UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 6-K
REPORT OF FOREIGN ISSUER
PURSUANT TO RULE 13a-16 OR 15d-16
UNDER THE SECURITIES EXCHANGE ACT OF 1934
For the month of April, 2012
Commission file number: 1-10110
BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
(Exact name of Registrant as specified in its charter)
BANK BILBAO VIZCAYA ARGENTARIA, S.A.
(Translation of Registrant’s name into English)
Paseo de la Castellana, 81
28046 Madrid
Spain
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F x Form 40-F ¨
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(l):
Yes ¨ No x
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes ¨ No x
Press release
04.25.2012
January-March 2012 results
BBVA earns €1.005 billion in the first quarter
| ¨ | Rising revenues: BBVA’s net interest income increased for the fifth consecutive quarter to €3.6 billion, up 13.3% compared to the first three months of 2011. Growth was spread widely across all geographic regions |
| ¨ | Generating earnings: net attributable profit in the quarter exceeded €1 billion, |
demonstrating once again BBVA’s ability to generate earnings in a recurring and solid fashion despite a complex environment
| ¨ | Strong capital position: organic generation of capital allowed BBVA to meet the recommendations of the European Banking Authority (EBA) ahead of time without resorting to the sale of strategic assets |
BBVA’s profit for the first quarter of 2012 was €1.005 billion, which is 12.6% less than the same period last year but exceeds that of the two previous quarters. Gross income rose 3.5% to €5.45 billion, supported by firm recurring income in all the regions where the Group operates. The solid ability to generate capital organically was the key factor in achieving early compliance with EBA’s recommendations. Risk indicators remained stable for the ninth consecutive quarter.
“These results demonstrate the strength and resilience of our business model, which allows us to navigate the crisis, generating earnings and strengthening our capacity to grow while maintaining dividend payments,” BBVA President and Chief Operating Officer Ángel Cano said.
Net interest income, a measure of basic banking business, was highly positive thanks to excellent pricing in all regions and to buoyant activity in emerging markets. This indicator continues its upward trend, rising 13.3% year-over-year to €3.6 billion in the first quarter compared to the same period a year earlier. Additionally, recurring gross income, which excludes net trading income (NTI) and dividend income, continued to climb reaching €5.05 billion (up 12.6% year-over-year). The resilience of these items was assisted by limited rises in costs, which grew slower than recurring income and were mainly related to investments in emerging economies. In the first quarter the Group’s workforce increased 2.5% year-over-year to 111,306 employees, the number of ATMs grew 8.2% to 19,007 and branches increased slightly to 7,466. Lastly, recurring operating income (excluding the effect of NTI and dividend income) stood at €2.47 billion, up 15.9% compared to the same period last year.
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Press release
04.25.2012
Net interest income
BBVA Group
(€m)
Prudence and anticipation in risk management kept the indicators stable for the ninth consecutive quarter despite Spain’s complex environment. The non-performing asset ratio (NPA) was again 4.0%, improving on the figure of 4.1% a year earlier, and coverage stands at 60%. Loan-loss and real estate provisions continued to be stable (€1.3 billion in the quarter).
The organic generation of capital means BBVA has met the EBA recommendations (core capital ratio of 9%) ahead of time. This was accomplished without selling strategic assets and without any type of public-sector aid while keeping dividend payments stable. When calculated according to current rules the core capital ratio stands at 10.7%.
In terms of finance requirements BBVA Group enjoys a very comfortable position. Debt redemptions for 2012 and 2013 are already covered and there is ample collateral. BBVA has used funds from the European Central Bank’s three-year loans to improve its liquidity structure.
In terms of business activity gross lending to Group customers rose 3.4% year-over-year to €358.51 billion thanks to buoyant business in emerging economies. Total customer funds rose 0.6% to €429.8 billion.
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Press release
04.25.2012
Geographic diversification
The BBVA Group’s regional diversification, with special emphasis on emerging economies, was a key factor for the income statement.
| Net attributable profit by region BBVA Group (%) |
Net attributable profit by economies BBVA Group (%) |
|
Net attributable profit for 1Q12 tops €1,000m
|
Note: breakdown excludes Corporate Activities
Spain’s contribution to the income statement was €229 million, down 52.2% year-over-year affected by net trading income (NTI) figures extremely high in the first quarter of 2011 and higher provisioning in the current year. In the declining economic context the favorable management of prices was noteworthy, as were the market share gains in lending and deposits, and the positive evolution of net interest income. The NPA ratio stands at 4.9% and the coverage ratio is 43%.
Eurasia, which includes the investments in China Citic Bank (CNCB) and Garanti, enjoyed vigorous business and growing earnings. Net attributable profit rose 51.7% to €299 million.
In Mexico, BBVA Bancomer consolidated its lead over competitors with a stable risk premium. The franchise contributed €430 million (up 3.6% at constant exchange rates) and it set a new record for quarterly income.
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Press release
04.25.2012
The buoyant activity in South America was reflected in revenues. Gross income grew 18.1% in constant euros to €1.37 billion. The region reported an improvement in efficiency, NPA ratio stood at 2.3%, with a coverage ratio of 141%. Net attributable profit came to €370 million (up 27.1% at constant exchange rates).
In the United States the notable features were the resilience of income and cost control plus a steady improvement in risk indicators. The NPA ratio improved to 3.2%, compared to 3.5% in December and 4.3% in March 2011. Net attributable profit at BBVA’s U.S. franchise came to €115 million (up 15.6% at constant exchange rates).
The highlight in Corporate & Investment Banking was the resilience of the Group’s wholesale banking results. This is due to its focus on customers and the low-risk business model with a high degree of diversification by region and product. In the first quarter this unit generated net attributable profit of €279 million, down 18.7% at constant exchange rates.
Contact details:
Corporate Communications
Tel: (+34) 91 537 53 48
BZA00104@grupobbva.com
For more financial information about BBVA visit:
http://shareholdersandinvestors.bbva.com/TLBB/tlbb/bbvair/ing/index.jsp
For more BBVA news visit: http://press.bbva.com/
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Press release
04.25.2012
BBVA Group Highlights
(Consolidated figures)
| 31-03-12 | p% | 31-03-11 | 31-12-11 | |||||||||||||
| Balance sheet (million euros) |
||||||||||||||||
| Total assets |
6,00,477 | 6.8 | 562,174 | 597,688 | ||||||||||||
| Customer lending (gross) |
358,507 | 3.4 | 345,814 | 361,310 | ||||||||||||
| Deposits from customers |
278,445 | (1.8 | ) | 283,559 | 282,173 | |||||||||||
| Other customer funds |
151,350 | 5.4 | 143,615 | 144,291 | ||||||||||||
| Total customer funds |
429,794 | 0.6 | 427,175 | 426,464 | ||||||||||||
| Total equity |
41,361 | 9.2 | 37,881 | 40,058 | ||||||||||||
| Income statement (million euros) |
||||||||||||||||
| Net interest income |
3,597 | 13.3 | 3,175 | 13,160 | ||||||||||||
| Gross income |
5,447 | 3.5 | 5,263 | 20,566 | ||||||||||||
| Operating income |
2,862 | (1.5 | ) | 2,904 | 10,615 | |||||||||||
| Income before tax |
1,423 | (14.2 | ) | 1,659 | 3,770 | |||||||||||
| Net attributable profit |
1,005 | (12.6 | ) | 1,150 | 3,004 | |||||||||||
| Net attributable profit excluding one-offs(1) |
1,005 | (12.6 | ) | 1,150 | 4,015 | |||||||||||
| Data per share and share performance ratios |
||||||||||||||||
| Share price (euros) |
5.97 | (30.3 | ) | 8.56 | 6.68 | |||||||||||
| Market capitalization (million euros) |
29,257 | (23.9 | ) | 36,447 | 32,753 | |||||||||||
| Net attributable profit per share (euros) |
0.20 | (18.3 | ) | 0.24 | 0.64 | |||||||||||
| Net attributable profit per share excluding one-offs (euros)(1) |
0.20 | (18.3 | ) | 0.24 | 0.85 | |||||||||||
| Book value per share (euros) |
8.44 | (0.6 | ) | 8.49 | 8.35 | |||||||||||
| P/BV (Price/book value times) |
0.7 | (29.3 | ) | 1.0 | 0.8 | |||||||||||
| Significant Ratios (%) |
||||||||||||||||
| ROE (Net attributable profit/Average equity) |
9.9 | 12.8 | 8.0 | |||||||||||||
| ROE excluding one-offs(1) |
9.9 | 12.8 | 10.6 | |||||||||||||
| ROTE (Net attributable profit/Average tangible equity) |
12.6 | 16.9 | 10.7 | |||||||||||||
| ROTE excluding one-offs(1) |
12.6 | 16.9 | 14.3 | |||||||||||||
| ROA (Net income/Average total assets) |
0.79 | 0.95 | 0.61 | |||||||||||||
| ROA excluding one-offs(1) |
0.79 | 0.95 | 0.79 | |||||||||||||
| RORWA (Net income/Average risk-weighted assets) |
1.43 | 1.67 | 1.08 | |||||||||||||
| RORWA excluding one-offs(1) |
1.43 | 1.67 | 1.40 | |||||||||||||
| Efficiency ratio |
47.5 | 44.8 | 48.4 | |||||||||||||
| Risk premium |
1.22 | 1.20 | 1.20 | |||||||||||||
| NPA ratio |
4.0 | 4.1 | 4.0 | |||||||||||||
| NPA coverage ratio |
60 | 61 | 61 | |||||||||||||
| Capital adequacy ratios (%) |
||||||||||||||||
| Core capital |
10.7 | 8.9 | 10.3 | |||||||||||||
| Tier l |
10.7 | 9.8 | 10.3 | |||||||||||||
| BIS Ratio |
13.2 | 13.0 | 12.9 | |||||||||||||
| Other information |
||||||||||||||||
| Number of shares (millions) |
4,903 | 9.2 | 4,491 | 4,903 | ||||||||||||
| Number of shareholders |
976,922 | 6.0 | 921,650 | 987,277 | ||||||||||||
| Number of employees(2) |
111,306 | 2.5 | 108,594 | 110,645 | ||||||||||||
| Number of branches(2) |
7,466 | 0.7 | 7,412 | 7,457 | ||||||||||||
| Number of ATMs(2) |
19,007 | 8.2 | 17,564 | 18,794 | ||||||||||||
General note: These quarterly statements have not been audited. The consolidated accounts of the BBVA Group have been drawn up according to the International Financial Reporting Standards (IFRS) adopted by the European Union and in conformity with Bank of Spain Circular 4/2004, together with the changes introduced therein.
| (1) | In the fourth quarter of 2011 a charge was booked for goodwill impairment in the United States. |
| (2) | Excluding Garanti. |
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Press release
04.25.2012
Consolidated income statement: quarterly evolution
(Million euros)
| 2012 | 2011 | |||||||||||||||||||
| 1Q | 4Q | 3Q | 2Q | 1Q | ||||||||||||||||
| Net interest income |
3,597 | 3,485 | 3,286 | 3,215 | 3,175 | |||||||||||||||
| Net fees and commissions |
1,216 | 1,136 | 1,143 | 1,167 | 1,114 | |||||||||||||||
| Net trading income |
367 | 416 | (25 | ) | 336 | 752 | ||||||||||||||
| Dividend income |
27 | 230 | 50 | 259 | 23 | |||||||||||||||
| Income by the equity method |
193 | 207 | 150 | 123 | 121 | |||||||||||||||
| Other operating income and expenses |
47 | 42 | 22 | 62 | 79 | |||||||||||||||
| Gross income |
5,447 | 5,515 | 4,627 | 5,162 | 5,263 | |||||||||||||||
| Operating costs |
(2,585 | ) | (2,652 | ) | (2,461 | ) | (2,479 | ) | (2,359 | ) | ||||||||||
| Personnel expenses |
(1,379 | ) | (1,404 | ) | (1,325 | ) | (1,306 | ) | (1,276 | ) | ||||||||||
| General and administrative expenses |
(974 | ) | (1,021 | ) | (920 | ) | (964 | ) | (887 | ) | ||||||||||
| Depreciation and amortization |
(232 | ) | (227 | ) | (216 | ) | (208 | ) | (196 | ) | ||||||||||
| Operating income |
2,862 | 2,863 | 2,166 | 2,683 | 2,904 | |||||||||||||||
| Impairment on financial assets (net) |
(1,085 | ) | (1,337 | ) | (904 | ) | (962 | ) | (1,023 | ) | ||||||||||
| Provisional (net) |
(130 | ) | (182 | ) | (94 | ) | (83 | ) | (150 | ) | ||||||||||
| Other gains (losses) |
(222 | ) | (1,718 | ) | (166 | ) | (154 | ) | (71 | ) | ||||||||||
| Income before tax |
1,423 | (375 | ) | 1,002 | 1,484 | 1,659 | ||||||||||||||
| Income tax |
(250 | ) | 368 | (95 | ) | (189 | ) | (369 | ) | |||||||||||
| Net income |
1,173 | (7 | ) | 907 | 1,295 | 1,290 | ||||||||||||||
| Non-controlling interests |
(168 | ) | (132 | ) | (103 | ) | (106 | ) | (141 | ) | ||||||||||
| Net attributable profit |
1,005 | (139 | ) | 804 | 1,189 | 1,150 | ||||||||||||||
| Net one-offs(1) |
(1,011 | ) | ||||||||||||||||||
| Net attributable profit (excluding one-offs) |
1,005 | 872 | 804 | 1,189 | 1,150 | |||||||||||||||
| Basis earnings per share (euros) |
0.20 | (0.03 | ) | 0.17 | 0.25 | 0.24 | ||||||||||||||
| Baste earnings par share excluding one-offs (euros)(2) |
0.20 | 0.18 | 0.17 | 0.25 | 0,24 | |||||||||||||||
| (1) | In the fourth quarter of 2011 a charge was looked for goodwill impairment in the United States. |
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Press release
04.25.2012
About BBVA
BBVA is a customer-centric global financial services group founded in 1857. The Group has a solid position in Spain, it is the largest financial institution in Mexico and it has leading franchises in South America and the Sunbelt Region of the United States. Its diversified business is biased to high-growth markets and it relies on technology as a key sustainable competitive advantage. BBVA ranks among the leading euro zone banks in terms of ROE and efficiency. Corporate responsibility is at the core of its business model. BBVA fosters financial education and inclusion, and supports scientific research and culture. It operates with the highest integrity, a long-term vision and applies the best practices. The Group is present in the main sustainability indexes.
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Banco Bilbao Vizcaya Argentaria, S.A. | ||||||
| Date: April 25, 2012 | By: | /s/ Eduardo Ávila Zargoza | ||||
| Name: | Eduardo Ávila Zargoza | |||||
| Title: | Chief Accounting Officer | |||||