Jefferies Equity Research | Spanish Banks’ 1Q24 earnings season kicks off later this week. We expect focus to remain on the NII print/guidance in a context where rates expectations have moved up YTD. Loan growth still not helping, but in-check asset quality is an offsetting factor. Outside Spain, Mexico’s numbers came relatively solid into early Q1 24 as per CNBV data. In Brazil, loan growth is now flat in real…
In the report entitled “Investing in Productivity Growth”, the consultancy points out that data for Spain shows that since 2012, labour productivity growth has been 0.4%, compared to an average of 0.5% in the rest of the major European economies, and 1% in the United States. Spain, the report points out, has had a sustained low productivity growth for a quarter of a century – only in Italy has it…
Banca March: The Bank of Spain warns that public debt will soar in the medium and long term in the absence of a consolidation plan. At the end of 2023, the debt ratio was 107.7% of GDP and a structural deficit balance (excluding the cyclical part) of -3.7%. In the absence of fiscal policies, debt would reach 108% in 2026 and 120% in 2024. The institution estimates that, with an…
The Sociedad Estatal de Participaciones Industriales (SEPI) has informed the National Securities Market (CNMV) that its stake in Telefónica’s share capital has now reached 5%, half of the established target. SEPI thus complies with the Council of Ministers’ agreement ordering the purchase of Telefónica shares up to 10%, “minimising the impact on the share price and complying with the notifications of significant shareholdings established in the regulations”, the public holding…
The Minister of Transport, Óscar Puente, assures that the takeover bid for Talgo by the Hungarian consortium led by the Magyar Vagón group, which in the past had corporate links with Russian companies, enters the geopolitical scene, since TALGO’s movable axle patent is “critical” in areas such as the Baltic countries where the main concern is “military mobility”. “The context is not easy and Talgo has very sensitive material…. “It…
Link Securities| According to data from the energy balance sheet at the end of March reported by the company to the Spanish National Securities Market Commission (CNMV), summarised by Europa Press, Iberdrola (IBE) generated 10,489 GWh with renewable energy in Spain in 1Q2024, representing an increase of 19.4% over the same period and the highest in the last decade. This figure for the group’s renewable generation in Spain was driven…
Link Securities| The financial institution has reported the completion of the execution of its share buyback programme, having reached the maximum monetary amount of €781 million. With the acquisition of the last shares referenced below, the total number of shares acquired in execution of the Buyback Programme is 74,654,915 treasury shares, representing approximately 1.28% of BBVA’s share capital at this date. As indicated by BBVA, the purpose of the Buyback…
Fernando González Urbaneja | “GDP and employment are increasing, the external balance is improving… while productivity, per capita income, and convergence with the EU stagnate”. The Spanish economy shows ambivalent signs that, depending on the data and periods chosen, serve a multitude of purposes. The government chooses the best of the repertoire to conclude that the economy is the electoral weapon to win support; in fact, the new economy minister…
Alphavalue/ Divacons| The Cantabrian bank has reached an agreement with BlackRock to finance infrastructures at an international level for a value of $600 million, one of the US fund manager’s main sources of growth in the short term. This is the first joint operation in this segment between the two entities, which are already partners in some areas within the asset management world. This is the latest example of a…
According to figures released yesterday by the General Council of Notaries, the number of home sales and purchases in Spain rose by 10.3% year-on-year in February, to 53,142 units. The average price per square metre of homes sold stood at €1,649 m2, representing a year-on-year increase of 3.5%. By type of housing, sales of flats rose by 12% year-on-year in February to 41,474 units, while sales of single-family homes increased…