The entities associated with CECA achieved a result of 4.232 billion euros in 2022

The CECA sector records a 26.9% increase in its profits

The return on equity (ROE) improved in 2022, reaching 7.2%

The effort in cost reduction has positively affected the efficiency ratio, which stands at 54%

In a context marked by the tightening of financial conditions, an environment of rising interest rates, and high inflation, the entities associated with CECA obtained an attributed result of 4.232 billion euros, reflecting a 26.9% increase compared to the previous year, when 3.335 billion euros were reached.

This increase in results is largely explained by the boost in financial income, the decrease in operating expenses, and lower provisions. As a consequence of the obtained results, the return on equity (ROE) also improved in 2022, specifically by 1.6 percentage points to 7.2%.

From the perspective of revenues, it is noteworthy that the interest margin increased in the fourth quarter of the year, registering a year-on-year growth of 8.3%. Financial income accelerated its growth to 10.4%, boosted by the revaluation of the credit portfolio and higher yields in fixed income, offsetting the rise in financial costs, which have increased by 18.4%. Additionally, there was a more moderate advance in net commission income, leading to a gross margin growth of 5.7% compared to 2021.

Regarding operating expenses, a reduction of 3.9% was recorded, mainly due to synergies obtained through integration processes.

Moreover, despite 2022 being characterized by an uncertain economic environment, the credit delinquency rate in the private sector remained contained, standing at 3.45% in December, mainly due to favorable employment trends and measures to address rising energy costs, which has allowed for the continuation of the decreasing trend in impairment losses on financial assets, reducing by 12.2%.

The effort in cost reduction has also positively impacted the efficiency ratio, which recorded an improvement of 5.4 percentage points, standing at 54%.

Finally, the sector entities have strengthened their solvency by achieving an average CET1 ratio of 13.43%, comfortably exceeding the minimum capital requirements set by the European Central Bank (ECB).

The entities of the CECA sector continue to work together and intensively, thanks to their financial strength, providing solutions to contribute to the well-being of all people in our country, and specifically for the most vulnerable groups.