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Bladex 2Q25 Financial Results Overview

Banco Latinoamericano de Comercio Exterior, S.A. (NYSE: BLX), commonly known as Bladex, has announced its financial results for the second quarter (2Q25) and the first half of the year (6M25). Based in Panama and originally established by the central banks of 23 Latin American and Caribbean countries, Bladex has consistently aimed to bolster foreign trade and economic integration across the region.

Financial Highlights

In 2Q25, Bladex achieved a net profit of $64.2 million, translating to $1.73 per share, which represents a substantial 28% year-on-year increase. For the first six months of 2025, the bank reported a net profit of $115.9 million, marking a 14% increase compared to the same period last year. This success is attributed to a combination of enhanced top-line revenue, stable credit provisioning, and improved operational efficiency.

One of the key measures of profitability, the annualized Return on Equity (ROE), surged to 18.5% in 2Q25, up from the previous year's rate, showcasing a growth of 222 basis points. The strong performance underscores Bladex's commitment to a robust financial strategy and effective execution of its business model.

Revenue Growth and Interest Income

The Net Interest Income (NII) for the quarter hit a record $67.7 million, an 8% increase year-on-year, while the total for the first six months amounted to $133.0 million, up 6%. This growth was mainly driven by an increase in both average business volumes and stable profit margins. The Net Interest Margin (NIM) remained steady at 2.36% for both 2Q25 and 6M25, reflecting competitive pricing influenced by heightened USD liquidity in the markets.

The fee income also saw a striking rise, amounting to $19.9 million in 2Q25, implying a notable 59% year-on-year growth. This was supported by Bladex's strong performance across all business lines, particularly through structured transactions and an increase in fees from letters of credit and credit commitments.

Credit Portfolio and Asset Quality

As of June 30, 2025, Bladex's total Credit Portfolio achieved an all-time high of $12,182 million (an 18% year-on-year growth), demonstrating robust demand across commercial lending. The commercial sector, in particular, reached a historic peak of $10,819 million.

Bladex maintained a solid asset quality, with 97.9% of its credits ranked as low-risk or categorized as Stage 1. This stability is further illustrated by the minor presence of impaired credits, totaling a mere 0.2% of the total portfolio, which reflects effective risk management practices.

Robust Liquidity and Capital Ratios

The Bank's total deposits experienced substantial growth, reaching $6,446 million (up by 23% year-on-year), which constitutes 62% of total funding sources. Bladex's liquidity position is sound, with $1,959 million available, representing a comfortable coverage of 15.5% of total assets.

Moreover, the Bank's Tier 1 Capital Ratio and Regulatory Capital Adequacy Ratio stood at 15.0% and 13.9%, respectively, reflecting strong earnings that align with the Bank's risk appetite and regulatory compliance.

Dividend Announcement

In addition to its strong financial performance, the Board of Directors has approved a quarterly common dividend of $0.625 per share for 2Q25. The cash payment is scheduled for September 3, 2025, rewarding shareholders registered by August 15, 2025.

Conclusion

Bladex's impressive financial performance in 2Q25 exemplifies its resilience and strategic focus on growth within the banking sector. As a pillar for fostering economic relations in Latin America, the bank continues to demonstrate its strength and commitment to serving its diverse clientele. Interested stakeholders can tune in to the comprehensive conference call set for August 5, 2025, for further financial insights and discussions.

For more information, visit Bladex's official website and stay updated on their latest financial developments.