Bladex, Inc.

Net income reached a record $66.5 million, up 18% from the first quarter; adjusted ROE was 16.4%, ROA was 2.0%, and first-half net income totaled $122.8 million. Net interest income increased to $73.3 million, up 4% from the first quarter, while net interest margin declined 10 bps to 2.24% and net interest spread fell to 1.64. Noninterest income, excluding hedging derivatives, reached $25.1 million, up 86% from the first quarter, and operating expenses were $23.8 million, up 8%. On the balance sheet, the commercial portfolio reached $13 billion, deposits reached $7.9 billion, liquidity assets were approximately $1.9 billion, and the Tier 1 capital ratio was 16.6%. Management reaffirmed full-year adjusted ROE guidance of 14% to 15%, maintained full-year NIM guidance, and expects the full-year efficiency ratio to remain within 27% to 28%.

Jorge Salas framed the quarter as evidence that Bladex’s 2030 strategy is starting to translate into tangible results, especially in commercial growth, funding diversification, and revenue mix expansion. He emphasized that the bank is not changing its risk appetite despite tougher competitive conditions, but is leaning into structured products, medium-term transactions, and deposit growth to offset spread compression. His tone was upbeat but measured, repeatedly noting that margin pressure was stronger than expected while saying the bank remains on track with its strategic priorities.

Annette van de Solis highlighted the core financial drivers: net income of $66.5 million, net interest income of $73.3 million, noninterest income of $25.1 million, and operating expenses of $23.8 million. She said the Tier 1 ratio was 16.6%, above the bank’s 15% to 16% operating range, and reiterated that the capital base still provides ample growth capacity. On credit, she cited provisions of $8.6 million, Stage 1 exposure at 98.4% of total credit exposure, and reserve coverage of $93.8 million, with coverage expected to move toward 1.5% to 1.6% by year-end. She also reaffirmed full-year adjusted ROE guidance of 14% to 15%, maintained NIM guidance, and kept the full-year efficiency ratio target at 27% to 28%.

Analysts focused on whether stronger competition and spread pressure should reduce growth appetite, whether fee income is recurring, and whether credit coverage might need to rise. Management said appetite is unchanged, but it is not chasing volume just to raise portfolio growth guidance, and any upside would depend on better visibility in the second half. On fees, management said syndication revenue is episodic and should not be annualized, while letters of credit and client derivatives are more structural; on credit, they said the Stage 3 move was tied to a single monitored Brazilian petrochemical exposure and they do not expect NPLs to rise from current levels.