President of BBVA, Carlos Torres Vilahis bank this Monday “It will continue to grow” After incorporation in 2024 11 million new customers and upgrade your portfolio credit 8% until last September. He stated that the market expects interest rates The reference of central banks – crucial for the income of financial institutions – “go is gradually decreasing“, but “no one predicts rates will be lowered ultra low“From the years before the inflation crisis” but more normalized“.
In a conversation with an employee recorded this Monday and distributed by the organization (an unusual practice in the business world, which the bank has generally done once a year since 2020), the manager predicted: Spain will grow by 1.5 percent In 2024, “a lower rate than in 2023 (analysts predict it will be around 2.4%), but growth.” The bank also foresees economic expansion in the rest of its main markets: Mexican (like 3%), Türkiye (“We see a radical shift in economic policies aimed at correcting imbalances, including monetary policy”) and, to a lesser extent, South America, (“It will be a year of slower growth, but we also see long-term potential.”)
dividend
Torres stated the following: dividend Per share that BBVA will pay to its shareholders from 2023 results (to be announced on January 30) “clearly superior” Paid from 2022 results. 0.43 euro gross per share in cash based on results two years ago (39% more than in 2021 and the highest amount in 14 years), with two usual payments (€0.12 in October 2021 and €0.31 in April 2023). Regarding 2023 results, the group made its first advance payment of 0.16 cents last October. 33% more more than a year ago.
In this regard, the manager stated that BBVA I earned 24% more Until September. He also emphasized: buybacks The increase in shares in recent years has reduced the number of securities in circulation. %12. “With a growing profit, a decreasing number of shares and a dividend policy that remains constant, 40% and 50% of profitWe see clearly how the dividend per share ratio is going growing from year to year“, kept.
He also emphasized that his bank was the biggest riser on the Spanish stock market last year, rising “more than twice” that of its European rivals and the average European institution. “If we take into account the revaluation of shares and dividends, the increase in value per share for each of our shareholders in 2023 was 57 percent,” he said.
good for society
In this sense, the banker wanted to defend the sector against the coup. critics due to its strength in recent months. increases in profits: “I think we should stop seeing bad For companies to be profitable is a thing rather than a bad thing. good for societyleads to the welfare of society.” private investmentHe claimed that it provided economic growth; It is the banks that finance this investment; They need capital to finance this; and they need to be profitable to attract capital.
“We dedicate half of what we earn to three things: 120,000 salary people working in banks; pay off our debt supplierswhich also creates economic activity in society; and confront provisions credit. The other half of revenue, pre-tax profit, is distributed approximately as follows: approximately one-third is allocated to direct payments taxes; we go back to our other third 800,000 shareholdersmany are families and small savers; and approximately the last third is devoted to: reinvest “This way, we can continue to grow our credit and create a positive impact,” he said.