Bankinter Reports Strong Financial Results for Q1, Boosted by Focus on High-Value Customers and Asset Growth

Bankinter has just released its financial results for the first quarter, and they’re looking pretty healthy. The bank saw an increase in net profit to 200.8 million euros, up 8.7% from the previous year. This growth was driven by a number of factors, including an increase in volumes, good management of spreads, and a focus on high-value customer segments.

In terms of total income, the bank saw a 6.9% increase to 658.7 million euros, with net interest income rising by 10.6% to 577.7 million euros and net commissions improving by 8.5% to 165.8 million euros. However, operating expenses also increased, with personal expenses up by 5.2% and administration expenses by 6.5%.

Provisions and losses due to asset impairment decreased slightly compared to the previous year, while the non-performing loan ratio remained relatively stable at around 2%. The return on tangible equity improved to about 18%, and the bank’s CET1 capital ratio also strengthened by around 36 basis points to nearly 12%.

At the end of the quarter, Bankinter’s balance sheet showed strong growth in assets, loans and advances to customers, customer deposits, off-balance sheet customer funds (such as Sicavs and alternative investments), and mortgage portfolio (which experienced slight decrease in new production but significant year-on-year increase in total portfolio).

Looking ahead, Bankinter is optimistic about the reactivation of the mortgage market in the second half of the year. The bank expects improvements in interest rates and a more favorable macroeconomic environment will lead to increased activity in this area.”