BKNIY - Bankinter S.A. (BKIMF) Q2 2024 Earnings Call Transcript
2024-07-18 19:59:01 ET
Bankinter, S.A. (BKIMF)
Q2 2024 Earnings Conference Call
July 18, 2024 03:00 AM ET
Company Participants
Gloria Portero - CEO
Jacobo Díaz - CFO
Conference Call Participants
Maksym Mishyn - JB Capital
Antonio Reale - Bank of America
Sofie Peterzens - JPMorgan
Francisco Riquel - Alantra
Alvaro Serrano - Morgan Stanley
Ignacio Ulargui - BNP Paribas Exane
Borja Ramirez - Citi
Britta Schmidt - Autonomous Research
Carlos Peixoto - CaixaBank BPI
Alberto Nigro - Mediobanca
Hugo Cruz - KBW
Presentation
Operator
Good morning. This is Laurie Shepard. On behalf of Investor Relations at Bankinter, it's our pleasure to welcome you all to the Bankinter's Earnings Call for the First Half of 2024. Please note that our related financial statements were posted with market authorities earlier this morning. This presentation is also available on our corporate website.
On today's call, we are joined again by Bankinter's Chief Executive Officer, Gloria Ortiz; and Chief Financial Officer, Jacobo Diaz. At the end of the presentation, they will be available to respond to questions in a live Q&A. [Operator Instructions] Please refer to disclaimer in the presentation and note that this call is being recorded.
I will now turn over to Gloria Ortiz to review highlights.
Gloria Portero
Thank you, Laurie, and good morning to everyone on the call. Before starting, I would like to emphasize that the results on this first half of 2024 are very satisfactory and show very significant growth in activity in all business and geographies in which we operate. Our first half of the year of intense commercial activity that translates into a result after tax of EUR473 million, 13% above that we reported in the first half of 2023. In addition, these results are supported by solid management ratios from return on capital through efficiency as well as all the ratios related to the bank risk profile.
Well, having made this preamble, I will start the presentation with a review of the highlights of the first half of 2024 and share with you some important trends in our commercial activity that drive growth in business volumes and revenues. Then, I will hand over to Jacobo to review in depth the financial results and the performance of our businesses across Spain, Portugal and Ireland.
Let's start with some key highlights on Page 5, where I would like to emphasize four key pillars that underpin our strategy. Firstly, we continue to differentiate ourselves through diversified business volume growth with our customers across the different segments as well as geographies. In this first half of the year, we have grown our loan book by 5.5%, our retail deposit base by 4% and we report a robust 20% increase in off balance sheet volumes as a result of a successful strategy of saving relocation from deposit to value added products.
Secondly, backed by the strong commercial activity, all the revenues in the income statement continued to grow. Net interest income rose by 9% compared to June 2023 despite the decline in Euribor in the period. Euribor was at 3.68% compared to 3.88% in the second quarter of 2023. This is 20 bps less. The growth of net interest income is supported by volume growth, the management of customer margins that remains stable and an active asset and liability management that has reduced the sensitivity of the balance sheet to rate movements. On the other hand, fee income grew by double digits, a solid 13% due to the good performance of off balance sheet funds and customer transactional activity....
Bankinter, S.A. (BKIMF) Q2 2024 Earnings Call Transcript