September 30, 2023

Bancolombia 2016 Profits Jump 13.8% Year-on-Year

Medellin-based Bancolombia – Colombia’s biggest bank – on February 21 announced that its 2016 full-year profits rose 13.8% year-on-year, to COP$2.86 trillion (US$994 million).

“The growth in 2016 of the Bancolombia group — in the midst of a soft-landing of the Colombian economy after an important external shock — showed positive behavior,” according to the company.

“A sound portfolio, assets of COP$21.2 trillion [US$7.3 billion] — which reflect the strength of the organization — a return on equity that reached 14.5%, and advances in efficiency are stand-outs in the results.”

“We believe in innovation as a vehicle to bring our customers products and services that generate satisfaction and make life easier for them,” boasted Bancolombia president Juan Carlos Mora.

“We facilitated the creation of [digital banking platform] ‘Nequi,’ with which we reach 50,000 users, and took it to Panama. We delivered 1.5 million [smart] cards for users of mass-transportation systems in Barranquilla, Cali, Bogotá, Pereira and Medellin. We reached 80,000 customers with our ‘Mobile Wallet’ and we achieved 5.5 million downloads of our ‘App’ for individuals and 29,000 for companies.

“The results for 2016 leave us very satisfied. Demand for loans is still sustained and our levels of past-due loans and solvency are adequate — and that speaks to a successful adaptation to the Colombian economy, to a new macroeconomic reality,” Mora added.

Solvency ratio, which ended 2016 at 13.26%, “indicates that the Bancolombia group has reserves and capital to maintain its operation and continue to develop its business plan,” according to the company.

“In addition, the bank ended the year with a non-performing loan portfolio of 2.2% — 90 days as a percentage of the total portfolio — and has reserves of 191% to protect that portfolio, in line with expectations,” according to the company.

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