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1Q18 Corporate Presentation

BBVA's corporate presentation for the first quarter of 2018 outlines the company's vision and results. [BBVA's aspiration is to provide the best solutions that generate trust for customers through an easy and convenient experience either through digital channels or human interaction. The financial industry is undergoing significant changes with new regulations, technologies, and shifting customer needs and behaviors.]

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Corporate Presentation
First Quarter2018 BBVA Group
2 Disclaimer This document is only provided for information purposes and does not constitute, nor should it be interpreted as, an offer to sell or exchange or acquire, or an invitation for offers to buy securities issued by any of the aforementioned companies. Any decision to buy or invest in securities in relation to a specific issue must be made solely and exclusively on the basis of the information set out in the pertinent prospectus filed by the company in relation to such specific issue. No one who becomes aware of the information contained in this report should regard it as definitive, because it is subject to changes and modifications. This document contains or may contain forward looking statements (in the usual meaning and within the meaning of the US Private Securities Litigation Reform Act of 1995) regarding intentions, expectations or projections of BBVA or of its management on the date thereof, that refer to or incorporate various assumptions and projections, including projections about the future earnings of the business. The statements contained herein are based on our current projections, but the actual results may be substantially modified in the future by various risks and other factors that may cause the results or final decisions to differ from such intentions, projections or estimates. These factors include, without limitation, (1) the market situation, macroeconomic factors, regulatory, political or government guidelines, (2) domestic and international stock market movements, exchange rates and interest rates, (3) competitive pressures, (4) technological changes, (5) alterations in the financial situation, creditworthiness or solvency of our customers, debtors or counterparts. These factors could cause or result in actual events differing from the information and intentions stated, projected or forecast in this document or in other past or future documents. BBVA does not undertake to publicly revise the contents of this or any other document, either if the events are not as described herein, or if such events lead to changes in the information contained in this document. This document may contain summarised information or information that has not been audited, and its recipients are invited to consult the documentation and public information filed by BBVA with stock market supervisory bodies, in particular, the prospectuses and periodical information filed with the Spanish Securities Exchange Commission (CNMV) and the Annual Report on Form 20-F and information on Form 6-K that are filed with the US Securities and Exchange Commission. Distribution of this document in other jurisdictions may be prohibited, and recipients into whose possession this document comes shall be solely responsible for informing themselves about, and observing any such restrictions. By accepting this document you agree to be bound by the foregoing restrictions.
3 1. About BBVA 2. Vision and aspiration 3. BBVA transformation journey 4. Results’ highlights Index
01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions 01. About BBVA
5 BBVA’s global presence South America Argentina Bolivia Brazil Chile Colombia Paraguay Peru Uruguay Venezuela North America USA Mexico Asia - Pacific China Hong Kong Japan Singapore € 685 billion intotal assets 73 millioncustomers 8,20 0 branches 31,60 2 ATMs 131,745 employees Data as of 31st of March 2018. Those countries in which BBVA has no legal entity or the volume of activity is not significant are not included Europe Belgium Cyprus France Finland Germany Holland Italy Ireland Luxembourg Malta Portugal Romania Spain Switzerland Turkey U.K. >30 countries 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
6 More than 150 years of history BBVA is the result of the merger of two major Spanish banking institutions 19991988 1998 Banco BilbaoVizcaya Argentaria Corporación Bancaria de España Caja Postal Bco. Exterior Bco. Hipotecario Banco deBilbao Banco deVizcaya 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
7 20 14 Simple (USA) 20 15 Sale of CIFH’s stake to CNCB (China) Sale of CNCB’s 4.9% (China) Catalunya Banc (Spain) Acquisition of an additional stake in Turkiye Garanti Bankasi (Turkey) Acquisition of a 29.5% stake in Atom (UK) 20 16 Holvi (Finland) Sale of C NC B ´ s 1.12% (China) Sale of GarantiBank Moscow AO (Moscow) OpenPay (Mexico) 20 17 Sale of CNCB (China) Acquisition of an additional stake in Turkiye Garanti Bankasi of 9.95% (Turkey) Agreement for the sale of the stake in BBVA Chile to The Bank of Nova Scotia (Chile) Agreement with Cerberus totransfer the Real Estate Business (Spain) More than 150 years of history 1995 Banco Continental (Peru) Probursa (México) 1996 Banco Ganadero (Colombia) Bancos Cremi and Oriente (Mexico) Banco Francés (Argentina) 1997 Banco Provincial (Venezuela) B.C. Argentino (Argentina) 1998 Poncebank (PuertoRico) Banco Excel (Brazil) Banco BHIF (Chile) 1999 Provida (Chile) Consolidar (Argentina) 2000 Bancomer (Mexico) 2004 Valley Bank (USA) Laredo (USA) Public takeover offerfor Bancomer (Mexico) 2005 Granahorrar (Colombia) Hipotecaria Nacional (Mexico) 2006 Texas Regional Bancshares (USA) Forum Servicios Financieros(Chile) State National Bancshares (USA) CITIC (China) 2007 Compass (USA) 2008 Extended CITIC agreement (China) 2009 Guaranty Bank (USA) 2010 New extension CITIC agreement (China) Turkiye Garanti Bankasi (Turkey) 2011 Extension of Forum SF agreement (Chile) Credit Uruguay (Uruguay) 2012 Sale of Puerto Rico Unnim Banc (Spain) 2013 Sale of (Panama) Sale of pension business in (Latam) Sale of CNCB’s 5.1% (China) BBVA had significant growth since 199501 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
8 Main figures 1Q18 3,117 Operatingincome 1,340 Netattributable profit 6,096 Gross income 51,823 Totalequity 381,683 Loans and advances to customers - gross 685,441 Totalassets 360,213 Deposits from customers Earnings (€m) Balance sheet (€m) For more information click here Efficiency 48.9% Efficiencyratio 4.4% NPL ratio 73% Coverageratio Risk management 11.1% Phased-in 11.5% Fully-loaded(*) Solvency – CET1 Ratio (*) Proforma: Sale of BBVA Chile and RE Assets to Cerberus included (+57 bps ) 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
9 BBVA share Listed on the main international stock markets BBVA’s capital ownershipis well diversified Shareholder breakdown B anks 1.7% Institutions 6.5% Employees 2.6% Individuals 33.2% Resident 44.0% Non-resident 56.0% #shareholders 890,146 L ONDON MADRIDNEW YORK MEXIC O CITY For more information click here Weighting (31/03/2018) 8.4% IBEX 35 1.9% Euro Stoxx 50 8.1% Euro Stoxx Banks 4.1% Stoxx Europe 600 Banks Figures as of 31st March2018 Number of sharesissued 6,668m Tangible book value per share 5.58€ Closing price 6.43€ Market capitalization 42,868€m 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
10 Organizational chart Corporate& Investment Banking Juan Asúa CountryMonitoring1 Jorge Sáenz-Azcúnaga Talent& Culture Ricardo Forcano Engineering Ricardo Moreno Finance Jaime SáenzdeTejada Global Risk Management Rafael Salinas Legal & Compliance Eduardo Arbizu Strategy& M&A Javier RodríguezSoler Accounting & Supervisors Ricardo Gómez Barredo Communications Paul G. Tobin GeneralSecretary Domingo Armengol Internal Audit José Luis de los Santos Customer Solutions2 Derek White Spain Cristina deParias CEO CarlosTorres Vila GROUP EXECUTIVE CHAIRMAN Francisco González EXECUTION & PERFORMANCE NEW CORE COMPETENCIES RISK &FINANCE STRATEGY & CONTROL Global Economics Regulation & Public Affairs José Manuel González-Páramo Mexico Eduardo Osuna Data DavidPuente USA Onur Genç Turkey Fuat Erbil (1) Reporting channel to CEO for Argentina, Colombia, Chile, Peru, Venezuela, Uruguay and Paraguay, as well as monitoring of all countries, including Spain, Mexico, Turkey and USA (2) Integrates Global Products & Digital Sales; Design & Marketing; Data & Open Innovation; Business Development in Spain, Mexico, Turkey, USA and South America; Distribution model; Asset Management & Global Wealth and New Digital Businesses. 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
11 Our team Our team is the cornerstone of our transformation, helping BBVA deliver the best customer experience anywhere. We are creating a culture, environment and ways of working where the customer is at the center of everything we do BBVA GROUP: 131,745 employees USA 10 ,977 Mexico SouthAmerica Spain Turkey 37,439 29,183 30 ,622 20,875 Rest of Eurasia 2,649 Age average:38 years 46% 54% Note 1:Figures as of 31st of March 2018 Note 2: Criteria for number of employees is based on location 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
12 Presence in social media Note: as of 31st of March 2018 Followers in social media 37,260,655 Facebook 29,968,118 BBVA’s commitment is to be where the people are, to listen and understand their needs and dreams. This is the reason that makes BBVA a cutting-edge entity in social media Number of followers Twitter 5,366,158 YouTube 342,944 Google+ 279,680 Instagram 502,801 L inkedIn 800,954 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
13 At BBVA we create a positive impact in people’s life and on society Growth and Welfare Contribution Wealth Generation Direct Contribution to Society Sustainable Development Contribution Pledge 2025 Entrepreneurship 131,856 EMPLOYEES 5,163€min wages and salaries 115,021€m IN HO USES FINANCED by BBVA 9,881€m TA XES ACCRUED and collectedbyBBVA’s business activity 8,1 MILLIONS PEOPLE BENEFITED from financial inclusion 51,685 SUPPLIERS invoicing 7,555€m 33,985€m IN PENSION FUNDS managed byBBVA Knowledge 100,000€m Mobilized for sustainable finance 2018-2025 103 €m Allocated to social programs Financial Education Center for Financial Education & Capability Note: as of 31st of December 2017 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
14 Awards and recognitions Once more, BBVA’s differentiated management has been recognized #1 mobilebanking Europe #1in 2017 Online Banking Functionality Benchmark in Europe chooses BBVA Bancomer and Garanti Bank as the best digital banks in Mexico and Turkey 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration 02. Vision and aspiration
16 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration Reshape of the financial industry Regulatory pressure and the impact inprofitability New players are entering the value chain Banks ROE Evolution1 (%) 15.8% -3.0 % 5.6% 7.0 % 2.7% 1.5% 4.0 % 1.7% 4.4% 2.4% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Transforming technologies and use of data Big Data Biometrics Cloud I.A.2 Blockchain Data processing (1) Source: BBVA; Banks in peer group: Santander, Deutsche, Commerzbank, BNPP, SocGen, CASA, Intesa, Unicredit, HSBC, Barclays, Royal Bank of Scotland, Lloyds, UBS y Credit Suisse, Citigroup, Bank of America, J P Morgan y Wells Fargo (2) Artificial Intelligence
17 Shifting customers and needs Shifting customers and needs Banking anytime, anywhere Used to digital experiences Expect proactive and personalized help in their finance management Interaction with multiple devices and applications Seeking the best experiences for each of their banking needs 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration
18 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration Our aspiration Providing the best solutions that generate trust for our customers, being clear, transparent and based on integrity Through an easy and convenient experience: DIY through digital channelsor human interaction Strengthening the relationship with the customer Helping our customers to make the best financial decisions offering relevant advice Redefining our Value Proposition based on customer experience and trust
01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values 03. BBVA transformation journey
20 We are BBVA. We create opportunities Defined strategic path New standard incustomer experience Digital sales New business models Optimize capital allocation Unrivaled efficiency A first class workforce Six Strategic PrioritiesOur Purpose To bring theage of opportunity to everyone 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
21 Outstanding trend of digital sales in all markets (% of total sales YtD, # of transactions) S PAIN USA (*) 24.1 41.8 Mar-17 Mar-18 MEXICO 22.4 Mar-17 Mar-18 16.1 19.8 Mar-17 Mar-18 TURKEY 31.0 38.7 Mar-17 Mar-18 SOUTH AMERICA 46.2 36.7 21.5 Mar-17 Mar-18 GROUP 13.7 31.1 Mar-17 Mar-18 Figures have been restated due to change in the inclusion of some products (*) Excludes ClearSpend Debit cards 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
22 Digital sales driven by DIY and customer experience DIY availability Enhanced usability Digital Pension Plan Turkey Baby Planner BBVA Valora México Colombia BBVA Invest Bconomy DLT Corporate Loan Origination Note: DIY availability: % of units sold that can be purchased digitally Digital sales contribution (Jan– Mar) From To Paper basedprocess 1Document, 32 page 12 Signatures Digital process (web&mobile) 2 document links 2 digital approvals Approximately 30 minutes Approximately 1 minute New functionalities Positive impact on people’s lives and businesses X 1083% 92% 1Q17 1Q18 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
23 Digital sales boost total sales and improve efficiency 1Q17 1Q182017 1Q18 29% Digital sales 59% Digital sales Non-Digital sales Non-Digital sales +16% x15 Total sales increase Express Personal Loan New Production USA (Monthly average production, units,% of total units) + 47% Migration to more efficient channels Click&Pay Lines of Credit SmallBusiness Spain (YtD units,% of total units) + 3 3 % + 325% 10% Digital sales 5% Digital sales 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
24 Growth in digital and mobile customers 13.5 19.3 Mar-17 Mar-18 + 2 5 % 24.0 19.1 Mar-17 Mar-18 PENETRATION 38% 45% Mobile Customers (Mn, %penetration) + 43% PENETRATION 26% 36% Goal: 50% tipping point of digital customers in 2018 and mobilecustomers in 2019 Digital Customers (Mn, %penetration) 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
25 Digital customers are more loyal and engaged Attrition rate (Last 12M) (*) Group: Spain, USA, Mexico , Turkey, Argentina, Colombia and Peru (**) South America: data of attrition in Argentina, Colombia and Peru Note: Attrition rate calculated based on change in customers from Mar17 to Mar18, excluding new customers during this period Group* -57% Non Digital Digital Spain -43% Non Digital Digital USA -23% Non Digital Digital Mexico -76% Non Digital Digital Turkey -55% Non Digital Digital South America** -42% Non Digital Digital Significant mobile interactions increase Spain (# Customers monthly interactions) x2 1x every2days ~1x perweek May.16 Mar.18 Web <1x Branch permonth App 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
26 New business models BBVA Apimarket Acquisitions Investments Internal Ventures 39% stake Minority stake Leveraging the FinTech ecosystem todevelop our valueproposition 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
27 Our Values Customer comes first We think big We are one team We areempathetic We haveintegrity We meet their needs We areambitious We break the mold We amaze our customers Itrust others Iam BBVA Iam committed 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
28 Zero tolerance against low quality New ways of working: Agile, collaborative tools, Communities of Practice New headquarters Collaborative culture, entrepreneurship Leaner structures We aretransforming the organization internally by fostering a new culture Cultural change 28 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’highlights Highlights Business areas 1Q18 04. Results’ highlights
30 1. About BBVA 2. Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 Highlights Business areas NET ATTRIBUTABLEPROFIT 1,340€m +11.8%vs1Q17 +22.3% constant€ 1Q18 Highlights Strong core revenue growth Efficiency improvement Sound risk indicators Strong capitalposition RISKS Risk indicatorsimprovement SOUND A S S ET QUALITY Cost of risk improvement CAPITAL Solid capitalratios NPL RATIO 4.4% COST OF RISK YTD 0.85% LEVERAGE RATIO 6.4% FULLY-LOADED CET 1RATIO 11.13% PHASED-IN COVERAGE RATIO 73% IMPAIRMENTS (Financial Assets + RE) 800 constant €m FULLY-LOADED (*) 11.47% GROSS INCOME 6,096 €m -4.5% vs 1Q17 +4.2% constant € OPERATING INCOME 3,117€m -4.0% vs1Q17 +5.1% constant € (*) Proforma: Sale of BBVA Chile and RE Assets to Cerberus included (+57 bps )
31 1. About BBVA 2. Vision and aspiration 3. BBVA 04 Results’ highlights 1Q18 Profit & Loss transformation Net Fees and Commissions 1,236 1.1 9.8 journey Net Trading Income 410 -40.6 -38.5 Other Income & Expenses 162 11.2 19.1 Highlights Business areas B B V A Group (€m) Change 1Q18/1Q17 1Q18 % % constant Net Interest Income 4,288 -0.8 9.3 Gross Income 6,096 -4.5 4.2 Operating Expenses -2,979 -5.0 3.2 Operating Income 3,117 -4.0 5.1 Impairment on Financial Assets -823 -12.9 -5.2 Provisions and Other Gains and Losses -58 -75.5 -75.4 Income Before Tax 2,237 8.3 20.1 Income Tax -611 6.5 17.3 Net Income 1,626 9.0 21.1 Non-controlling Interest -286 -2.2 15.8 Net Attributable Profit 1,340 11.8 22.3
1. About BBVA 2. Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 Business areas NET ATTRIBUTABLE PROFIT (1Q18) 437 €m +17.3% vs.1Q17 Activity: Loan growth in high profitable segments and a successful price management Core revenue growth (+1.1% yoy) Costs continue to go down and efficiency improves Asset quality improvement: CoR better than expected due to provision releases Cerberus JV to reduce almost entirely our exposure to REOs. Transaction expected to be closed in3Q18 Significant reduction in net losses in 1Q18 NET ATTRIBUTABLE PROFIT (1Q18) 195 €m +74.1% vs.1Q17 98% vs. 106% 1Q17 NII growth at midteens Positive jaws and efficiency improvement CoR much better than expected thanks to provision releases and a positive IFRS9 macro adjustment Upward trend in profitability USA constant € NPL RATIO1 5.4%vs. 6.0% 1Q17 COVERAGE RATIO 57%vs. 53% 1Q17 NPL RATIO 1.2%vs. 1.3% 1Q17 COVERAGE RATIO SPAIN Banking activity NON CORE REAL ESTATE NET EXPOSURE -34.1% vs. Mar.17 NET ATTRIBUTABLE PROFIT (1Q18) -27 €m -75.0% vs.1Q17 32 Highlights Business areas Note: NPL and Coverage ratio of 1Q18under IFRS9 standards, 2017 figures under IAS 39 (1) NPL ratio exclude repos
1. About BBVA 2. Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 33 Business areas NET ATTRIBUTABLE PROFIT (1Q18) 201 €m +49.7% vs. 1Q17 TL loan portfolio growing at double digit and excellent price management Sound core revenuegrowth Focus on cost control: opex growth <inflation CoR increase explained by commercial portfolio and negative IFRS 9 adjustment NET ATTRIBUTABLE PROFIT (1Q18) 571€m +12.5% vs.1Q17 NII growth at high single digit yoy, in line with expectations Positive jaws maintained and efficiency improvement Asset quality indicators continue to improve: coverage increase explained by IFRS9 and CoR better thanexpected Double digitbottom line growth NET ATTRIBUTABLE PROFIT (1Q18) 210 €m +33.4% vs. 1Q17 NPL RATIO 3.6% vs. 3.3% 1Q17 COVERAGE RATIO 93%vs. 96% 1Q17 Sound growth in all P&L lines Loan growth accelerating to double digits, supported mainly by Argentina and also Colombia Positive operating jaws CoR better than expectations SOUTH AMERICA constant € MEXICO constant € TURKEY constant € NPL RATIO 3.7%vs. 2.6% 1Q17 COVERAGE RATIO 86% vs. 128% 1Q17 NPL RATIO 2.1%vs. 2.3% 1Q17 COVERAGE RATIO 153%vs. 129% 1Q17 Highlights Business areas Note: NPL and Coverage ratio of 1Q18under IFRS9 standards, 2017 figures under IAS 39
34 1. About BBVA 2. Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 CIB – 1Q18 Results Highlights Business areas -1.1% Business activity (constant €, % YtD) LENDING 55 €bn CUSTOMER FUNDS 40 €bn -10.5% -6.2% Results (constant €, % YoY) GROSS INCOME 773 €m OPERATING INCOME 515 €m -8.5% NET ATTRIBUTABLE PROFIT 309 €m -7.0% -4.0% Client’s revenue (constant €, % YoY) 670 €m Wholesale banking recurrent business1 % ofrevenues given by our relations with clients 87% Slight decline in lending volume specially in Europe and USA Positive trend in profit after taxes, above the average of the last 3 quarters, supported by the transactional activity and trading results, staff and discretionary cost control, and lower levels of provisions. YoY affected this quarter due to one-off revenues in 1Q17 Positive trend in risk indicators (decrease of cost of risk due to release of provisions in the quarter) (1) Client’s revenue / Gross income Note: All data includes Venezuela and Turkey
First Quarter2018 BBVA Group

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1Q18 Corporate Presentation

  • 1.
  • 2.
  • 3.
    2 Disclaimer This document isonly provided for information purposes and does not constitute, nor should it be interpreted as, an offer to sell or exchange or acquire, or an invitation for offers to buy securities issued by any of the aforementioned companies. Any decision to buy or invest in securities in relation to a specific issue must be made solely and exclusively on the basis of the information set out in the pertinent prospectus filed by the company in relation to such specific issue. No one who becomes aware of the information contained in this report should regard it as definitive, because it is subject to changes and modifications. This document contains or may contain forward looking statements (in the usual meaning and within the meaning of the US Private Securities Litigation Reform Act of 1995) regarding intentions, expectations or projections of BBVA or of its management on the date thereof, that refer to or incorporate various assumptions and projections, including projections about the future earnings of the business. The statements contained herein are based on our current projections, but the actual results may be substantially modified in the future by various risks and other factors that may cause the results or final decisions to differ from such intentions, projections or estimates. These factors include, without limitation, (1) the market situation, macroeconomic factors, regulatory, political or government guidelines, (2) domestic and international stock market movements, exchange rates and interest rates, (3) competitive pressures, (4) technological changes, (5) alterations in the financial situation, creditworthiness or solvency of our customers, debtors or counterparts. These factors could cause or result in actual events differing from the information and intentions stated, projected or forecast in this document or in other past or future documents. BBVA does not undertake to publicly revise the contents of this or any other document, either if the events are not as described herein, or if such events lead to changes in the information contained in this document. This document may contain summarised information or information that has not been audited, and its recipients are invited to consult the documentation and public information filed by BBVA with stock market supervisory bodies, in particular, the prospectuses and periodical information filed with the Spanish Securities Exchange Commission (CNMV) and the Annual Report on Form 20-F and information on Form 6-K that are filed with the US Securities and Exchange Commission. Distribution of this document in other jurisdictions may be prohibited, and recipients into whose possession this document comes shall be solely responsible for informing themselves about, and observing any such restrictions. By accepting this document you agree to be bound by the foregoing restrictions.
  • 4.
    3 1. About BBVA 2.Vision and aspiration 3. BBVA transformation journey 4. Results’ highlights Index
  • 5.
    01 About BBVA 02Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions 01. About BBVA
  • 6.
    5 BBVA’s global presence SouthAmerica Argentina Bolivia Brazil Chile Colombia Paraguay Peru Uruguay Venezuela North America USA Mexico Asia - Pacific China Hong Kong Japan Singapore € 685 billion intotal assets 73 millioncustomers 8,20 0 branches 31,60 2 ATMs 131,745 employees Data as of 31st of March 2018. Those countries in which BBVA has no legal entity or the volume of activity is not significant are not included Europe Belgium Cyprus France Finland Germany Holland Italy Ireland Luxembourg Malta Portugal Romania Spain Switzerland Turkey U.K. >30 countries 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 7.
    6 More than 150years of history BBVA is the result of the merger of two major Spanish banking institutions 19991988 1998 Banco BilbaoVizcaya Argentaria Corporación Bancaria de España Caja Postal Bco. Exterior Bco. Hipotecario Banco deBilbao Banco deVizcaya 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 8.
    7 20 14 Simple(USA) 20 15 Sale of CIFH’s stake to CNCB (China) Sale of CNCB’s 4.9% (China) Catalunya Banc (Spain) Acquisition of an additional stake in Turkiye Garanti Bankasi (Turkey) Acquisition of a 29.5% stake in Atom (UK) 20 16 Holvi (Finland) Sale of C NC B ´ s 1.12% (China) Sale of GarantiBank Moscow AO (Moscow) OpenPay (Mexico) 20 17 Sale of CNCB (China) Acquisition of an additional stake in Turkiye Garanti Bankasi of 9.95% (Turkey) Agreement for the sale of the stake in BBVA Chile to The Bank of Nova Scotia (Chile) Agreement with Cerberus totransfer the Real Estate Business (Spain) More than 150 years of history 1995 Banco Continental (Peru) Probursa (México) 1996 Banco Ganadero (Colombia) Bancos Cremi and Oriente (Mexico) Banco Francés (Argentina) 1997 Banco Provincial (Venezuela) B.C. Argentino (Argentina) 1998 Poncebank (PuertoRico) Banco Excel (Brazil) Banco BHIF (Chile) 1999 Provida (Chile) Consolidar (Argentina) 2000 Bancomer (Mexico) 2004 Valley Bank (USA) Laredo (USA) Public takeover offerfor Bancomer (Mexico) 2005 Granahorrar (Colombia) Hipotecaria Nacional (Mexico) 2006 Texas Regional Bancshares (USA) Forum Servicios Financieros(Chile) State National Bancshares (USA) CITIC (China) 2007 Compass (USA) 2008 Extended CITIC agreement (China) 2009 Guaranty Bank (USA) 2010 New extension CITIC agreement (China) Turkiye Garanti Bankasi (Turkey) 2011 Extension of Forum SF agreement (Chile) Credit Uruguay (Uruguay) 2012 Sale of Puerto Rico Unnim Banc (Spain) 2013 Sale of (Panama) Sale of pension business in (Latam) Sale of CNCB’s 5.1% (China) BBVA had significant growth since 199501 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 9.
    8 Main figures 1Q18 3,117 Operatingincome 1,340 Netattributableprofit 6,096 Gross income 51,823 Totalequity 381,683 Loans and advances to customers - gross 685,441 Totalassets 360,213 Deposits from customers Earnings (€m) Balance sheet (€m) For more information click here Efficiency 48.9% Efficiencyratio 4.4% NPL ratio 73% Coverageratio Risk management 11.1% Phased-in 11.5% Fully-loaded(*) Solvency – CET1 Ratio (*) Proforma: Sale of BBVA Chile and RE Assets to Cerberus included (+57 bps ) 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 10.
    9 BBVA share Listed onthe main international stock markets BBVA’s capital ownershipis well diversified Shareholder breakdown B anks 1.7% Institutions 6.5% Employees 2.6% Individuals 33.2% Resident 44.0% Non-resident 56.0% #shareholders 890,146 L ONDON MADRIDNEW YORK MEXIC O CITY For more information click here Weighting (31/03/2018) 8.4% IBEX 35 1.9% Euro Stoxx 50 8.1% Euro Stoxx Banks 4.1% Stoxx Europe 600 Banks Figures as of 31st March2018 Number of sharesissued 6,668m Tangible book value per share 5.58€ Closing price 6.43€ Market capitalization 42,868€m 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 11.
    10 Organizational chart Corporate& InvestmentBanking Juan Asúa CountryMonitoring1 Jorge Sáenz-Azcúnaga Talent& Culture Ricardo Forcano Engineering Ricardo Moreno Finance Jaime SáenzdeTejada Global Risk Management Rafael Salinas Legal & Compliance Eduardo Arbizu Strategy& M&A Javier RodríguezSoler Accounting & Supervisors Ricardo Gómez Barredo Communications Paul G. Tobin GeneralSecretary Domingo Armengol Internal Audit José Luis de los Santos Customer Solutions2 Derek White Spain Cristina deParias CEO CarlosTorres Vila GROUP EXECUTIVE CHAIRMAN Francisco González EXECUTION & PERFORMANCE NEW CORE COMPETENCIES RISK &FINANCE STRATEGY & CONTROL Global Economics Regulation & Public Affairs José Manuel González-Páramo Mexico Eduardo Osuna Data DavidPuente USA Onur Genç Turkey Fuat Erbil (1) Reporting channel to CEO for Argentina, Colombia, Chile, Peru, Venezuela, Uruguay and Paraguay, as well as monitoring of all countries, including Spain, Mexico, Turkey and USA (2) Integrates Global Products & Digital Sales; Design & Marketing; Data & Open Innovation; Business Development in Spain, Mexico, Turkey, USA and South America; Distribution model; Asset Management & Global Wealth and New Digital Businesses. 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 12.
    11 Our team Our teamis the cornerstone of our transformation, helping BBVA deliver the best customer experience anywhere. We are creating a culture, environment and ways of working where the customer is at the center of everything we do BBVA GROUP: 131,745 employees USA 10 ,977 Mexico SouthAmerica Spain Turkey 37,439 29,183 30 ,622 20,875 Rest of Eurasia 2,649 Age average:38 years 46% 54% Note 1:Figures as of 31st of March 2018 Note 2: Criteria for number of employees is based on location 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 13.
    12 Presence in socialmedia Note: as of 31st of March 2018 Followers in social media 37,260,655 Facebook 29,968,118 BBVA’s commitment is to be where the people are, to listen and understand their needs and dreams. This is the reason that makes BBVA a cutting-edge entity in social media Number of followers Twitter 5,366,158 YouTube 342,944 Google+ 279,680 Instagram 502,801 L inkedIn 800,954 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 14.
    13 At BBVA wecreate a positive impact in people’s life and on society Growth and Welfare Contribution Wealth Generation Direct Contribution to Society Sustainable Development Contribution Pledge 2025 Entrepreneurship 131,856 EMPLOYEES 5,163€min wages and salaries 115,021€m IN HO USES FINANCED by BBVA 9,881€m TA XES ACCRUED and collectedbyBBVA’s business activity 8,1 MILLIONS PEOPLE BENEFITED from financial inclusion 51,685 SUPPLIERS invoicing 7,555€m 33,985€m IN PENSION FUNDS managed byBBVA Knowledge 100,000€m Mobilized for sustainable finance 2018-2025 103 €m Allocated to social programs Financial Education Center for Financial Education & Capability Note: as of 31st of December 2017 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 15.
    14 Awards and recognitions Oncemore, BBVA’s differentiated management has been recognized #1 mobilebanking Europe #1in 2017 Online Banking Functionality Benchmark in Europe chooses BBVA Bancomer and Garanti Bank as the best digital banks in Mexico and Turkey 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights BBVA’s global presence History of BBVA Main figures BBVA share Organizational chart Our team Presence in social media Social commitment Awards andrecognitions
  • 16.
    01 About BBVA 02Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration 02. Vision and aspiration
  • 17.
    16 01 About BBVA 02Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration Reshape of the financial industry Regulatory pressure and the impact inprofitability New players are entering the value chain Banks ROE Evolution1 (%) 15.8% -3.0 % 5.6% 7.0 % 2.7% 1.5% 4.0 % 1.7% 4.4% 2.4% 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Transforming technologies and use of data Big Data Biometrics Cloud I.A.2 Blockchain Data processing (1) Source: BBVA; Banks in peer group: Santander, Deutsche, Commerzbank, BNPP, SocGen, CASA, Intesa, Unicredit, HSBC, Barclays, Royal Bank of Scotland, Lloyds, UBS y Credit Suisse, Citigroup, Bank of America, J P Morgan y Wells Fargo (2) Artificial Intelligence
  • 18.
    17 Shifting customers andneeds Shifting customers and needs Banking anytime, anywhere Used to digital experiences Expect proactive and personalized help in their finance management Interaction with multiple devices and applications Seeking the best experiences for each of their banking needs 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration
  • 19.
    18 01 About BBVA 02Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Vision of the financial industry Our aspiration Our aspiration Providing the best solutions that generate trust for our customers, being clear, transparent and based on integrity Through an easy and convenient experience: DIY through digital channelsor human interaction Strengthening the relationship with the customer Helping our customers to make the best financial decisions offering relevant advice Redefining our Value Proposition based on customer experience and trust
  • 20.
    01 About BBVA 02Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values 03. BBVA transformation journey
  • 21.
    20 We are BBVA.We create opportunities Defined strategic path New standard incustomer experience Digital sales New business models Optimize capital allocation Unrivaled efficiency A first class workforce Six Strategic PrioritiesOur Purpose To bring theage of opportunity to everyone 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 22.
    21 Outstanding trend ofdigital sales in all markets (% of total sales YtD, # of transactions) S PAIN USA (*) 24.1 41.8 Mar-17 Mar-18 MEXICO 22.4 Mar-17 Mar-18 16.1 19.8 Mar-17 Mar-18 TURKEY 31.0 38.7 Mar-17 Mar-18 SOUTH AMERICA 46.2 36.7 21.5 Mar-17 Mar-18 GROUP 13.7 31.1 Mar-17 Mar-18 Figures have been restated due to change in the inclusion of some products (*) Excludes ClearSpend Debit cards 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 23.
    22 Digital sales drivenby DIY and customer experience DIY availability Enhanced usability Digital Pension Plan Turkey Baby Planner BBVA Valora México Colombia BBVA Invest Bconomy DLT Corporate Loan Origination Note: DIY availability: % of units sold that can be purchased digitally Digital sales contribution (Jan– Mar) From To Paper basedprocess 1Document, 32 page 12 Signatures Digital process (web&mobile) 2 document links 2 digital approvals Approximately 30 minutes Approximately 1 minute New functionalities Positive impact on people’s lives and businesses X 1083% 92% 1Q17 1Q18 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 24.
    23 Digital sales boosttotal sales and improve efficiency 1Q17 1Q182017 1Q18 29% Digital sales 59% Digital sales Non-Digital sales Non-Digital sales +16% x15 Total sales increase Express Personal Loan New Production USA (Monthly average production, units,% of total units) + 47% Migration to more efficient channels Click&Pay Lines of Credit SmallBusiness Spain (YtD units,% of total units) + 3 3 % + 325% 10% Digital sales 5% Digital sales 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 25.
    24 Growth in digitaland mobile customers 13.5 19.3 Mar-17 Mar-18 + 2 5 % 24.0 19.1 Mar-17 Mar-18 PENETRATION 38% 45% Mobile Customers (Mn, %penetration) + 43% PENETRATION 26% 36% Goal: 50% tipping point of digital customers in 2018 and mobilecustomers in 2019 Digital Customers (Mn, %penetration) 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 26.
    25 Digital customers aremore loyal and engaged Attrition rate (Last 12M) (*) Group: Spain, USA, Mexico , Turkey, Argentina, Colombia and Peru (**) South America: data of attrition in Argentina, Colombia and Peru Note: Attrition rate calculated based on change in customers from Mar17 to Mar18, excluding new customers during this period Group* -57% Non Digital Digital Spain -43% Non Digital Digital USA -23% Non Digital Digital Mexico -76% Non Digital Digital Turkey -55% Non Digital Digital South America** -42% Non Digital Digital Significant mobile interactions increase Spain (# Customers monthly interactions) x2 1x every2days ~1x perweek May.16 Mar.18 Web <1x Branch permonth App 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 27.
    26 New business models BBVAApimarket Acquisitions Investments Internal Ventures 39% stake Minority stake Leveraging the FinTech ecosystem todevelop our valueproposition 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 28.
    27 Our Values Customer comesfirst We think big We are one team We areempathetic We haveintegrity We meet their needs We areambitious We break the mold We amaze our customers Itrust others Iam BBVA Iam committed 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 29.
    28 Zero tolerance againstlow quality New ways of working: Agile, collaborative tools, Communities of Practice New headquarters Collaborative culture, entrepreneurship Leaner structures We aretransforming the organization internally by fostering a new culture Cultural change 28 01 About BBVA 02 Vision and aspiration 03 BBVA transformation journey 04 Results’ highlights Strategic path Progress in our transformation Our values
  • 30.
    01 About BBVA 02Vision and aspiration 03 BBVA transformation journey 04 Results’highlights Highlights Business areas 1Q18 04. Results’ highlights
  • 31.
    30 1. About BBVA 2.Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 Highlights Business areas NET ATTRIBUTABLEPROFIT 1,340€m +11.8%vs1Q17 +22.3% constant€ 1Q18 Highlights Strong core revenue growth Efficiency improvement Sound risk indicators Strong capitalposition RISKS Risk indicatorsimprovement SOUND A S S ET QUALITY Cost of risk improvement CAPITAL Solid capitalratios NPL RATIO 4.4% COST OF RISK YTD 0.85% LEVERAGE RATIO 6.4% FULLY-LOADED CET 1RATIO 11.13% PHASED-IN COVERAGE RATIO 73% IMPAIRMENTS (Financial Assets + RE) 800 constant €m FULLY-LOADED (*) 11.47% GROSS INCOME 6,096 €m -4.5% vs 1Q17 +4.2% constant € OPERATING INCOME 3,117€m -4.0% vs1Q17 +5.1% constant € (*) Proforma: Sale of BBVA Chile and RE Assets to Cerberus included (+57 bps )
  • 32.
    31 1. About BBVA 2.Vision and aspiration 3. BBVA 04 Results’ highlights 1Q18 Profit & Loss transformation Net Fees and Commissions 1,236 1.1 9.8 journey Net Trading Income 410 -40.6 -38.5 Other Income & Expenses 162 11.2 19.1 Highlights Business areas B B V A Group (€m) Change 1Q18/1Q17 1Q18 % % constant Net Interest Income 4,288 -0.8 9.3 Gross Income 6,096 -4.5 4.2 Operating Expenses -2,979 -5.0 3.2 Operating Income 3,117 -4.0 5.1 Impairment on Financial Assets -823 -12.9 -5.2 Provisions and Other Gains and Losses -58 -75.5 -75.4 Income Before Tax 2,237 8.3 20.1 Income Tax -611 6.5 17.3 Net Income 1,626 9.0 21.1 Non-controlling Interest -286 -2.2 15.8 Net Attributable Profit 1,340 11.8 22.3
  • 33.
    1. About BBVA 2.Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 Business areas NET ATTRIBUTABLE PROFIT (1Q18) 437 €m +17.3% vs.1Q17 Activity: Loan growth in high profitable segments and a successful price management Core revenue growth (+1.1% yoy) Costs continue to go down and efficiency improves Asset quality improvement: CoR better than expected due to provision releases Cerberus JV to reduce almost entirely our exposure to REOs. Transaction expected to be closed in3Q18 Significant reduction in net losses in 1Q18 NET ATTRIBUTABLE PROFIT (1Q18) 195 €m +74.1% vs.1Q17 98% vs. 106% 1Q17 NII growth at midteens Positive jaws and efficiency improvement CoR much better than expected thanks to provision releases and a positive IFRS9 macro adjustment Upward trend in profitability USA constant € NPL RATIO1 5.4%vs. 6.0% 1Q17 COVERAGE RATIO 57%vs. 53% 1Q17 NPL RATIO 1.2%vs. 1.3% 1Q17 COVERAGE RATIO SPAIN Banking activity NON CORE REAL ESTATE NET EXPOSURE -34.1% vs. Mar.17 NET ATTRIBUTABLE PROFIT (1Q18) -27 €m -75.0% vs.1Q17 32 Highlights Business areas Note: NPL and Coverage ratio of 1Q18under IFRS9 standards, 2017 figures under IAS 39 (1) NPL ratio exclude repos
  • 34.
    1. About BBVA 2.Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 33 Business areas NET ATTRIBUTABLE PROFIT (1Q18) 201 €m +49.7% vs. 1Q17 TL loan portfolio growing at double digit and excellent price management Sound core revenuegrowth Focus on cost control: opex growth <inflation CoR increase explained by commercial portfolio and negative IFRS 9 adjustment NET ATTRIBUTABLE PROFIT (1Q18) 571€m +12.5% vs.1Q17 NII growth at high single digit yoy, in line with expectations Positive jaws maintained and efficiency improvement Asset quality indicators continue to improve: coverage increase explained by IFRS9 and CoR better thanexpected Double digitbottom line growth NET ATTRIBUTABLE PROFIT (1Q18) 210 €m +33.4% vs. 1Q17 NPL RATIO 3.6% vs. 3.3% 1Q17 COVERAGE RATIO 93%vs. 96% 1Q17 Sound growth in all P&L lines Loan growth accelerating to double digits, supported mainly by Argentina and also Colombia Positive operating jaws CoR better than expectations SOUTH AMERICA constant € MEXICO constant € TURKEY constant € NPL RATIO 3.7%vs. 2.6% 1Q17 COVERAGE RATIO 86% vs. 128% 1Q17 NPL RATIO 2.1%vs. 2.3% 1Q17 COVERAGE RATIO 153%vs. 129% 1Q17 Highlights Business areas Note: NPL and Coverage ratio of 1Q18under IFRS9 standards, 2017 figures under IAS 39
  • 35.
    34 1. About BBVA 2.Vision and aspiration 3. BBVA transformation journey 4. Results’highlights 1Q18 CIB – 1Q18 Results Highlights Business areas -1.1% Business activity (constant €, % YtD) LENDING 55 €bn CUSTOMER FUNDS 40 €bn -10.5% -6.2% Results (constant €, % YoY) GROSS INCOME 773 €m OPERATING INCOME 515 €m -8.5% NET ATTRIBUTABLE PROFIT 309 €m -7.0% -4.0% Client’s revenue (constant €, % YoY) 670 €m Wholesale banking recurrent business1 % ofrevenues given by our relations with clients 87% Slight decline in lending volume specially in Europe and USA Positive trend in profit after taxes, above the average of the last 3 quarters, supported by the transactional activity and trading results, staff and discretionary cost control, and lower levels of provisions. YoY affected this quarter due to one-off revenues in 1Q17 Positive trend in risk indicators (decrease of cost of risk due to release of provisions in the quarter) (1) Client’s revenue / Gross income Note: All data includes Venezuela and Turkey
  • 36.