Banco Macro Announces Results for the Second Quarter of 2024

Rhea-AI Summary

Banco Macro S.A. (NYSE: BMA; BYMA: BMA) reported its results for the second quarter of 2024. Net income for the first half of 2024 was Ps.93.1 billion, a 55% decrease from the same period in 2023. The bank's ROAE and ROAA for 2Q24 were 5.4% and 1.7%, respectively. Operating income before expenses increased by 36% to Ps.2.38 trillion in 6M24, while after expenses it decreased by 85% to Ps.99.1 billion in 2Q24.

Total financing grew 17% QoQ to Ps.3.47 trillion, while total deposits increased 13% QoQ to Ps.6.74 trillion. The bank maintained a strong capital adequacy ratio of 35.7% and a Tier 1 ratio of 34%. Liquid assets covered 98% of total deposits. The non-performing loan ratio was 1.23% with a coverage ratio of 181.4%. Banco Macro serves 5.28 million retail customers and over 151,900 corporate customers through 515 branches across Argentina.

Positive

• Operating income before expenses increased 36% to Ps.2.38 trillion in 6M24
• Total financing grew 17% QoQ to Ps.3.47 trillion
• Total deposits increased 13% QoQ to Ps.6.74 trillion
• Strong capital adequacy ratio of 35.7% and Tier 1 ratio of 34%
• Liquid assets covered 98% of total deposits
• Low non-performing loan ratio of 1.23% with a high coverage ratio of 181.4%

Negative

• Net income decreased 55% to Ps.93.1 billion in 6M24 compared to 6M23
• Operating income after expenses decreased 85% YoY to Ps.99.1 billion in 2Q24
• ROAE and ROAA declined to 5.4% and 1.7% respectively in 2Q24
• Total deposits decreased 5% YoY

News Market Reaction

+1.98%

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+1.98% News Effect

On the day this news was published, BMA gained 1.98%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

BUENOS AIRES, Argentina, Aug. 22, 2024 /PRNewswire/ -- Banco Macro S.A. (NYSE: BMA; BYMA: BMA) ("Banco Macro" or "BMA" or the "Bank") announced today its results for the second quarter ended June 30, 2024 ("2Q24").  All figures are in Argentine pesos (Ps.) and have been restated in terms of the measuring unit current at the end of the reporting period. For ease of comparison, figures of previous quarters of 2023 and 2024 have been restated applying IAS 29 to reflect the accumulated effect of the inflation adjustment for each period through June 30, 2024.

Summary

• THE BANK'S NET INCOME totaled Ps.93.1 billion in the six months ended June 30, 2024. This result was 55% or Ps.115.9 billion lower 6M23. In 2Q24, the accumulated annualized return on average equity ("ROAE") and the accumulated annualized return on average assets ("ROAA") were 5.4% and 1.7%, respectively.
• In the six months ended June 30, 2024, OPERATING INCOME (before G&A and personnel expenses) totaled Ps.2.38 trillion, 36% or Ps.628.2 billion higher than in 6M23.
• In 2Q24, OPERATING INCOME (after G&A and personnel expenses) totaled Ps.99.1 billion, 93% or Ps.1.39 trillion lower than in 1Q24 and 85% or Ps.544 billion lower than the same period of last year.
• In 2Q24, BANCO MACRO'S TOTAL FINANCING increased 17% or Ps.504.1 billion quarter over quarter ("QoQ") totaling Ps.3.47 trillion and increased 5% or Ps.154.5 billion year over year ("YoY"). In 2Q24 peso financing increased 7% while USD financing remained unchanged.
• In 2Q24, BANCO MACRO'S TOTAL DEPOSITS increased 13% or Ps.769.5 billion QoQ and decreased 5% or Ps.329.3 billion YoY, totaling Ps.6.74 trillion and representing 79% of the Bank's total liabilities. Private sector deposits increased 11% or Ps.591.5 billion QoQ. In 2Q24, Peso deposits increased 17% while USD deposits decreased 6%.
• Banco Macro continued showing a strong solvency ratio, with an EXCESS CAPITAL of Ps.2.36 trillion, 35.7% Capital Adequacy Ratio – Basel III and 34 % Tier 1 Ratio. In addition, the Bank's LIQUID ASSETS remained at an adequate level, reaching 98% of its total deposits in 2Q24.
• In 2Q24, the Bank's NON-PERFORMING TO TOTAL FINANCING RATIO was 1.23% and the COVERAGE RATIO reached 181.4%..
• As of 2Q24, through its 515 branches and 9.175 employees Banco Macro serves 5.28 million retail customers (2.24 million digital customers) across 23 of the 24 Provinces in Argentina and over 151,900 corporate customers.

2Q24 Earnings Release Conference Call
Friday, August 23, 2024 
Time: 12:00 p.m. Eastern Time | 1:00 p.m. Buenos Aires Time

To participate, please dial:
Argentina Toll Free:
(011) 3984 5677 
Participants Dial In (Toll Free):
+1 (844) 450 3847
Participants International Dial In:
+1 (412) 317 6370
Conference ID: Banco Macro
Webcast: click here

Webcast Replay:  click here

Available from 08/24/2024 through 09/06/2024

IR Contacts in Buenos Aires:

Jorge Scarinci
Chief Financial Officer

Nicolás A. Torres
Investor Relations

Phone: (54 11) 5222 6682
E-mail: investorelations@macro.com.ar

Visit our website at: www.macro.com.ar/relaciones-inversores

View original content:https://www.prnewswire.com/news-releases/banco-macro-announces-results-for-the-second-quarter-of-2024-302229119.html

SOURCE Banco Macro S.A.

FAQ

What was Banco Macro's (BMA) net income for the first half of 2024?

Banco Macro's net income for the first half of 2024 was Ps.93.1 billion, which was 55% lower than the same period in 2023.

How did Banco Macro's (BMA) operating income perform in 2Q24?

Banco Macro's operating income after expenses in 2Q24 totaled Ps.99.1 billion, which was 85% lower than the same period last year and 93% lower than the previous quarter.

What was Banco Macro's (BMA) total financing and deposit growth in 2Q24?

In 2Q24, Banco Macro's total financing increased 17% quarter-over-quarter to Ps.3.47 trillion, while total deposits increased 13% quarter-over-quarter to Ps.6.74 trillion.

What were Banco Macro's (BMA) key financial ratios in 2Q24?

In 2Q24, Banco Macro reported a Capital Adequacy Ratio of 35.7%, a Tier 1 Ratio of 34%, a non-performing loan ratio of 1.23%, and a coverage ratio of 181.4%.