Company: BBVXF
Filing Date: 2025-02-21
Form Type: 20-F
Source: 0000842180-25-000010
Chunk: 180

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-02-21
Form: 20-F
Item: Item 5
Chunk 180
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4,132           28.8
Profit attributable to non-controlling interests                                                                                                                  (1)                     (1)              —
Profit attributable to parent company                                                                                                                           5,319                   4,131           28.8
(1)Includes “Gains (losses) on derecognition of financial assets and liabilities not measured at fair value through profit or loss, net”, “Gains (losses) on financial assets and liabilities held for trading, net”, “Gains (losses) on non-trading financial assets mandatorily at fair value through profit or loss, net”, “Gains (losses) on financial assets and liabilities designated at fair value through profit or loss, net”, “Gains (losses) from hedge accounting, net” and “Exchange differences, net”.
(2)“Net margin before provisions” is calculated as “Gross income” less “Administration costs” and “Depreciation and amortization”.
In the year ended December 31, 2023, the Mexican peso appreciated 10.4% against the euro in average terms compared with the year ended December 31, 2022, resulting in a positive exchange rate effect on the consolidated income statement for the year ended December 31, 2023 and in the results of operations of the Mexico operating segment for such period expressed in euros. See “―Factors Affecting the Comparability of our Results of Operations and Financial Condition―Trends in Exchange Rates”.
Net interest income
Net interest income of this operating segment for the year ended December 31, 2023 amounted to €11,054 million, a 31.9% increase compared with the €8,378 million recorded for the year ended December 31, 2022, mainly as a result of the higher contribution from our wholesale and retail portfolios (in terms of volume and yield) and, to a lesser extent, the securities portfolio (in terms of yield), supported by the appreciation of the Mexican peso against the euro and (with respect to the yield) the higher interest rate environment, partially offset by higher funding costs as a result of the increase in interest rates, and the effect of the appreciation of the Mexican peso against the euro on interest expense. At constant exchange rates, there was a 19.5% increase in net interest income. The net interest margin over total average assets of this operating segment amounted to 6.82% for the year ended December 31, 2023