Colombia · Delayed Price · Currency is COP Banco Davivienda Earnings Call Transcripts
Fiscal Year 2026
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Q3 net profit was COP 720 billion, with 2.0% ex-FX loan growth and adjusted core ROAE of 11.16%. Integration advanced, while FY ROAE guidance rose to 10.5%-11.5% and recurring savings are targeted to reach COP 900 billion-COP 1.2 trillion by 2028.
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Profitability improved in Q2 2026, driven by resilient margins, stable asset quality, and disciplined expense management, despite FX headwinds and operational impacts from an earthquake. Integration and digital initiatives are progressing, with updated guidance reflecting prudent growth and efficiency targets.
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Gross loans rose 1.8% to COP 202.3 trillion, with resilient margins and strong capital. Net profit was COP 305 billion, impacted by the wealth tax, while recurring ROE reached 8.39%. Guidance for 2026 reaffirms disciplined growth, stable asset quality, and integration progress.
Fiscal Year 2025
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Davivienda Group completed the integration of Scotiabank’s operations, boosting scale, diversification, and shareholder value. 2025 saw strong loan growth, improved asset quality, and robust profitability, with 2026 guidance reflecting continued expansion and disciplined risk management.
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Q3 2025 saw strong pre-tax income growth, improved credit quality, and robust capital ratios, with DaviPlata's transformation and the Davivienda Group reorganization as key milestones. 2025 guidance was revised for moderate loan growth and higher ROE, with continued focus on efficiency and risk management.
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Davivienda Group is transitioning to a holding structure, enabling shareholders to exchange their Banco Davivienda shares for group shares and preparing for Scotiabank integration. The transaction boosts equity, enhances market position, and is expected to deliver significant synergies and operational efficiencies.
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Q2 2025 saw strong loan growth, improved margins, and a 49% sequential profit increase, with ROE guidance raised to 7%-8.5% for 2025. The new holding structure and BNS integration aim to unlock synergies by 2028, while capital and asset quality remain robust.
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Q1 2025 delivered strong profit growth, margin expansion, and improved asset quality, with ROE at 7.2%. Guidance remains cautious due to macro and political risks, but loan growth, NIM, and capital ratios are on track. Scotiabank asset acquisition is progressing as planned.
Fiscal Year 2024
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2024 saw a recovery with improved asset quality, lower cost of risk, and strong digital adoption, though NIM was below guidance due to regulatory changes. No dividends will be paid for 2024, and the Scotiabank integration is expected in the second half of 2025.
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Q3 2024 results showed improved profitability, driven by lower funding and provision costs, efficiency gains, and digital growth. Asset quality improved, with strong capital ratios and positive trends in Central America and digital banking. Guidance for 2024 remains cautious but optimistic.
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Second quarter 2024 saw improved margins, lower cost of risk, and loan growth in commercial and mortgage segments, though net results remained negative. Guidance points to a return to profitability in H2, stable capital ratios, and continued digital and efficiency gains.