Grupo Supervielle S.A.

The company reported an attributable net loss of ARS 19.5 billion in 4Q25, improving from a CLP/ARS 55 billion loss in 3Q25 as stated on the call. Net financial income reached ARS 246 billion, up 82% sequentially and 1% year over year. Loans grew 8% sequentially and 37% year over year; commercial lending rose 25% sequentially and 64% year over year, while retail loans fell 4% sequentially. NPLs increased to 5.0% from 3.9%, net cost of risk was 10.4% in the quarter and 6.2% for the full year, and coverage was 112%. CET1 ended at 15.4%, up 220 bps quarter over quarter. For 2026, management guided to real loan growth of 25% to 30%, deposits growth of 20% to 25%, NPLs of 5% to 6% with a temporary peak in 1Q26, cost of risk of 6% to 6.5%, NIM of 14% to 16%, net fee income growth of about 5% in real terms, ROE of 4% to 9%, and ending CET1 of 11% to 13%.

Patricio Supervielle described 4Q25 as a quarter of peak stress but also of balance-sheet positioning for the next recovery phase. He emphasized that loan growth outperformed the industry, funding stayed resilient despite deliberate deleveraging, and margin recovery plus strict cost control helped narrow the loss. His tone was constructive on 2026, arguing that declining rates, easing reserve requirements and reform momentum should support renewed credit expansion, while Supervielle’s digital banking and EOL platforms remain central to the strategy.

Mariano Biglia highlighted that the quarter’s loss was mainly driven by a 75% sequential increase in loan-loss provisions, partly from higher system delinquency and updated IFRS 9 macro assumptions. He pointed to better margin dynamics, including ARS 246 billion of net financial income, a roughly 400 bps decline in peso funding cost, market-related NIM rising to 26% from 11%, and loan portfolio NIM improving to 16.9%. He also noted that expenses were up 6% sequentially but down 9% in real terms for the full year, deposits fell 6% sequentially due to wholesale funding reduction, and CET1 remains sufficient to support the 2026 growth plan.

Analysts pressed management on why capital rose to about 15% CET1 despite a negative quarter, whether this was structural or temporary, and whether the bank would change dividend policy. Management said the ratio will likely move toward the guided 11% to 13% range as lending grows, that part of the increase reflected mark-to-market and deferred tax asset effects that should not repeat, and that no dividend is expected in 2026 after the negative 2025 result. Questions also focused on the apparent contradiction between fast loan growth and rising NPLs; management said collections improved in December through February, provisions likely peaked in 4Q, and 1Q26 may show the peak in NPLs before improvement. On retail lending and deposits, the team said retail credit will recover gradually only as disinflation, lower rates, better consumer confidence and lower liquidity requirements materialize, while CASA growth remains a focus. On EOL, management said the business is shifting toward affluent clients, SMEs and IFAs, with asset management becoming more meaningful.