Grupo Aval Acciones y Valores (GRUPOAVAL) Q1 2026 earnings summary

Executive summary

• Completed sale of Multi Financial Group (MFG), with 99.57% sold for $464 million in March 2026, impacting comparability of results and strengthening capital.

• Attributable net income was COP 336.6 billion (Ps 336.6 billion), down 2.3% year-over-year, mainly due to a one-time equity tax that reduced net income by COP 312 billion (Ps 210.1 billion).

• Launched 2026-2031 corporate strategy with 10 strategic pillars focused on growth, efficiency, and digital transformation.

• Gross loans grew 6.0% year-over-year to COP 193.7 trillion, and deposits increased 11.7% to COP 216.9 trillion.

• Appointed Juan Carlos Echeverry as incoming CEO of Banco de Bogotá.

Financial highlights

• Q1 2026 net income was COP 336 billion, down 2.3% year-over-year, impacted by a COP 312 billion equity tax.

• Net interest margin declined 45 bps year-over-year to 3.3%; NIM on loans was 4.4%.

• Efficiency ratio improved to 53.9%; excluding equity tax, 47.3%.

• Cost of risk, net, was 1.8%, down 36 bps year-over-year.

• Net fee income rose 6.9% year-over-year to COP 957 billion.

Outlook and guidance

• 2026 loan growth expected at 9.5%, with commercial loans at 6.5% and retail loans at 14%.

• Consolidated NIM expected at 3.9%, NIM on loans at 4.4%, banking segment NIM at 4.8%.

• Cost of risk net of recovery projected at 1.9%, cost to assets at 2.85% (including equity tax impact).

• 2026 ROAE guidance at 9.25%, incorporating a 114 bps impact from the equity tax.

• Colombia's GDP growth expected at 2.4% for 2026; inflation projected at 6.2%.