The second Spanish bank, the BBVAposted a sharply rising profit in the first quarter of 2022which it presented as the best result in its history, thanks to its improved profitability and the entry of many new customers.
The Spanish group -with a presence in South America, Mexico and Turkey- generated 1,651 million euros of attributed profit (about 1,740 million dollars) in the first quarter of 2022, which represents an increase of 36.4% compared to the figure at the beginning of 2021 (1,210 million euros).
This result, higher than the forecasts of the analysts asked by Facset, who projected 1,230 million euros of earnings, is “the best recurring result” in the history of BBVA, the group assures in a statement.
According to the bank, this dynamic is explained by the improvement in its profitability and the rise in its interest margins, which increased by 26.3% in one year to reach 4,160 million euros.
He further specified that has gained 2.4 million new customers in three months, a record figure, thanks mainly to its internet banking services.
Despite the complexity of the environment”, marked by tensions in the markets and the war in Ukraine, BBVA has been “favored by the positive evolution of the activity”, BBVA insisted in a statement.
The Spanish group also specified that it has benefited from the cost reduction policy linked to its restructuring plan.
In total, 2,935 jobs were cut and 480 agencies closed under this plan, designed to deal with the growing digitization of the banking sector, which records fewer and fewer over-the-counter transactions.
BBVA, which at the end of 2020 sold its subsidiary in the United States to the American group PNC Financial Services for 10 billion euros, decided to reinvest part of the money earned in the Turkish market.
The banking group thus launched a public purchase offer (OPA) on the remaining 50.15% of its Turkish subsidiary Garanti BBVA, for a total amount of almost 2,000 million euros. The operation should close in the coming weeks.