Financial Data and Key Metrics Changes - The company reported record profitability of $5.5 billion and an ROE of 16.5%, which adjusted to 17.2% when excluding one-off charges related to the Sartorius case [7][11] - The cost of risk fell to 2.1%, with provisions decreasing by 14.4% due to improved payment performance [33][76] - The net interest margin (NIM) decreased by nine basis points to 6.3% [34][78] Business Line Data and Key Metrics Changes - Universal banking and insurance business lines drove strong results, with significant growth in transactional volumes, particularly in FX and diesel transactions [12][26] - BCP's ROE reached 20.1%, supported by resilient margins and a shift towards retail loans [44][51] - MiBanco's NPL ratio improved, falling for three consecutive quarters, while NIM rose to 14.2% [61][62] Market Data and Key Metrics Changes - The Peruvian economy grew around 4% year-over-year in Q4 2024, recovering from a contraction in 2023 [36][39] - Inflation in Peru was controlled at 2%, one of the lowest figures among both advanced and developing economies [37][42] - The banking industry is expected to grow around 5.5%, with the company anticipating growth above this market rate [95][150] Company Strategy and Development Direction - The company aims to achieve 10% of risk-adjusted revenues from new businesses by 2026, focusing on digital transformation and sustainability [20][176] - Strategic priorities include attracting top talent, enhancing digital capabilities, and integrating sustainability into the core business strategy [15][176] - The company is committed to a robust risk management framework to support growth across all subsidiaries [178] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the macroeconomic recovery and its positive impact on loan growth, expecting the Peruvian economy to grow around 3% in 2025 [10][39] - The company anticipates a resilient NIM despite potential policy rate reductions, supported by a shift towards higher-yielding loans [83][84] - Management highlighted the importance of political stability and responsible fiscal policies for long-term sustainable growth [10][11] Other Important Information - The company has allocated over $1.5 billion in sustainable financing across various sectors, emphasizing its commitment to financial inclusion and education [19][20] - Yape, the company's payments platform, reached profitability in 2024 with nearly 14 million active users, becoming Peru's fifth-largest e-commerce player [27][54] Q&A Session Summary Question: Political landscape and its impact on the industry - Management noted the uncertainty with many candidates for the upcoming elections but expects minimal impact on the industry until late in the year [92][94] Question: Sustainable ROE and operational expenses - Management expects to achieve an ROE of around 18% by 2026, with disruptive initiatives contributing positively to ROE [97][98] Question: Asset quality and loan origination - Management expressed confidence in restarting loan origination due to improved macro conditions and better performance of new vintages [104][106] Question: Provisioning related to Sartorius - A provision of 259 million soles was made, and management believes this should cover potential losses without needing additional provisions [111][155] Question: Efficiency ratio guidance - Management indicated that while Yape is profitable, its higher cost-to-income ratio may lead to a stable or slightly weaker efficiency ratio in the near term [120][125] Question: Capital distribution and dividends - The company aims to pay out excess capital as dividends, with a goal of growing dividends in March [136][137] Question: Loan growth expectations - The company expects to grow above the market rate, with average daily balances projected to increase by 3.5% [150][151]

4Q24 Earnings Conference Call February 2025 Safe Harbor This material includes "forward-looking statements" within the meaning of Section 27A of the U.S. Securities Act of 1933 and Section 21E of the U.S. Securities Exchange Act of 1934. All statements other than statements of historical fact are forward-looking and may contain information about financial results, economic conditions, trends and known uncertainties. Forward-looking statements are not assurances of future performance. Instead, they are based ...

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Credicorp, with a focus on how actual results compare to estimates impacting stock price [1][2] Earnings Expectations - Credicorp is expected to report quarterly earnings of $4.37 per share, reflecting a year-over-year increase of +56.1% [3] - Revenues are projected to be $1.38 billion, an increase of 8.2% from the previous year [3] Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a stable outlook from covering analysts [4] - A negative Earnings ESP of -1.33% suggests recent bearish sentiment among analysts regarding the company's earnings prospects [10][11] Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive or negative reading can predict earnings deviation from consensus estimates, with positive readings being more reliable [7][8] - Credicorp's current Zacks Rank is 2, which complicates the prediction of an earnings beat despite the negative Earnings ESP [11] Historical Performance - In the last reported quarter, Credicorp exceeded expectations by delivering earnings of $5.08 per share against an expected $4.67, resulting in a surprise of +8.78% [12] - Over the past four quarters, the company has beaten consensus EPS estimates two times [13] Conclusion - While Credicorp does not appear to be a strong candidate for an earnings beat, investors should consider other factors before making investment decisions [16]

Group 1 - Credicorp Ltd. will release its 4Q24 Earnings Report on February 10, 2025, after market close [1] - A conference call to discuss the earnings results will take place on February 11, 2025, at 9:30 a.m. ET [1] - The call will be hosted by key executives including the CEO, CFO, and heads of various divisions [1] Group 2 - Participants are encouraged to pre-register for the webcast presentation to gain immediate access [2] - Those unable to pre-register can dial in using provided toll-free and international numbers [3] - The webcast will be archived for one year on the investor relations website [3] Group 3 - Credicorp Ltd. is the leading financial services holding company in Peru, with a diversified portfolio across four primary business lines [4] - The company operates in multiple countries including Peru, Chile, Colombia, Bolivia, and Panama [4] - Its business lines include Universal Banking, Microfinance, Insurance and Pension Funds, and Investment Management and Advisory [4]

Group 1 - Credicorp Ltd. will release its 4Q24 Earnings Report on February 10, 2025, after market close [1] - A conference call to discuss the earnings results will take place on February 11, 2025, at 9:30 a.m. ET [1] - The call will be hosted by key executives including the CEO, CFO, and heads of various divisions [1] Group 2 - Participants are encouraged to pre-register for the webcast presentation to gain immediate access [2] - Those unable to pre-register can dial in using provided toll-free and international numbers [3] - The webcast will be archived for one year on the investor relations website [3] Group 3 - Credicorp Ltd. is the leading financial services holding company in Peru, with a diversified portfolio across four primary business lines [4] - The company operates in multiple countries including Peru, Chile, Colombia, Bolivia, and Panama [4]

Core Viewpoint - Credicorp is entering a quiet period ahead of its 4Q24 earnings release, which will last from January 27th to February 10th, 2025, during which no financial information will be disclosed [1] Company Overview - Credicorp Ltd. is the leading financial services holding company in Peru, with a diversified business portfolio organized into four primary lines: Universal Banking, Microfinance, Insurance and Pension Funds, and Investment Management and Advisory [2] - The company operates through various subsidiaries, including Banco de Crédito del Perú, Banco de Crédito de Bolivia, Mibanco, Grupo Pacifico, Prima AFP, Credicorp Capital, and ASB Bank Corp [2] - Credicorp has a presence in multiple countries, including Peru, Chile, Colombia, Bolivia, and Panama [2]

Group 1 - Credicorp will enter a quiet period for its 4Q24 earnings release starting January 27th, 2025, which will end on February 10th, 2025 [1] - During the quiet period, the company will not disclose any financial information or respond to related inquiries [1] Group 2 - Credicorp Ltd. is the leading financial services holding company in Peru, with a diversified business portfolio across four primary lines: Universal Banking, Microfinance, Insurance and Pension Funds, and Investment Management and Advisory [2] - The company operates through various subsidiaries, including Banco de Crédito del Perú, Banco de Crédito de Bolivia, Mibanco, Grupo Pacifico, Prima AFP, Credicorp Capital, and ASB Bank Corp [2] - Credicorp has a presence in multiple countries, including Peru, Chile, Colombia, Bolivia, and Panama [2]

Core Insights - Investors in the Banks - Foreign sector may consider Credicorp (BAP) or National Australia Bank Ltd. (NABZY) for potential value opportunities [1] Valuation Metrics - Credicorp (BAP) has a Zacks Rank of 2 (Buy), indicating a positive earnings outlook, while National Australia Bank Ltd. (NABZY) has a Zacks Rank of 4 (Sell) [3] - BAP's forward P/E ratio is 8.57, significantly lower than NABZY's forward P/E of 15.78, suggesting BAP may be undervalued [5] - BAP has a PEG ratio of 0.50, while NABZY's PEG ratio is 4.06, indicating BAP's expected earnings growth is more favorable [5] - BAP's P/B ratio is 1.69 compared to NABZY's P/B of 1.79, further supporting BAP's valuation attractiveness [6] - Based on these metrics, BAP holds a Value grade of B, while NABZY has a Value grade of C, making BAP a more appealing option for value investors [6]

Core Viewpoint - Credicorp Ltd. is taking proactive measures to address the impact of regulatory actions and alleged misconduct at Sartor Administradora General de Fondos S.A. by offering to purchase 100% of the value of investments in affected funds, ensuring clients are not burdened by the liquidation process [8][10]. Group 1: Company Actions - Credicorp Capital will execute participation transfer agreements through its affiliate Atlantic Security Holding Corporation (ASHC), covering up to US$125.3 million in investment value [3]. - The company has committed to acquiring the value of investment units from its clients within 45 days to mitigate uncertainty stemming from the liquidation of Sartor-managed funds [6]. - Following a complaint by Credicorp Capital, the Chilean Financial Market Commission (CMF) revoked Sartor's authorization to operate and ordered the liquidation of all funds under Sartor's management [10]. Group 2: Fund Details - The affected funds include the Credicorp Capital Factoring Dólares FMIV and Credicorp Capital Factoring Soles FMIV, which had exposure to assets managed by Sartor [8]. - The CMF's recent actions included the suspension of contributions, redemptions, and payments for all funds managed by Sartor, impacting Credicorp's clients [10]. Group 3: Company Overview - Credicorp Ltd. is the leading financial services holding company in Peru, with a diversified portfolio across Universal Banking, Microfinance, Insurance and Pension Funds, and Investment Management and Advisory [9]. - The company has a presence in multiple countries, including Peru, Chile, Colombia, Bolivia, and Panama [9].

Lima, Dec. 30, 2024 (GLOBE NEWSWIRE) -- LIMA, PERU, December 30, 2024 – Credicorp Ltd. (“Credicorp”) (NYSE: BAP | BVL: BAP), the leading financial services holding company in Peru with a presence in Chile, Colombia, Bolivia, and Panama, announced today that its subsidiary Credicorp Capital S.A. Sociedad Administradora de Fondos (“Credicorp Capital”), has notified its clients that it has offered to purchase 100% of the value of investments in the Credicorp Capital Factoring Dólares FMIV and Credicorp Capital ...