CaixaBank has surprised the market by closing the first half of the year with an impressive €2,137 million profit, representing a staggering 35.8% increase compared to the same period last year. Improved banking margins and rising interest rates have been the main drivers of this impressive growth, according to the report submitted by the bank to the Spanish stock market supervisor, the Comisión Nacional del Mercado de Valores (CNMV).
Recurring income from banking activity reached EUR 7.11 billion, an impressive increase of 31.3 %. In particular, net interest income soared by 55.2 % to EUR 4,624 million, thanks to the profitability of assets and interest paid by the bank.
In addition to the growth in margins, the improvement in the insurance business and income from bancassurance investees, which rose by 18.5% and 59.2% respectively, also contributed to CaixaBank’s solid results. However, net fees and commissions declined by 4.2%, partly due to the elimination of custody fees on large corporate deposits.
The bank’s financial profitability grew strongly in the first half of the year, with ROE (return on equity) reaching 10.2% and ROTE (return on tangible equity) reaching 12%. These impressive results significantly exceeded the previous year’s figures of 6.8% for ROE and 7.9% for ROTE.
The bank also stood out for the increase in customer funds, which reached EUR 627,824 million, 2.7% more than in the previous year. Assets under management also increased 5.5% to EUR 156,111 million.
Non-performing loans reached an all-time low of 2.6 %, the lowest level in the last 15 years. The bank’s healthy loan portfolio grew by 0.8%, driven by sustained growth in the corporate loan portfolio and the positive evolution of consumer credit.
With these impressive results, CaixaBank continues to stand out in the financial sector and shows a solid position in the market. The bank continues to make progress towards its goal of exceeding 12% ROTE by 2024, and these results strengthen its outlook for the future.