GENTERA Reports 3Q16 Results

MEXICO CITY--(BUSINESS WIRE)--GENTERA S.A.B. de C.V. (“GENTERA” or “the Company”) (BMV:GENTERA*) announced today non-audited consolidated financial results for the third quarter period ended September 30, 2016. All figures were prepared in accordance with requirements from the National Banking and Securities Commission (CNBV) and are expressed in nominal Mexican pesos (Ps.).

3Q16 Highlights:

• Total Loan Portfolio reached Ps. 31,866 million, a 15.9% increase compared with 3Q15.
  
  Loan Portfolio per subsidiary was distributed as follows:
  • Banco Compartamos S.A. I.B.M. (Mexico) (Banco Compartamos) reached Ps. 24,604 million, a 12.2% increase versus the Loan Portfolio from microcredit in 3Q15;
  • Compartamos Financiera (Peru) at Ps. 6,787 million, a 30.1% increase versus 3Q15; and
  • Compartamos S.A. (Guatemala) was Ps. 475 million, 35.3% higher compared with 3Q15.

• Net Income for the third quarter was Ps. 918 million, a 4.1% increase compared with the Net Income of Ps. 882 million achieved in 3Q15.
  
  • Net income for 9M16 was Ps. 2,870 million, a 25.3% growth compared with 9M15
• NIM stood at 57.2%, compared with 58.2% in 3Q15.
• ROE stood at 24.8%, compared with 28.8% during 3Q15.
• ROA reached 9.3%, compared with 10.3% in 3Q15.
• Non-performing loans (NPLs) for 3Q16 were 3.33%, compared to 2.96% in 3Q15.
• Efficiency ratio for 3Q16 was 68.2%, compared to 66.0% reported in 3Q15.
  • Efficiency ratio for the first 9 months was 65.8% compared with 68.4% in 9M15.
• On October 7, Banco Compartamos issued Ps. 2.5 billion in local Bank bonds for a tenor of 3 & 7 years, with an interest rate of TIIE + 47 bps and a 7.5% fixed rate respectively. This issuance was oversubscribed by 3.3 times.
• YASTAS¹ executed close to 1.6 million financial transactions during the quarter, 2.5 times more the number of financial transactions executed in 3Q15.
• ATERNA² concluded the quarter with more than 5.5 million active life insurance policies throughout its operations in Mexico, Peru and Guatemala.
• INTERMEX³ with more than 1,500 affiliates executed more than 1.1 million transactions, representing more than Ps. 5,500 million pesos.
• FIINLAB, GENTERA´s innovation laboratory was presented on August 23. FIINLAB will aim to create new business models for financial inclusion, opening the doors to infinite possibilities to innovate for the benefit of our customers.
• At the close of the third quarter, 984,999 shares were repurchased through the Company’s share buyback program established on April 20, 2016. Outstanding Shares as of September 30, 2016: 1,626,026,415
• At the end of 3Q16, GENTERA organized more than 680 activities and programs in various communities; and over 69 thousand people benefited from GENTERA’s Corporate Social Responsibility programs; the Company invested approximately 40.6 million Pesos in these programs.

¹ GENTERA’s correspondent network manager / ² GENTERA’s micro-insurance broker / ³ GENTERA’s remittances company.

Comments from Mr. Carlos Labarthe, GENTERA’s President & CEO:

GENTERA concluded another solid quarter of continued growth. As every year happens the third quarter tends to be a time of the year with solid dynamics, and this year was not the exception. At the end of September, the consolidated Total Loan Portfolio reached Ps. 31,866 million, a 15.9% increase compared with 3Q15, with a 12.2% growth at Banco Compartamos, a 30.1% increase at Compartamos Financiera in Peru, and a 35.3% growth in Compartamos S.A. in Guatemala.

At the end of the third quarter GENTERA’s financial subsidiaries served 3.35 million clients, throughout a network of 692 Service Offices and 107 Branches, and a Staff of more than 21 thousand employees, which are committed to provide financial solutions to our clients.

With regards to its subsidiaries, ATERNA, INTERMEX and YASTAS, all of them delivered once again the results expected for the quarter. ATERNA concluded the quarter with more than 5.5 million active life insurance policies; INTERMEX paid 1.1 million remittances, which represented more $5.5 billion pesos; YASTAS finalized the quarter executing more than 1.6 million financial transactions; and finally, FIINLAB, our newest initiative aims to develop new business models to achieve greater financial inclusion.

We at GENTERA will continue to work hard with the purpose of servicing more clients through personalized financial solutions, with the clear purpose of empowering more and more customer that now are part of the unattended segment.

For a full version of this release, please visit www.gentera.com.mx.

About GENTERA

GENTERA, S.A.B. de C.V. (formerly Compartamos, S.A.B. de C.V.) is a holding company whose primary objective is to promote, organize and manage companies, domestic and international, that are subject to its investment policies. GENTERA was established in 2010 and is headquartered in Mexico. Its shares began trading on the Mexican Stock Exchange on December 24, 2010 under the ticker symbol COMPARC*. On January 2, 2014, the ticker symbol was changed to GENTERA*.

Note on Forward-Looking Statements

This press release may contain forward-looking statements. These statements are statements that are not historical facts, and are based on management’s current view and estimates of future economic circumstances, industry conditions, Company performance and financial results. The words “anticipates”, “believes”, “estimates”, “expects”, “plans” and similar expressions, as they relate to the Company, are intended to identify forward-looking statements. Statements regarding the declaration or payment of dividends, the implementation of principal operating and financing strategies and capital expenditure plans, the direction of future operations and the factors or trends affecting financial condition, liquidity or results of operations are examples of forward-looking statements. Such statements reflect the current views of management and are subject to a number of risks and uncertainties. There is no guarantee that the expected events, trends or results will actually occur. The statements are based on many assumptions and factors, including general economic and market conditions, industry conditions, and operating factors. Any changes in such assumptions or factors could cause actual results to differ materially from current expectations.