Garanti BBVA surpasses TL 2 trillion in loans
Garanti BBVA has released its financial statements for January through September 2024, reporting net income of TL 66.95 billion, and total assets of TL 2.88 trillion. The bank provided TL 2.17 trillion in loans, with loans in TL surpassing TL1 trillion. Customer deposits continued to be the main source of funding, accounting for 70 percent of the bank’s assets. The total customer deposit base reached TL 2.02 trillion, representing 25.9 percent growth in the first nine months of the year. The bank’s capital adequacy ratio stood at 15.8 percent.* Its return on average equity (ROAE) was 32.9 percent and return on average assets (ROAA) was 3.5 percent.
*Calculation does not include forbearance introduced by BRSA
Garanti BBVA CEO Mahmut Akten explained that the third quarter of 2024 was marked by a continued focus on lowering inflation through tight monetary policy. Reinforced by macroprudential measures, this policy put upward pressure on funding costs and compressed Turkish Lira loan-deposit margins. The CEO emphasized the bank’s customer-centric approach, setting it apart from its competitors. “Our long-standing customer relationships and our position as customers’ preferred bank have enabled us to maintain our leadership in Turkish Lira loans and Turkish Lira deposits among private banks. With a strong market share in mortgages, general purpose loans, auto loans, and credit cards, we have exceeded TL 1 trillion in total Turkish Lira loans,” he said.
Akten stressed the vital importance of digital transformation, noting that the increased agility and efficiency it brings have completely transformed both the bank and customers’ lives. Digitizing the loan process, for example, has allowed Garanti BBVA to provide the solutions individuals and businesses need in a quick and efficient manner. Previously only available to businesses, the bank expanded its digital auto loan service to also include individuals this quarter.
In addition, the CEO pointed to Garanti BBVA’s $5 billion investment in technology over the past 25 years. As a result, the bank now has a total of 16.3 million digital customers. “These numbers are not just figures; each customer gets tangible results, making their lives easier with the technological solutions our bank offers,” he stated. He also referred to the bank’s innovative payment solutions, such as BonusFlaş, one of Turkey’s top mobile wallet apps. It has amassed over 5.5 million users and now offers QR code payments for cards from different banks, taking user experience to the next level.
Garanti BBVA’s deep commitment to a sustainable future goes far beyond financial services. In this regard, Akten emphasized the bank’s efforts to combat climate change and foster inclusive growth, as well as a variety of related issues over the past 18 years, such as the environment, energy efficiency, social inequality, gender equality, access to quality education, the circular economy, and support for women entrepreneurs. “We encourage our customers to be part of this transformation through our advantageous financing mechanisms and advisory services. We also focus on providing solutions for transition areas that are particularly critical."
Akten concluded by thanking all of Garanti BBVA’s customers and stakeholders, without whom the bank’s success would not be possible. “Our excellent financial results and our position as Turkey's most valuable company are clear evidence of the trust our customers and stakeholders have in us. We will continue to create value for our customers and stakeholders with the same discipline and determination, taking Garanti BBVA to even greater heights. I would like to thank all my colleagues and all our stakeholders who have contributed to this success,” he said.
Turkish presentation on Garanti BBVA’s BRSA consolidated financial results as of September 30, 2024 is available on the Garanti BBVA Investor Relations website: www.garantibbvainvestorrelations.com.