Q2 FY2026
Filed Aug 10, 2026Grupo Supervielle Reports 2Q26 Results: Return to profitability, with Adjusted ROAE of 12.4% excluding extraordinary severance charges from the rightsizing plan
The Company returned to attributable profitability and expanded net interest margin, while loans declined, retail and commercial banking segments remained loss-making, and the CET1 ratio declined sequentially.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Attributable Net Incomeother | Ps.12.8 billion | – | – |
| Adjusted Net Incomenon-GAAP | Ps.36.2 billion | – | – |
| Attributable Net Lossother | Ps.5.4 billion in 1H26 | – | – |
| Adjusted Net Incomenon-GAAP | Ps.43.4 billion in 1H26 | – | – |
| Profit Before Income Taxother | Ps.19.2 billion | – | – |
| Adjusted Profit Before Income Taxnon-GAAP | Ps.55.2 billion | – | – |
| Loss Before Income Taxother | Ps.4.6 billion in 1H26 | – | – |
| Adjusted Profit Before Income Taxnon-GAAP | Ps.70.4 billion in 1H26 | – | – |
| ROAEother | 4.4% | – | – |
| Adjusted ROAEnon-GAAP | 12.4% | – | – |
| Structural ROAEnon-GAAP | 14.4% | – | – |
| ROAAother | 0.6% | – | – |
| Net Financial Incomeother | Ps.294.5 billion | 8.3% | 6.4% |
| Net Financial Income plus the Result from exposure to changes in the purchasing power of the currencyother | Ps.262.5 billion | 15.4% | 10.5% |
| Net Interest Incomeother | AR$256.7 billion | – | – |
| Interest incomeother | AR$443.0 billion | decreased 8.8% | decreased 8.8% |
| Interest expensesother | AR$186.3 billion | decreased 28.0% | decreased 19.2% |
| Net Interest Marginother | 20.3% | expanding 253 bps | declining 51 bps |
| Loan loss provisionsother | AR$68.0 billion | declined 5.8% | increased 14.5% |
| Net loan loss provisionsother | AR$62.2 billion | – | – |
| Net Cost of Riskother | 5.6% | – | increasing 10 bps |
| Total NPL ratioother | 5.5% | – | – |
| Coverage Ratioother | 98.9% | – | – |
| Net service fee income excluding Income from Insurance Activitiesother | AR$53.8 billion | declining 2.5%, or AR$1.4 billion | declining 4.4%, or AR$2.5 billion |
| Income from Insurance Activitiesother | AR$9.5 billion | increasing 0.9% | declining 8.1% |
| Personnel expensesother | AR$119.3 billion | remaining flat | increasing 18.0% |
| Administrative expensesother | AR$62.7 billion | decreasing 0.7% | increasing 4.0% |
| Efficiency ratioother | 63.4% | – | – |
| Adjusted Efficiency rationon-GAAP | 52.3% | – | – |
| Income tax expenseother | AR$6.4 billion | – | – |
| Result from exposure to changes in the purchasing power of the currencyother | loss of AR$32.0 billion | – | – |
| Other Comprehensive Incomeother | gain of AR$4.4 billion | – | – |
| Attributable Comprehensive Incomeother | AR$17.3 billion | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Personal & Business BankingDeclining lending volumes and lower yields accrued on new origination were partially offset by lower funding costs. | Net Financial Margin of AR$103.5 billion | declining 12.5%, or AR$14.8 billion | declining 17.1%, or AR$21.4 billion |
| Corporate BankingLower interest income and a higher negative allocation of Treasury results were largely offset by lower funding costs. | Net Financial Margin of AR$28.7 billion | declining 0.2%, or AR$0.1 billion | increasing 20.3%, or AR$4.8 billion |
| TreasuryProfit before Income Tax was AR$105.9 billion, supported by higher Treasury result allocation, lower funding costs and positive financial results from securities measured at fair value. | Not reported | – | – |
| InsuranceA 27.1% decline in claims paid more than offset a 0.6% decline in gross written premiums. | Income from Insurance Activities of AR$9.5 billion | increasing 0.9% | declining 8.1% |
| Asset Management & Other segmentsThe quarterly decrease reflected lower activity levels in the asset management business. | Net Service Fee Income of AR$20.4 billion | declining 0.7% | declining 9.3% |
Capital returns
- As of June 30, 2026, the Company’s treasury held 4,940,665 Class B Shares which were repurchased by the Company under the second buyback program executed in 2024.
- As of February 10, 2026, 14,050,492 Class B shares repurchased under the first buyback program executed in 2022 expired and capital was cancelled in the same amount.
What drove it
- Funding costs repriced downward faster than interest-earning assets, with interest expenses declining 28.0% QoQ.
- The Company recorded approximately AR$36.0 billion in extraordinary personnel expenses associated with the headcount rightsizing plan.
- Group headcount stood at 2,815 employees as of June 30, 2026, declining 9.0% QoQ, or 277 employees, and 17.2% YoY, or 584 employees.
- Loan loss provisions declined 5.8% QoQ, reflecting collection and refinancing initiatives and disciplined risk-adjusted origination.
- IOL Assets Under Custody totaled US$ 2,956 million, increasing 11.0% QoQ and 41.9% YoY.
- The Company entered into an agreement with Flash Argentina to exclusively provide secured financing for used-vehicle transactions on the marketplace beginning in 4Q26.
Concerns
- Credit demand and transactional activity in the private sector remained subdued during the quarter.
- The loan book declined 1.4% QoQ, including a 3.6% decline in peso-denominated loans.
- Commercial portfolio delinquency increased during the quarter, reflecting the lagged impact of the high-interest-rate environment on SME customers.
- Retail NPL ratio remained 9.6% as of June 30, 2026.
- Net service fee income excluding Income from Insurance Activities declined 2.5% QoQ and 4.4% YoY.
- CET1 declined to 14.2% from 15.4% in the prior quarter, primarily reflecting higher market risk-weighted assets associated with the corporate notes portfolio.
What to watch
- Whether full run-rate salary savings become visible from 3Q26, as stated by the Company.
- Loan demand and the Company's selective resumption of growth in strategic products and economic sectors.
- The durability of net interest margin as asset yields and funding costs continue to reprice.
- Commercial portfolio delinquency, NPL formation and the trajectory of loan loss provisions.
- Execution of the Flash Argentina secured used-vehicle-financing agreement beginning in 4Q26.
- The impact of higher market risk-weighted assets on CET1 following expansion of the corporate notes portfolio.
Balance sheet and cash flow
- Total Assets were AR$8,723.0 billion as of June 30, 2026, remaining flat QoQ and increasing 8.2% YoY.
- Total Loans amounted to AR$4,332.0 billion as of June 30, 2026, decreasing 1.4% QoQ but increasing 8.9% YoY.
- Total Deposits were AR$5,970.8 billion at quarter-end, increasing 4.7% QoQ and 7.5% YoY.
- Foreign currency deposits amounted to US$1.2 billion, remaining flat QoQ and increasing 30.1% YoY.
- Loans to Deposits Ratio was 72.6% as of June 30, 2026, compared to 77.1% as of March 31, 2026, and 71.7% as of June 30, 2025.
- The Common Equity Tier 1 Ratio was 14.2% as of June 30, 2026, declining from 15.4% in the prior quarter but 30 basis points higher than a year earlier.
- As of June 30, 2026, Banco Superville’s consolidated financial position reflected integrated capital of AR$828.9 billion, exceeding total capital requirements by AR$332.7 billion.
- As of June 30, 2026, US$229 million had been disbursed under the IDB Invest credit facility.
- During the quarter, the Bank issued US$20.1 million of Class V Negotiable Obligations, bearing a fixed annual interest rate of 3.25% and maturing on May 4, 2027.
Analysis
Grupo Supervielle returned to profitability in 2Q26, reporting Attributable Net Income of Ps.12.8 billion after an Attributable Net Loss of Ps.18.2 billion in 1Q26. Profit Before Income Tax was Ps.19.2 billion, versus a Loss Before Income Tax of Ps.23.9 billion in 1Q26. The reported result included approximately Ps.36.0 billion in extraordinary personnel expenses from the rightsizing plan. Adjusted Net Income was Ps.36.2 billion, while Adjusted ROAE was 12.4% and Structural ROAE was 14.4%.
Financial intermediation was the principal source of the sequential recovery. Net Financial Income rose 8.3% QoQ and 6.4% YoY to Ps.294.5 billion, while NIM expanded 253 bps QoQ to 20.3%. Interest expenses fell 28.0% QoQ to AR$186.3 billion as funding costs declined faster than asset yields. Net service fee income excluding insurance fell 2.5% QoQ to AR$53.8 billion, reflecting lagged fee repricing and lower credit-card volumes, while income from insurance activities increased 0.9% QoQ to AR$9.5 billion.
The Company continued to prioritize risk-adjusted returns over loan volume. Total Loans decreased 1.4% QoQ to AR$4,332.0 billion, as peso-denominated loans fell 3.6% QoQ, while U.S. dollar-denominated loans increased 6.3% in U.S. dollar terms. Asset quality showed early improvement: the total NPL ratio declined to 5.5% from 5.6% in March, and net cost of risk eased to 5.6% from 6.0% in 1Q26. However, commercial delinquency increased during the quarter, and the coverage ratio declined to 98.9% from 103.9% at March 31, 2026.
Cost transformation remained central to the quarter. Headcount fell to 2,815 employees, down 17.2% YoY, but personnel expenses remained AR$119.3 billion because they included AR$36 billion in severance and early retirement charges. The reported efficiency ratio improved to 63.4% from 68.9% in the prior quarter, and the Adjusted Efficiency ratio was 52.3%. Deposits increased 4.7% QoQ to AR$5,970.8 billion, reducing the Loans to Deposits Ratio to 72.6% from 77.1%.
The balance sheet retained liquidity, but capital moderated sequentially. CET1 was 14.2%, down from 15.4% in the prior quarter due primarily to higher market risk-weighted assets related to the corporate notes portfolio. The Company provided no quantitative forward financial guidance. Management's stated priorities are to sustain asset-quality improvement, capture structural cost savings and selectively resume lending growth while maintaining disciplined risk management and profitability.
Management, verbatim
The second quarter confirmed that the earnings recovery we anticipated in the first quarter is now underway.
Patricio Supervielle, Chairman & CEO
We reported net income of AR$12.8 billion, equivalent to 4.4% ROAE.
Patricio Supervielle, Chairman & CEO
With a leaner cost structure, improving earnings capacity, and a solid CET1 ratio of 14.2%, Grupo Supervielle is well positioned to strengthen returns and capture the significant long-term growth opportunity presented by the normalization of Argentina's financial system.
Patricio Supervielle, Chairman & CEO
Not in the filing
stated, not guessed- Total revenue
- Segment revenue for Treasury
- Gross profit and gross margin
- Operating income
- GAAP EPS
- Non-GAAP EPS
- Operating cash flow
- Free cash flow
- Cash balance as of June 30, 2026
- Total debt balance
- Dividend amount
- Forward financial guidance
- Prior-release outlook for comparison
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.