BBVA has posted a full year group net profit
for the 12 months to 31 December of €4.6bn ($6.3bn), an increase of
9.4% compared to the prior year.
Net interest income declined 4% to €13.3bn
from the corresponding period a year ago while income from fees and
commission rose 2.4% to €4.5bn.
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Total group assets increased by 3.3% during
fiscal 2010 to €552.7bn.
Non-performing assets as of 31 December
remained flat at €15.7bn compared to the year ago.
BBVA’s home markets Spain and Portugal
contributed 33% to total group gross income, while Mexico
contributed 27% and South America 19%. Income from its business in
America accounted for 12% of total group profits.
The bank attributed 9% to income from its
wholesale banking and asset management business worldwide.
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By GlobalDataBBVA gained market share in lending in its
home markets Spain and Portugal, up from 11.9% in 2009 to 12.2% in
2010 due to its customer loyalty scheme, the bank said.
Its deposits market share in Spain and
Portugal increased from 8.4% to 9.4%.
But pre-tax income from Spain and Portugal
fell 9% to €2.95bn year on year; net income also fell 9% to
€2.1bn.
Loan loss provisions in Spain and Portugal
fell 30.1% in fiscal 2010 to €1.3bn.
In contrast, the group posted strong business
growth in Mexico:
It generated an annual net income of €1.7bn,
up from 11.9% from the prior year.
In the fourth quarter, lending increased 13.9%
compared to the year-ago quarter while customer deposits rose
8.7%.
In the rest of South America, the bank’s net
income for the full year rose by 16.5% to €889m. Chile and Colombia
were the largest contributors from income in the South American
business, with 23% and 23.2% respectively.
In America, BBVA Compass returned to profit
with a net income of €236m, after it had posting a net loss of
€-1.7bn at the end of 2009.
BBVA ended 2010 with a branch network of 7361
units – 105 less than at the end of 2009 – and 16,995 ATMs, 1279
more than in 2009.
In the last year, the bank shifted its
traditional focus on Latin American countries to another emerging
market when it acquired 24.9% stake in Turkey’s Garanti Bank for
$5.84bn.
It said that it expects strong growth
potential in Turkey.
