Grupo Financiero Interacciones Reports 17.11% ROE in 3Q14

MEXICO CITY, Oct. 22, 2014 /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 and nine-month periods ended September 30, 2014. Net income for 3Q14 increased 13.84% YoY to Ps.510 million.

Mr. Carlos Rojo Macedo, Chief Executive Officer of Grupo Financiero Interacciones, commented: "We reported a strong performance this quarter with a ROE of 17.11% supported by strong commissions and healthy financial margins.

"This performance further demonstrates the strength of our business model, focused on providing financing and advisory services to the Mexican public sector and related SME suppliers. This strategy has allowed us to expand our loan portfolio by 14.92% YoY, mainly driven by our Infrastructure Banking business and with a strong performance in our SME banking unit this quarter.  Financing needs in States and Municipalities have increased this quarter and we are expecting a very strong performance at our Government business unit as we conclude 2014.

"Following our internal liquidity strategy, we have focused on increasing stable demand deposits, while decreasing our balance in Time Deposits resulting in a twofold effect: Decreasing our cost of funds while keeping an optimal level of liquidity in line with Basel III. Deposits expanded by 3.77% YoY mainly driven by institutional deposits, which together with the successful placement this quarter of a Ps. 2,500 million debt issuance of Certificados Bursátiles for a four- year term has allowed us to further lower our cost of funding and enhance our financial margin performance.

"GFI's flexibility to adjust to a changing business environment was further evidenced this quarter by our 14.92% loan expansion for the last twelve months, exceeding banking system growth of 8.12%* In government lending in particular, GFI achieved a 10.13% YoY loan growth compared to 1.84% for the industry. 

"As we enter into the fourth quarter, we are very pleased with the increased financing demand we are seeing and remain confident that by the end of the year we will have achieved our 2014 goals for business growth and profitability bringing this momentum into 2015 with great optimism and confidence," concluded Mr. Rojo Macedo.

*Source CNBV

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 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.

To obtain the full text of this earnings release, please visit our Investor Relations website at www.investorsinteracciones.com 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