MEDELLIN, Colombia, Nov. 3, 2011 /PRNewswire/ --
- Net loans grew 8% during the quarter and 27.6% compared to 3Q10. This growth is in line with the current environment of solid credit demand in Colombia.
- Net interest income increased 2% during the quarter and 15.4% compared to 3Q10. These increases are the result of loan growth coupled with a funding strategy that allowed the Bank to maintain a moderate cost of deposits during the quarter as a measure to defend the net interest margin, which ended the period at 6%
- Loan portfolio quality continues showing a good trend. Loan deterioration during 3Q11 was COP 184 billion, and past due loans as a percentage of total loans were 2.5%. Net provision charges for past due loans and foreclosed assets totaled COP 87 billion for the quarter, and represented 0.7% of gross loans.
- The balance sheet remains strong. Loan loss reserves represented 4.6% of total loans and 184% of past due loans at the end of 3Q11. The capital adequacy ratio ended the quarter at 13% (Tier 1 of 9.3%).
- Profitability. ROE for 3Q11 was 20.6%, and annualized ROE for the first 9 months of the year was 19.2%, which represents an increase from the 18.9% reported for the same period in 2010.
Today, BANCOLOMBIA S.A. ("Bancolombia" or "the Bank") announced its earnings results for the third quarter of 2011.
For the quarter ended September 30, 2011 ("3Q11"), Bancolombia reported consolidated net income of COP 424 billion, or COP 539 per share – USD 1.12 per ADR, which represents an increase of 10% as compared to the results for the quarter ended June 30, 2011 ("2Q11") and of 13% as compared to the results for the quarter ended on September 30, 2010 ("3Q10"). Cumulative net income for the first nine months of 2011 was COP 1,160 billion, 15% higher than that for the same period of the previous year.
Bancolombia ended 3Q11 with COP 80,622 billion in assets, 7% higher than those at the end of 2Q11 and 25% greater than at the end 3Q10. At the same time, liabilities totaled COP 72,156 billion and increased 7% as compared to the figure presented in 2Q11 and 26% as compared to 3Q10 (1).
Bancolombia's Investor Relations
Phone (574) 4041837 / (574) 4041838
Alejandro Mejia (IR Manager) / Catalina Botero (Analyst)
(1) This report corresponds to the consolidated financial statements of BANCOLOMBIA S.A. ("BANCOLOMBIA") and its affiliates of which it owns, directly or indirectly more than 50% of the voting capital stock. These financial statements have been prepared in accordance with generally accepted accounting principles in Colombia and the regulations of Superintendencia Financiera de Colombia, collectively COL GAAP. BANCOLOMBIA maintains accounting records in Colombian pesos, referred to herein as "Ps." or "COP". Certain monetary amounts, percentages and other figures included in this report have been subject to rounding adjustments. There have been no changes to the Bank's principal accounting policies in the quarter ended September 30, 2011. The statements of income for the quarter ended September 30, 2011 are not necessarily indicative of the results for any other future interim period. For more information, please refer to the Bank's filings with the Securities and Exchange Commission, which are available on the Commission's website at www.sec.gov .
CAUTIONARY NOTE REGARDING FORWARD LOOKING STATEMENTS: This release contains statements that may be considered forward-looking statements within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. All forward-looking statements, whether made in this release or in future filings or press releases or orally, address matters that involve risks and uncertainties; consequently, there are or will be factors, including, among others, changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products by other companies, lack of acceptances of new products or services by our targeted customers, changes in business strategy and various others factors, that could cause actual results to differ materially from those indicated in such statements. We do not intend, and do not assume any obligation, to update these forward-looking statements. Certain monetary amounts, percentages and other figures included in this report have been subject to rounding adjustments. Any reference to BANCOLOMBIA means the Bank together with its affiliates, unless otherwise specified.
Representative Market Rate October 1, 2011 $1929.01=US$ 1 Average Representative Market Rate for 3Q11: $1794.52 = US$ 1
SOURCE BANCOLOMBIA S.A.