The CaixaBank group, which owns BPI in Portugal, reported profits of 1.47 billion euros in the first quarter of the year, marking a 46.2% increase compared to the same period in 2024.
CaixaBank noted in a statement that, on a comparable basis, profit growth was 6.9%, due to the impact of an extraordinary tax in Spain on earnings from commissions and interest paid in the first quarter of 2024.
Regarding BPI’s results, which the Portuguese bank will present next week in Lisbon, CaixaBank disclosed that business volume grew by 5.6% in the first quarter compared to the same period last year. The “healthy credit” portfolio rose to 30.8 million euros (up 4.6%), and client funds increased to 36.4 million euros (up 6.5%).
The 15.3% decrease in BPI’s contribution to CaixaBank’s results this quarter is mainly attributed to a decline in the interest margin, which is the difference between interest paid and received by the bank, due to falling rates, an official source from the Spanish bank stated, highlighting that “activity continues to grow” and the Portuguese bank is gaining market share.
CaixaBank revealed that at the end of the quarter, BPI held a 14.7% market share in mortgages and a 10.6% share in deposits.
The default rate at BPI for this quarter was 1.7%, while for CaixaBank as a whole it was 2.5%.
These default rates are at “historically very low levels,” CaixaBank emphasized in a statement.
The return on tangible equity (ROTE) indicator for BPI was 20% in the first quarter.
CaixaBank had introduced a new strategic plan last November for the 2025-2027 period, projecting 4% annual growth through 2027, applicable to the entire group as well as BPI.
In the statement released today, the group’s CEO, Gonzalo Gortázar, highlighted that the bank has begun “the first exercise of the new strategic plan with significant progress” towards the defined objectives and mentioned the “current context of increasing uncertainty.”
“We are accelerating business growth, driving the transformation of our operations, and investing in our business, we have reduced doubtful accounts and maintained high levels of liquidity and capital,” Gortázar stated, as cited in the release.
In a subsequent online press conference from Barcelona, Gortázar mentioned that the trade war initiated by new tariffs announced and implemented by the United States has the potential to negatively impact credit demand in the medium to long term.
However, so far, the bank has not felt any impact, and CaixaBank maintains its announced growth targets.
Regarding the blackout this week in the Iberian Peninsula, Gonzalo Gortázar assessed that it would have a limited economic impact, noted as an isolated incident unlikely to recur.
The banking system was not affected by the blackout, though some services ceased to function for a few hours solely due to the lack of power, as was the case with ATMs and payment terminals in commercial establishments.
“I believe there was a very noteworthy resilience,” he stated.
