In the first quarter of 2024, BBVA, the Spanish bank, announced its earnings and reported a 19.1% increase compared to the same period last year. This growth was due to an increase in income, particularly in Spain and Mexico. The market responded positively to these figures, with a nearly 1% increase in the stock market in the early stages of the session.
BBVA’s growth follows a successful year in 2023 when favorable interest rate increases on both sides of the Atlantic boosted recurring income for banks. The bank has managed to achieve double-digit growth once again in the first quarter of 2024. The interest margin increased to 6,512 million euros, up by 15.4%, and net commissions rose by 31.1% to 1,887 million euros.
Despite this growth in profits, BBVA’s rate of growth has slowed somewhat compared to the previous year but is still expected to surpass its profit record from 2023. The bank continues to focus on efficiency and improving profitability metrics such as return on equity (ROE) and return on tangible capital (ROTE), which have both increased compared to the previous year.
In terms of territories, Mexico remains BBVA’s primary driver of profits, contributing 56.5% of total profits followed by Spain at 28.4%. BBVA’s performance in Mexico was particularly strong with a 12.6% increase in earnings compared to the first quarter of 2023 while Spain saw a significant improvement with a
