Company: BBVXF
Filing Date: 2025-09-09
Form Type: 424B3
Source: 0001193125-25-198517
Chunk: 629

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-09-09
Form: 424B3
Chunk 629
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stress tests), which are relevant to the Group and therefore reflect adverse situations that could have a particular impact on the Group. The baseline forecast includes the Group’s business and
financial plans. These forecasting exercises are carried out to verify whether the business performance, risk and income statement in possible adverse scenarios could pose a risk to the Group’s solvency based on the available own funds, or
affect the Group’s compliance with its Risk Appetite Statement. As a result of these exercises, weaknesses can be detected and, if necessary, action plans can be proposed to mitigate the identified risks.

Forward-looking analyses under adverse scenarios are supplemented with reverse stress tests, which identify the Group’s idiosyncratic aspects
that could put its solvency at considerable risk if they were to materialise.

The combination of the various solvency measures (static or dynamic
and regulatory or economic), taking into account the inventory of risks affecting the Group and the main vulnerabilities detected, enables the Board of Directors, as the body ultimately responsible for the ICAAP, to draw a conclusion regarding the
Group’s solvency position.

The Group has implemented a risk-adjusted return on capital (RaRoC) metric in segments where this is considered
relevant, which is embedded in the pricing management system and therefore subject to the Institution’s policies and procedures. In addition to being used in the pricing process, this metric can measure the return obtained on each transaction
and customer and even by each business unit, which makes it possible to make like-for-like comparisons.

The level and quality of capital are Group
RAS metrics and their management and control are governed by the Group’s Risk Appetite Framework (RAF).

A-435

Eligible capital and capital ratios As at 31 December 2023, the Group’s eligible capital amounted to 13,926 million euros (13,588 million euros as at 31 December 2022), representing a surplus of 3,480 million euros (3,177 million euros as at 31 December 2022), as shown below:

| Thousand euro                                                          |     |      |            |     |      |            |     |              |        |
|                                                                        |     | 2023 |            |     | 2022 |            |     | Year-on-year 
 change (%)   |        |
| Capital                                                                |     |      |    680,028 |     |      |    703,371 |     |              |  -3.32 |
| Reserves (