Shares of Banco Latinoamericano de Comercio Exterior SA (BLX), also known as Bladex, plummeted 12.80% in pre-market trading on Wednesday following the release of its third-quarter financial results for 2025. The significant drop comes as investors digest the mixed performance reported by the Latin American trade bank.
While Bladex reported a 12% year-over-year increase in its commercial portfolio to $10.9 billion and a 21% rise in total deposits to $6.8 billion, some key metrics raised concerns among investors. The bank's net income for Q3 stood at $55.0 million, marking a 4% increase year-over-year but a notable 14% decrease from the previous quarter. Additionally, the net interest margin declined by 23 basis points year-over-year to 2.32%, and the adjusted return on equity (ROE) fell by 129 basis points to 15.1% compared to the same period last year.
Looking ahead, Bladex provided guidance for the full year 2025, projecting 10% to 12% growth in its commercial portfolio and 15% to 17% average deposit growth. The bank also aims to maintain a net interest margin around 2.3% and achieve an ROE between 15% and 16%. Despite these projections and plans to strengthen its balance sheet, with the first phase of a new implementation plan scheduled for completion in the second half of 2026, the market's immediate reaction suggests that investors may have expected stronger performance or more optimistic outlook from the bank.
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