Company: BBVXF
Filing Date: 2025-01-30
Form Type: 6-K
Source: 0000842180-25-000002
Chunk: 10

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-01-30
Form: 6-K
Chunk 10
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 in Spain, which in 2023 reached the minimum coverage level established by European regulations for covered deposits and therefore no additional contribution was required for this purpose during 2024 and, lastly, by a favorable evolution of the results of the insurance business.

4 The Single Resolution Fund, whose funds would be allocated to the resolution of financial entities in certain circumstances, has been increasing during a transitional period of eight years (2016-2023) with the objective of reaching at least 1% of the covered deposits by the Member States that make up the Single Resolution Mechanism at the end of 2023.

Translation of this report originally issued in Spanish. In the event of a discrepancy, the Spanish-language version prevails.

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On a year-on-year basis, the increase in operating expenses at the Group level stood at 18.3%, a rate that is below the inflation rates observed in the countries in which the Group operates (an average of 19.6% in the last 12 months 5 ).

Thanks to the remarkable growth in gross income (+25.0%, higher than the growth in operating expenses), the efficiency ratio stood at 40.0% as of December 31, 2024, with an improvement of 226 basis points compared to the ratio as of December 31, 2023. This achievement consolidates BBVA's leadership in terms of efficiency among the fifteen largest banks across Europe, comfortably surpassing the Group target of 42% by the end of 2024.

The impairment on financial assets not measured at fair value through profit or loss (impairment on financial assets) at the end of December 2024 was 32.4% higher than in the same period of the previous year, due to a high rate of growth in lending, both in loans to companies and in retail products, the most profitable in recent years, as well as the timing of the economic cycle in some of the Group´s geographical areas. All business areas required greater loan-loss provisions, especially Mexico and Turkey.

The provisions or reversal of provisions line (hereinafter provisions) registered at the end of December 31, 2024 lower provisions compared to the same period of the previous year, mainly originated in Turkey.

5 Weighted by operating expenses and excluding Venezuela.

Translation of this report originally issued in Spanish. In the event of a discrepancy, the Spanish-language version prevails.

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On the other hand, the other gains (losses) line ended December 2024