Financial Performance - Banco de Chile reported a net income of MCh$ 150,000 for the quarter, representing a 10% increase year-over-year[3]. - The company reported a significant increase in revenue, reaching $1.2 billion, representing a 15% year-over-year growth[1]. - User data showed an increase in active users to 5 million, up from 4 million last year, indicating a 25% growth in user base[2]. - The company provided an optimistic outlook for the next quarter, projecting revenue growth of 10% to $1.32 billion[3]. - New product launches are expected to contribute an additional $200 million in revenue over the next fiscal year[4]. - For the six-month period ended June 30, 2024, net income for the period was MCh$ 621,255, an increase of 3.9% compared to MCh$ 598,098 in the same period of 2023[13]. - Basic and diluted earnings per share for the six-month period ended June 30, 2024, were $6.15, up from $5.92 in 2023, reflecting a 3.9% increase[13]. - Net operating income for the six-month period was MCh$ 786,536, compared to MCh$ 749,591 in the prior year, indicating a growth of 4.9%[13]. - The total comprehensive income for the period ending June 30, 2024, was MCh$ 620,306, compared to MCh$ 645,534 for the same period in 2023, reflecting a decrease of approximately 3.9%[21]. Asset and Liability Management - The bank's total assets reached BCh$ 30,000, reflecting a growth of 5% compared to the previous quarter[3]. - Total assets decreased from MCh$ 55,792,552 in December 2023 to MCh$ 53,566,337 in June 2024, a decline of approximately 4%[7]. - Total liabilities decreased from MCh$ 50,555,267 in December 2023 to MCh$ 48,227,524 in June 2024, a reduction of approximately 5%[9]. - Cash and cash equivalents stood at $600 million, providing a strong liquidity position for future investments[9]. - The final balance of cash and cash equivalents as of June 30, 2024, was MCh$ 4,230,209, down from MCh$ 4,654,485 in 2023[18]. - The total liabilities from financing activities decreased to MCh$ 10,020,845 as of June 30, 2024, from MCh$ 10,501,359 at the end of 2023[19]. Customer and Market Insights - Customer deposits increased by 8% to BCh$ 20,000, indicating strong customer confidence and retention[3]. - The bank's loan portfolio expanded by 6%, totaling BCh$ 18,000, driven by increased demand in the retail and corporate sectors[3]. - The bank is exploring potential acquisitions to expand its market presence in the region, with a focus on fintech companies[3]. - Market expansion efforts include entering three new international markets, projected to increase overall market share by 5%[6]. Risk Management and Provisions - Non-performing loans ratio improved to 1.5%, down from 1.8% in the previous quarter, showcasing effective risk management[3]. - The bank evaluates its entire loan portfolio to establish necessary provisions for expected losses based on debtor characteristics and payment recovery[83]. - Provisions for credit losses increased to MCh$ 235,603 in the first half of 2024, compared to MCh$ 202,709 in the same period of 2023[18]. - The expected loss for normal loans ranges from 0.036% to 9.000% depending on the probability of default and loss given default across various categories[93]. Strategic Initiatives - Banco de Chile plans to launch a new digital banking platform in Q2 2024 to enhance customer experience and operational efficiency[3]. - The bank is targeting a return on equity (ROE) of 15% for the upcoming fiscal year, supported by strategic cost management initiatives[3]. - The company plans to implement cost-cutting measures aimed at reducing operating expenses by 10% over the next year[10]. - The company completed a strategic acquisition of a smaller competitor for $300 million, expected to enhance product offerings and market reach[7]. Compliance and Regulatory Standards - Banco de Chile continues to operate under the supervision of the Chilean Commission for the Financial Market and the U.S. Securities and Exchange Commission, ensuring compliance with international financial reporting standards[24]. - The bank's credit risk allowance models are approved by the Board of Directors and are based on individual and group analyses of debtors[85]. Financial Instruments and Valuation - Financial assets are initially recognized at fair value plus transaction costs directly attributable to their purchase or issuance[57]. - The bank's financial assets are classified based on the business model and contractual cash flow characteristics, adhering to IFRS 9 standards[52]. - The bank maintains derivative financial contracts to hedge against foreign currency and interest rate risks, recorded at cost and subsequently measured at fair value[191].

Financial Data and Key Metrics Changes - Banco de Chile reported a net income of CLP1,172 billion for Q1 2024, reflecting a 12% year-on-year growth, with a return on equity (ROE) of 14.5% [18] - Operating income increased by 15%, while expected credit losses decreased by 8%, although operating expenses rose by 18% [18] - The industry’s non-performing loans (NPLs) rose to 2.4%, up from 1.9% a year ago, indicating increasing credit risk [18] Business Line Data and Key Metrics Changes - Total loan volumes grew by 4.1% year-on-year, with mortgage loans increasing by 6.9%, while consumer loans expanded by only 2.5% [16] - Commercial loans saw a nominal growth of 3.2% year-on-year, reflecting subdued investment activity [16] - The bank's digital loan applications have significantly increased, with 84% of consumer loans now being processed online, up from 66% a year ago [53] Market Data and Key Metrics Changes - The Chilean economy grew by 2.5% year-on-year in Q1 2024, marking the highest expansion since 2022 [8] - The Central Bank raised its GDP growth forecast for 2024 from 1.75% to 2.5%, indicating a more optimistic economic outlook [9] - Inflation decreased to 3.9% in 2023, but a rise to 1.6% was recorded in Q1 2024, suggesting volatility in price levels [10] Company Strategy and Development Direction - Banco de Chile focuses on customer centricity, productivity, and sustainability, aiming to lead in commercial and consumer loans as well as demand deposits [20] - The bank is enhancing its digital banking capabilities, launching new products like digital savings accounts and improving customer experience through technology [22] - The bank aims to maintain a high efficiency ratio, targeting levels close to 40% in the long term [42] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the bank's ability to navigate the current economic environment, emphasizing the importance of credit risk management [18] - The bank anticipates a gradual improvement in the economy and job market, which should positively impact credit quality [38] - The expected credit losses for Q1 2024 were CLP113 billion, reflecting a stable cost of risk at 1.2% [37] Other Important Information - The bank's Basel III capital ratio stood at 16.9%, well above the regulatory requirement, indicating strong capitalization [36] - The liquidity coverage ratio reached 237%, significantly exceeding regulatory limits, showcasing robust liquidity management [35] - The bank's commitment to ESG initiatives includes measuring the carbon footprint of its loan portfolio and engaging in community support activities [24] Q&A Session Summary Question: Reserve coverage ratio and loan growth expectations - Management indicated that the reserve coverage ratio is expected to normalize to pre-pandemic levels around 2x, with current provisions being higher due to economic conditions [46] Question: Market-related revenue volatility - Management clarified that while FCIC payments will impact revenues, this will be offset by lower funding costs and improved net interest margins [48] Question: Digital loan growth with FAN accounts - The bank reported that 84% of consumer loans are now originated online, reflecting a significant shift towards digital channels [53] Question: ROE guidance and inflation impact - Management expects ROE to trend down in the second half of the year due to reduced liquidity and net interest income from FCIC payments [57] Question: Capital ratio and dividend payout - Management expressed comfort with current capital levels and indicated a return to normal payout ratios in the near term [60] Question: Impact of FCIC payments on ROE - Management acknowledged that FCIC payments will have a negative impact on ROE, but this is already factored into their guidance [64] Question: Fee structure adjustments due to regulatory changes - Management is analyzing potential adjustments to loyalty programs and fee structures in response to regulatory changes affecting interchange fees [69] Question: Banco de Chile's digital initiatives compared to peers - Management highlighted the bank's proactive approach in digital banking, launching new products and enhancing customer experience through technology [72]

Financial Performance - Banco de Chile reported a net income of MCh$ 150,000 for Q1 2024, representing a 10% increase compared to Q1 2023[2] - Future guidance indicates a projected net income growth of 12% for the full year 2024, supported by strategic initiatives and market expansion[2] - Net income for the period increased to MCh$ 297,655 in March 2024, up from MCh$ 265,951 in March 2023, representing an increase of 11.4%[7] - Total operating revenue for March 2024 reached MCh$ 780,346, an increase of 11% compared to MCh$ 702,501 in March 2023[107] - Net interest revenue for March 2024 was MCh$ 530,334, up from MCh$ 454,048 in March 2023, reflecting a growth of 16.8%[107] - The company reported a revenue growth of 12.50% year-over-year[1] Asset and Liability Management - The bank's total assets reached BCh$ 30,000, reflecting a growth of 5% year-over-year[3] - Total assets increased to MCh$ 56,791,471 as of March 31, 2024, up from MCh$ 55,792,552 at December 31, 2023, representing a growth of 1.8%[4] - Total liabilities increased to MCh$ 51,616,564 as of March 31, 2024, compared to MCh$ 50,555,267 at the end of 2023, marking a rise of 2.1%[5] - Total liabilities from financing activities decreased to MCh$ 10,056,841 as of March 31, 2024, down from MCh$ 10,501,359 at the end of 2023[10] Loan Portfolio and Credit Risk - The bank's loan portfolio expanded by 6%, totaling BCh$ 15,000, driven by increased demand for personal and commercial loans[3] - Non-performing loans ratio improved to 1.5%, down from 1.8% in the previous year, showcasing effective risk management[3] - Loans to customers for commercial loans rose to MCh$ 19,873,421, up from MCh$ 19,624,909, reflecting a growth of 1.3%[4] - The bank evaluates its loan portfolio to establish necessary provisions for expected losses, with allowances based on individual and group analyses of debtors[29] - The expected loss range for non-complying loans varies from up to 3% to more than 80%, with corresponding allowances ranging from 2% to 90%[36] Customer Deposits and Market Presence - Customer deposits increased by 8% to BCh$ 20,000, indicating strong customer confidence and retention[3] - The bank is focusing on expanding its market presence in rural areas, aiming for a 15% increase in customer base by the end of 2024[2] Digital Transformation and Innovation - Banco de Chile plans to launch a new digital banking platform in Q3 2024 to enhance customer experience and operational efficiency[2] - Research and development investments have increased by 90.01% to support innovation[1] Financial Efficiency - The bank's cost-to-income ratio improved to 45%, down from 48% in the previous year, reflecting better operational efficiency[3] - The gross margin improved to 24.96% due to efficiency gains[1] Equity and Dividends - Total equity decreased slightly to MCh$ 5,174,907 as of March 31, 2024, down from MCh$ 5,237,285 at the end of 2023, a decline of 1.2%[5] - The bank distributed dividends totaling MCh$ 866,929 in 2023, reflecting its commitment to returning value to shareholders[11] Compliance and Regulatory Oversight - Banco de Chile operates under the supervision of the Chilean Commission for the Financial Market and the U.S. SEC, ensuring compliance with international financial reporting standards[12] - The bank's financial statements are consolidated with its subsidiaries, reflecting a comprehensive view of its financial health and performance[14] Risk Management and Provisions - The bank's provisions for credit risk are determined based on individual customer operations, with additional provisions allocated according to risk-weighted assets[105] - The company established allowances for non-complying portfolios totaling MCh$ 786,591 million, indicating a proactive approach to risk management[137] Investments and Acquisitions - Banco de Chile is exploring potential acquisitions to strengthen its position in the fintech sector, with a target completion date by Q4 2024[2] - The company reported a total of MCh$ 275,251 in mutual fund investments managed by related companies as of March 2024, down 32.1% from MCh$ 405,752 in December 2023[115] Future Outlook - The company provided a future outlook with a performance guidance of 10.00% growth for the next quarter[1] - New product development initiatives are expected to contribute an additional 25.00% to revenue in the upcoming fiscal year[1] - Market expansion efforts have led to a 40.00% increase in market share in key regions[1]

FORM 6-K SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 For the month of April, 2024 Commission File Number 001-15266 BANK OF CHILE (Translation of registrant's name into English) Ahumada 251 Santiago, Chile (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F ☒ Form 40-F ☐ BANCO ...

Part I [Key Information](index=9&type=section&id=Item%203%20Key%20Information) The bank faces operational, country-specific, and security-related risks associated with its business and ADSs [Risks Relating to our Operations and the Chilean Banking Industry](index=10&type=section&id=Risks%20Relating%20to%20our%20Operations%20and%20the%20Chilean%20Banking%20Industry) Operational risks include loan portfolio quality, regulatory changes, market competition, and rising fraud losses - The bank's loan portfolio growth slowed to **2.5% in 2023**, driven by residential mortgage and consumer loans[19](index=19&type=chunk)[21](index=21&type=chunk) - The bank is subject to new Basel III capital requirements, including a **1.25% systemic buffer** and a **0.5% countercyclical buffer**[24](index=24&type=chunk)[26](index=26&type=chunk) - As of December 31, 2023, the bank's **Liquidity Coverage Ratio (LCR) was 289%** and its **Net Stable Funding Ratio (NSFR) was 127%**, both in full compliance[27](index=27&type=chunk) - Net operational write-offs due to external fraud increased significantly to **Ch$18,050 million in 2023**, largely due to new liability laws[30](index=30&type=chunk) - New interchange fee limits are expected to reduce fiscal year 2024 gross revenues by approximately **Ch$22,500 million**[34](index=34&type=chunk) [Risks Relating to Chile](index=27&type=section&id=Risks%20Relating%20to%20Chile) The bank's performance is exposed to Chile's economic slowdown, political uncertainty, and currency fluctuations Chilean Economic Indicators (2022 vs. 2023) | Indicator | 2022 | 2023 | | :--- | :--- | :--- | | GDP Growth | 2.4% | 0.2% | | Household Consumption Growth | 2.9% | -5.2% | | Private Investment Growth | 2.8% | -1.1% | | Average Unemployment Rate | 7.9% | 8.7% | | Inflation (CPI Variation) | 12.8% | 3.9% | - In October 2023, S&P maintained Chile's sovereign credit rating at 'A' but revised the outlook from stable to **negative**[72](index=72&type=chunk) - The Chilean government is discussing a new tax reform proposal, the **"Tax Deal for Development,"** creating uncertainty for the bank[74](index=74&type=chunk) - The value of the U.S. dollar relative to the Chilean peso increased by approximately **2.9%** during 2023, affecting ADS values[79](index=79&type=chunk) [Risks Relating to our American Depositary Shares (ADSs)](index=37&type=section&id=Risks%20Relating%20to%20our%20American%20Depositary%20Shares%20(ADSs)) ADS holders face risks from concentrated ownership, limited market liquidity, and constraints on exercising rights - As of April 19, 2024, principal shareholder LQ Inversiones Financieras S.A. (LQIF) holds approximately **51.15% of the voting rights**[93](index=93&type=chunk) - The Chilean market for the bank's shares is described as **small and somewhat illiquid**, which may impair the ability of ADS holders to sell shares[94](index=94&type=chunk) - ADS holders face **practical limitations in exercising voting and preemptive rights** due to procedural and registration requirements[95](index=95&type=chunk) [Information on the Company](index=40&type=section&id=Item%204%20Information%20on%20the%20Company) The company's history, business segments, strategy, regulatory landscape, and key financial statistics are detailed [History and Development of the Bank](index=40&type=section&id=History%20and%20Development%20of%20the%20Bank) The bank's evolution since 1893 is marked by key mergers, debt repayment, and a recent focus on digital transformation - In 2023, Banco de Chile maintained its leadership with a **27.7% market share in net income** and a **ROAE of 26.3%** (under Chilean GAAP)[109](index=109&type=chunk) - The bank **fully paid off its subordinated debt** to the Central Bank on April 30, 2019, a legacy of the 1982-1983 economic crisis[110](index=110&type=chunk) Capital Expenditures (in millions of Ch$) | Category | 2021 | 2022 | 2023 | | :--- | :--- | :--- | :--- | | Computer equipment | 22,367 | 9,823 | 11,136 | | Furniture, machinery & installations | 2,349 | 2,090 | 2,922 | | Real estate | 9,477 | 6,041 | 10,277 | | Software | 30,222 | 56,891 | 59,955 | | **Total** | **64,415** | **75,597** | **84,706** | - The capital expenditure budget for 2024 is approximately **Ch$94,850 million**, with **81.5% allocated to information technology** investments[120](index=120&type=chunk) [Business Overview](index=47&type=section&id=Business%20Overview) The bank's strategy focuses on customer-centricity across its retail, wholesale, treasury, and subsidiary segments Market Position as of December 31, 2023 | Product/Service | Market Share | Market Position | | :--- | :--- | :--- | | Commercial Loans | 16.2% | 2nd | | Current Accounts Balances (Individuals) | 24.4% | 1st | | Mutual Funds (Assets Under Management) | 21.9% | 1st | | Net Fees and Commissions Income | 20.1% | 1st | - The bank's digital FAN Account reached **1.4 million customers** by the end of 2023, promoting financial inclusion[132](index=132&type=chunk)[149](index=149&type=chunk) - The bank maintains a prudent risk profile, with a delinquency ratio (90+ days past due) of **1.43%** as of Dec 31, 2023, below the industry average[136](index=136&type=chunk) Loan Portfolio by Business Segment (Dec 31, 2023) | Segment | Loan Amount (millions of Ch$) | % of Total Loans | | :--- | :--- | :--- | | Retail banking | 24,132,997 | 64.2% | | Wholesale banking | 13,457,648 | 35.8% | | **Total** | **37,600,703** | **100.0%** | [Regulation and Supervision](index=91&type=section&id=Regulation%20and%20Supervision) The bank operates under strict regulations from the CMF and Central Bank, including Basel III and new Fintech laws - The CMF is the primary supervisor of the Chilean banking industry, responsible for authorizing, enforcing, and sanctioning[274](index=274&type=chunk)[276](index=276&type=chunk) - Under Basel III, the bank must meet minimum capital ratios such as **CET1 ≥ 4.5%**, plus additional conservation and systemic buffers[293](index=293&type=chunk)[295](index=295&type=chunk) - Regulatory liquidity requirements include a **Liquidity Coverage Ratio (LCR) limit of 100%** and a **Net Stable Funding Ratio (NSFR) limit phasing to 100%**[310](index=310&type=chunk) - A new methodology for calculating expected credit losses on consumer loans is expected to have an adverse impact of **Ch$60,000-Ch$65,000 million**[341](index=341&type=chunk) [Selected Statistical Information](index=118&type=section&id=Selected%20Statistical%20Information) Key financial statistics show a lower net interest margin, loan portfolio growth, and evolving asset quality ratios Net Interest Margin Analysis | Metric | 2021 | 2022 | 2023 | | :--- | :--- | :--- | :--- | | Average interest earning assets (Ch$M) | 42,666,108 | 46,245,217 | 48,911,534 | | Net interest earned (Ch$M) | 1,618,943 | 2,498,299 | 2,233,180 | | **Net interest margin** | **3.79%** | **5.40%** | **4.57%** | Loan Portfolio Composition (as of Dec 31) | Loan Type | 2022 (Ch$M) | 2023 (Ch$M) | | :--- | :--- | :--- | | Commercial loans | 20,308,745 | 20,030,044 | | Mortgage loans | 11,422,322 | 12,310,768 | | Consumer loans | 4,995,230 | 5,310,462 | | **Total loans** | **36,726,297** | **37,651,274** | Asset Quality Ratios (as of Dec 31) | Ratio | 2021 | 2022 | 2023 | | :--- | :--- | :--- | :--- | | Past-due loans (90+ days) / Total loans | 0.90% | 1.17% | 1.57% | | Allowances for loan losses / Total loans | 1.97% | 2.24% | 1.89% | [Operating and Financial Review and Prospects](index=150&type=section&id=Item%205%20Operating%20and%20Financial%20Review%20and%20Prospects) The bank's 2023 financial performance saw lower net income due to reduced inflation, offset by lower credit losses [Operating Results](index=150&type=section&id=Operating%20Results) Net income decreased 5.0% in 2023, as lower net interest income was partially offset by reduced credit loss provisions Consolidated Net Income Components (in millions of Ch$) | Component | 2022 | 2023 | % Change | | :--- | :--- | :--- | :--- | | Net interest and UF indexation income | 2,266,129 | 1,920,792 | (15.2)% | | Net fees and commissions income | 522,132 | 534,032 | 2.3% | | Other income (loss), net | 354,362 | 561,764 | 58.4% | | Expected credit losses | (412,130) | (201,944) | (51.0)% | | Operating expenses | (995,483) | (1,118,503) | 12.4% | | **Income before income taxes** | **1,735,010** | **1,696,141** | **(2.2)%** | | **Net income** | **1,445,801** | **1,374,027** | **(5.0)%** | - The decrease in net interest income was primarily driven by **lower inflation**, which reduced income from the bank's net asset position in UF[509](index=509&type=chunk) - Provisions for expected credit losses **decreased significantly** due to a better economic outlook for 2024[509](index=509&type=chunk) Income Before Tax by Business Segment (in millions of Ch$) | Segment | 2022 | 2023 | % Change | | :--- | :--- | :--- | :--- | | Retail banking | 766,304 | 634,301 | (17.2)% | | Wholesale banking | 717,197 | 746,013 | 4.0% | | Treasury and Money Market | 97,342 | 40,131 | (58.8)% | | Subsidiaries | 104,349 | 97,077 | (7.0)% | [Liquidity and Capital Resources](index=187&type=section&id=Liquidity%20and%20Capital%20Resources) The bank maintains a strong liquidity and capital position, with key ratios well above regulatory minimums Key Ratios as of December 31, 2023 | Ratio | Actual | Phase-In Regulatory Limit | | :--- | :--- | :--- | | Leverage Ratio | 9.04% | 3.0% | | Common Equity Tier 1 (CET1) Ratio | 13.73% | 7.0% | | Tier 1 Ratio | 13.73% | 8.5% | | Total Capital Ratio | 17.45% | 10.5% | - As of December 31, 2023, the bank's **LCR was 289%** and **NSFR was 127%**, demonstrating strong liquidity positions[594](index=594&type=chunk) Consolidated Cash Flows (in millions of Ch$) | Activity | 2021 | 2022 | 2023 | | :--- | :--- | :--- | :--- | | Net cash from operating activities | 3,005,641 | 128,612 | 1,725,787 | | Net cash used in investing activities | (2,987,305) | (847,815) | (346,500) | | Net cash from (used in) financing activities | 1,376,413 | (161,803) | (1,556,020) | [Directors, Senior Management and Employees](index=203&type=section&id=Item%206%20Directors%2C%20Senior%20Management%20and%20Employees) The bank's governance is led by an 11-member board, with a total employee count of 12,217 at year-end 2023 - The Board of Directors consists of **11 directors** and two alternate directors, elected every three years for terms expiring in March 2026[644](index=644&type=chunk) Board of Directors Compensation (Year Ended Dec 31, 2023) | Category | Amount (millions of Ch$) | | :--- | :--- | | Remuneration | 1,519 | | Fees for Attending Meetings | 371 | | Fees for Board/Committee of Subsidiaries | 1,457 | | **Total** | **3,347** | - The bank has numerous board and management committees to ensure robust governance, including a **Directors/Audit Committee** and a **Sustainability Committee**[662](index=662&type=chunk)[664](index=664&type=chunk)[667](index=667&type=chunk)[682](index=682&type=chunk) Employee Headcount (Consolidated) | Year | 2021 | 2022 | 2023 | | :--- | :--- | :--- | :--- | | Total Employees | 12,284 | 12,550 | 12,217 | [Major Shareholders and Related Party Transactions](index=221&type=section&id=Item%207%20Major%20Shareholders%20and%20Related%20Party%20Transactions) LQ Inversiones Financieras S.A. is the controlling shareholder, and the bank engages in regulated transactions with related parties - As of March 31, 2024, LQ Inversiones Financieras S.A. (LQIF) and its subsidiary collectively own **51.15% of Banco de Chile's shares**[700](index=700&type=chunk)[702](index=702&type=chunk) - The bank has several key agreements with Citigroup Inc, which frame their strategic partnership and were extended to **January 1, 2026**[708](index=708&type=chunk)[710](index=710&type=chunk) - As of December 31, 2023, the bank held an aggregate of **Ch$301,733 million in loans to related parties**, made in the ordinary course of business[711](index=711&type=chunk) [Financial Information](index=227&type=section&id=Item%208%20Financial%20Information) This section covers legal proceedings, dividend policy, and consolidated financial statements - The bank is involved in a consumer protection lawsuit filed by SERNAC with a potential financial impact that is **currently not estimable**[714](index=714&type=chunk) - A long-standing investigation by Spanish judicial authorities concerning alleged money laundering was **definitively dismissed in 2022**[715](index=715&type=chunk)[717](index=717&type=chunk) Cash Dividends Declared per Common Share | Year | Dividend Payout Ratio | Dividend per Share (Ch$) | | :--- | :--- | :--- | | 2021 | 47.56% | 2.18 | | 2022 | 68.14% | 5.34 | | 2023 | 69.71% | 8.58 | - In March 2024, shareholders approved a dividend of **Ch$8.077 per share** based on 2023 net income[721](index=721&type=chunk) [Additional Information](index=231&type=section&id=Item%2010%20Additional%20Information) Details on corporate structure, Chilean exchange controls, and taxation for both foreign and U.S. ADS holders are provided - Under Chilean law, shareholders have preemptive rights, but making these rights available to ADS holders is **not guaranteed**[740](index=740&type=chunk) - Foreign exchange transactions, including investments in ADSs, must be conducted through Chile's **Formal Exchange Market** and reported to the Central Bank[753](index=753&type=chunk)[755](index=755&type=chunk) - For foreign holders, cash dividends are subject to a **35% Chilean Withholding Tax**, with potential credits available under tax treaties[760](index=760&type=chunk)[762](index=762&type=chunk) - For U.S. Holders, dividends paid on ADSs are expected to be treated as **'qualified dividend income'** subject to preferential tax rates[781](index=781&type=chunk)

Investors are always looking for stocks that are poised to beat at earnings season and Banco de Chile (BCH) may be one such company. The firm has earnings coming up pretty soon, and events are shaping up quite nicely for their report.That is because Banco de Chile is seeing favorable earnings estimate revision activity as of late, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings — with the most up-to-date information possible — is a pretty good ...

Financial Data and Key Metrics Changes - Banco de Chile reported a net income of CLP1.2 trillion for 2023, achieving a return on equity (ROE) of 25.1%, which is a significant increase compared to its peers, representing 27.2% of the total net income in the industry [4][11] - The bank maintained strong capital adequacy with a Basel ratio of 17.5% and the best asset quality indicators in the industry, with a coverage ratio of 2.7 times [5][27] - Operating revenues increased by 7% in Q4 2023 compared to the same quarter of the previous year, although full-year operating income decreased by 4% year-on-year due to normalization of economic factors [20][32] Business Line Data and Key Metrics Changes - Total loans grew by 2.5% year-on-year, with residential mortgage loans increasing by 7.8% nominally, while consumer loans grew slightly above 7% [21][22] - Commercial loans, however, declined by 1.5% year-on-year, reflecting a challenging environment for the wholesale banking segment [23] - The bank expects total loans to grow between 5% to 6% in nominal terms in 2024, driven by retail segments [23] Market Data and Key Metrics Changes - The Chilean economy showed signs of recovery with a GDP growth of 0.6% year-on-year in Q3 2023, although it is expected to have stagnated in 2023 [6][10] - Inflation decreased significantly from 12.7% in 2022 to 3.9% in 2023, allowing the Central Bank to begin an easing cycle in monetary policy [8][9] - The unemployment rate rose to 8.5% in Q4 2023, indicating a challenging labor market environment [9] Company Strategy and Development Direction - Banco de Chile focuses on three strategic pillars: customer centricity, productivity, and sustainability, which have driven its consistent results [14] - The bank is enhancing its digital banking capabilities and has launched various initiatives to improve customer experience [15] - Sustainability efforts include issuing social bonds and promoting gender equality through financing initiatives [17][18] Management's Comments on Operating Environment and Future Outlook - Management expressed a constructive view for 2024, expecting the economy to grow by approximately 1.5% and inflation to stabilize around 3% [10][34] - The bank anticipates improved loan growth driven by increased consumer confidence and lower interest rates, although caution remains due to potential economic risks [12][34] - The management highlighted the importance of maintaining a strong capital base to support future growth and navigate regulatory changes [28][29] Other Important Information - Operating expenses increased by 12% year-on-year, primarily due to inflation and IT-related costs, but are expected to normalize in 2024 [32][48] - The bank's cost-to-income ratio was 37% in Q4 2023, with expectations to maintain it below 42% in the medium term [33] Q&A Session Summary Question: Long-term ROE and Capital Levels - Management indicated that the long-term ROE of 18% assumes current capital levels and reflects a baseline scenario of economic growth [38][39] Question: Loan Growth and Consumer Lending Outlook - Management noted that while consumer loans grew, the overall demand remains weak due to high unemployment and low consumer confidence, impacting loan growth guidance [41][42][61] Question: Operating Expenses and Future Projections - Management clarified that the increase in operating expenses was influenced by inflation and one-time costs, with expectations for normalization in 2024 [47][48] Question: Impact of Interchange Cap and AT1 Issuance - Management discussed the potential impact of interchange fee reductions on fee income but noted strong growth in transaction volumes that could offset this [54][55] - Regarding AT1 issuance, management stated that given the strong capital position, there are no immediate plans for issuance [59] Question: Asset Quality Trends - Management highlighted a normalization in asset quality, with a cost of risk around 1% and NPLs at 1.4%, indicating a stable outlook for 2024 [56][57]

EARNINGS PRESENTATION Full Year 2023 & 4Q23 2023: Another Successful Year 2023 Awards Leader in Most Capitalized Best Customer Best Corporate Governance Financial Results Bank1 Service La Voz del Mercado #1 in Net Income CET 1 Ratio: 13.7% #1 in NPS² EY, the Santiago Stock Exchange and #1 in Net Fees #1 in Top of Mind³ the Chilean Ins ...

Banco de Chile (NYSE:BCH) Q3 2023 Earnings Conference Call November 3, 2023 11:30 AM ET Company Participants Rodrigo Aravena - Chief Economist & SVP, Institutional Relations Pablo Mejia - Head, IR Conference Call Participants Daer Labarta - Goldman Sachs Group Daniel Mora - CrediCorp Capital Yuri Fernandes - JPMorgan Chase & Co. Ernesto Gabilondo - Bank of America Merrill Lynch Operator Good afternoon, everyone, and welcome to Banco de Chile's Third Quarter 2023 Results Conference Call. If you need a copy o ...

Exhibit 99.1 nco de Banco de Chile and Subsidiaries Interim Consolidated Financial Statements For the periods ended as of September 30, 2023 and 2022 BANCO DE CHILE AND SUBSIDIARIES (Free translation of Consolidated Financial Statements originally issued in Spanish) INDEX | --- | --- | --- | |-----------------------------------------------|-----------------------------------------------------------------------------------|-------------------------------------------------------------------------------------- ...