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

Executive summary

• Completed sale of Multi Financial Group (MFG), strengthening capital and impacting comparability of results.

• 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.

• ROAE was 7.4% (12% excluding the equity tax), and ROAA was 0.9% for the quarter.

• Gross loans grew 6% year-over-year to COP 193.6 trillion (Ps 193.7 trillion); deposits rose 11.7% to COP 216.9 trillion (Ps 216.8 trillion).

• Launched 2026-2031 corporate strategy with 10 strategic pillars guiding growth and efficiency.

Financial highlights

• Net interest income was COP 2.2 trillion (Ps 1,911.9 billion), up 14.3% sequentially but down 4.1% year-over-year.

• Net interest margin (NIM) was 3.3%, down 45 bps year-over-year.

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

• Net cost of risk was 1.8%, down 36 bps year-over-year.

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

Outlook and guidance

• 2026 guidance: loan growth ~9.5%, commercial loans ~6.5%, retail loans ~14%.

• Consolidated NIM expected at 3.9%, NIM on loans at 4.4%, cost of risk at 1.9%.

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

• Macroeconomic guidance: GDP growth expected at 2.4% for FY26, inflation projected at 6.2% by end of 2026.

• Expect continued volatility in NIM due to asset-liability repricing and monetary tightening.