Profits up 19pc for BBVA, second biggest bank

24th October 2007, Comments 0 comments

24 October 2007, MADRID - (AFP) - Spain's second largest bank, BBVA, reported a 19.5 percent gain in third quarter net earnings Wednesday to 1.339 billion euros (1.9 billion dollars) compared with the same period last year despite a rise in credit risk.

24 October 2007

MADRID -  (AFP) - Spain's second largest bank, BBVA, reported a 19.5 percent gain in third quarter net earnings Wednesday to 1.339 billion euros (1.9 billion dollars) compared with the same period last year despite a rise in credit risk.

The results were consistent with forecasts by analysts surveyed by Thomson Financial News, who had predicted an earnings range of 1.228-1.392 billion euros.

Over nine months net earnings rose 6.7 percent to 4.756 billion euros, while net banking profit was up 15.5 percent at 7.025 billion euros, BBVA said.

It said that at the end of the third quarter the value of credit considered to be at risk came to 3.255 billion euros, an increase of 37.9 percent from the same quarter last year. The bank's risky credit rate stood at 0.88 percent against 0.82 percent in third quarter 2006.

The bank added that Spain enjoys a low overall rate for risky bank loans compared with other European countries despite a slowdown in the housing sector and a series of interest rate hikes by the European Central Bank.

BBVA shares in mid-morning trading here were showing a decline of 0.47 percent at 16.87 euros on a generally weaker market.

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Subject: Spanish news 

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