Company: BBVXF
Filing Date: 2025-04-29
Form Type: 6-K
Source: 0001193125-25-101894
Chunk: 2

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-04-29
Form: 6-K
Chunk 2
---
, BBVA channeled about €29 billion in sustainable business, up 55 percent from a year earlier, kick-starting the new €700 billion goal for the period 2025-2029. Except where otherwise stated, the evolution of each of the main headings and changes in the income statement described below refer to constant exchange rates. In other words, they do not take currency fluctuations into account. At the top of the P&L account, net interest income (NII) reached €6.4 billion, up 8 percent yoy, with growth in all business areas.

Türkiye stood out in this heading on the back of improved customer spreads, as well as Mexico, which saw solid growth of its loan portfolio (+17 percent) and lower financing costs. NII over average total assets, which reflects the ability of a bank to make its assets profitable, has had a positive performance in recent quarters. Net fees and commissions grew by 19 percent, to €2.1 billion, boosted by activity of payments and asset management, particularly in Türkiye. In Spain the contribution of asset management fees also stood out, and to a lesser extent, those from securities and insurance. The sum of NII and fees and commissions, which represent the core revenues of the banking business, increased by 11 percent, to €8.5 billion. NTI contribution also stood out this quarter, with €948 million (+40 percent yoy), driven by hedging of foreign currency positions, especially the Mexican peso and the performance of the Global Markets unit. The line of other operating income and expenses also posted a notably improved result in 1Q25 compared to a year earlier, thanks to a lower impact from hyperinflation in Argentina and Türkiye, and the good performance of the insurance business. Likewise, in 1Q24 BBVA registered in this heading the total amount of the annual extraordinary tax on banking institutions in Spain (€285 million). All in all, gross income reached €9.3 billion, up 28 percent yoy. Operating expenses (€3.6 billion) grew by 14 percent, at a lower pace than gross income, which further favored positive jaws, and an improvement of the efficiency ratio of 469 bps over the past year, to 38.2 percent. Furthermore, the increase in expenses remained below the average inflation rate in BBVA’s footprint (about 17 percent over the past 12 months). Operating income stood at a record €5.8 billion in 1