CIXPF - CaixaBank S.A. (CAIXY) Q1 2024 Earnings Call Transcript
2024-04-30 17:14:02 ET
CaixaBank, S.A. (CAIXY)
Q1 2024 Results Conference Call
April 30, 2024 5:30 AM ET
Company Participants
Marta Noguer - Head of Investor and Shareholder Relations
Gonzalo Rotaeche - CEO & Executive Director
Javier Riera - Chief Financial Officer
Conference Call Participants
Francisco Riquel - Alantra
Maksym Mishyn - JB Capital
Ignacio Ulargui - BNP Paribas
Alvaro Serrano - Morgan Stanley
Sophie Peterson - JPMorgan
Britta Schmidt - Autonomous Research
Andrea Filtri - Mediobanca
Marta Sanchez - Citi
Ignacio Cerezo - UBS
Presentation
Marta Noguer
Good morning, and welcome to CaixaBank's results presentation for the first quarter of 2024. We are joined today by our CEO, Gonzalo Gortazar; and the CFO, Javier Pano. Just a brief reminder in terms of logistics for first-time viewers. We plan to spend about 30 minutes with a presentation in about 1 hour with a Q&A. The Q&A is live, and you should have received instructions by e-mail on how to participate. My team and I will be at your full disposal after the call as always. Without further ado, Gonzalo, the floor is yours.
Gonzalo Rotaeche
Thank you, Marta, and good morning, everybody. I get into the highlights of the quarter directly. -- good in terms of activity. Obviously, we've seen also now the GDP figures for Spain for the first quarter, which have also priced to the upside. And good figures from the Eurozone with respect to our expectations indeed as well. In that context, we had a pretty good quarter in terms of activity. You see in terms of new lending up 3.5% year-on-year, particularly you'll see later on in mortgages and consumer lending, doing very well. Wealth Management, up 4.4% in the 3 months year-to-date, good level of net inflows.
So a nice feeling in terms of commercial activity to start with. In terms of profitability, just above EUR1 billion, 17.5% growth in net income. Obviously, if you look at this year-on-year, it's NII that is driving the improvement with that 27.4%. But when you look at the detail, particularly of our fees and insurance revenues, you see wealth and protection growing 12% year-on-year, even quarter-on-quarter, if you adjust for the seasonality of the fourth quarter. There's also a good level of growth. So again, a good sense and short-term NII is the driver. -- mid-long term, obviously, the rest of the revenues are going to be a key driver as well.
Asset quality under control, 2.8% NPLs, we'll get in some more detail on convergent new definition of the fund later on. And most importantly, we keep a very high level of coverage of nonperforming loans. And then capital according to plan. Obviously, it's been a quarter we've paid dividend and the -- well, not in the quarter, but in April and also the share buyback is well underway. So in good course to meet our commitment, our €12 billion that we updated recently up from €9 billion in terms of generation of excess capital....
CaixaBank, S.A. (CAIXY) Q1 2024 Earnings Call Transcript