Grupo Financiero Interacciones reports net income up 24.21% YoY, to Ps.508 million

- ROE of 14.27% in 1Q16, up 109 bp YoY

- Loan portfolio up 10.71% YoY to Ps.87,350 million

- Efficiency ratio of 36.84%, improving 139 bp YoY

MEXICO CITY, April 26, 2016 /PRNewswire/ -- Grupo Financiero Interacciones, S.A. de C.V., (BMV: GFINTERO), ("Grupo Financiero Interacciones" or "GFI"), the largest specialized Mexican financial group, with a business model focused on providing financing, risk management and financial advisory services mainly to the Mexican public sector, today announced results for the three-month period ended March 31, 2016.

Mr. Carlos Rojo Macedo, Chief Executive Officer of Grupo Financiero Interacciones, commented: "We are very pleased with GFI's performance during the first quarter of the year, which established one of the best performing quarters in the history for our Group, in terms of first quarter performances. This is evidenced by our earnings growth of 24.21% to Ps. 508 million relative to a year ago, supported by a 5.19% increase in financial margin, an 11.14% increase in business commissions and our continuous vigilance and scrutiny over costs, reducing them by 1.93% on an annual basis.  With this performance, we achieved an ROE of 14.27%, while mitigating risk, reflected in our non-performing loan ratio of 0.15%."

"Our results also show a YoY loan portfolio expansion of 10.71%. Our loan growth blended into our natural seasonality, inherent to our business model, being the first quarter of every year the slowest in growth, while the fourth quarter the strongest. This seasonality includes, like every year, a contraction in the loan portfolio, which in addition to being a natural effect of this seasonality; it also serves to strengthen our capital position reflected by our current total capital ratio of 17.98%, as well as our potential profitability along the year. Moreover, the current 10% deficit in liquidity in states and municipalities, contrary to the surplus they had a year ago, sets forth solid fundamentals to prepare us for a great year. "

"We also continued to make headway in implementing our internal liquidity strategy, diversifying our funding profile and thereby creating a more stable base to support growth. In order to increase our term of liabilities and improve our funding structure, we also successfully placed a Ps.1.5 billion debt issuance of "Certificados Bursátiles" with a 3.2 year term. With this strategy we maintain our focus on being over regulatory Basel III requirements in terms of liquidity, while decreasing our mismatch between assets and liabilities to our operational comfort zone."

"While activity in the first half of the year is lower, following the seasonality of our business, we look at the rest of the year with great optimism and determination, as we continue leveraging the opportunities that the liquidity dynamic in states and municipalities creates, in addition to the value add that our newly formed leasing business line creates within our market, propelling us to reach the goals we set for this 2016." Concluded Mr. Rojo Macedo.                                                            

Main Indicators

The conference call can be accessed by dialing +1-877-870-4263 (U.S/Canada), 001-855-817-7630 (Mexico Toll Free), or +1-412-317-0790 (Other International) and asking to be joined into Grupo Financiero Interacciones call. 

A simultaneous webcast of the conference call, can be accessed by clicking the following link: https://www.webcaster4.com/Webcast/Page/1449/14504

A telephonic replay of the conference call will be available between 12:00 pm ET on April 27, 2016 and 11:59 pm ET on May 4, 2016. The replay can be accessed by dialing
+1-877-344-7529 or for international callers +1-412-317-0088. The passcode for the replay is 10084076. The audio of the conference call will also be archived on GFI's IR website at www.investorsinteracciones.com.

About Grupo Financiero Interacciones

Grupo Financiero Interacciones, S.A. de C.V. ("Grupo Interacciones" or "GFI"), is the largest specialized Mexican financial group with a business model focused on providing financing, risk management and financial advisory services mainly to the Mexican public sector, which includes federal, state and municipal governments, quasi-government entities and government suppliers. Grupo Financiero Interacciones conducts its business mainly through Banco Interacciones, its banking subsidiary, and through Interacciones Casa de Bolsa, its broker-dealer subsidiary, and Aseguradora Interacciones, its insurance company subsidiary. Grupo Financiero Interacciones is listed on the Bolsa Mexicana de Valores under the symbol "GFINTERO". For more information, please visit http://www.investorsinteracciones.com

This press release contains forward-looking statements and information that are necessarily subject to risks, uncertainties, and assumptions. By their very nature, forward-looking statements and such information involve inherent risks and uncertainties, both general and specific, and risks exist that the predictions, forecasts, projections and other forward-looking statements will not be achieved or will differ from actual results. A number of important factors could cause actual results to differ materially from the plans, objectives, expectations, estimates and intentions expressed or implied in such forward-looking statements. Should one or more of these factors or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected or intended. Grupo Interacciones assumes no obligation to update or correct the information contained in this press release.

Contact:
Adolfo Werner Fritz Rubio, Corporate Development Officer & Head of Investor Relations
Telephone: +52 55 53 26 86 13
E-mail: [email protected]

To obtain the full text of this earnings release, please visit our Investor Relations website at http://www.investorsinteracciones.com/financial-information/quarterly-financial-results under the Financial Information / Quarterly Financial Results section.

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SOURCE Grupo Financiero Interacciones, S.A. de C.V.

Related Links

http://www.investorsinteracciones.com