customers (Millions of euros)
| 30-06-19 | ∆% | 31-12-18 | 30-06-18 | |
|---|---|---|---|---|
| Public sector | 29,062 | 2.0 | 28,504 | 28,716 |
| Individuals | 173,191 | 1.6 | 170,501 | 171,481 |
| Mortgages | 110,908 | (0.6) | 111,528 | 113,184 |
| Consumer | 36,413 | 4.2 | 34,939 | 34,317 |
| Credit cards | 13,928 | 3.1 | 13,507 | 13,105 |
| Other loans | 11,942 | 13.4 | 10,527 | 10,875 |
| Business | 171,053 | 0.1 | 170,872 | 171,836 |
| Non-performing loans | 15,999 | (2.1) | 16,348 | 18,627 |
| Loans and advances to customers (gross) | 389,306 | 0.8 | 386,225 | 390,661 |
| Loan-loss provisions | (12,151) | (0.4) | (12,199) | (13,486) |
| Loans and advances to customers | 377,155 | 0.8 | 374,027 | 377,175 |
Loans and advances to customers (gross)
(Billions of euros)
(1) At constant exchange rates: +1.1%.
Customer funds
(Billions of euros)
(1) At constant exchange rates: +1.2%.
Customer funds
(Millions of euros)
| 30-06-19 | ∆% | 31-12-18 | 30-06-18 | |
|---|---|---|---|---|
| Deposits from customers | 375,104 | (0.2) | 375,970 | 367,312 |
| Current accounts | 269,010 | 3.2 | 260,573 | 249,579 |
| Time deposits | 99,693 | (8.0) | 108,313 | 110,548 |
| Other deposits | 6,401 | (9.6) | 7,084 | 7,185 |
| Other customer funds | 103,804 | 5.8 | 98,150 | 101,498 |
| Mutual funds and investment companies | 65,681 | 7.0 | 61,393 | 64,686 |
| Pension funds | 34,960 | 3.4 | 33,807 | 33,890 |
| Other off-balance sheet funds | 3,162 | 7.2 | 2,949 | 2,922 |
| Total customer funds | 478,907 | 1.0 | 474,120 | 468,811 |