Balance sheet and business activity
The most relevant aspects of the Group's balance sheet and business activity as of December 31, 2019 are summarized below:
- Loans and advances to customers (gross) increased by 2.2% during 2019, with increases in the business areas of Mexico, and, to a lesser extent, the United States, South America and Rest of Eurasia.
- Non-performing loans continued in a downward trend falling by 2.1% during the year, mainly due to the sales of the non-performing-loan portfolios in Spain.
- Customer deposits had a good performance along the year, with an increase of 2.2% compared to December 2018 (up 1.3% in the last quarter), mainly explained by the good evolution of demand deposits (up 7.6% year-on-year, up 2.8% in the last quarter).
- Off-balance sheet funds had an increase of 9.8% compared to December 31, 2018, thanks to the good performance of both mutual funds and pension funds.
- Regarding to tangible assets, the balance as of December 31, 2019 was affected by the implementation of IFRS 16 "Leases," which led to a growth resulting from its first implementation of €3,419m.
- Regarding the intangible assets, during the fourth quarter of 2019, the United States goodwill has been impaired by €1,318m, which does not affect the tangible net equity nor liquidity of BBVA Group.
- The figure for other assets/other liabilities at the end of December 2019 includes the assets and liabilities of BBVA Paraguay, which have been classified as non-current assets and liabilities held for sale in the consolidated public balance sheet, once the BBVA Group made public through a relevant event to the Spanish Securities Market Commission (hereinafter NCA&L) the sales agreement, aforementioned in the relevant events section.
Consolidated balance sheet (Millions of euros)
| 31-12-19 | ∆% | 31-12-18 | |
|---|---|---|---|
| Cash, cash balances at central banks and other demand deposits | 44,303 | (23.9) | 58,196 |
| Financial assets held for trading | 102,688 | 14.0 | 90,117 |
| Non-trading financial assets mandatorily at fair value through profit or loss | 5,557 | 8.2 | 5,135 |
| Financial assets designated at fair value through profit or loss | 1,214 | (7.6) | 1,313 |
| Financial assets at fair value through accumulated other comprehensive income | 61,183 | 8.6 | 56,337 |
| Financial assets at amortized cost | 439,162 | 4.6 | 419,660 |
| Loans and advances to central banks and credit institutions | 17,924 | 36.8 | 13,103 |
| Loans and advances to customers | 382,360 | 2.2 | 374,027 |
| Debt securities | 38,877 | 19.5 | 32,530 |
| Investments in subsidiaries, joint ventures and associates | 1,488 | (5.7) | 1,578 |
| Tangible assets | 10,068 | 39.3 | 7,229 |
| Intangible assets | 6,966 | (16.2) | 8,314 |
| Other assets | 26,060 | (9.5) | 28,809 |
| Total assets | 698,690 | 3.3 | 676,689 |
| Financial liabilities held for trading | 89,633 | 11.0 | 80,774 |
| Other financial liabilities designated at fair value through profit or loss | 10,010 | 43.1 | 6,993 |
| Financial liabilities at amortized cost | 516,641 | 1.5 | 509,185 |
| Deposits from central banks and credit institutions | 54,700 | (7.7) | 59,259 |
| Deposits from customers | 384,219 | 2.2 | 375,970 |
| Debt certificates | 63,963 | 4.7 | 61,112 |
| Other financial liabilities | 13,758 | 7.1 | 12,844 |
| Liabilities under insurance and reinsurance contracts | 10,606 | 7.9 | 9,834 |
| Other liabilities | 16,875 | (0.9) | 17,029 |
| Total liabilities | 643,765 | 3.2 | 623,814 |
| Non-controlling interests | 6,201 | 7.6 | 5,764 |
| Accumulated other comprehensive income | (7,235) | 0.3 | (7,215) |
| Shareholders’ funds | 55,958 | 3.0 | 54,326 |
| Total equity | 54,925 | 3.9 | 52,874 |
| Total liabilities and equity | 698,690 | 3.3 | 676,689 |
| Memorandum item: | |||
| Guarantees given | 45,952 | (3.6) | 47,574 |
Loans and advances to customers (Millions of euros)
| 31-12-19 | ∆% | 31-12-18 | |
|---|---|---|---|
| Public sector | 28,193 | (1.1) | 28,504 |
| Individuals | 174,608 | 2.4 | 170,501 |
| Mortgages | 110,500 | (0.9) | 111,528 |
| Consumer | 36,438 | 4.3 | 34,939 |
| Credit cards | 14,892 | 10.3 | 13,507 |
| Other loans | 12,778 | 21.4 | 10,527 |
| Business | 176,008 | 3.0 | 170,872 |
| Non-performing loans | 15,954 | (2.4) | 16,348 |
| Loans and advances to customers (gross) | 394,763 | 2.2 | 386,225 |
| Allowances (1) | (12,402) | 1.7 | (12,199) |
| Loans and advances to customers | 382,360 | 2.2 | 374,027 |
- (1) Allowances include the valuation adjustments for credit risk during the expected residual life of those financial instruments which have been acquired (mainly originated from the acquisition of Catalunya Banc, S.A.). As of December 31, 2019 and 2018 the remaining amount was €433m and €540m, respectively.
Loans and advances to customers
(Gross. Billions of euros)
(1) At constant exchange rates: +2.5%.
Customer funds
(Billions of euros)
(1) At constant exchange rates: +3.8%.
Customer funds (Millions of euros)
| 31-12-19 | ∆% | 31-12-18 | |
|---|---|---|---|
| Deposits from customers | 384,219 | 2.2 | 375,970 |
| Current accounts | 280,391 | 7.6 | 260,573 |
| Time deposits | 96,583 | (10.8) | 108,313 |
| Other deposits | 7,246 | 2.3 | 7,084 |
| Other customer funds | 107,803 | 9.8 | 98,150 |
| Mutual funds and investment companies | 68,639 | 11.8 | 61,393 |
| Pension funds | 36,630 | 8.3 | 33,807 |
| Other off-balance sheet funds | 2,534 | (14.1) | 2,949 |
| Total customer funds | 492,022 | 3.8 | 474,120 |