Financial Data and Key Metrics Changes - BBVA Argentina's inflation-adjusted net income for Q2 2025 was ARS 59.6 billion, a decrease of 31.1% quarter over quarter, resulting in a quarterly ROE of 7.6% and a quarterly ROA of 1.2% [8][9] - The bank's market share of total private loans rose 107 basis points from 10.54% in June 2024 to 11.61% in June 2025 [7] - Total deposits reached ARS 13 trillion, increasing 12% quarter over quarter, with a consolidated market share of private deposits at 9.64%, up from 7.5% a year ago [20][21] Business Line Data and Key Metrics Changes - Net interest income was ARS 59.18 billion, increasing 3.1% quarter over quarter, driven by improved income from loans [11] - Net fee income totaled ARS 94.1 billion, decreasing 11.1% quarter over quarter, primarily due to a drop in credit card fees [12] - Loan loss allowances increased by 42.3%, reflecting real growth in the loan book and higher provisioning due to nonperforming loans [13] Market Data and Key Metrics Changes - The peso loan portfolio expanded by 43% year to date, outpacing the system's growth of 39% [7] - Private sector loans totaled ARS 11.3 trillion, increasing 15.7% quarter over quarter, with significant growth in overdrafts and other loans [15][16] - The nonperforming loan ratio on private loans reached 2.28%, below the system average of 2.55% [18] Company Strategy and Development Direction - The bank aims for a real growth rate of around 50% for the year, maintaining a strategy focused on credit growth despite a more complicated NPL environment [32] - BBVA Argentina is committed to increasing market share and is confident in its liquidity and capital position to support growth [38] - The bank's strategy includes a shift towards more corporate loans while managing risks associated with retail loans [46] Management's Comments on Operating Environment and Future Outlook - Management noted a stabilization in the macroeconomic environment, with GDP growth projected at 5.5% year over year for 2025, reversing the previous year's decline [5] - The bank is optimistic about maintaining profitability with ROEs expected to be in the low double digits by year-end [33] - Management acknowledged the impact of high real interest rates on loan demand, particularly in the commercial segment, but remains confident in achieving growth targets [58] Other Important Information - The bank's capital ratio reached 18.4%, with expectations to finish the year around 17% due to dividend payments and credit activity growth [34][22] - BBVA Argentina's liquidity position remains strong, with liquid assets representing 48.7% of total deposits [24] Q&A Session Summary Question: Updates on guidance and sustainability of market share growth - Management maintains guidance for 50% real growth for the bank and expects to sustain market share despite potential system deceleration [32][38] Question: Shift towards corporate loans and reconciling ROEs - Management indicated a potential shift towards more corporate loans while maintaining overall growth strategy, with a focus on improving profitability through fees and commissions [46][47] Question: Impact of high real rates on loan demand - Management confirmed that high interest rates are affecting loan demand, particularly in the commercial sector, but they remain on track to meet growth targets [58] Question: Expectations for fees and commissions - Management noted a year-over-year increase in fees and commissions, with plans to enhance performance in this area despite a quarter-over-quarter decline [60][62]