Bladex Q2 revenue rises on higher commercial balances, record fees

Overview

• Panama multinational bank's Q2 net profit rose 4% yr/yr to $66.5 mln

• Q2 revenue grew 10% yr/yr to $98.9 mln, driven by higher commercial balances and record fees

• Company announced quarterly dividend of $0.6875 per share for Q2

Outlook

• Company did not provide specific guidance for future quarters or the full year

Result Drivers

• HIGHER BUSINESS VOLUMES - Net interest income growth was mostly driven by higher average commercial balances

• RECORD FEE GENERATION - Fee and non-interest income reached a record, supported by increased client engagement and transactional activity

• FUNDING OPTIMIZATION - Continued optimization of funding costs contributed to results despite margin pressure from abundant liquidity and competition

Company press release: ID:nPn7gvYfLa

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the corporate financial services peer group is "buy"

• Wall Street's median 12-month price target for Bladex Inc is $64.80, about 9% above its July 27 closing price of $59.44

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 8 three months ago

Reuters Recommended Reads

• July 27 - Bank of N.T. Butterfield Q2 EPS beats estimates on higher interest income

• July 27 - HBT Financial Q2 adjusted EPS beats on CNB acquisition; raises dividend

• July 27 - Capital Bancorp Q2 net income, EPS beat estimates as loans and deposits grow

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)