BBVA Banco Frances Reports Strong Q2 Earnings Amid Lending Recovery and Macroeconomic Improvements
BBVA Banco Frances (NYSE: BBAR) reported a significant sequential increase in inflation-adjusted net income for the second quarter of 2026, rising to ARS 131.6 billion—a 44.6% growth from Q1—supported by Argentina's lower-inflation environment and stable operating income. Return on equity also improved notably, climbing to 12.2%, up from 8.3%. The bank highlighted early signs of a lending recovery across multiple segments including mortgages, auto loans, commercial lending, and foreign-currency loans. Despite these positive trends, asset quality remains the primary risk for BBVA Banco Frances as nonperforming loans increased to 6.09%, driven by retail portfolios. Management expects this ratio to stabilize and decline toward 5.5% by year-end due to improved newer loan vintages. The bank anticipates a real-term growth of about 10% in its loan book during 2026, with opportunities expected across secured retail products and SMEs.
Tickers: $BBAR
Topics: Argentina economy banking lending recovery nonperforming loans