Corporate Center
Financial statements (Millions of euros and percentage)
| Income statement | 1Q23 | ∆% | 1Q22 |
|---|---|---|---|
| Net interest income | (60) | 60.8 | (37) |
| Net fees and commissions | (4) | 1.4 | (4) |
| Net trading income | (258) | n.s. | (38) |
| Other operating income and expenses | 11 | n.s. | 1 |
| Gross income | (311) | 293.0 | (79) |
| Operating expenses | (205) | 9.7 | (187) |
| Personnel expenses | (151) | 15.9 | (130) |
| Other administrative expenses | (4) | (54.1) | (9) |
| Depreciation | (50) | 4.2 | (48) |
| Operating income | (516) | 93.8 | (266) |
| Impairment on financial assets not measured at fair value through profit or loss | 0 | (81.0) | 1 |
| Provisions or reversal of provisions and other results | (3) | n.s. | 11 |
| Profit (loss) before tax | (519) | 103.5 | (255) |
| Income tax | (9) | n.s. | 46 |
| Profit (loss) for the period | (528) | 152.8 | (209) |
| Non-controlling interests | (3) | (44.2) | (6) |
| Net attributable profit (loss) | (531) | 147.0 | (215) |
| Balance sheets | 31-03-23 | ∆% | 31-12-22 |
|---|---|---|---|
| Cash, cash balances at central banks and other demand deposits | 566 | (33.9) | 856 |
| Financial assets designated at fair value | 2,427 | 1.5 | 2,390 |
| Of which: Loans and advances | — | — | — |
| Financial assets at amortized cost | 3,742 | 14.7 | 3,262 |
| Of which: Loans and advances to customers | 402 | 44.7 | 278 |
| Inter-area positions | — | — | — |
| Tangible assets | 1,754 | (5.8) | 1,863 |
| Other assets | 13,907 | (3.1) | 14,349 |
| Total assets/liabilities and equity | 22,396 | (1.4) | 22,719 |
| Financial liabilities held for trading and designated at fair value through profit or loss | 305 | 182.0 | 108 |
| Deposits from central banks and credit institutions | 698 | 2.4 | 682 |
| Deposits from customers | 186 | (0.2) | 187 |
| Debt certificates | (2,057) | 138.4 | (863) |
| Inter-area positions | 6,786 | (14.8) | 7,963 |
| Other liabilities | 5,918 | 47.5 | 4,011 |
| Regulatory capital allocated | (40,913) | 2.6 | (39,887) |
| Total equity | 51,471 | 1.9 | 50,517 |
Results
The Corporate Center recorded a net attributable profit of €-531m in the first quarter of the year 2023, compared with €-215m recorded in the same period of the previous year, mainly due to a negative contribution in the NTI line from exchange rate hedges as a result of better than expected currency performance, in particular the Mexican peso.
The Corporate Center's tax expense reflects the difference between the effective tax rate in the period for each business area and the Group's expected tax rate for the year as a whole. In this quarter the tax expense is negative basically due to the one-off positive effect of the tax change in Turkey.