“The results of the quarter were impacted by two special events, the deconsolidation of Bineo, recording an initial impairment loss of 1,307 million pesos and the registration in the stage 3 portfolio of a relevant case in the commercial portfolio, which led to higher provisions,” the Group said in a statement.
This event in the commercial portfolio also caused an increase in the group’s delinquency, going from 1.13% in the last quarter to 1.37% in the period from July to September.
“There are no signs of systemic, regional or sectoral risks identified, nor deterioration or weakening in the general trends of portfolio quality,” Banorte highlighted.
To address this default in the commercial credit portfolio, Grupo Financiero Banorte had to increase its provisions by 57% to 8,176 million pesos.
The provisions include a provision for making credit card reservations, especially Rappicard ones.
Regarding credit generation, Banorte reported a 12% growth in the consumer portfolio, which was driven by auto loans and cards.
Loans to companies had a growth of 9% compared to last year while government loans fell 12%.
