Banco Bilbao Vizcaya Argentaria Sa Net Income jumped on 31.5% in 2016
01 Feb 2017 • About Banco Bilbao Vizcaya Argentaria Sa (
$BVA) • By InTwits
Banco Bilbao Vizcaya Argentaria Sa reported 2016 financial results today. Overall the company's long term financial model is characterised by the following facts:
- Banco Bilbao Vizcaya Argentaria Sa has low CAPEX intensity: 5 year average CAPEX/Revenue was 4.6%. At the same time it's a lot of higher than industry average of 3.7%.
- CAPEX is quite volatile: 885 in 2016, 961 in 2015, 2,258 in 2014, 2,255 in 2013, 2,267 in 2012
- The company has potentially unprofitable business model: ROIC is at 2.4%
- It operates with high leverage: Net Debt/EBITDA is 1.8x while industry average is
Below you can find a comprehensive analysis of the key data driving the company's performance and stock price.
Banco Bilbao Vizcaya Argentaria Sa ($BVA) key annual financial indicators
| mln. € | 2012 | 2013 | 2014 | 2015 | 2016 | 2016/2015 |
|---|
P&L
|
|---|
| Revenue | 33,185 | 32,672 | 31,543 | 35,962 | 39,491 | 9.8% |
| Net Income | 1,676 | 2,228 | 2,618 | 2,642 | 3,475 | 31.5% |
Balance Sheet
|
|---|
| Cash | 35,494 | 34,903 | 31,430 | 29,282 | 40,039 | 36.7% |
| Short Term Debt | 116,320 | 96,504 | 112,396 | 133,824 | 122,926 | -8.1% |
| Long Term Debt | 98,070 | 74,676 | 72,191 | 81,980 | 76,375 | -6.8% |
Cash flow
|
|---|
| Capex | 1,685 | 1,252 | 1,419 | 2,171 | 1,312 | -39.6% |
Ratios
|
|---|
| Revenue growth | 3.5% | -1.5% | -3.5% | 14.0% | 9.8% | |
| Net Income Margin | 5.1% | 6.8% | 8.3% | 7.3% | 8.8% | 1.5% |
| CAPEX, % of revenue | 5.1% | 3.8% | 4.5% | 6.0% | 3.3% | -2.7% |
| ROIC | 0.7% | 1.2% | 1.7% | 2.2% | 2.4% | 0.3% |
| ROE | 4.2% | 5.3% | 5.7% | 5.5% | 7.3% | 1.9% |
Revenue and profitability
Banco Bilbao Vizcaya Argentaria Sa's Revenue increased on 9.8% in 2016.
Net Income marign increased slightly on 1.5 pp from 7.3% to 8.8% in 2016.
Capital expenditures (CAPEX) and working capital investments
In 2016 the company had CAPEX/Revenue of 3.3%. Banco Bilbao Vizcaya Argentaria Sa's CAPEX/Revenue decreased slightly on 0.51 pp from 3.8% in 2013 to 3.3% in 2016. For the last three years the average CAPEX/Revenue was 4.6%.
Return on investment
The company operates at low ROIC (2.43%) and ROE (7.34%). ROIC showed almost no change in 2016. ROE increased slightly on 1.9 pp from 5.5% to 7.3% in 2016.
Leverage (Debt)
Debt decreased on 7.6% in 2016 while cash surged on 36.7% in 2016.
Appendix 1: Peers in Banks
Below we provide Banco Bilbao Vizcaya Argentaria Sa benchmarking against other companies in Banks industry for the last 5 years. We show data for the top-5 companies by key financial metric together with the median value for all the companies in the industry.
Top companies by Revenue growth, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Kazkommertsbank JSC ($KKB) | | 6.0% | 16.3% | 41.4% | |
| Sberbank Of Russia ($SBER) | 37.2% | 25.1% | 23.4% | 27.4% | |
| Commercial Intl Bank(Egypt)S.A.E ($CBKD) | | 23.7% | 18.9% | 26.8% | 27.0% |
| Yapi Ve Kredi Bankasi As ($YKBD) | 14.9% | 4.8% | 19.7% | 25.3% | |
| Mcb Bank Ltd ($MCBS) | 3.0% | -1.7% | 19.4% | 22.4% | |
| |
|---|
| Median (43 companies) | 11.7% | 4.8% | 12.1% | 4.2% | 4.4% |
|---|
| Banco Bilbao Vizcaya Argentaria Sa ($BVA) | | -1.5% | -3.5% | 14.0% | 9.8% |
Top companies by CAPEX/Revenue, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Banque Marocaine Du Comm Exterieur ($69IR) | 3.7% | 9.7% | 4.3% | 26.8% | |
| Lloyds Banking Group ($LLPC) | 8.0% | 8.9% | 13.1% | 13.6% | 14.5% |
| Banco Santander Sa ($BNC) | 2.7% | 2.6% | 8.9% | 10.2% | 9.1% |
| Guaranty Trust Bank ($GRTB) | 6.7% | 6.1% | 6.8% | 7.7% | |
| Diamond Bank ($DBPA) | 8.2% | 7.9% | 6.0% | 6.7% | |
| |
|---|
| Median (41 companies) | 2.2% | 2.7% | 2.1% | 2.5% | 2.5% |
|---|
| Banco Bilbao Vizcaya Argentaria Sa ($BVA) | 5.1% | 3.8% | 4.5% | 6.0% | 3.3% |
Top companies by ROIC, %
| Top 5 | FY2012 | FY2013 | FY2014 | FY2015 | FY2016 |
|---|
| Commercial Intl Bank(Egypt)S.A.E ($CBKD) | 21.7% | 26.9% | 30.1% | 30.3% | 28.5% |
| Guaranty Trust Bank ($GRTB) | 19.8% | 18.9% | 17.8% | 16.0% | |
| Mcb Bank Ltd ($MCBS) | 15.0% | 14.4% | 15.8% | 14.9% | |
| United Bank Ltd ($UBLS) | 11.7% | 11.8% | 13.8% | 12.6% | |
| Zenith Bank ($ZENB) | 19.0% | 17.6% | 15.0% | 11.2% | |
| |
|---|
| Median (43 companies) | 6.4% | 5.7% | 4.5% | 3.5% | 5.3% |
|---|
| Banco Bilbao Vizcaya Argentaria Sa ($BVA) | 0.7% | 1.2% | 1.7% | 2.2% | 2.4% |
