We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Name | Symbol | Market | Type |
---|---|---|---|
Grupo Supervielle SA | NYSE:SUPV | NYSE | Depository Receipt |
Price Change | % Change | Price | High Price | Low Price | Open Price | Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 7.01 | 0 | 01:00:00 |
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
Report of Foreign Issuer
Pursuant to Rule 13a-16 or 15d-16
under the Securities Exchange Act of 1934
For the month of December, 2023
Commission File Number: 001-37777
GRUPO SUPERVIELLE S.A.
(Exact name of registrant as specified in its charter)
SUPERVIELLE GROUP S.A.
(Translation of registrant’s name into English)
Bartolomé Mitre 434
C1036AAH Buenos Aires
Republic of Argentina
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F:
Form 20-F ☒ Form 40-F ☐
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):
Yes ☐ No ☒
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):
Yes ☐ No ☒
GRUPO SUPERVIELLE S.A.
TABLE OF CONTENTS
Item
|
|
---|---|
1. | Financial Statements for the period ended on September 30, 2023, presented on comparative basis. |
Consolidated Condensed Interim Financial Statements
For the nine-month period ended on
September 30, 2023, presented on comparative basis in homogeneous currency
Contents
Consolidated Condensed Interim Financial Statements
For the nine-month period ended on
September 30, 2023, presented on comparative basis in homogeneous currency
1
GRUPO SUPERVIELLE S.A.
Name: | Grupo Supervielle S.A. |
Financial year: | N° 48 started on January 1, 2023 |
Legal Address: | Reconquista 330 Ciudad Autónoma de Buenos Aires |
Core Business: | Carry out, on its own account or third parties’ or related to third parties, in the country or abroad, financing activities through cash or instrument contributions to already-existing or to-be-set-up corporations, whether controlling such corporations or not, as well as the purchase and sale of securities, shares, debentures and any kind of property values, granting of fines and/or guarantees, set up or transfer of loans as guarantee, including real, or without it not including operations set forth by the Financial Entities Law and any other requiring public bidding. |
Registration Number at the IGP: | 212,617 |
Date of Registration at IGP: | October 15, 1980 |
Amendment of by-laws (last): | October 9, 2023 |
Expiration date of the Company’s By-Laws: | October 15, 2079 |
Corporations Article 33 Companies general Law | Note 7 to Separate Financial Statements |
Composition of Capital Stock as of September 30, 2023
Shares | Capital Stock | ||||
Quantity | Class | N.V. $ | Votes per share | Subscribed in thousands of $ | Integrated in thousands of $ |
61,738,188 | A: Non endorsable, common shares of a nominal value | 1 | 5 | 61,738 | 61,738 |
394,984,134 | B: Non endorsable, common shares of a nominal value | 1 | 1 | 394,984 | 394,984 |
456,722,322 |
|
|
| 456,722 | 456,722 |
2
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION
As of September 30, 2023 and December 31, 2022
(Expressed in thousands of pesos in homogeneous currency)
ASSETS | Notes and Schedules | 09/30/2023 | 12/31/2022 | |
| Cash and due from banks | 4 and 5 | 100,357,695 | 98,323,932 |
| Cash | | 42,779,815 | 38,846,803 |
| Financial institutions and correspondents | | 57,273,559 | 59,419,012 |
| Argentine Central Bank | | 54,824,632 | 55,225,359 |
| Other local and financial institutions | | 2,448,927 | 4,193,653 |
| Others | | 304,321 | 58,117 |
| Debt Securities at fair value through profit or loss | 4, 5, 7.1 and A | 33,814,918 | 35,912,959 |
| Derivatives | 7.2 and 4 | 2,779,893 | 600,423 |
| Reverse Repo transactions | 4 and 7.3 | 179,914,458 | 43,842,876 |
| Other financial assets | 4, 5 and 7.4 | 37,776,128 | 16,469,684 |
| Loans and other financing | 4,7.5 and B | 376,481,309 | 474,817,180 |
| To the non-financial public sector | | 506,699 | 564,154 |
| To the financial sector | | 1,444,951 | 1,309,374 |
| To the Non-Financial Private Sector and Foreign residents | | 374,529,659 | 472,943,652 |
| Other debt securities | 4, 7.6 and A | 390,300,660 | 563,095,354 |
| Financial assets pledged as collateral | 4 and 7.7 | 24,851,719 | 29,393,217 |
| Current income tax assets | | 1,768,235 | 1,982,901 |
| Investments in equity instruments | 4 and A | 797,498 | 1,020,955 |
| Property, plant and equipment | F | 34,173,848 | 37,326,513 |
| Investment property | F | 34,336,407 | 34,338,695 |
| Intangible assets | G | 45,088,899 | 45,253,584 |
| Deferred income tax assets | | 15,832,341 | 24,157,363 |
| Other non-financial assets | 7.8 | 13,414,071 | 10,175,499 |
| Inventories | 7.9 | - | 136,294 |
| TOTAL ASSETS | | 1,291,688,079 | 1,416,847,429 |
|
| | | |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial Statement.
3
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION
As of September 30, 2023 and December 31, 2022
(Expressed in thousands of pesos in homogeneous currency)
|
| Notes and Schedules | 09/30/2022 | 12/31/2022 |
| LIABILITIES | | | |
| Deposits | 4, 7.10 and H | 969,043,463 | 1,112,285,329 |
| Non-financial public sector | | 115,621,783 | 56,563,528 |
| Financial sector | | 124,053 | 206,056 |
| Non-financial private sector and foreign residents | | 853,297,627 | 1,055,515,745 |
| Liabilities at fair value through profit or loss | 4 and 7.11 | 1,189 | 4,345,742 |
| Repo Transactions | 4 | 732,933 | - |
| Other financial liabilities | 4 and 7.12 | 48,006,944 | 36,781,441 |
| Financing received from the Argentine Central Bank and other financial institutions | 4 and 7.13 | 5,797,493 | 11,233,584 |
| Unsubordinated debt securities | 4 | - | 1,140,507 |
| Provisions | 7.14 | 3,932,115 | 3,436,614 |
| Deferred income tax liabilities | | 1,114,978 | 369,812 |
| Other non-financial liabilities | 7.15 | 56,213,340 | 58,498,085 |
| TOTAL LIABILITIES | | 1,084,842,455 | 1,228,091,114 |
| | | | |
| SHAREHOLDERS' EQUITY | | | |
| Capital stock | | 442,672 | 444,411 |
| Paid in capital | | 166,051,557 | 172,373,396 |
| Capital Adjustments | | 18,086,776 | 18,324,071 |
| Own shares in portfolio | | 14,050 | 12,311 |
| Comprehensive adjustment of shares in portfolio | | 1,916,290 | 1,678,995 |
| Cost of treasury stock | | (3,370,375) | (2,810,121) |
| Reserve | | 2,810,121 | 12,596,198 |
| Retained earnings | | (5,750) | (7,200,270) |
| Other comprehensive income | | 1,883,572 | 2,101,116 |
| Net income for the period / year | | 18,852,566 | (8,913,396) |
| Shareholders' Equity attributable to owners of the parent company | | 206,681,479 | 188,606,711 |
| Shareholders' Equity attributable to non-controlling interests | | 164,145 | 149,604 |
| TOTAL SHAREHOLDERS' EQUITY | | 206,845,624 | 188,756,315 |
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY | | 1,291,688,079 | 1,416,847,429 |
| | | | |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial Statements.
4
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
For the nine and three-month period on September 30, 2023, presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
| | Note | Nine-month period ending on | Three-month period ending on | ||
---|---|---|---|---|---|---|
| | 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | |
| Interest income | 7.16 | 564,561,719 | 362,203,613 | 233,211,020 | 138,540,104 |
| Interest expenses | 7.17 | (406,050,677) | (228,493,581) | (168,152,119) | (90,687,314) |
| Net interest income | | 158,511,042 | 133,710,032 | 65,058,901 | 47,852,790 |
| Service fee income | 7.19 | 45,742,714 | 46,944,858 | 16,041,887 | 14,797,263 |
| Service fee expenses | 7.20 | (12,139,421) | (16,796,556) | (3,657,411) | (5,274,432) |
| Income from insurance activities | 9 | 6,996,751 | 7,020,699 | 2,196,896 | 2,231,947 |
| Net Service Fee Income | | 40,600,044 | 37,169,001 | 14,581,372 | 11,754,778 |
| Subtotal | | 199,111,086 | 170,879,033 | 79,640,273 | 59,607,568 |
| Net income from financial instruments (NIFFI) at fair value through profit or loss | 7.18 | 33,768,833 | 28,949,530 | 9,671,348 | 9,387,196 |
| Result from assets withdrawals rated at amortized cost | | 1,753,379 | 1,069,445 | 1,518,671 | (53,386) |
| Exchange rate difference on gold and foreign currency | | 1,736,787 | 4,542,617 | (45,106) | 1,521,947 |
| Subtotal | | 37,258,999 | 34,561,592 | 11,144,913 | 10,855,757 |
| Other operating income | 7.21 | 11,076,695 | 14,254,080 | 3,504,163 | 5,223,093 |
| Result from exposure to changes in the purchasing power of the currency | | (38,753,423) | (28,590,031) | (19,838,189) | (10,093,224) |
| Loan loss provisions | | (14,046,694) | (20,709,392) | (4,349,826) | (5,345,913) |
| Net operating income | | 194,646,663 | 170,395,282 | 70,101,334 | 60,247,281 |
| Personnel expenses | 7.22 | (76,027,466) | (82,537,665) | (24,319,714) | (25,918,082) |
| Administration expenses | 7.23 | (39,677,983) | (43,393,981) | (13,610,806) | (15,516,554) |
| Depreciations and impairment of non-financial assets | 7.24 | (13,695,031) | (13,433,976) | (4,309,145) | (4,347,007) |
| Other operating expenses | 7.25 | (35,055,370) | (36,643,368) | (12,643,627) | (13,060,074) |
| Operating income | | 30,190,813 | (5,613,708) | 15,218,042 | 1,405,564 |
| (Loss) before taxes from continuing operations | | 30,190,813 | (5,613,708) | 15,218,042 | 1,405,564 |
| Income tax | | 11,323,279 | 1,699,276 | 5,726,578 | 2,742,411 |
| Net (loss) for the period | | 18,867,534 | (7,312,984) | 9,491,464 | (1,336,847) |
| Net (loss) for the period attributable to owners of the parent company | | 18,852,566 | (7,305,277) | 9,483,084 | (1,335,169) |
| Net (loss) for the period attributable to non-controlling interests | | 14,968 | (7,707) | 8,380 | (1,678) |
| | | | | | |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial Statements.
5
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
For the nine and three-month period on September 30, 2023, presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
| Nine-month period ending on | Three-month period ending on | ||
| 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 |
NUMERATOR | | | | |
Net (loss) for the period attributable to owners of the parent company | 18,852,566 | (7,305,277) | 9,483,084 | (1,335,169) |
PLUS: Diluting events inherent to potential ordinary shares | - | - | - | - |
Net (loss) attributable to owners of the parent company adjusted by dilution | 18,852,566 | (7,305,277) | 9,483,084 | (1,335,169) |
| | | | |
DENOMINATOR | | | | |
| | | | |
Weighted average of ordinary shares | 442,746 | 456,332 | 442,672 | 455,565 |
PLUS: Weighted average of number of ordinary shares issued with dilution effect. | - | - | - | - |
Weighted average of number of ordinary shares issued of the year adjusted by dilution effect | 442,746 | 456,332 | 442,672 | 455,565 |
| | | | |
Basic Income per share | 42.58 | (16.01) | 21.41 | (2.93) |
Diluted Income per share | 42.58 | (16.01) | 21.41 | (2.93) |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial Statements.
6
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
For the nine and three-month period on September 30, 2023 presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
| Nine-month period ending on | Three-month period ending on | ||
| 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 |
Net (loss) for the period | 18,867,534 | (7,312,984) | 9,491,464 | (1,336,847) |
Components of Other Comprehensive Income not to be reclassified to profit or loss | | | | |
Net income from equity instrument at fair value through changes in other comprehensive income | (274,011) | (82,694) | (94,493) | 6,477 |
Income for the period from equity instrument at fair value through other comprehensive income | (421,556) | (127,222) | (145,374) | 9,964 |
Income tax | 147,545 | 44,528 | 50,881 | (3,487) |
Total Other Comprehensive Income not to be reclassified to profit or loss | (274,011) | (82,694) | (94,493) | 6,477 |
Components of Other Comprehensive Income to be reclassified to profit or loss | | | | |
Foreign currency translation difference in financial statements conversion | 135,913 | 80,511 | 41,553 | 23,983 |
Foreign currency translation differences for the period | 135,913 | 80,511 | 41,553 | 23,983 |
(Loss) from financial instrument at fair value through changes in other comprehensive income | (79,873) | (1,688,443) | (187,322) | 709,947 |
(Loss) for the year from financial instrument at fair value through other comprehensive income | (128,862) | (2,583,015) | (280,261) | 1,039,304 |
Income tax | 48,989 | 894,572 | 92,939 | (329,357) |
Total Other Comprehensive Income to be reclassified to profit or loss | 56,040 | (1,607,932) | (145,769) | 733,930 |
Total Other Comprehensive Income | (217,971) | (1,690,626) | (240,262) | 740,407 |
Other comprehensive income attributable to owners of the parent company | (217,544) | (1,688,908) | (240,015) | 739,935 |
Other comprehensive income attributable to non-controlling interests | (427) | (1,718) | (247) | 472 |
Total Comprehensive (Loss) | 18,649,563 | (9,003,610) | 9,251,202 | (596,440) |
Total comprehensive (loss) attributable to owners of the parent company | 18,635,022 | (8,994,185) | 9,243,069 | (595,234) |
Total comprehensive (loss) attributable to non-controlling interests | 14,541 | (9,425) | 8,133 | (1,206) |
| | | | |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial Statements
7
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS´ EQUITY
For the nine-month period ended on September 30, 2023 presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
Items | Capital Stock | Inflation adjustment of capital stock | Paid in capital | Treasury shares | Inflation adjustment of treasury shares | Cost of of treasury shares | Legal reserve | Other reserves | Retained earnings | Other comprehensive income | Total Shareholders´ equity attributable to parent company | Total Shareholders´ equity attributable to non-controlling interest | Total shareholders´ equity | ||
Revaluation of PPE | Foreign currency translation differences | Earnings or los accrued by financial institutions at FV through profit and loss | |||||||||||||
Balance at December 31, 2022 | 444,411 | 18,324,071 | 172,373,396 | 12,311 | 1,678,995 | (2,810,121) | 2,104,588 | 10,491,610 | (16,113,666) | 2,128,113 | 125,631 | (152,628) | 188,606,711 | 149,604 | 188,756,315 |
Consideration of results approved by the General Assembly of Shareholders held on April 27, 2023: | | | | | | | | | | | | | | | |
Disposal of reservations | - | - | (6,321,839) | - | - | - | (2,104,588) | (7,681,489) | 16,107,916 | - | - | - | - | - | - |
Acquisition of treasury shares | (1,739) | (237,295) | - | 1,739 | 237,295 | (560,254) | - | - | - | - | - | - | (560,254) | - | (560,254) |
Net income for the period | - | - | - | - | - | - | - | - | 18,852,566 | - | - | - | 18,852,566 | 14,968 | 18,867,534 |
Other comprehensive loss for the period | - | - | - | - | - | - | - | - | - | - | 135,913 | (353,457) | (217,544) | (427) | (217,971) |
Balance at September 30, 2023 | 442,672 | 18,086,776 | 166,051,557 | 14,050 | 1,916,290 | (3,370,375) | - | 2,810,121 | 18,846,816 | 2,128,113 | 261,544 | (506,085) | 206,681,479 | 164,145 | 206,845,624 |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial.
8
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS´ EQUITY
For the nine-month period ended on September 30, 2023 presented on comparative basis
(Expressed in thousands of pesos)
Items | Capital Stock | Inflation adjustment of capital stock | Paid in capital | Treasury shares | Inflation adjustment of treasury shares | Cost of of treasury shares | Legal reserve | Other reserves | Retained earnings | Other comprehensive income | Total Shareholders´ equity attributable to parent company | Total Shareholders´ equity attributable to non-controlling interest | Total shareholders´ equity | ||
Revaluation of PPE | Foreign currency translation differences | Earnings or los accrued by financial institutions at FV through profit and loss | |||||||||||||
Balance at December 31, 2021 | 456,722 | 20,003,067 | 172,373,394 | - | - | - | 2,104,587 | 16,239,537 | (11,936,836) | 3,234,265 | 1,604 | 1,554,710 | 204,031,050 | 162,096 | 204,193,146 |
Share premium in subsidiaries | - | - | - | - | - | - | - | 648 | - | - | - | - | 648 | 167 | 815 |
Consideration of results approved by the General Assembly of Shareholders held on April 27, 2022: | | | | | | | | | | | | | | | |
Constitution of reserves | - | - | - | - | - | - | - | (4,748,712) | 4,748,712 | - | - | - | - | - | - |
Acquisition of treasury shares | (10,139) | (574,466) | - | 10,139 | 574,466 | (1,000,312) | - | - | - | - | - | - | (1,000,312) | - | (1,000,312) |
Dividend payment | - | - | - | - | - | - | - | (999,218) | - | - | - | - | (999,218) | - | (999,218) |
Net income for the period | - | - | - | - | - | - | - | - | (7,305,277) | - | - | - | (7,305,277) | (7,707) | (7,312,984) |
Other comprehensive loss for the period | - | - | - | - | - | - | - | - | - | - | 80,511 | (1,769,419) | (1,688,908) | (1,718) | (1,690,626) |
Balance at September 30, 2022 | 446,583 | 19,428,601 | 172,373,394 | 10,139 | 574,466 | (1,000,312) | 2,104,587 | 10,492,255 | (14,493,401) | 3,234,265 | 82,115 | (214,709) | 193,037,983 | 152,838 | 193,190,821 |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial.
9
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF CASH FLOWS
For the nine-month period ended on September 30, 2023 presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
09/30/2023 | 09/30/2022 | |
---|---|---|
CASH FLOW FROM OPERATING ACTIVITIES | | |
| | |
Net income/(loss) for the period before Income Tax | 30,190,813 | (5,613,708) |
| | |
Adjustments to obtain flows from operating activities: | | |
Depreciation and impairment of non-financial assets | 13,695,031 | 13,433,976 |
Loan loss provisions | 14,046,694 | 20,709,392 |
Other adjustments | | |
-Exchange rate difference on gold and foreign currency | (1,736,787) | (4,542,617) |
- Interests from loans and other financing | (564,561,719) | (362,203,613) |
- Interests from deposits and financing received | 406,050,677 | 228,493,581 |
-Net income from financial instruments at fair value through profit or loss | (33,768,833) | (28,949,530) |
-Result from derecognition of financial assets measured at amortized cost | (1,753,379) | (1,069,445) |
-Result from exposure to changes in the purchasing power of the currency | 38,753,423 | 28,590,031 |
-Interest on liabilities for financial leases | 386,434 | 815,493 |
-Allowances reversed | (2,785,639) | (5,738,693) |
| | |
(Increases) / decreases from operating assets: | | |
Debt securities at fair value through profit or loss | 45,109,650 | 52,739,333 |
Derivatives | (2,179,470) | 300,591 |
Reverse Repo transactions | (136,071,582) | 146,759,683 |
Loans and other financing | | |
To the non-financial public sector | 57,455 | (733,874) |
To the other financial entities | (135,577) | (941,864) |
To the non-financial sector and foreign residents (*) | 651,714,657 | 465,093,881 |
Other debt securities | 172,794,694 | (192,572,101) |
Financial assets pledged as collateral | 4,541,498 | (1,271,968) |
Other assets (*) | (22,254,212) | 27,416,866 |
| | |
Increases / (decreases) from operating liabilities: | | |
Deposits | | |
Non-financial public sector | 59,058,255 | 10,422,535 |
Financial sector | (82,003) | (6,436) |
Private non-financial sector and foreign residents | (608,268,795) | (360,525,467) |
Liabilities at fair value through profit or loss | (4,344,553) | (7,182,421) |
Repo Transacions | 732,933 | 5,530,166 |
Other liabilities (*) | 9,457,379 | (50,970,980) |
Income Tax paid | (1,841,892) | (1,701,180) |
| | |
Net cash (used in) / provided by operating activities (A) | 66,805,152 | (23,718,369) |
| | |
CASH FLOW FROM INVESTING ACTIVITIES | | |
| | |
Payments: | | |
Purchase of PPE, intangible assets and other assets | (9,757,265) | (11,817,226) |
| | |
(*) In the items "Loans and other financing - Non-Financial Private Sector and Residents Abroad", "Other Assets" and "Other Liabilities" of September 30, 2023, 4,245,588 rights of use of leased properties were eliminated, corresponding to non-monetary transactions.
The accompanying notes and schedules are an integral part of the Consolidated Financial Statements .
10
GRUPO SUPERVIELLE S.A.
CONSOLIDATED CONDENSED INTERIM STATEMENT OF CASH FLOWS
For the nine-month period ended on September 30, 2023 presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
09/30/2023 | 09/30/2022 | |
CASH FLOW FROM INVESTING ACTIVITIES (Continuation) | | |
| | |
Collections: | | |
Disposals related to PPE, intangible assets and other assets | 378,896 | 311,740 |
Purchase of liability or equity instruments issued by other entities | 223,457 | 128,420 |
| | |
Net cash used in investing activities (B) | (9,154,912) | (11,377,066) |
| | |
CASH FLOWS FROM FINANCING ACTIVITIES | | |
| | |
Payments: | | |
Interest on finance lease liabilities | (1,923,742) | (4,491,791) |
Unsubordinated debt securities | (1,140,507) | (2,863,192) |
Financing received from Argentine Financial Institutions | (116,381,735) | (300,740,381) |
Dividend payment | - | (999,218) |
Repurchase of own shares | (560,254) | (1,000,312) |
| | |
Collections: | | |
Financing received from Argentine Financial Institutions | 110,945,644 | 287,115,051 |
| | |
Net cash used in financing activities (C) | (9,060,594) | (22,979,843) |
| | |
Effects of exchange rate changes and exposure to changes in the purchasing power of money on cash and cash equivalents (D) | 8,152,738 | 19,137,100 |
| | |
Result from exposure to changes in the purchasing power of the currency of cash and equivalents (E) | (44,421,741) | (41,403,036) |
Net increase in cash and cash equivalents (A+B+C+D+E) | 12,320,643 | (80,341,214) |
Cash and cash equivalents at the beginning of the period (NOTE 5) | 110,096,897 | 175,827,776 |
Cash and cash equivalents at the end of the period (NOTE 5) | 122,417,540 | 95,486,562 |
The accompanying notes and schedules are an integral part of the Consolidated Condensed Interim Financial Statements.
11
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
1. | ACCOUNTING STANDARDS AND BASIS OF PREPARATION |
Grupo Supervielle S.A. (hereinafter, "the Group"), is a company whose main activity is investment in other companies, Its main income comes from the distribution of dividends from these companies and the obtaining of income from other financial assets.
The consolidated financial statements of Grupo Supervielle S.A. they have been consolidated, line by line with the financial statements of Banco Supervielle S.A., IUDÚ Compañia Financiera S.A., Sofital S.A. F. e I.I., Tarjeta Automática S.A., Supervielle Asset Management S.A., Espacio Cordial de Servicios S.A., Supervielle Seguros S.A., InvertirOnline S.A.U., Portal Integral de Inversiones S.A.U., Micro Lending S.A.U., Supervielle Productores Asesores de Seguros S.A ., Bolsillo Digital S.A.U., Supervielle Agente de Negociación S.A.U., Dólar IOL S.A.U. y IOL Holding S.A.
The main investment of the Company is its shareholding in Banco Supervielle S.A., a financial entity included in Law No. 21.526 of Financial Institutions and subject to BCRA regulations, for which the valuation and exposure guidelines used have been adopted by said Entity (see Note 1.1) in accordance with that established in Title IV, Chapter I, Section I, Article 2 of the 2013 Orderly Text of the National Securities Commission (CNV).
These Consolidated Condensed Interim Financial Statements have been approved by the Board of Directors of the Company at its meeting held on November 27, 2023.
1.1. | Preparation basis |
These consolidated financial statements have been prepared pursuant to: (i) provisions set by Intenational Accounting Standards N° 34, “Interim Financial Information” (IAS 34) and (ii) the accouting information framework set by the Argentine Central Bank which is based on International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board and interpretations issued by the International Financial Reporting Standards Interpretation Committee with the following exceptions:
● | temporary exception to the application of point 5.5. (impairment) of IFRS 9 "Financial Instruments" on debt instruments of the Non-Financial Public Sector. Had IFRS 9 been applied to the debt instruments of the Non-Financial Public Sector, a net reduction in income tax of 739 million and 310 million would have been recorded in the Group's equity as of September 30, 2023 and December 31, 2022, respectively. |
● | Option to classify holdings in dual bonds at amortized cost or fair value with a counterpart in other comprehensive income: The BCRA allows financial entities to classify said bonds in the three categories available in IFRS 9, based on this option, the Group has decided to classify them within the category of fair value with a counterpart in ORI and at amortized cost. However, according to the contractual characteristics of the instrument, it does not meet the criteria of "only payments of principal plus interest" established in IFRS 9, therefore, in accordance with said standard, the Group should have valued said instruments at fair value with consideration in results. Had IFRS 9 been applied, and the bonds valued at fair value through profit or loss, a reduction net of income tax of 39 million and 406 million would have been recorded in the Group's equity as of September 30, 2023 and 31 December 2022, respectively. |
In accordance with the provisions of IAS 34, the interim financial information will include an explanation of events and transactions, occurred since the end of the last reporting period, that are significant for understanding the changes in the financial position, performance Group financial statements and cash flow statements with the objective of updating the information corresponding to the latest financial statements for the year ended December 31, 2022 (hereinafter “annual financial statements”). Therefore, these condensed interim consolidated financial statements do not include all the information required by complete financial statements prepared in accordance with International Financial Reporting Standards, therefore, for an adequate understanding of the information included therein, they must be read in conjunction with the annual financial statements.
The Group's Management has concluded that these interim condensed financial statements fairly present the financial position, financial performance and cash flows.
It should be noted that these interim condensed financial statements have been prepared applying accounting policies and measurement criteria consistent with those applied by the Group for the preparation of the annual financial statements except for the changes in accounting standards described in Note 1.1.4.
The preparation of condensed consolidated interim financial statements requires the Group to make estimates and evaluations that affect the amount of assets and liabilities recorded, and the disclosure of contingencies, as well as the income and expenses recorded in the period. In this regard, estimates are made to calculate, for example, provisions for
12
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
credit risk, the useful lives of property, plant and equipment, depreciation and amortization, the recoverable value of assets, the tax charge on earnings and the fair value of certain financial instruments. The actual future results may differ from the estimates and evaluations made at the date of preparation of these interim condensed consolidated financial statements.
The areas that involve a greater degree of judgment or complexity or areas in which the assumptions and estimates are significant to the consolidated financial statements are described in Note 2.
As of the date of issuance of these financial statements, they are pending transcription to the Inventory and Balance Sheet Book.
1.1.1 | Going concern |
As of the date of these consolidated condensed interim financial statements there are no uncertainties with respect to events or conditions that may raise doubts regarding the possibility that the Group continues to operate normally as a going concern.
1.1.2 | Measuring unit |
Figures included in these consolidated condensed interim financial statements are expressed in thousands of Argentine pesos, unless otherwise stated.
The Group´s consolidated financial statements recognice changes in the currency purchasing power until August 31, 1995. As from such date, in virtue of existing economic stability conditions and pursuant to Communication “A” 2365 issued by the Argentine Central Bank, accounting measurements were not re-expressed until December 31, 2001. In virtue of Communication “A” 3702 issued by the Argentine Central Bank, the application of the method was resumed and became effective on January 1, 2002. Previous accouting measurements were considered to be expressed in the currency as of December 31, 2001.
Pursuant to Communication “A” 3921 issued by the Argentine Central Bank, in compliance with Decree 664/03 issued by the National Executive Power, the application of the re-expression of financial statements in homogeneous currency was interrupted as from March 1, 2003. Therefore, the Group applied said re-expression until February 28, 2003.
In turn, Law N° 27,468 (B.O. 04/12/2018) amended article 10° of Law N° 23,928 and its amendments, thus establishing that the abolition of all legal and regulating standards that set and authorize price indexing, monetary updating, cost changes or any other manner of re-increasing debts, taxes, prices or fees for goods, works or services does not include financial statements, regarding which the application of article 62 of the General Corporations Law N° 19,550 (T.O 1984) and its amendments shall prevail. Likewise, the aforementioned legal body set de abolition of Decree N° 1269/2002 dated on July 16, 2002 and its amendments and instructed the National Executive Power, through its controlling agencies, to set the date as from which said regulations became into effect in relation with financial statements to be submitted. Therefore, on February 22, 2019, the Argentine Central Bank issued Communication “A” 6651 which established that financial statements shall be prepared in a homogeneous currency as from January 1, 2020. Therefore, these consolidated financial statements have been re-expressed as of September 30, 2023.
1.1.3Comparative information
The balances for the year ended December 31, 2022 and for the nine-month period ended September 30, 2022 that are disclosed in these financial statements for comparative purposes arise from the financial statements as of such dates, which were prepared with the regulations in force in said year/period.
It´s worth mentioning that, given the restatement of financial statements pursuant to IAS 29 and the provisions of Communication “A” 7211, the Group adjusted for inflation the figures included in the Statement of Financial Position, Income Statement, Other Comprehensive Income and Changes in the Shareholders’ Equity Statement and respective notes as of September 30, 2022 and December 31, 2022 in order to record them in homogeneous currency.
1.1.4 Changes in accounting policies and new accounting standards
With the approval of new IFRS, modifications or derogations of the standards in force, and once such changes are adopted through Adoption Bulletins issued by Argentine Federation of Professional Councils in Economic Sciences (FACPCE), the Argentine Central Bank will determine the approval of such standards for financial entities. In general terms, no anticipated IFRS application shall be allowed unless upon adoption such anticipated measure is specified.
The following are changes that were made effective over the course of the quarter ended on September 30, 2023:
13
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
(a) | IFRS 17 “Insurance contracts” |
On May 18, 2017, IASB issued IFRS 17 “Insurance contracts” which provides a comprehensive framework based on principles for measurement and presentation of all insurance contracts. The new rule will supersede IFRS 4 Insurance contracts and requires that insurance contracts be measured using cash flows of existing enforcement and that income be recognized as the service is rendered during the coverage period. The standard will come into force for the fiscal years beginning as from November 1, 2023.
The adoption of these amendments did not have a significant impact on these financial statements.
(b) | Amendments to IAS 1 “Presentation of Financial Statements”, IFRS Practice Statement 2 and IAS 8 “Accounting Policies, changes in accounting estimates and errors” |
The IASB amended IAS 1, “Presentation of Financial Statements”, to require companies to disclose material accounting policy information rather than significant accounting policy information. The amendment also clarifies that accounting policy information is expected to be material or of relative importance if, without it, users of the financial statements would be unable to understand other material information, or of relative importance, in the financial statements concerning significant accounting standards. To support this amendment, the Board also amended IFRS Practice State 2, “Making Materiality Judgments”, to provide guidance on how to apply the concept of materiality to accounting policy disclosures.
The amendment to IAS 8, “Accounting Policies, Changes in Accounting Estimates and Errors”, helps to distinguish between changes in accounting policies from changes in accounting estimates. This distinction is important because changes in accounting estimates are applied prospectively to future transactions and other future events, but changes in accounting policies are generally applied retrospectively to past transactions and other past events as well as to those of the current period.
The application of this standard had no impact for the Group.
(c) | Amendments to IAS 12 Deferred tax related to assets and liabilities arising from a single transaction |
These amendments establish that deferred taxes arising from a single transaction that, on initial recognition, give rise to taxable and deductible temporary differences of the same value shall be recognized. This will generally apply to transactions such as leases (for lessees) and decommissioning or remediation obligations, where the recognition of deferred tax assets and liabilities will be required. These amendments shall be applied to transactions that occur on or after the beginning of the earliest comparative period presented. Likewise, deferred tax assets (to the extent that it is probable that they can be used) and deferred tax liabilities shall be recognized at the beginning of the earliest comparative period for all deductible or taxable temporary differences associated with:
-Right-of-use assets and lease liabilities, and
-Decommissioning, restoration and similar liabilities and the corresponding amounts recognized as part of the cost of the related asset.
The cumulative effect of initially applying the amendments is recognized as an adjustment to the opening balance of retained earnings (or other component of equity, as appropriate) at that date.
Previously, IAS 12 did not establish any particular accounting treatment for the tax effects of leases that were recognized on the balance sheet and for similar transactions, so different approaches were considered acceptable. Entities that are already recognizing deferred taxes on these transactions will not have an impact on their financial statements.
The adoption of these amendments had no impact on these financial statements.
The changes that have not entered into force as of September 30, 2023 are set out below:
(a) | Amendments to IAS 16 – Leases |
These amendments include requirements for sale and leaseback transactions in IFRS 16 to explain how an entity accounts for a sale and leaseback after the transaction date. Sale and leaseback transactions where some or all of the lease payments are variable lease payments that do not depend on an index or rate are most likely to be impacted.
The amendments will be effective for the annual periods beginning on or after January 1, 2024.
14
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Grupo Supervielle is currently evaluating the impact that this amendment may have on its consolidated financial statements.
(b) | Amendments to IAS 1 – Non-current assets with covenants. |
These amendments clarify how conditions with which an entity must comply within twelve months after the reporting period affect the classification of a liability.
The amendments will be effective for the annual periods beginning on or after January 1, 2024.
Grupo Supervielle is currently evaluating the impact that this amendment may have on its consolidated financial statements.
(c) Amendments to IAS 21 - Lack of Interchangeability
The amendments establish a two-step approach to assess whether a currency can be exchanged for another currency and, when this is not possible, determine the exchange rate to be used and the information to be disclosed.
The modifications will be effective for the years beginning on January 1, 2025 and, although international standards allow their early application, RG N°972/23 of the C.N.V. does not allow it.
The Group is currently evaluating the impact that this modification may have on its consolidated financial statements.
1.2. | Impairment of financial assets |
The Group evaluates, based on a prospective approach, expected credit losses (“ECL”) related to financial assets rated at amortized cost or fair value with changes in another comprehensive income, the exposure resulting from loan commitments and financial guarantee contracts with the scope set by Communication “A” 6847 issued by the Argentine Central Bank.
The Group measures ECL of financial instruments reflecting the following:
IFRS 9 sets forth the following “Three stages” model for the impairment based on changes in the credit quality from initial recognition:
The following chart summarizes the impairment requirements pursuant to IFRS 9 (for financial assets that do not entail impairment on credit value, either purchased or produced:
15
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Changes in the credit quality since initial recognition | ||
Stage 1 | Stage 2 | Stage 3 |
(initial recognition) | (significant increase of credit risk since initial recognition) | (Impaired credit) |
12 months ECL | Lifetime ECL |
There have been no significant changes in the judgments and key assumptions adopted by the Group for the measurement of PCE, with respect to what was reported in the financial statements as of December 31, 2022.
1.2.1 Maximum exposure to credit risk
The chart below includes an analysis of credit risk exposure of the financial instruments for which expected credit loss provisions are recognized. The gross amount of financial assets books included in the chart accounts for the maximum credit risk exposure of such assets.
Loan Type | September 30, 2023 | Total | ||
---|---|---|---|---|
ECL Staging | ||||
Stage 1 | Stage 2 | Stage 3 | ||
68,525,343 | 287,284 | 225,266 | 69,037,893 | |
Unsecured corporate loans | 73,181,753 | 473,812 | 1,378,712 | 75,034,277 |
Overdrafts | 110,934,782 | 3,228,703 | 498,823 | 114,662,308 |
Mortgage loans | 38,384,025 | 3,041,233 | 1,010,210 | 42,435,468 |
Automobile and other secured loans | 10,346,909 | 2,027,436 | 305,454 | 12,679,799 |
Personal loans | 35,835,362 | 7,507,996 | 1,826,513 | 45,169,871 |
Credit cards | 79,191,539 | 13,597,313 | 2,435,478 | 95,224,330 |
Foreign Trade Loans | 16,637,926 | 2,206,346 | 2,769,696 | 21,613,968 |
Other financing | 72,847,647 | 193,239 | 211,215 | 73,252,101 |
Other receivables from financial transactions | 711,156 | 174,299 | 92,421 | 977,876 |
Receivables from financial leases | 15,711,016 | 585,340 | 94,982 | 16,391,338 |
Total | 522,307,458 | 33,323,001 | 10,848,770 | 566,479,229 |
1.2.2 Allowances for loan loss
Allowances for loan losses recognized in the year is affected by a range of factors as follows:
● | Transfers between Stage 1 and Stage 2 or 3 given financial instruments experience significant increases (or decreases) in credit risk or are impaired over the year, and the resulting “increase” between ECL at 12 months and Lifetime; |
● | Additional assignments for new financial instruments recognized during the year, as well as write-offs for withdrawn financial instruments; |
● | Impact on the calculation of ECL of changes in DP, EAD and LGD during the year, resulting from the regular updating of model inputs; |
● | Impact on the measurement of ECL as a result of changes in models and assumptions; |
● | Impact resulting from time elapsing as a consequence of the current value updating; |
● | Conversion to local currency for foreign-currency-denominated assets and other movements; and |
● | Financial assets withdrawn during the year and application of provisions related to assets withdrawn from the balance sheet during the year. |
The following charts explain changes in the provision for credit risk between the beginning and end of the period due to the following factors:
Allowance | Total | |||
---|---|---|---|---|
Stage 1 | Stage 2 | Stage 3 | ||
Allowances for loan losses as of 12/31/2022 | 7,040,642 | 6,147,547 | 12,803,385 | 25,991,574 |
Transfers: | | | | |
From Stage 1 to Etapa 2 | (725,347) | 1,304,939 | - | 579,592 |
From Stage 1 to Etapa 3 | (67,097) | - | 905,202 | 838,105 |
From Stage 2 to Etapa 3 | - | (142,072) | 541,133 | 399,061 |
From Stage 2 to Etapa 1 | 74,041 | (157,365) | - | (83,324) |
From Stage 3 to Etapa 2 | - | 13,601 | (96,677) | (83,076) |
From Stage 3 to Etapa 1 | 560 | - | (25,509) | (24,949) |
Additions | 7,165,852 | - | - | 7,165,852 |
Collections | (10,634,521) | (2,061,383) | (4,779,673) | (17,475,577) |
Accruals | 84,416 | 473,623 | 2,148,859 | 2,706,898 |
Withdrawn financial assets | (1,187,482) | (2,723,575) | (5,314,929) | (9,225,986) |
Portfolio sale | - | - | (3,740,740) | (3,740,740) |
Exchange Differences and Others | 5,226,153 | 2,463,775 | 9,598,054 | 17,287,982 |
Monetary result | (3,092,158) | (2,103,446) | (4,995,265) | (10,190,869) |
Allowances for loan losses as of 09/30/2023 | 3,885,059 | 3,215,644 | 7,043,840 | 14,144,543 |
| Assets Before Allowances | Total | ||
---|---|---|---|---|
Stage 1 | Stage 2 | Stage 3 | ||
Assets Before Allowances as of 12/31/2022 | 468,931,963 | 42,926,839 | 20,645,452 | 532,504,254 |
Transfers: | | | | |
From Stage 1 to Etapa 2 | (9,476,877) | 9,476,877 | - | - |
From Stage 1 to Etapa 3 | (716,854) | - | 716,854 | - |
From Stage 2 to Etapa 3 | - | (612,679) | 612,679 | - |
From Stage 2 to Etapa 1 | 3,171,812 | (3,171,812) | - | - |
From Stage 3 to Etapa 2 | - | 116,854 | (116,854) | - |
From Stage 3 to Etapa 1 | 44,817 | - | (44,817) | - |
Additions | 287,228,831 | - | - | 287,228,831 |
Collections | (151,230,884) | (7,739,852) | (5,501,324) | (164,472,060) |
Accruals | 32,915,379 | 1,777,044 | 1,940,116 | 36,632,539 |
Withdrawn financial assets | (1,187,482) | (2,723,575) | (5,314,929) | (9,225,986) |
Portfolio sale | - | - | (3,837,211) | (3,837,211) |
Exchange Differences and Others | 13,992,399 | 9,812,108 | 11,426,728 | 35,231,235 |
Monetary result | (232,125,958) | (23,154,459) | (9,677,924) | (264,958,341) |
Assets Before Allowances as of 09/30/2023 | 411,547,146 | 26,707,345 | 10,848,770 | 449,103,261 |
| Assets Before Allowances | Total as of September 30, 2023 | ||
---|---|---|---|---|
Stage 1 | Stage 2 | Stage 3 | ||
Promissory notes | 68,525,343 | 287,284 | 225,266 | 69,037,893 |
Unsecured corporate loans | 73,181,753 | 473,812 | 1,378,712 | 75,034,277 |
Overdrafts | 29,020,957 | 202,837 | 498,823 | 29,722,617 |
Mortgage loans | 38,384,025 | 3,041,233 | 1,010,210 | 42,435,468 |
Automobile and other secured loans | 10,346,909 | 2,027,436 | 305,454 | 12,679,799 |
Personal loans | 35,835,362 | 7,507,996 | 1,826,513 | 45,169,871 |
Credit card loans | 50,345,052 | 10,007,523 | 2,435,478 | 62,788,053 |
Foreign Trade Loans | 16,637,926 | 2,206,346 | 2,769,696 | 21,613,968 |
Other financings | 72,847,647 | 193,239 | 211,215 | 73,252,101 |
Other receivables from financial transactions | 711,156 | 174,299 | 92,421 | 977,876 |
Receivables from financial leases | 15,711,016 | 585,340 | 94,982 | 16,391,338 |
Subtotal | 411,547,146 | 26,707,345 | 10,848,770 | 449,103,261 |
Allowances for loan losses | (3,885,059) | (3,215,644) | (7,043,840) | (14,144,543) |
Total | 407,662,087 | 23,491,701 | 3,804,930 | 434,958,718 |
17
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
1.3. | Consolidation |
A subsidiary is an entity (or subsidiary), including structured entities, in which the Group has control because it (i) has the power to manage relevant activities of the subsidiary (ii) has exposure, or rights, to variable returns from its involment with the subsidiary, and (iii) has the ability to use its power over the subsidiary in order to affect the amount of the investor´s returns. The existence and the effect of the substantive rights, including substantive rights of potential vote, are considered when evaluating whether the Group has power over the other entity. For a right to be substantive, the right holder must have the practical competence to exercise such right whenever it is necessary to make decisions on the direction of the entity’s relevant activities. The Group can have control over an entity, even when it has less voting powers than those required for the majority.
Accordingly, the protecting rights of other investors, as well as those related to substantive changes in the subsidiary´ activities or applicable only in unusual circumstances, do not prevent the Group from having power over a subsidiary. The subsidiaries are consolidated as from the date on which control is transferred to the Group, ceasing its consolidation as from the date on which control ceases.
The following chart provides the subsidiaries which are object to consolidation:
Company | Condition | Legal Adress | Principal Activity | Percentage of Participation | |||
---|---|---|---|---|---|---|---|
09/30/2023 | 12/31/2022 | ||||||
Direct | Direct and Indirect | Direct | Direct and Indirect | ||||
Banco Supervielle S.A. | Controlled | Reconquista 330, C.A.B.A., Argentina | Commercial Bank | 97.10% | 99.90% (1) | 97.10% | 99.90% (1) |
IUDÚ Compañia Financiera S.A | Controlled | Reconquista 320, 1st floor C.A.B.A., Argentina | Financial Company | 5.00% | 99.90% | 5.00% | 99.90% |
Tarjeta Automática S.A. | Controlled | Bartolomé Mitre 434, 5th floor C.A.B.A., Argentina | Credit Card and Consumer Loans | 7.85% | 99.91% | 7.85% | 99.91% |
Supervielle Asset Management S.A. | Controlled | San Martín 344, C.A.B.A., Argentina | Asset Management and Other Services | 95.00% | 100.00% | 95.00% | 100.00% |
Sofital S.A.F. e I.I. | Controlled | Bartolomé Mitre 434, C.A.B.A., Argentina | Financial operations and administration of marketable securities | 96.80% | 100.00% | 96.80% | 100.00% |
Espacio Cordial de Servicios S.A. | Controlled | Patricias Mendocinas 769, Ciudad de Mendoza, Argentina | Trading of products and services | 95.00% | 100.00% | 95.00% | 100.00% |
Supervielle Seguros S.A. | Controlled | San Martin 344, C.A.B.A., Argentina | Insurance company | 95.00% | 100.00% | 95.00% | 100.00% |
Micro Lending S.A.U. | Controlled | Bartolomé Mitre 434, C.A.B.A., Argentina | Financial Company | 100.00% | 100.00% | 100.00% | 100.00% |
InvertirOnline S.A.U. | Controlled | Humboldt 1550, 2nd floor, department 201, C.A.B.A., Argentina | Financial Broker | 100.00% | 100.00% | 100.00% | 100.00% |
Portal Integral de Inversiones S.A.U | Controlled | San Martín 344, 15th floor, C.A.B.A., Argentina | Representations | 100.00% | 100.00% | 100.00% | 100.00% |
IOL Holding S.A. | Controlled | Treinta y tres 1271, Montevideo, Uruguay | Financial Company | 99.99% | 100.00% | 99.99% | 100.00% |
18
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Company | Condition | Legal Adress | Principal Activity | Percentage of Participation | |||
---|---|---|---|---|---|---|---|
09/30/2023 | 12/31/2022 | ||||||
Direct | Direct and Indirect | Direct | Direct and Indirect | ||||
Controlled | Reconquista 320, 1st floor, C.A.B.A., Argentina | Insurance Broker | 95.24% | 100.00% | 95.24% | 100.00% | |
Bolsillo Digital S.A.U. | Controlled | Bartolomé Mitre 434, 5th floor. C.A.B.A., Argentina (4) | Computer Services | - | 100.00% | - | 100.00% |
Supervielle Agente de Negociación S.A.U. | Controlled | Bartolomé Mitre 434, 5th floor. C.A.B.A., Argentina (5) | Settlement and Clearing Agent | 100.00% | 100.00% | 100.00% | 100.00% |
Dólar IOL S.A.U. | Controlled | San Martin 344, 16th floor, Buenos Aires | Services and exchange agency | 100.00% | 100.00% | 100.00% | 100.00% |
(1) Grupo Supervielle S.A.’s direct and indirect interest in Banco Supervielle S.A. votes amounts to 99.87% as of 09/30/23 and 12/31/22
(2) On October 21, 2021, through the Board of Directors Minutes, the change of address of the Company's headquarters was resolved, fixing it at Avda. Gral. San Martín 731, 1st floor, in the City of Mendoza. It is pending registration in the IGJ
(3) On May 31, 2023, through the Board of Directors Minutes, the change of address of the Company's headquarters was resolved, setting it at San Martin 344, 16th floor of the Autonomous City of Buenos Aires. It is pending registration in the IGJ
(4) On May 31, 2023, the Board of Directors Assembly discussed the change of headquarters of the Company currently located at Bartolomé Miter 434, floor 5, of the Autonomous City of Buenos Aires, setting it at San Martin 344, floor 16 of the Autonomous City of Buenos Aires. It is pending registration in IGJ
(5) On June 29, 2023, the Board of Directors Assembly discussed the change of headquarters of the Company currently located at Bartolomé Miter 434, floor 5, of the Autonomous City of Buenos Aires, setting it at San Martin 344, floor 16 of the Autonomous City of Buenos Aires. It is pending registration in IGJ.
2. | CRITICAL ACCOUNTING POLICIES AND ESTIMATES |
The preparation of financial statements in accordance with the accounting framework established by the Argentine Central Bank requires the use of certain critical accounting estimates. It also requires Management to exercise its judgment in the process of applying the accounting standards established by the Argentine Central Bank to establish the Group's accounting policies.
The Group has identified the following areas that involve a higher degree of judgment or complexity, or areas in which the assumptions and estimates are significant for the consolidated financial statements that are essential for understanding the underlying accounting / financial reporting risks:
(a) | Fair value of derivatives and other financial instruments |
The fair value of financial instruments not listed in active markets is determined by using valuation techniques. Such techniques are regularly validated and reviewed by qualified personnel independent from the area which developed them. All models are assessed and adjusted before being used in order to ensure that results reflect current information and comparable market prices. As long as possible, models rely on observable inputs only; however, certain factors, such as implicit rates in the last available tender for similar securities and spot rate curves, require the use of estimates. Changes in the assumptions of these factors may affect the reported fair value of financial instruments.
(b) | Allowances for loan losses and advances |
The Group recognizes the allowance for loan losses under the expected credit loss method included in IFRS 9. The most significant judgements of the model relate to defining what is considered to be a significant increase in credit risk and in making assumptions and estimates to incorporate relevant information about past events, current conditions and forecasts of economic conditions. The impact of the forecasts of economic conditions are determined based on the weighted average of three internally developed macroeconomic scenarios that take into consideration the Group´s economic outlook as derived through forecast macroeconomic variables, which include Inflation rate, monthly economic activity estimator and private sector wage. A high degree of uncertainty is involved in making estimations using assumptions that are highly subjective and very sensitive to the risk factors.
Note 1.2 provides more detail of how the expected credit loss allowance is measured.
(c) | Impairment of non-financial assets |
19
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Intangible assets with finite lives and property, plants and equipment are amortized or depreciated along their useful lives in a lineal manner. The Group monitors the conditions related to these assets to determine whether events and circumstances justify a review of the amortization and remaining depreciation period and whether there are factors or circumstances that imply an impairment in the value of assets that cannot be recovered.
The Group has applied the judgement in the identification of impairment indicators for property, plant and equipment and intangible assets. The Group has determined that there were no indications of impairment for any of the periods presented in its Consolidated Condensed Interim Financial Statement; therefore, no recoverable value has been estimated, except for certain real property that, due to the post-pandemic macro context and a devaluation of the dollar well below inflation, generated deterioration.
(d) | Income tax and deferred tax |
A significant judgement is required to determine liabilities and assets from current and deferred taxes, The current tax is provisioned in accordance with the amounts expected to be paid and the deferred tax is provisioned over temporary differences between tax basis of assets and liabilities and book values to aliquots expected to be in force when reversing them.
Assets from deferred tax are recognized upon the possibility of relying on future taxable earnings against which temporary differences can be utilized, based on the Senior Management´s assumptions regarding amounts and opportunities of future taxable earnings, Later, it is necessary to determine whether assets from deferred tax are likely to be utilized and set off future taxable earnings, Real results may differ from estimates, such as changes in tax legislation or the result of the final review of affidavits issued by tax authorities and tax courts.
Likely future tax earnings and the number of tax benefits are based on a medium-term business plan prepared by the administration. Such plan is based on reasonable expectations.
3. | SEGMENT REPORTING |
The Group determines operating segments based on performance reports which are reviewed by the Board and key personnel of the Senior Management and updated upon changes.
Grupo Supervielle´s clients receive the following services:
● | Personal and Business Banking Segment: |
- | Small companies, individuals and companies that record annual sales of up to 500,000 |
- | "Small and Medium Size Companies", companies that record annual sales of over 500,000 up to 5,000,000 |
● | Corporate Baking Segment: |
- | Megras that record annual sales over 5,000,000 up to 7,000,000 |
- | Big Companies. Grandes companies that record annual sales of over 7,000,000 |
Grupo Supervielle considers the business for the type of products and services offered, identifying the following operating segments:
a- | Personal and Business Banking: Through this segment, Supervielle offers a wide range of financial products and services designed to meet the needs of individuals, entrepreneurs, and small businesses and SMEs. |
Likewise, as of September 2022, IUDÚ's client and financing portfolio was acquired by the Bank and has been allocated to the Personal and Business Banking segment. The transfer of clients and the back office from IUDÚ to the bank was completed in the last quarter of 2022.
b- Corporate Banking: Includes advisory services at a corporate and financial level, as well as the administration of assets and loans targeted to corporate clients.
20
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
c- Bank Treasury: This segment is in charge of the assignment of liquidity of the Entity in accordance with the different commercial areas´ needs and its own needs, Treasury implements financial risk administration policies of the Bank, administers trading desk operations, distributes financial products, such as negotiable securities and develops business with the financial sector clients and whole sale non-financial sector clients.
d- Consumer Finance: Includes loans and other credit products targeted to middle and low-middle income sectors and non-financial products and services.
e- Insurance: Includes insurance products, with a focus on life insurance, to targeted customers segments.
f- Asset Management and Other Services: Supervielle offers a variety of other services to its clients, including mutual fund products through Supervielle Asset Management, retail brokerage services through InvertirOnline, non-financial products through Espacio Cordial Servicios, and until February 2023 offered payment solutions. to retailers through Bolsillo Digital S.A.U.
Operating results of the different operating segments of Grupo Supervielle are reviewed individually with the purpose of taking decisions over the allocation of resources and the performance analysis of each segment. The performance of such segments will be evaluated based on operating income and is measured consistently with operating income/(expenses) of the consolidated income statement.
When a transaction is carried out between operating segments, they are taken in an independent and equitable manner, as in cases of transactions with third parties. Later, income, expenses and results from transfers between operating segments are removed from the consolidation.
Grupo Supervielle does not present information by geographical segments because there are no operating segments in economic environments with risks and rewards that are significantly different.
During this period, the Group has made the following grouping changes in its information by segments, which were considered in the information presented for comparative purposes:
i) Within the segment "Personal and Business Banking" this period includes the operation of Micro Lending S.A. (pledges), which was previously reflected in the "Consumption" segment. On the other hand, as explained above, IUDÚ's customer and financing portfolio was included within the Personal and Business Banking segment because said portfolio was acquired by the Bank during the last quarter of 2022.
ii) Within the "Consumer" segment, only the operations of IUDÚ and Tarjeta Automática S.A. are reflected, operations that are within a merger process of said companies with Banco Supervielle as described in note 15 to these financial statements.
iii) Within the segment “Adm. FCI and Other Segments” includes the operation of Espacio Cordial Servicios (previously in the “Consumer” segment), which is currently not within the same management framework as the operations described in ii).
The following chart includes information by segment as of September 30,2023 and 2022, and December 31, 2022, respectively:
Result by segments | Corporate Banking | Bank Treasury | Consumer Finance | Insurance | Asset Management and Other Services | Adjustments | Total as of 09.30.2023 | |
---|---|---|---|---|---|---|---|---|
Interest income | 118,892,702 | 68,948,799 | 369,278,254 | 5,033,349 | 16,876 | 853,070 | 1,538,669 | 564,561,719 |
Interest expenses | (140,589,007) | (45,801,497) | (217,469,564) | (3,058,066) | - | (273,225) | 1,140,682 | (406,050,677) |
Distribution of results by Treasury | 72,906,950 | 3,417,719 | (76,324,669) | - | - | - | - | - |
Net interest income | 51,210,645 | 26,565,021 | 75,484,021 | 1,975,283 | 16,876 | 579,845 | 2,679,351 | 158,511,042 |
Services Fee Income | 30,423,850 | 3,852,597 | 303,902 | 4,769 | - | 12,004,380 | (846,784) | 45,742,714 |
Services Fee Expenses | (10,872,579) | (659,656) | (324,008) | (35,520) | - | (403,449) | 155,791 | (12,139,421) |
Income from insurance activities | - | - | - | - | 6,355,693 | - | 641,058 | 6,996,751 |
Net Service Fee Income | 19,551,271 | 3,192,941 | (20,106) | (30,751) | 6,355,693 | 11,600,931 | (49,935) | 40,600,044 |
Subtotal | 70,761,916 | 29,757,962 | 75,463,915 | 1,944,532 | 6,372,569 | 12,180,776 | 2,629,416 | 199,111,086 |
Net income from financial instruments at fair value through profit or loss | 393,139 | - | 27,085,546 | 161,313 | 3,575,145 | 1,896,457 | 657,233 | 33,768,833 |
Income from withdrawal of assets rated at amortized cost | - | - | 1,863,799 | - | - | - | (110,420) | 1,753,379 |
21
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Result by segments | Corporate Banking | Bank Treasury | Consumer Finance | Insurance | Asset Management and Other Services | Adjustments | Total as of 09.30.2023 | |
---|---|---|---|---|---|---|---|---|
Exchange rate difference on gold and foreign currency | (615,817) | 202,249 | 764,802 | 98,675 | 559 | 393,776 | 892,543 | 1,736,787 |
NIFFI And Exchange Rate Differences | (222,678) | 202,249 | 29,714,147 | 259,988 | 3,575,704 | 2,290,233 | 1,439,356 | 37,258,999 |
Result from exposure to changes in the purchasing power of the currency | 26,831,719 | (4,620,127) | (47,734,154) | (787,956) | (4,570,748) | (2,588,865) | (5,283,292) | (38,753,423) |
Other operating income | 6,637,408 | 3,739,403 | 302,822 | 201,342 | 24,841 | 1,370,067 | (1,199,188) | 11,076,695 |
Loan loss provisions | (12,277,302) | (1,712,116) | (42,591) | - | - | - | (14,685) | (14,046,694) |
Net operating income | 91,731,063 | 27,367,371 | 57,704,139 | 1,617,906 | 5,402,366 | 13,252,211 | (2,428,393) | 194,646,663 |
Personnel expenses | (55,290,448) | (9,869,736) | (4,768,960) | (474,565) | (1,841,138) | (3,698,885) | (83,734) | (76,027,466) |
Administration expenses | (32,631,743) | (2,309,001) | (1,849,409) | (853,562) | (1,250,893) | (2,177,428) | 1,394,053 | (39,677,983) |
Depreciations and impairment of non-financial assets | (10,740,737) | (1,714,446) | (744,067) | - | (146,422) | (152,402) | (196,957) | (13,695,031) |
Other operating expenses | (17,796,233) | (6,234,207) | (9,628,179) | (221,380) | (66,444) | (1,124,592) | 15,665 | (35,055,370) |
Operating income | (24,728,098) | 7,239,981 | 40,713,524 | 68,399 | 2,097,469 | 6,098,904 | (1,299,366) | 30,190,813 |
Result from associates and joint ventures | - | - | - | (33,859) | - | 15,727 | 18,132 | - |
Result before taxes | (24,728,098) | 7,239,981 | 40,713,524 | 34,540 | 2,097,469 | 6,114,631 | (1,281,234) | 30,190,813 |
Income tax | 8,630,302 | (2,546,528) | (14,317,316) | (204,031) | (812,833) | (2,171,306) | 98,433 | (11,323,279) |
Net (loss) / income | (16,097,796) | 4,693,453 | 26,396,208 | (169,491) | 1,284,636 | 3,943,325 | (1,182,801) | 18,867,534 |
Net (loss) / income for the period attributable to owners of the parent company | (16,097,796) | 4,693,453 | 26,396,208 | (169,491) | 1,284,636 | 3,943,325 | (1,197,769) | 18,852,566 |
Net (loss) / income for the period attributable to non-controlling interest | - | - | - | - | - | - | 14,968 | 14,968 |
Other comprehensive (loss) / income | (46,668) | (23,138) | (346,892) | - | - | 135,913 | 62,814 | (217,971) |
Other comprehensive (loss) / income attributable to owners of the parent company | (46,668) | (23,138) | (346,892) | - | - | 135,913 | 63,241 | (217,544) |
Other comprehensive (loss) / income attributable to non-controlling interest | - | - | - | - | - | - | (427) | (427) |
Comprehensive (loss) / income for the period | (16,144,464) | 4,670,315 | 26,049,316 | (169,491) | 1,284,636 | 4,079,238 | (1,119,987) | 18,649,563 |
Comprehensive (loss) / income attributable to owners of the parent company | (16,144,464) | 4,670,315 | 26,049,316 | (169,491) | 1,284,636 | 4,079,238 | (1,134,528) | 18,635,022 |
Comprehensive (loss) / income attributable to non-controlling interests | - | - | - | - | - | - | 14,541 | 14,541 |
Assets by segments | Personal and Business Banking | Corporate Banking | Bank Treasury | Consumer Finance | Insurance | Asset Management and Other Services | Adjustments | Total as of 09.30.2023 |
Cash and due from banks | 41,836,738 | 1,399,918 | 54,462,263 | 2,329,091 | 4,091 | 1,520,548 | (1,194,954) | 100,357,695 |
Debt securities at fair value through profit or loss | 71,252 | 900,949 | 26,205,887 | 1,225 | 3,505,240 | 2,656,694 | 473,671 | 33,814,918 |
Loans and other financing | 207,064,480 | 148,237,724 | 17,838,955 | - | 4,189,031 | 412,845 | (1,261,726) | 376,481,309 |
Other debt securities | 550,189 | - | 384,282,352 | - | - | 1,213,239 | 4,254,880 | 390,300,660 |
Other Assets | 32,835,881 | 14,219,972 | 295,366,413 | 16,521,462 | 4,639,416 | 4,081,153 | 23,069,200 | 390,733,497 |
Total Assets | 282,358,540 | 164,758,563 | 778,155,870 | 18,851,778 | 12,337,778 | 9,884,479 | 25,341,071 | 1,291,688,079 |
| | | | | | | | |
| | | | | | | | |
Liabilities by segments | | | | | | | | |
Deposits | 451,952,723 | 136,622,728 | 382,353,939 | 44,915 | - | - | (1,930,842) | 969,043,463 |
Financing received from the Argentine Central Bank and others financial institutions | 56,892 | 77 | 5,341,624 | 1,006,746 | - | 201,541 | (809,387) | 5,797,493 |
Other liabilities | 39,764,756 | 9,855,906 | 16,382,760 | 856,840 | 5,785,008 | 3,749,086 | 33,607,143 | 110,001,499 |
Total Liabilities | 491,774,371 | 146,478,711 | 404,078,323 | 1,908,501 | 5,785,008 | 3,950,627 | 30,866,914 | 1,084,842,455 |
| | | | | | | | |
Result by segments | Personal and Business Banking | Corporate Banking | Bank Treasury | Consumer Finance | Insurance | Asset Management and Other Services | Adjustments | Total as of 09.30.2022 | |
---|---|---|---|---|---|---|---|---|---|
Interest income | 99,898,326 | 51,616,341 | 197,071,394 | 19,620,751 | 5,890 | 36,283 | (6,045,372) | 362,203,613 | |
Interest expenses | (68,798,497) | (13,787,604) | (139,725,542) | (13,852,316) | - | (133) | 7,670,511 | (228,493,581) | |
Distribution of results by Treasury | 22,402,462 | (18,500,263) | (3,902,199) | - | - | - | - | - | |
Net interest income | 53,502,291 | 19,328,474 | 53,443,653 | 5,768,435 | 5,890 | 36,150 | 1,625,139 | 133,710,032 | |
Services Fee Income | 30,774,125 | 3,385,229 | 281,667 | 4,863,187 | - | 8,848,380 | (1,207,730) | 46,944,858 | |
Services Fee Expenses | (10,789,324) | (892,129) | (613,746) | (3,971,239) | - | (887,960) | 357,842 | (16,796,556) | |
Income from insurance activities | - | - | - | - | 6,253,356 | - | 767,343 | 7,020,699 | |
Net Service Fee Income | 19,984,801 | 2,493,100 | (332,079) | 891,948 | 6,253,356 | 7,960,420 | (82,545) | 37,169,001 |
22
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Result by segments | Personal and Business Banking | Corporate Banking | Bank Treasury | Consumer Finance | Insurance | Asset Management and Other Services | Adjustments | Total as of 09.30.2022 | |
---|---|---|---|---|---|---|---|---|---|
Subtotal | 73,487,092 | 21,821,574 | 53,111,574 | 6,660,383 | 6,259,246 | 7,996,570 | 1,542,594 | 170,879,033 | |
Net income from financial instruments at fair value through profit or loss | - | - | 21,750,157 | 2,001,113 | 2,081,716 | 2,047,237 | 1,069,307 | 28,949,530 | |
Income from withdrawal of assets rated at amortized cost | - | - | 1,075,121 | - | - | - | (5,676) | 1,069,445 | |
Exchange rate difference on gold and foreign currency | 1,069,004 | 224,560 | 2,560,695 | (51,319) | (172) | 136,250 | 603,599 | 4,542,617 | |
NIFFI And Exchange Rate Differences | 1,069,004 | 224,560 | 25,385,973 | 1,949,794 | 2,081,544 | 2,183,487 | 1,667,230 | 34,561,592 | |
Result from exposure to changes in the purchasing power of the currency | 10,590,532 | (7,190,921) | (25,089,333) | 2,023,187 | (2,893,807) | (1,804,875) | (4,224,814) | (28,590,031) | |
Other operating income | 6,480,930 | 5,775,385 | 430,012 | 1,497,043 | 39,576 | 421,727 | (390,593) | 14,254,080 | |
Loan loss provisions | (13,324,204) | (1,090,402) | 162,918 | (6,457,704) | - | - | - | (20,709,392) | |
Net operating income | 78,303,354 | 19,540,196 | 54,001,144 | 5,672,703 | 5,486,559 | 8,796,909 | (1,405,583) | 170,395,282 | |
Personnel expenses | (56,034,538) | (8,308,918) | (4,321,514) | (6,880,896) | (1,737,579) | (5,180,206) | (74,014) | (82,537,665) | |
Administration expenses | (30,861,408) | (2,681,423) | (2,043,339) | (5,320,621) | (1,355,732) | (1,896,888) | 765,430 | (43,393,981) | |
Depreciations and impairment of non-financial assets | (10,300,571) | (1,539,774) | (685,479) | (356,787) | (161,405) | (158,019) | (231,941) | (13,433,976) | |
Other operating expenses | (16,537,533) | (5,538,213) | (10,997,042) | (2,694,562) | (844) | (764,849) | (110,325) | (36,643,368) | |
Operating income | (35,430,696) | 1,471,868 | 35,953,770 | (9,580,163) | 2,230,999 | 796,947 | (1,056,433) | (5,613,708) | |
Result from associates and joint ventures | - | - | - | (704,704) | - | 56,854 | 647,850 | - | |
Result before taxes from continuing operations | (35,430,696) | 1,471,868 | 35,953,770 | (10,284,867) | 2,230,999 | 853,801 | (408,583) | (5,613,708) | |
Income tax | 12,597,797 | (127,400) | (11,861,576) | (497,596) | (996,495) | (472,986) | (341,020) | (1,699,276) | |
Net (loss) / income | (22,832,899) | 1,344,468 | 24,092,194 | (10,782,463) | 1,234,504 | 380,815 | (749,603) | (7,312,984) | |
Net (loss) / income for the period attributable to owners of the parent company | (22,832,899) | 1,344,468 | 24,092,194 | (10,782,463) | 1,234,504 | 380,815 | (741,896) | (7,305,277) | |
Net (loss) / income for the period attributable to non-controlling interest | - | - | - | - | - | - | (7,707) | (7,707) | |
Other comprehensive (loss) / income | (22,982) | (8,104) | (1,646,409) | - | - | 80,511 | (93,642) | (1,690,626) | |
Other comprehensive (loss) / income attributable to owners of the parent company | (22,982) | (8,104) | (1,646,409) | - | - | 80,511 | (91,924) | (1,688,908) | |
Other comprehensive (loss) / income attributable to non-controlling interest | - | - | - | - | - | - | (1,718) | (1,718) | |
Comprehensive (loss) / income for the period | (22,855,881) | 1,336,364 | 22,445,785 | (10,782,463) | 1,234,504 | 461,326 | (843,245) | (9,003,610) | |
Comprehensive (loss) / income attributable to owners of the parent company | (22,855,881) | 1,336,364 | 22,445,785 | (10,782,463) | 1,234,504 | 461,326 | (833,820) | (8,994,185) | |
Comprehensive (loss) / income attributable to non-controlling interests | - | - | - | - | - | - | (9,425) | (9,425) | |
| | | | | | | |
Personal and Business Banking | Corporate Banking | Bank Treasury | Consumer Finance | Insurance | Asset Management and Other Services | Adjustments | Total as of 12.31.2022 | |||||||
| | | | | | | | | ||||||
Cash and due from banks | 38,016,670 | 1,552,759 | 57,792,008 | 446,538 | 4,116 | 767,699 | (255,858) | 98,323,932 | ||||||
Debt securities at fair value through profit or loss | 148,180 | 3,286,932 | 30,818,346 | 1,601,692 | - | 57,809 | - | 35,912,959 | ||||||
Loans and other financing | 293,060,943 | 167,363,428 | 13,361,991 | 114,116 | 3,576,780 | 372,359 | (3,032,437) | 474,817,180 | ||||||
Other debt securities | - | - | 555,894,175 | 2 | 2,342,396 | 400,054 | 4,458,727 | 563,095,354 | ||||||
Other Assets | 32,582,581 | 10,505,081 | 131,335,839 | 26,455,216 | 4,376,481 | 6,253,928 | 33,188,878 | 244,698,004 | ||||||
Total Assets | 363,808,374 | 182,708,200 | 789,202,359 | 28,617,564 | 10,299,773 | 7,851,849 | 34,359,310 | 1,416,847,429 | ||||||
| | | | | | | | | ||||||
| | | | | | | | | ||||||
Liabilities by segments | Personal and Business Banking | Corporate Banking | Bank Treasury | Consumer Finance | Insurance | Asset Management and Other Services | Adjustments | Total as of 12.31.2022 | ||||||
Deposits | 497,889,939 | 129,174,574 | 477,819,620 | 8,272,778 | - | 141,885 | (1,013,467) | 1,112,285,329 | ||||||
Financing received from the Argentine Central Bank and others financial institutions | 71,928 | 179 | 11,161,490 | 602,241 | - | 988,567 | (1,590,821) | 11,233,584 | ||||||
Unsubordinated debt securities | 26,154 | 8,882 | 1,105,472 | - | - | - | (1) | 1,140,507 | ||||||
Other liabilities | 38,510,639 | 7,880,268 | 10,917,689 | 2,629,770 | 4,317,419 | 2,635,732 | 36,540,177 | 103,431,694 | ||||||
Total Liabilities | 536,498,660 | 137,063,903 | 501,004,271 | 11,504,789 | 4,317,419 | 3,766,184 | 33,935,888 | 1,228,091,114 | ||||||
| | | | | | | | |
4. | FAIR VALUES |
23
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
The Group classifies the fair values of financial instruments into 3 levels, according to the quality of the data used for their determination.
Fair Value level 1: The fair value of financial instruments traded in active markets (such as publicly-traded derivatives, debt securities or available for sale) is based on market quoted prices as of the date of the reporting period. If the quoted price is available and there is an active market for the instrument, it will be included in Level 1. Otherwise, it will be included in Level 2.
Fair Value level 2: The fair value of financial instruments which are not traded in active markets, such as over-the-counter derivatives, is determined using valuation techniques that maximize the use of observable market data and rely the least possible on Grupo Supervielle’s specific estimates. If all significant inputs required to determine fair value a financial instrument are observable, such instrument is included in level 2. If the inputs used to determine the price are not observable, the instrument will be included in Level 3.
Fair Value level 3: If one or more significant inputs are not based on observable market data, the instrument is included in Level 3.
Grupo Supervielle’s financial instruments measured at fair value as of September 30,2023 and December 31,2022 are detailed below:
Instrument portfolio as of 09/30/2023 | FV level 1 | FV level 2 | FV level 3 | TOTAL |
Assets | | | | |
- Debt securities at fair value through profit or loss | 31,247,745 | 2,567,173 | - | 33,814,918 |
- Derivatives | - | 2,779,893 | - | 2,779,893 |
- Other financial assets | 9,627,009 | - | - | 9,627,009 |
- Other debt securities | 3,878,047 | 6,355,317 | - | 10,233,364 |
- Financial assets pledged as collateral | 24,754,436 | - | - | 24,754,436 |
- Investments in Equity Instruments | 502,962 | - | 294,536 | 797,498 |
Total Assets | 70,010,199 | 11,702,383 | 294,536 | 82,007,118 |
Liabilities | | | | |
- Liabilities at fair value through profit or loss | 1,189 | - | - | 1,189 |
- Other financial liabilities | 47,733,648 | - | - | 47,733,648 |
Total Liabilities | 47,734,837 | - | - | 47,734,837 |
Instrument portfolio as of 12/31/2022 | FV level 1 | FV level 2 | FV level 3 | TOTAL |
---|---|---|---|---|
Assets | | | | |
- Debt securities at fair value through profit or loss | 35,860,845 | 52,114 | - | 35,912,959 |
- Derivatives | 600,423 | - | - | 600,423 |
- Other financial assets | 12,112,142 | - | - | 12,112,142 |
- Other debt securities | 15,427,891 | 410,652,004 | - | 426,079,895 |
- Financial assets pledged as collateral | 29,216,668 | - | - | 29,216,668 |
- Investments in Equity Instruments | 546,395 | - | 474,560 | 1,020,955 |
Total Assets | 93,764,364 | 410,704,118 | 474,560 | 504,943,042 |
Liabilities | | | | |
- Liabilities at fair value through profit or loss | 4,345,742 | - | - | 4,345,742 |
- Other financial liabilities | 36,187,950 | - | - | 36,187,950 |
Total Liabilities | 40,533,692 | - | - | 40,533,692 |
Below is shown the reconcilation of the financial instruments classiffied as Fair Value Level 3:
FV level 3 | 12/31/2022 | Transfers | Additions | Disposals | P/L | 09/30/2023 |
---|---|---|---|---|---|---|
Assets | | | | | | |
- Debt securities at fair value through profit or loss | 474,560 | - | 241,532 | - | (421,556) | 294,536 |
The Group's policy is to recognize transfers between levels of fair values only at year-end dates.
Valuation Techniques
Valuation techniques to determine fair values include the following:
24
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
The Group uses valuation techniques using spot rate curves that estimate yield curves based on market prices market. They are detailed below:
The Group periodically evaluates the performance of the models based on indicators which have defined tolerance thresholds.
Under IFRS, the estimated residual value of an instrument at inception is generally the transaction price. In the event that the transaction price differs from the determined fair value, the difference will be recognized in the income statement proportionally for the duration of the instrument. As of September 30, 2023, no differences have been recorded with respect to the transaction price.
Fair Value of Other Financial Instruments
The following describes the methodologies and assumptions used to determine the fair values of financial instruments not recorded at their value in these financial statements:
For listed assets and the quoted debt, fair value was determined based on market prices.
The following chart includes a comparison between the fair value and the accounting value of financial instruments not recorded at fair value as of September 30,2023 and December 31, 2022:
Other Financial Instruments as of 09/30/2023 | Accounting value | Fair value | FV Level 1 | FV Level 2 | FV Level 3 |
---|---|---|---|---|---|
Financial Assets |
|
|
|
|
|
-Cash and due from Banks | 100,357,695 | 100,357,695 | 100,357,695 | - | - |
-Other financial assets | 28,149,119 | 28,149,119 | 28,149,119 | - | - |
-Loans and other financing | 376,481,309 | 325,458,279 | - | - | 325,458,279 |
- Repo transactions | 179,914,458 | 179,914,458 | 179,914,458 | - | - |
- Other Debt Securities | 380,067,296 | 378,633,956 | 45,649,973 | 332,983,983 | - |
-Financial assets in as guarantee | 97,283 | 97,283 | 97,283 | - | - |
1,065,067,160 | 1,012,610,790 | 354,168,528 | 332,983,983 | 325,458,279 | |
Financial Liabilities | | | | | |
-Deposits | 969,043,463 | 960,829,158 | - | - | 960,829,158 |
- Other financial liabilities | 273,296 | 273,296 | 273,296 | - | - |
- Repo transactions | 732,933 | 732,933 | 732,933 | - | - |
-Financing received from the BCRA and other financial institutions | 5,797,493 | 5,962,375 | - | - | 5,962,375 |
975,847,185 | 967,797,762 | 1,006,229 | - | 966,791,533 |
25
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Other Financial Instruments as of 12/31/2022 | Accounting value | Fair value | FV Level 1 | FV Level 2 | FV Level 3 |
Financial Assets | | | | | |
-Cash and due from Banks | 98,323,932 | 98,323,933 | 98,323,933 | - | - |
-Other financial assets | 4,357,542 | 4,357,541 | 4,357,541 | - | - |
-Loans and other financing | 474,817,180 | 476,415,421 | - | - | 476,415,421 |
- Repo transactions | 43,842,876 | 43,842,876 | 43,842,876 | - | - |
- Other Debt Securities | 137,015,459 | 139,749,896 | 139,749,896 | - | - |
-Financial assets pledged as collateral | 176,549 | 176,549 | 176,549 | - | - |
758,533,538 | 762,866,216 | 286,450,795 | - | 476,415,421 | |
Financial Liabilities | | | | | |
-Deposits | 1,112,285,329 | 1,141,744,527 | - | - | 1,141,744,527 |
-Other financial liabilities | 593,491 | 593,491 | 593,491 | - | - |
-Finances received from the BCRA and other financial institutions | 11,233,584 | 17,636,082 | - | - | 17,636,082 |
- Unsubordinated debt securities | 1,140,507 | 1,140,507 | 1,140,507 | - | - |
| 1,125,252,911 | 1,161,114,607 | 1,733,998 | - | 1,159,380,609 |
5. | CASH AND DUE FROM BANKS |
The composition of the cash on each of the indicated dates is detailed below:
Item | 09/30/2023 | 12/31/2022 | 09/30/2022 | 12/31/2021 |
Cash and due from banks | 100,357,695 | 98,323,932 | 82,730,023 | 128,903,607 |
Debt securities at fair value through profit or loss | 19,301,699 | 11,397,797 | 11,763,995 | 41,170,125 |
Money Market Funds | 2,758,146 | 375,168 | 992,544 | 5,754,044 |
Cash and cash equivalents | 122,417,540 | 110,096,897 | 95,486,562 | 175,827,776 |
For their part, the reconciliations between the balances of those items considered cash equivalents in the Statement of Cash Flow and those reported in the Statement of Financial Position as of the indicated dates are set out below:
Items | 09/30/2023 | 12/31/2022 | 09/30/2022 | 12/31/2021 |
---|---|---|---|---|
Cash and due from Banks | | | | |
As per Statement of Financial Position | 100,357,695 | 98,323,932 | 82,730,023 | 128,903,607 |
As per the Statement of Cash Flows | 100,357,695 | 98,323,932 | 82,730,023 | 128,903,607 |
Debt securities at fair value through profit or loss | | | | |
As per Statement of Financial Position | 33,814,918 | 35,912,959 | 36,811,724 | 88,938,212 |
Securities not considered as cash equivalents | (14,513,219) | (24,515,162) | (25,047,729) | (47,768,087) |
As per the Statement of Cash Flows | 19,301,699 | 11,397,797 | 11,763,995 | 41,170,125 |
Money Market Funds | | | | |
As per Statement of Financial Position – Other financial assets | 37,776,128 | 16,469,684 | 19,562,391 | 54,977,142 |
Other financial assets not considered as cash | (35,017,982) | (16,094,516) | (18,569,847) | (49,223,098) |
As per the Statement of Cash Flow | 2,758,146 | 375,168 | 992,544 | 5,754,044 |
Reconciliation of financing activities at September 30, 2023 is as follows:
Items | Balances at 12/31/2022 | Cash Flows | Other non-cash movements | Balances at 09/30/2023 | ||||
---|---|---|---|---|---|---|---|---|
Collections | Payments | |||||||
Unsubordinated debt securities | 1,140,507 | - | (1,140,507) | - | - | |||
Financing received from the Argentine Central Bank and other financial institutions | 11,233,584 | 110,945,644 | (116,381,735) | - | 5,797,493 | |||
Lease Liabilities | 3,186,344 | - | (1,923,742) | 802,640 | 2,065,242 | |||
Total | 15,560,435 | 110,945,644 | (119,445,984) | 802,640 | 7,862,735 |
6. | RELATED PARTY TRANSACTIONS |
26
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Related parties are considered to be all those entities that directly, or indirectly through other entities, control over another, are under the same control or may exercise significant influence over the financial or operational decisions of another entity.
The Group controls another entity when it has power over the financial and operating decisions of other entities and in turn obtains benefits from it, On the other hand, the Group considers that it has joint control when there is an agreement between the parties regarding the control of a common economic activity.
Finally, those cases in which the Group has significant influence is due to the power to influence the financial and operating decisions of another entity but not being able to exercise control over them, For the determination of such situations, not only the legal aspects are observed but also the nature and substance of the relationship.
Additionally, related parties are considered to be the key personnel of the Group's Management (members of the Board and managers of the Group and its subsidiaries), as well as the entities over which key personnel may exercise significant influence or control.
Controlling Entity
Mr. Julio Patricio Supervielle is the main shareholder of the Groups, with registered address on Reconquista 330, Autonomous City of Buenos Aires, Julio Patricio Supervielle´s interest in the capital and votes of the Group as of September 30, 2023 and December 31, 2022 amounts to the 29.86% and 35.12% respectively.
Transactions with related parties
The financings, including those that were restructured, were granted in the normal course of business and on substantially the same terms, including interest rates and guarantees, as those in force at the time to grant credit to non-related parties, Likewise, they did not imply a risk of bad debts greater than normal, nor did they present any other type of unfavorable conditions.
The following table shows the total credit assistance granted by the Group to key personnel, main shareholder trustees, their relatives up to the second degree of consanguinity or first degree of affinity (according to the definition of a related natural person of the Central Bank.) and any company linked to any of the above whose consolidation is not required:
| As of September 30, 2023 | As of December 31, 2022 |
Aggregate total financial exposure | 2.572.164 | 673.747 |
Number of recipient related parties | 83 | 80 |
(a) Individuals | 70 | 70 |
(b) Companies | 13 | 10 |
Average total financial exposure | 30.990 | 8.422 |
Single largest exposure | 957.379 | 358.255 |
Historical values as of December 31, 2022, without adjustment for inflation
7. | COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT |
| 09/30/2023 | 12/31/2022 | ||
---|---|---|---|---|
7.1 Debt securities at fair value through profit or loss | | | ||
Government securities | 29,848,021 | 31,986,332 | ||
Corporate securities | 3,966,897 | 3,926,627 | ||
| 33,814,918 | 35,912,959 | ||
7.2 Derivatives | | | ||
Debtor balances related to forward operations in foreign currency to be settled in pesos | 2,556,176 | 420,129 | ||
Debtor balances related to forward operations in foreign currency | 101,188 | 113,152 | ||
Sales options | 122,529 | 67,142 | ||
| 2,779,893 | 600,423 | ||
7.3 Repo Transactions | | | ||
Financial debtors from cash sales to be settled and active repos | 144,000 | 73,375 | ||
Financial debtors for active repos of government securities | 1,304,579 | 1,364,627 | ||
Financial debtors for active repos of I.R.M. with Argentine Central Bank | 177,379,271 | 42,237,567 | ||
Accrued interest receivable for active repos | 1,086,608 | 167,307 | ||
| 179,914,458 | 43,842,876 |
27
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
| 09/30/2023 | 12/31/2022 | ||
---|---|---|---|---|
7.4 Other financial assets | | | ||
Participation Certificates in Financial Trusts | 397,861 | 321,793 | ||
Investments in Asset Management and Other Services | 4,976,953 | 4,396,558 | ||
Other investments | 1,890,845 | 2,093,799 | ||
Receivable from spot sales pending settlement | 26,638,601 | 4,866,104 | ||
Several debtors | 3,513,541 | 4,754,912 | ||
Miscellaneous debtors for credit card operations | 495,366 | 339,469 | ||
Allowances | (137,039) | (302,951) | ||
| 37,776,128 | 16,469,684 | ||
7.5 Loans and other financing | | | ||
Non‑financial public sector | 506,699 | 564,154 | ||
Financial sector | 1,444,951 | 1,309,374 | ||
Loans | 1,450,637 | 1,320,620 | ||
Less: allowances | (5,686) | (11,246) | ||
Non‑financial private sector and foreign residents: | 374,529,659 | 472,943,652 | ||
Loans | 365,215,916 | 471,711,803 | ||
Overdrafts | 27,657,023 | 28,631,275 | ||
Promissory notes | 144,072,170 | 152,863,014 | ||
Mortgage loans | 2,831,876 | 6,113,902 | ||
Automobile and other secured loans | 11,761,520 | 14,722,367 | ||
Personal loans | 42,603,433 | 73,332,936 | ||
Credit card loans | 63,453,318 | 100,581,004 | ||
Foreign trade loans and U$S loans | 15,965,991 | 22,627,739 | ||
Others | 12,937,347 | 17,882,623 | ||
Interest and price differences accrued receivable | 56,039,556 | 63,057,590 | ||
(documented interests) | (11,491,833) | (8,361,657) | ||
IFRS adjustments | (614,485) | 261,010 | ||
Receivables from financial leases | 16,391,338 | 21,897,706 | ||
Others | 5,461,735 | 4,133,329 | ||
Less: allowances | (12,539,330) | (24,799,186) | ||
| 376,481,309 | 474,817,180 | ||
Debt securities | 7,865,570 | 11,496,244 | ||
Debt securities of financial trusts | 1,736,625 | - | ||
Goverment securities | 48,658,157 | 90,203,613 | ||
Securities issued by the Argentine Central Bank | 332,088,832 | 461,474,263 | ||
Others | 48 | 97 | ||
Allowance | (48,572) | (78,863) | ||
| 390,300,660 | 563,095,354 | ||
7.7 Financial assets pledged as collateral | | | ||
Government in guarantee for repo operations | 725,932 | - | ||
Special guarantees accounts in the Argentine Central Bank | 15,629,756 | 20,913,598 | ||
Deposits in guarantee | 8,496,031 | 8,479,619 |
28
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
| 09/30/2023 | 12/31/2022 | ||
---|---|---|---|---|
| 24,851,719 | 29,393,217 | ||
7.8 Other non-financial assets | | | ||
Other Miscellaneous assets | 5,327,049 | 5,019,740 | ||
Loans to employees | 3,670,108 | 1,747,340 | ||
Payments in advance | 3,564,631 | 2,708,267 | ||
Works of art and collector's pieces | 165,274 | 168,016 | ||
Retirement insurance | 432,090 | 253,061 | ||
Other non-financial assets | 254,919 | 279,075 | ||
| 13,414,071 | 10,175,499 | ||
| | | ||
7.9 Inventories | | | ||
Electronics | - | 136,294 | ||
| - | 136,294 | ||
7.10 Deposits | | | ||
Non-financial sector | 115,621,783 | 56,563,528 | ||
Financial sector | 124,053 | 206,056 | ||
Current accounts | 80,829,852 | 102,741,779 | ||
Savings accounts | 375,593,571 | 363,306,515 | ||
special checking accounts | 134,895,031 | 187,615,187 | ||
Fixed term and term investments | 198,396,491 | 306,239,595 | ||
Investment accounts | 38,306,275 | 65,775,509 | ||
Others | 10,431,548 | 12,530,545 | ||
Interest and Adjustments | 14,844,859 | 17,306,615 | ||
| 969,043,463 | 1,112,285,329 | ||
7.11 Liabilities at fair value through profit and loss | | | ||
Liabilities for transactions in local currency | - | 2,580,205 | ||
Liabilities for transactions in foreign currency | 1,189 | 1,765,537 | ||
| 1,189 | 4,345,742 | ||
7.12 Other financial liabilities | | | ||
Amounts payable for spot transactions pending settlement | 18,027,226 | 4,190,437 | ||
Collections and other operations on behalf of third parties | 27,855,494 | 29,227,125 | ||
Fees accrued to pay | 6,592 | 7,476 | ||
Financial guarantee contracts | 52,390 | 49,573 | ||
Lease liability | 2,065,242 | 3,186,344 | ||
Others | - | 120,486 | ||
| 48,006,944 | 36,781,441 | ||
7.13 Financing received from the Argentine Central Bank and other financial institutions | | | ||
Financing received from local financial institutions | 3,214,907 | 7,758,802 | ||
Financing received from international institutions | 2,582,586 | 3,474,782 | ||
| 5,797,493 | 11,233,584 | ||
7.14 Provisions | | | ||
Provisions for unutilized balances | 2,381,160 | 2,334,335 | ||
Eventual commitments | 807,600 | 925,198 | ||
Other contingencies | 743,355 | 177,081 | ||
| 3,932,115 | 3,436,614 | ||
7.15 Other non-financial liabilities | | | ||
Payroll and social securities | 21,841,336 | 22,994,304 | ||
Sundry creditors | 17,383,333 | 18,703,757 | ||
Tax payable | 13,595,506 | 14,395,247 | ||
Planned payment orders pending settlement | 2,579,783 | 1,519,698 | ||
Revenue from contracts with customers (1) | 645,002 | 666,359 | ||
Contribution to the deposit guarantee fund | 131,027 | 133,410 | ||
Others non- financial liabilities | 37,353 | 85,310 | ||
| 56,213,340 | 58,498,085 | ||
| | |
| | | | |||
---|---|---|---|---|---|---|
| Nine-month period ending on | Three-month period ending on | ||||
| 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | ||
7.16 Interest income | | | | | ||
Interest on overdrafts | 19,910,287 | 9,295,410 | 8,113,054 | 3,308,552 | ||
Interest on promissory notes | 27,847,104 | 31,519,417 | 11,102,508 | 10,332,305 | ||
Interest on personal loans | 33,324,785 | 46,729,248 | 10,085,278 | 13,925,692 |
29
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
| | | | |||
---|---|---|---|---|---|---|
| Nine-month period ending on | Three-month period ending on | ||||
| 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | ||
Interest on promissory notes | 41,495,861 | 20,647,845 | 16,973,384 | 8,767,445 | ||
Interest on credit card loans | 21,652,846 | 20,925,913 | 6,386,282 | 7,154,000 | ||
Interest on mortgage loans | 28,141,602 | 27,758,600 | 9,411,387 | 10,356,705 | ||
Interest on automobile and other secured loan | 6,181,269 | 6,265,402 | 2,139,741 | 2,190,375 | ||
Interest on foreign trade loans and USD loans | 1,751,595 | 2,089,401 | 525,720 | 589,042 | ||
Interest on financial leases | 8,695,040 | 6,702,506 | 3,052,959 | 2,411,264 | ||
Interest on public and private securities measured at amortized cost | 285,989,986 | 174,011,528 | 119,610,116 | 74,294,320 | ||
Others | 89,571,344 | 16,258,343 | 45,810,591 | 5,210,404 | ||
564,561,719 | 362,203,613 | 233,211,020 | 138,540,104 | |||
7.17 Interest Expenses | | | | | ||
Interest on current accounts deposits | 179,188,596 | 92,161,188 | 74,298,750 | 40,930,509 | ||
Interest on time deposits | 221,742,345 | 131,851,363 | 91,648,377 | 48,119,030 | ||
Interest on other liabilities from financial transactions | 2,109,269 | 3,202,580 | 823,828 | 1,206,609 | ||
Interest on financing from the financial sector | 1,310,372 | 512,511 | 710,928 | 86,012 | ||
Others | 1,700,095 | 765,939 | 670,236 | 345,154 | ||
406,050,677 | 228,493,581 | 168,152,119 | 90,687,314 | |||
7.18 Net income from financial instruments at fair value through profit or loss | | | | | ||
Income from corporate and government securities | 30,159,756 | 26,288,361 | 7,983,573 | 8,805,909 | ||
Income from securities issued by the Argentine Central Bank | 161,313 | 2,001,114 | - | 341,922 | ||
Derivatives | 3,447,764 | 660,055 | 1,687,775 | 239,365 | ||
33,768,833 | 28,949,530 | 9,671,348 | 9,387,196 | |||
7.19 Service Fees Income | | | | | ||
Commissions from deposit accounts | 18,911,144 | 19,176,039 | 6,267,726 | 6,040,184 | ||
Commissions from credit and debit cards | 10,417,869 | 14,508,718 | 3,387,618 | 4,611,098 | ||
Commissions from loans operations | 209,064 | 520,325 | 51,756 | 100,798 | ||
Commissions from miscellaneous operations | 15,949,419 | 12,522,342 | 6,256,597 | 3,983,652 | ||
Others | 255,218 | 217,434 | 78,190 | 61,531 | ||
45,742,714 | 46,944,858 | 16,041,887 | 14,797,263 | |||
7.20 Services Fees expenses | | | | | ||
Commissions paid | 11,883,171 | 16,382,920 | 3,598,363 | 5,188,414 | ||
Export and foreign currency operations | 256,250 | 413,636 | 59,048 | 86,018 | ||
12,139,421 | 16,796,556 | 3,657,411 | 5,274,432 | |||
7.21 Other operating incomes | | | | | ||
Loans recovered and allowances reversed | 2,785,639 | 5,738,693 | 580,939 | 1,998,382 | ||
Rental from safety boxes | 1,028,888 | 1,186,141 | 346,275 | 396,126 | ||
Commissions from trust services | 96,143 | 117,023 | 36,064 | 37,627 | ||
Adjust other credits | 1,025,722 | 599,693 | 448,856 | 221,443 | ||
Sales of property. plant and equipment | 8,447 | 49,606 | - | (17,461) | ||
Default interests | 1,237,085 | 907,106 | 362,088 | 288,624 | ||
Others | 4,894,771 | 5,655,818 | 1,729,941 | 2,298,352 | ||
11,076,695 | 14,254,080 | 3,504,163 | 5,223,093 | |||
7.22 Personnel expenses | | | | | ||
Payroll and social securities | 71,439,328 | 76,223,837 | 22,870,939 | 23,494,768 | ||
Personnel expenses | 4,588,138 | 6,313,828 | 1,448,775 | 2,423,314 | ||
76,027,466 | 82,537,665 | 24,319,714 | 25,918,082 | |||
| | | | | ||
7.23 Administration expenses | | | | | ||
Directors´ and statutory auditors´fees | 1,279,510 | 1,201,755 | 482,356 | 446,425 | ||
Other fees | 13,057,118 | 12,220,033 | 4,754,292 | 4,276,719 | ||
Advertising and publicity | 2,207,504 | 3,573,860 | 912,171 | 1,480,836 | ||
Taxes | 9,472,812 | 9,697,428 | 3,332,532 | 3,235,849 | ||
Maintenance. security and services | 9,336,718 | 10,637,005 | 3,179,798 | 3,635,242 | ||
Rent | 27,486 | 149,876 | 12,073 | 47,518 | ||
Others | 4,296,835 | 5,914,024 | 937,584 | 2,393,965 |
30
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
| | | | |||
---|---|---|---|---|---|---|
| Nine-month period ending on | Three-month period ending on | ||||
| 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | ||
39,677,983 | 43,393,981 | 13,610,806 | 15,516,554 | |||
7.24 Depreciation and impairment of non-financial assets | | | | | ||
Depreciation of property. plant and equipment (Schedule F) | 2,301,564 | 2,419,305 | 745,334 | 709,900 | ||
Depreciation of other non-financial assets | 1,410,206 | 1,072,597 | 464,476 | 372,047 | ||
Amortization of intangible assets (Schedule G) | 6,946,075 | 6,973,484 | 2,312,030 | 2,255,629 | ||
Depreciation of rent asstes by right of use (Schedule F) | 3,030,256 | 2,968,590 | 787,283 | 1,009,431 | ||
Impairment of furniture and facilities | 6,930 | - | 22 | - | ||
13,695,031 | 13,433,976 | 4,309,145 | 4,347,007 | |||
7.25 Other operating expenses | | | | | ||
Promotions related with credit cards | 1,787,888 | 2,836,824 | 640,018 | 948,442 | ||
Turnover tax | 25,428,913 | 25,277,283 | 8,436,440 | 9,127,884 | ||
Result by initial recognition of loans | 130,446 | 237,537 | 17,580 | 68,336 | ||
Balance adjustments loans and credit cards | 660,151 | 494,953 | 211,431 | 174,851 | ||
Interests for leases liabilities | 386,434 | 815,493 | 102,686 | 175,438 | ||
Coverage services | 14,878 | 23,916 | 5,400 | 5,951 | ||
Contributions made to deposit insurance fund | 1,201,385 | 1,410,251 | 408,001 | 466,698 | ||
Others provisions | 3,518,878 | 3,594,685 | 2,208,734 | 1,560,064 | ||
Others | 1,926,397 | 1,952,426 | 613,337 | 532,410 | ||
| 35,055,370 | 36,643,368 | 12,643,627 | 13,060,074 |
8. | CONSIDERATIONS OF RESULTS |
The Shareholders' General Meeting held on April 27, 2023, approved the financial statements as of December 31, 2022 and the treatment of the results corresponding to the year ended on that date. Given that the unallocated results were negative, it was approved to absorb them with an optional reserve, legal reserve and share premium.
9. | INSURANCE |
9.1 Income from insurances activities
The composition of the item “Result for insurance activities” as of September 30, 2023, and September 30, 2022, is as follows:
Items | Nine-month period ending on | Three-month period ending on | |||
09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | ||
Accrued premiums | | 9,969,176 | 10,186,539 | 3,440,985 | 3,309,593 |
Accrued claims | | (1,364,383) | (1,584,800) | (482,134) | (495,600) |
Production expenses | | (1,608,042) | (1,581,040) | (761,955) | (582,046) |
Total | | 6,996,751 | 7,020,699 | 2,196,896 | 2,231,947 |
10. | ASSET MANAGEMENT AND OTHER SERVICES |
As of September 30, 2023, and December 31, 2022, Banco Supervielle S.A. is the depository of the Asset managed by Supervielle Asset Management S.A. In accordance with C.N.V. General Resolution No, 622/13, below are the portfolio, net worth and number of units of the Mutual Funds mentioned earlier.
Asset Management and Other Services | Portfolio | Net Worth | Number of Units | |||
09/30/2023 | 12/31/2022 | 09/30/2023 | 12/31/2022 | 09/30/2023 | 12/31/2022 | |
Premier Renta CP en Pesos | 218,867,941 | 206,526,421 | 218,564,336 | 206,255,127 | 20,073,209,742 | 16,191,115,975 |
Premier Renta Plus en Pesos | 2,660,871 | 1,363,520 | 2,470,542 | 1,359,538 | 321,920,636 | 21,721,110 |
Premier Renta Fija Ahorro | 18,420,046 | 26,216,701 | 16,996,966 | 25,954,210 | 347,735,122 | 712,483,562 |
Premier Renta Fija Crecimiento | 571,122 | 418,324 | 498,478 | 417,225 | 6,238,235 | 4,920,585 |
Premier Renta Variable | 3,180,215 | 1,217,711 | 3,153,575 | 1,186,901 | 11,502,249 | 5,946,886 |
Premier Abierto Pymes | 3,295,109 | 2,605,609 | 3,289,255 | 2,511,747 | 110,527,682 | 75,458,259 |
Premier Commodities | 1,782,452 | 2,129,970 | 1,385,135 | 1,633,471 | 19,919,601 | 24,979,798 |
31
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Premier Capital | 15,323,138 | 13,588,241 | 14,308,556 | 13,511,547 | 5,383,019,959 | 476,377,885 |
Premier Inversión | 1,040,189 | 2,568,599 | 1,026,618 | 2,567,364 | 352,371,372 | 1,052,023,732 |
Premier Balanceado | 2,023,027 | 3,432,307 | 1,839,284 | 2,784,763 | 57,624,717 | 102,340,389 |
Premier Renta Mixta | 12,938,432 | 7,730,607 | 12,683,996 | 7,711,846 | 1,045,886,684 | 616,247,881 |
Premier Renta Mixta en Dólares | 792,419 | 575,740 | 775,618 | 483,261 | 3,918,973 | 2,569,639 |
Premier Performance Dólares | 2,729,015 | 1,101,464 | 2,618,062 | 1,091,028 | 10,121,620 | 4,468,523 |
Premier Global USD | 210,005 | 134,579 | 204,755 | 132,779 | 520,745 | 321,553 |
Premier Estratégico | 3,515,235 | 2,978,159 | 3,255,397 | 2,975,530 | 832,710,848 | 832,710,848 |
Premier FCI Sustentable ASG | 1,632,897 | - | 1,630,346 | - | 1,283,825,140 | - |
11. | ADDITIONAL INFORMATION REQUIRED BY THE BCRA |
11.1. Contribution to the deposit insurance system
Law No. 24485 and Decree No. 540/95 established the creation of the Deposit Insurance System to cover the risk attached to bank deposits, in addition to the system of privileges and safeguards envisaged in the Financial Institutions Law.
The National Executive Branch through Decree No. 1127/98 dated September 24, 1998, established the maximum amount for this insurance system to demand deposits and time deposits denominated either in Pesos and/or in foreign currency. Such limit was set at $1,000 as from March 1, 2019 and increased to 1,500 as of May 1, 2020. As of January 1, 2023 with the appearance of Communication “A” 7661, the limit is established at $6,000.
This regime does not include deposits made by other financial institutions (including time deposit certificates acquired through a secondary transaction), deposits made by persons directly or indirectly related to the entity, deposits of securities, acceptances or guarantees, and those set up after July 1, 1995 at an interest rate higher than that periodically set forth by the Argentine Central Bank on the basis of the daily survey carried out by that agency (*). Excluded from the regime are also the deposits whose ownership was acquired through endorsement and placements offering incentives additional to the interest rate. The system has been implemented through the creation of the so-called “Deposit Guarantee Fund" (F,G,D,), which is managed by the company Seguros de Depósitos S.A. (SEDESA) and whose shareholders are the Central Bank and the financial institutions in the proportion determined for each of them by that agency on the basis of contributions made to such fund.
(*) Enforced on April 17, 2020, pursuant to provision “A” 6460, such exclusions are as follows: Sight deposits with agreed-upon rates exceeding reference rates and term deposits and investments exceeding 1,3 times such rate-or the reference rate plus five percentage points – the highest of both –, except for fixed-term deposits in pesos arranged at the minimum annual nominal rate published by the B.C.R.A. as provided in point 1.11.1. of the regulations on “Term deposits and investments”. Reference rates are released on a regular basis by the Argentine Central Bank in accordance with a mobile average of the last five banking business days of passive rates that may arise for term deposits of up to 100 (or its equivalent in other currencies) from the survey to be carried out by said institution.
The Group has assets whose availability is restricted, according to the following detail:
Detail | 09/30/2023 | 12/31/2022 |
---|---|---|
Other receivables from financial transactions | | |
Special guarantee accounts in the Argentine Central Bank | 15,629,756 | 20,913,597 |
Guarantee deposits for term operations | 4,894,129 | 5,492,809 |
Guarantee deposits for credit cards transactions | 1,870,108 | 2,028,421 |
Guarantee deposits by capacity for Repo Transactions | 72,976 | - |
Other guarantee deposits | 1,650,569 | 958,271 |
24,117,538 | 29,393,098 |
Within restricted availability assets there are 763,696 forward purchases through repos transactions.
11.3. Compliance of provisions issued by the National Securities Commission
Pursuant to General Ruling N° 629 issued by the National Securities Commission, supporting documentation of our accounting and administration operations for the financial years 2012 to 2022 and until September 30, 2023, the accounting books since 2019 up to date and all corporate books are safeguarded in the registered headquarters.
32
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Any other documentation or book, older than the date specified above for each case, is safeguarded by the firm AdeA S.A., whose warehouse is located on Ruta Provincial N°36, Km 31,500, Bosques, Partido de Florencio Varela, Buenos Aires Province.
11.4 Financial Trusts
The detail of the financial trusts in which The Entity acts as Trustee or as Settler is summarized below:
As Trustee:
Banco Supervielle S.A.
Below is a detail of financial trusts:
Below is a detail of the Guarantee Management trust where Banco Supervielle acts as a trustee as of September 30, 2023:
Financial trust | Indenture executed on | Due of principal obligation | Original principal amount | Principal balance | Beneficiaries | Settlers |
Fideicomiso de Administración Interconexión 500 KV ET Nueva San Juan - ET Rodeo Iglesia | 09/12/2018 | The Term of this Trust Fund Contract will be in force over 24 months as from 09/12/2018, or until the expiration of liabilities through Disbursements (Termination Date”), 30 days (thirty days) after the maturity of this Trust Agreement without the parties’ having agreed upon an Extension Commission, the Trustor of the trust account shall receive USD 6.000 (six thousand US Dollars) at the exchange rate in force in Banco Supervielle as a fine Dated 10/14/2023 Interconexión Eléctrica Rodeo S.A. accepted the proposal of the Commission for Extension and Extension of the Trust Contract for 6 months | - | - | Those initially mentioned (DISERVEL S.R.L., INGENIAS S.R.L, GEOTECNIA (INV. CALVENTE), NEWEN INGENIERIA S.A., INGICIAP S.A., MERCADOS ENERGETICOS, DISERVEL S.R.L.) and providers of works, goods and services included in the Project to be assigned by the Trustee with prior consent of the Trustor | Interconexion Electrica Rodeo S.A. |
IUDÚ Compañia Financiera S.A. (Financial Trust CCF)
As of September 30, 2023, IUDÚ does not have current trusts.
Micro Lending S.A.U. (Financial Trust Micro Lending)
The following are financial trusts where Micro Lending S.A.U acts as settler:
Financial Trust | Set-up on | Securitized Amount | Issued Securities | |||||
---|---|---|---|---|---|---|---|---|
Type | Amount | Type | Amount | Type | Amount | |||
III | 06/08/2011 | $ 39,779 | VDF TV A | VN$ 31,823 | VDF B | VN $ 6,364 | CP | VN $ 1,592 |
Mat: 03/12/13 | Vto: 11/12/13 | Vto: 10/12/16 | ||||||
IV | 09/01/2011 | $ 40,652 | VDF TV A | VN$ 32,522 | VDF B | VN $ 6,504 | CP | VN $ 1,626 |
Mat: 06/20/13 | Vto: 10/20/13 | Vto: 06/29/17 |
11.5. Issuance of negotiable debt secutities
Banco Supervielle S.A.
Global Program for the issuance of simple Negotiable Debt securities, not convertible into shares
As of September 30, 2023, the Group has no outstanding issues and as of December 31, 2022, outstanding issues amount to $1,140,507.
33
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Global Program for the Issuance of Subordinated debt securities
As of September 30, 2023 and December 31, 2022 the Group has no outstanding issues.
11.6. Restrictions imposed on the distributions of dividends
Pursuant to regulations set by the Argentine Central Bank, 20% of the profits for the year, net of possible prior year adjustments, where applicable, are to be allocated to the Legal Reserve.
Pursuant to the amended text on distributions of dividends, financial entities shall comply with a series of requirements, as follows: i) They shall not be subject to the provisions of Sections 34 and 35 bis of the Financial Institutions Law; ii) No liquidity assistance loans shall have been granted to them; iii) they shall be in compliance with information regimes; iv) they shall not record shortfalls in the compiled minimum capital (without computing for such purposes the effects of the individual exemptions granted by the Superintendence of Financial and Foreign Exchange Institutions) or minimum cash, v) they shall have complied with additional capital margin when applicable.
The entities not facing any of these situations may distribute dividends in accordance with provisions set forth in said amended text, provided the entity´s liquidity or solvency is not jeopardized.
On March 9, 2023, through communication "A" 7719, the BCRA established that from April 1, 2023, and until December 31, 2023, financial entities may distribute results in 6 equal, monthly and consecutive installments. for up to 40% of the amount that would have corresponded if the profit distribution rules were applied.
As indicated in note 13, as a result of the treasury stock purchase program, as of September 30, 2023, the Company has 14,050,492 treasury shares in its portfolio. Their acquisition cost amounted to 3,370,375 thousand pesos. In accordance with the provisions of Title IV, Chapter III, article 3, subsection 11, item c of the C.N.V. Regulations (N.T. 2013 and mod.), while said shares are held in the portfolio, there is a restriction on the distribution of the results unassigned and free reserves for the amount of said cost.
11.7. Accounts unedifying minimum cash integration compliance
As of September 30, 2023 and December 31,2022, the minimum cash reserve was made up as follows:
Item (*) | 09/30/2023 | 12/31/2022 |
---|---|---|
Current accounts in the Argentine Central Bank (**) | 16,000,000 | 50,000 |
Sight accounts in the Argentine Central Bank (**) | 40,033,328 | 27,152,132 |
Special guarantee accounts at the B.C.R.A. (**) | 12,728,174 | 10,243,021 |
Special accounts for acred. assets (**) | 1,637,278 | - |
Total | 70,398,780 | 37,445,153 |
(*) Historical values without inflation adjustment
(**)They correspond to balances according to bank statements.
It is worth mentioning that on those dates, the Group was in compliance with minimum cash integration requirements.
12 | FINANCIAL RISK FACTORS |
There have been no significant changes in the risk management policies to which the Group is exposed, with respect to what is reported in the financial statements as of December 31, 2022 and in Note 1.2.
13 | REPURCHASE OF TREASURY SHARES |
On July 20, 2022, the Company's Board of Directors approve a repurchase of treasury shares with a maximum amount to be invested of 2,000,000 or the lesser amount resulting from the acquisition until reaching 10% of the capital stock. The price to be paid for the shares will be up to a maximum of US$2.20 per ADR on the New York Stock Exchange and up to a maximum of $138 per Class B share on Bolsas y Mercados Argentinos S.A. The Company will acquire shares for a term of 250 calendar days from the entry into force of the program, subject to any renewal or extension of the term that is approved by the Board of Directors. The approved share program does not imply an obligation on the behalf of Grupo Supervielle with respect to the acquisition of a certain number of shares.
On September 13, 2022, the Board of Directors of Grupo Supervielle S.A. approved to modify point 5 of the terms and conditions of the own shares acquisition plan approved on July 20, 2022 as follows: “5. The price to be paid for the
34
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
shares will be up to a maximum of US$2.70 per ADR on the New York Stock Exchange and up to a maximum of $155 per Class B share on Bolsas y Mercados Argentinos S.A." The remaining terms and conditions will remain in force as they were approved.
Subsequently, on December 27, 2022, Supervielle approved to modify point 5 of the terms and conditions of the own shares acquisition program approved on July 20, 2022 as follows: “5. The price to be paid for the shares will be up to a maximum of US$2.70 per ADR on the New York Stock Exchange and up to a maximum of $200 per Class B share on Bolsas y Mercados Argentinos S.A.” The remaining terms and conditions remain in force as approved.
In the statement of Changes in Shareholders´ Equity, the nominal value of the repurchased shares is disclosed as "Own shares in portfolio" and its restatement as " Inflation adjustment of treasury shares ". The consideration paid, including directly attributable incremental cost, is deducted from equity until the shares are canceled or reissued, and is disclosed as “Cost of own shares in portfolio”.
As of September 30, 2023, Grupo Supervielle's share repurchase program has expired, meaning additional shares cannot be acquired. Grupo Supervielle has acquired a total of 11,093,572 Class B Shares in ByMA and 591,384 ADRs in NYSE, achieving an execution of 86.3% of the program and 3.076% of the share capital.
14 | DEFINITIVE commitment to merge IUDÚ Compañía Financiera S.A. and Tarjeta Automática S.A with Banco Supervielle S.A. |
On December 14, 2022, the board of directors of Banco Supervielle S.A. accepted a merger commitment by absorption, as absorbing company, with IUDÚ Compañía Financiera S.A. and Tarjeta Automática S.A., as absorbed companies.
The absorption of these two companies will make it possible to offer services to the consumer financing segment in a much more efficient manner, simplifying the corporate structure and completing the integration that began in September 2022 with the migration of clients and the IUDÚ financing portfolio to the Bank. Customers who have IUDÚ accounts will be able to maintain a 100% digital experience while having the rest of the Bank's service channels available.
On March 6, 2023, the board of directors of Banco Supervielle S.A. agreed to carry out a corporate reorganization, through a merger by absorption by which Banco Supervielle would absorb IUDÚ Compañía Financiera S.A. and Tarjeta Automática S.A., which would be dissolved without liquidation. The Merger date was set with effect on January 1, 2023, inclusive, date from which Banco Supervielle S.A. As absorbing and continuing company, it will assume the activities of IUDÚ Compañía Financiera S.A. and Tarjeta Automática S.A., assuming the rights and obligations corresponding to it. As of that date and while the Merger process is pending registration, the operations of both companies will be reported as carried out on behalf of and by order of Banco Supervielle S.A.
The shareholders of the companies Banco Supervielle S.A. (“Absorbing Company”), IUDÚ Compañía Financiera S.A. and Tarjeta Automática S.A. (“Absorbed Companies”) approved in an ordinary and extraordinary meeting held on May 18, 2023, the merger by absorption of the Absorbing Company with the Absorbed Companies under the terms of article 82 and concordant of the General Law of Companies and its amendments and Article 77 et seq. of the Income Tax Law (text ordered in 1997 and its amendments). Once the current legal requirements have been met, the registration of said merger will proceed.
Grupo Supervielle S.A. will receive 4,783,920 class B shares of Banco Supervielle S.A. in accordance with previous merger commitments, with 4,422,016 shares corresponding to an exchange ratio of 0.09497225 for IUDÚ Compañía Financiera S.A. and 361,904 shares corresponding to an exchange ratio of 0.03375751 for Tarjeta Automática S.A.
Once said merger is completed, the participation of Grupo Supervielle S.A. at Banco Supervielle S.A. will be 97.1198%.
On June 8, 2023, the final merger commitment was signed.
Said decision is subject to the approval of the Central Bank of the Argentine Republic.
15 | ECONOMIC CONTEXT IN WHICH THE COMPANY OPERATES |
The Group operates in a complex economic context, whose main variables have been highly volatile, both nationally and internationally.
Economic activity in Argentina registered an increase of 0.3% year-on-year in August 2023. Regarding inflation, it accelerated strongly in the third quarter of 2023, reaching 12.7% monthly in September.
The main indicators in our country are:
35
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
• The accumulated inflation between December 31, 2022 and September 30, 2023 reached 103.2% (CPI). In the year-on-year comparison, the increase reached 138.3%.
• Between December 31, 2022 and September 30, 2023, the peso depreciated 97.60% against the US dollar, according to the exchange rate of the Central Bank of the Argentine Republic (Com “A” 3500).
The International Reserves of the B.C.R.A. They ended September with a balance of US$26,925 million, registering a drop of US$894 million compared to the end of August. So far in 2023, the Central Bank has lost US$20,042 million in reserves. The effect of the drought on exports, plus the use of foreign currency to intervene in the exchange market, led the monetary authority to close October with gross reserves of US$24.5 billion, while net reserves have a negative balance of US$7.7 billion.
The Government will try to improve the dynamics of the Central Bank's reserves through the new exchange rate scheme for exporters. The new regime consists of settling 70% of exports through the Single and Free Exchange Market (MULC) and the remaining 30% through cash settlement (CCL). The gap between the official exchange rate and the financial ones, which today reaches 167%, discourages the liquidation of exports and, at the same time, promotes the import of goods and services, despite the current restrictions.
The National Securities Commission (C.N.V.) limited the purchase of financial dollars, such as the MEP dollar and the cash with liquidation dollar (CCL), for foreign investors, in order to improve controls on the capital market and prevent money laundering maneuvers. of assets and tax evasion. He also added conditions for local businesses. The decision was formalized through General Resolution 981/2023, published in the Official Gazette.
Complementing this measure, the National Securities Commission (C.N.V.) focused on Cash with Settlement (CCL) and the MEP by setting a new minimum portfolio holding period for bonds issued under foreign law. In accordance with resolution 979/2023, those who operate in the CCL segment will not be able to obtain foreign currency until 5 days after the operation is completed. Meanwhile, for papers under local legislation, the term of a minimum holding of one business day will follow.
After recalibrating it in mid-August, the BCRA decided to keep the bilateral nominal exchange rate (TCN) unchanged with respect to the US dollar at $350/US$ during the month of September. Thus, it had an average increase of 8.8% compared to the previous month. As of November 15, a 3% monthly crawling peg began to be applied.
Parallel to the recalibration of the official exchange rate, and with the objective of mitigating its transfer to prices, the reference interest rates and fixed-term deposits were simultaneously readjusted, aligning them at a level consistent with medium-term inflation expectations. term. In this way, we sought to promote positive real returns on investments in local currency and contribute to financial and exchange balance.
On October 22, 2023, the general election for the presidency of the nation was held, UxP (Sergio Massa) obtained 36% of the total votes, followed by 30% and 24% of Milei (LLA) and Bullrich (JxC). This resulted in a runoff between Sergio Masa and Javier Milei, which took place on November 19, 2023, and the candidate Javier Milei was established as president with 56% of the votes.
According to estimates by the BCRA (Market Expectations Survey - REM) as of October 2023 published on November 13, 2023, Argentine GDP is expected to decrease 2.5% in 2023. Analysts participating in the REM also expect that the Inflation will increase from 94.8% in 2022 to 185% in 2023. In addition, the nominal exchange rate is expected to end at AR$526.4 per dollar on December 31, 2023.
As of the date of these Financial Statements, the Central Bank modified the LELIQ interest rate to 133% TNA.
At the same time, the yields of fixed terms increased, so the Badlar and TM20 rates for private banks rose to 128.81% TNA and 126% TNA, respectively. The overnight repo rate rose to 126% TNA.
So far in 2023, the drop in dollar deposits is approximately 12.5%, of which 6.4% was after the PASO.
The financial sector has significant exposure to the Argentine public sector, through rights, public securities, loans and other assets. The Bank's exposure to the Argentine public sector is as follows:
| | 09/30/2023 |
BCRA+ repo transactions | 512,003,290 | |
Treasury Bills | 77,476,476 | |
Other instruments issued by the provincial authorities | 29,162 |
36
GRUPO SUPERVIELLE S.A.
NOTES TO THE CONSOLIDATED CONDENSED INTERIM FINANCIAL STATEMENTS
(Expressed in thousands of pesos in homogeneous currency)
Total debt instruments | 589,508,928 | |
Loans to the Public Sector | 506,699 | |
Total exposure to the public sector | 590,015,627 | |
Percentage of total assets | | 46% |
Percentage of shareholder´s equity | | 285% |
In accordance with the provisions of note 1.1, non-financial public sector instruments are not covered by the impairment provisions of IFRS 9 "Financial Instruments".
The context of volatility and uncertainty resulting from the elections continues as of the date of issuance of these financial statements.
Framed in a context of great volatility resulting from the elections, the Group's Management permanently monitors the evolution of the situations in the international markets and at the local level, to identify possible impacts on its equity and financial situation and determine the possible actions to be adopted.
16. | TURNOVER TAX |
Commencing January 2020 and January 2023, the tax authorities of the City of Buenos Aires and the Province of Mendoza, respectively, began to impose a Turnover Tax on the revenues derived from securities and instruments (Leliqs/Notaliqs or Repos) issued by the Central Bank of Argentina (BCRA).
The BCRA initiated declaratory actions of certainty against both tax authorities regarding the unconstitutionality of the measures implemented, as they directly and significantly affect the purposes and functions assigned to the BCRA, substantially altering the execution of national monetary and financial policy. The BCRA also cited that the imposition of this Turnover Tax is in clear contradiction to the provisions of the National Constitution and its Organic Charter. The BCRA has the authority to issue instruments to regulate monetary policy and achieve financial and exchange stability.
Through the enacted laws, provincial governments exceed their powers by imposing taxes on these monetary policy instruments, the regulation, implementation, and/or use of which falls within the jurisdiction of the BCRA. This directly impacts the immunity principle of the national government's policy as these revenues cannot be subject to taxation at the local level due to their immunity or non-taxable status. Both municipalities and provinces lack tax authority over financial instruments issued by the National Government.
In line with the submissions made by the BCRA, the Argentine Banking Association (ABA), the Argentine Bankers' Association (ADEBA), and the majority of financial institutions operating in these provinces have also filed constitutional actions against these regulations. These actions are still pending resolution by the Supreme Court of Justice.
Based on the aforementioned, the Bank believes that the reasons supporting the non-taxability of these types of instruments are strong and based on expert opinions, both internal and from third-party specialists. We estimate the likelihood of a favorable ruling to our position as the majority view. Consequently, the Bank has ceased paying the tax on the revenues generated by Leliqs operations in Mendoza since January 2023, and by Leliqs and Repo transactions in the City of Buenos Aires since April of the current year.
Lastly, on June 30, 2023, Law (CABA) No. 6655 was published, which establishes the reduction of the Turnover Tax rate to 0% or 2.85% for BCRA's repo transactions and securities, subject to regulation and contingent on the effective transfer of revenue-sharing funds or agreements reached with the National Government.
17. | SUBSEQUENT EVENTS |
There are no events or operations that occurred after September 30, 2023 that could significantly affect the financial position or results of the Company as of the closing date of this period.
37
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE A - DEBT SECURITIES AT FAIR VALUE THROUGH PROFIT OR LOSS, OTHER DEBT SECURITIES, EQUITY INSTRUMENTS
As of September 30, 2023 and December 31, 2022:
Items | HOLDING | POSITION | ||||
---|---|---|---|---|---|---|
Level of fair value | Book value 09/30/2023 | Book value 12/31/2022 | Level of fair value | Book value 12/31/2022 | Final position | |
Debt securities at fair value through profit or loss | | | | | | |
Argentine |
|
|
|
|
|
|
Government Securities |
|
|
|
|
|
|
Letra Tesoro $ ajustable CER Descuento Vto.23/11/23 | 1 | 14,818,582 | - | 14,818,582 | - | 14,818,582 |
Bono Nación Dual Vto.28/02/24 | 1 | 3,357,155 | 418 | 3,357,155 | - | 3,357,155 |
Bono Nación Dual Vto. 30/06/24 | 1 | 2,608,907 | - | 2,981,607 | - | 2,981,607 |
Bono Tesoro vinculado U$S Vto.30/04/24 C.G | 1 | 496,166 | - | 496,166 | - | 496,166 |
Letra Tesoro $ a descuento Vto.31/10/23 | 1 | 209,637 | - | 209,637 | - | 209,637 |
Bono Tesoro $ ajustable CER 1,50% Vto.25/03/24 | 1 | 160,767 | 4,473 | 160,767 | - | 160,767 |
Letra Tierra del Fuego $ Vto. 01/11/23 | 2 | 116,763 | - | 116,763 | - | 116,763 |
Títulos Discount Denominados $ 2033 | 1 | 105,976 | 29,711 | 105,976 | - | 105,976 |
Bono Rep. Arg. U$S STEP UP Vto.09/07/30 | 1 | 100,165 | 238,690 | 100,165 | - | 100,165 |
Bono Nación Dual Vto. 30/08/24 | 1 | 86,301 | - | 86,301 | - | 86,301 |
Otros | 1 | 235,295 | 29,498,210 | 587,338 | - | 587,338 |
Letra del Tesoro Nacional en pesos a descuento Vto. 28/02/2023 | | - | 912,147 | - | - | - |
Letra del Tesoro Nacional en pesos a descuento Vto. 31/03/2023 | | - | 687,056 | - | - | - |
Bocon - Bono de consolidación $ 8 serie (PR15) | | - | 57,809 | - | - | - |
Bono República Argentina ajustable CER Vto. 26/07/24 $ (T2X4) | 1 | 252,737 | - | 252,737 | - | 252,737 |
Títulos De Deuda Pública Clase N° 22 A TV Vto. 29/03/2024 (BDC24) | 1 | 11,790 | - | 11,790 | - | 11,790 |
Bono Nación Moneda Dual 30/04/2024 (Tda24) | 1 | 46,795 | - | 46,795 | - | 46,795 |
Bono en moneda Dual Vto. 30/06/24 | 1 | 50,094 | - | 50,094 | - | 50,094 |
Bono Tesoro vinculado al U$S 30/04/24 (TV24) | 1 | 221,909 | - | 221,909 | - | 221,909 |
X23N3 - Letras del Tesoro CER Vto. 23/11/2023 | 1 | 749,550 | - | 749,550 | - | 749,550 |
X18E4 - Letras del Tesoro CER Vto. 18/10/2023 | 1 | 635 | - | 635 | - | 635 |
S28A3 - Letras del Tesoro CER Vto. 28/04/2023 | | - | 144,079 | - | - | - |
ON SPI ENERGY SA CL.1 US$ V.27/06/2026 SPC10 | | - | 405,483 | - | - | - |
T2V2- Bono del Tesoro vinculado USD Vto. 30/11/2022 | | - | 24 | - | - | - |
X20E3- Letras del Tesoro $ ajustable CER Vto. 20/01/2023 | | - | 8,232 | - | - | - |
TV24 – Bono Tesoro vinculado USD Vto. 30/04/2024 C.G | 1 | 49,420 | - | 49,420 | - | 49,420 |
X23N3 - Letra República Argentina ajustable CER a descuento Vto. 23/11/23 | 1 | 129,531 | - | 129,531 | - | 129,531 |
X18O3 | 1 | 1,249,438 | - | 1,249,438 | - | 1,249,438 |
Bono Tesoro vinculado U$S 30/04/24 - TV24 | 1 | 768,254 | - | 768,254 | - | 768,254 |
Bono del Tesoro Boncer $ 2026 (Tx26) | 1 | 297,024 | - | 297,024 | - | 297,024 |
Boncer 1.55% 2024 (T2x4) | 1 | 317,074 | - | 317,074 | - | 317,074 |
Bono Del Tesoro Boncer $ 2026 (Tx26) | 1 | 256,686 | - | 256,686 | - | 256,686 |
Lt Rep Arg Cer Desc - X23n3 | 1 | 437,813 | - | 437,813 | - | 437,813 |
X18O3 - Letras del Tesoro CER vto. 18/10/2023 | 1 | 872,010 | - | 872,010 | - | 872,010 |
Bono Dual TDG24 | 1 | 196,362 | - | 196,362 | - | 196,362 |
T2X4 - Bono del Tesoro Nacional Aj CER vto. 26/07/2024 | 1 | 220,981 | - | 220,981 | - | 220,981 |
T4X4 - Bono del Tesoro Nacional Aj CER vto. 14/10/2024 | 1 | 53 | - | 53 | - | 53 |
38
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
Items | HOLDING | POSITION | ||||
---|---|---|---|---|---|---|
Level of fair value | Book value 09/30/2023 | Book value 12/31/2022 | Level of fair value | Book value 12/31/2022 | Final position | |
Bono Dual TV24 | 1 | 423,612 | - | 423,612 | - | 423,612 |
| | | | | | |
Corporate Securities | | | | | | |
Pagaré vto 06/08/24 | 2 | 413,282 | - | 413,282 | - | 413,282 |
Pagaré vto 06/08/24 | 2 | 413,282 | - | 413,282 | - | 413,282 |
Pagaré vto 13/08/24 | 2 | 355,249 | - | 355,249 | - | 355,249 |
ON Cresud S27 CL41 $ V04/10/24 | 2 | 512,733 | - | 512,733 | - | 512,733 |
ON Newsan Cl.17 $ Vto 21/07/2024 | 2 | 450,004 | - | 450,004 | - | 450,004 |
ON P Hector Bert U$S V30/06/25 | 2 | 128,355 | - | 128,355 | - | 128,355 |
VDFF $ Mercado Cred Cons 20 V15/03/24 | 2 | 97,774 | - | 97,774 | - | 97,774 |
ON Capex Cl.7 U$S Vto 07/09/27 | 1 | 92,578 | - | 92,578 | - | 92,578 |
ON Capex Cl.7 U$S Vto 07/09/27 | 2 | 79,731 | - | 79,731 | - | 79,731 |
ON Capex CL.6 U$S Vto.07/09/26 | 1 | 66,533 | - | 66,533 | - | 66,533 |
ON SPI ENERGY SA CL.1 US$ V.27/06/2026 SPC10 | 1 | 166,518 | - | 166,518 | - | 166,518 |
ON YPF Ener.Elec. C.12 V.29/08/26 U$S Cg | 1 | 79 | - | 79 | - | 79 |
ON YPF Ener.Elec. C.11 V.29/08/24 U$S | 1 | 1,225 | - | 1,225 | | 1,225 |
ON Capex 9.250% V25/08/28 U$S | 1 | 98,363 | - | 98,363 | - | 98,363 |
Ypcud | 1 | 82,217 | - | 82,217 | - | 82,217 |
ON MSU Energy Cl.6 U$S | 1 | 178,465 | - | 178,465 | - | 178,465 |
Pagaré vto 13/08/24 | 1 | 78,945 | - | 78,945 | - | 78,945 |
Pagaré vto 13/08/24 | 1 | 394,726 | - | 394,726 | - | 394,726 |
Others | 1 | 1,357,377 | 3,926,627 | 1,357,377 | - | 1,357,377 |
| | | | | | |
Total Debt securities at fair value through profit or loss | | 33,814,918 | 35,912,959 | 34,539,661 | - | 34,539,661 |
OTHER DEBT SECURITIES | | | | | | |
Measured at fair value with changes in OCI | | | | | | |
Argentine | | | | | | |
Government Securities | | | | | | |
Bono Tesoro $ Aj CER 1,50% Vto.25/03/24 | 1 | 383,556 | 1,446,629 | 383,556 | - | 383,556 |
Bono Tesoro $ Aj CER 1,40% Vto.25/03/23 | | - | 961,113 | - | - | - |
Bono Tesoro $ Vto 06/02/2023 | | - | 3,910,004 | - | - | - |
Bono del tesoro de la Nación especie T2V1 | | - | 4,458,733 | - | - | - |
Bono Del Tesoro Boncer 2% $ 2026 | 1 | 189,693 | - | 189,693 | - | 189,693 |
Letra Del Teroro $ Aj Vto 23/11/23 | 1 | 996,235 | - | 996,235 | - | 996,235 |
Letras Ajust.A Desc.Vto.16/06/23 $ Cg (X16j3) | | - | 291,459 | - | - | - |
Boncer 1.55% 2024 (T2x4) | | - | 328,183 | - | - | - |
Bono Del Tesoro Boncer $ 2026 (Tx26) | | - | 278,076 | - | - | - |
Otros | | - | 1,444,680 | - | - | - |
| | | | | | |
Central Bank Bills | | | | | | |
Letra de liquidez del B.C.R.A.Vto.17/01/23 | | - | 78,517,643 | - | - | - |
Letra de liquidez del B.C.R.A.Vto.19/01/23 | | - | 68,431,182 | - | - | - |
Letra de liquidez del B.C.R.A.Vto.24/01/23 | | - | 50,336,877 | - | - | - |
Letra de liquidez del B.C.R.A.Vto.10/01/23 | | - | 49,765,154 | - | - | - |
39
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
Items | HOLDING | POSITION | ||||
---|---|---|---|---|---|---|
Level of fair value | Book value 09/30/2023 | Book value 12/31/2022 | Level of fair value | Book value 12/31/2022 | Final position | |
Letra de liquidez del B.C.R.A.Vto.12/01/23 | | - | 39,652,446 | - | - | - |
Letra de liquidez del B.C.R.A.Vto.26/01/23 | | - | 25,070,248 | - | - | - |
Letra de liquidez del B.C.R.A.Vto.05/01/23 | | - | 22,119,351 | - | - | - |
Letra de liquidez del B.C.R.A.Vto.03/01/23 | | - | 20,190,615 | - | - | - |
| | | | | | |
Central Bank Notes | | | | | | |
Nota de liquidez del B.C.R.A. Vto.11/01/23 | | - | 27,500,775 | - | - | - |
Nota de liquidez del B.C.R.A. Vto.04/01/23 | | - | 9,831,477 | - | - | - |
Nota de liquidez del B.C.R.A. Vto.25/01/23 | | - | 8,122,369 | - | - | - |
Nota de liquidez del B.C.R.A. Vto.18/01/23 | | - | 5,458,257 | - | - | - |
| | | | | | |
Corporate Securities | | | | | | |
ON SPI Energy SA CL.1 US$ V.27/06/2026 | 2 | 1,194,235 | 1,609,461 | 1,194,235 | - | 1,194,235 |
VDFF $ Mercado Cred 19 Vto 15/08/24 | 1 | 883,785 | - | 883,785 | - | 883,785 |
ON Tarjeta Naranja CL.55 $ V09/02/24 | 2 | 872,962 | 1,864,033 | 872,962 | - | 872,962 |
VDFF $ Cred Cons 24 vto 15/10/24 | 2 | 852,840 | - | 852,840 | - | 852,840 |
ON Tarjeta Naranja CL.53 $ V05/04/24 | 1 | 777,027 | 2,355,491 | 777,027 | - | 777,027 |
ON MSU Energy CL.4 U$S VTO.20/05/24 | 2 | 484,566 | 458,473 | 484,566 | - | 484,566 |
ON Newsan $ V19/05/24 | 1 | 273,323 | - | 273,323 | - | 273,323 |
ON Pampa Energia CL.15 $ Vto.11/07/24 | 1 | 241,283 | - | 241,283 | - | 241,283 |
ON Credicuotas Consumo 4 $ V21/03/24 | 2 | 221,187 | - | 221,187 | - | 221,187 |
ON Credicuotas Cons $ V05/06/24 | 2 | 218,031 | - | 218,031 | - | 218,031 |
ON ARCOR CL. 20 VTO12/05/25 RCLLO | 2 | 345,186 | - | 345,186 | - | 345,186 |
ON Newsan Cl . 15 V19/05/24 WNCGO | 1 | 109,985 | - | 109,985 | - | 109,985 |
ON SPI Energy Sa Cl.1 US$ V.27/06/2026 SPC10 | 2 | 400,467 | - | 400,467 | - | 400,467 |
ON Tarjeta Naranja Cl.53 S.2 $ V05/04/24 CG T5320 | 2 | 461,686 | - | 461,686 | - | 461,686 |
ON Pan American Cl.25 V14/03/25 $ PNQCO | 2 | 527,130 | - | 527,130 | - | 527,130 |
ON Pyme Alz Semillas 7 V29/09/25 SAN | 1 | 90,576 | - | 90,576 | - | 90,576 |
| | | | | | |
Others | 1 | 709,611 | 1,677,167 | 709,610 | - | 709,610 |
| | | | | | |
Measured at amortized cost | | | | | | |
Argentine | | | | | | |
Bono Rep. Arg. $ Vto.23/05/27 | | 14,489,610 | 26,660,106 | 14,489,610 | - | 14,489,610 |
Bonte $ Vto.23/08/25 | | 11,706,974 | - | 11,706,974 | - | 11,706,974 |
Bono Tesoro Vinc U$S Vto.30/04/24 C.G | | 6,608,193 | - | 6,608,193 | - | 6,608,193 |
Letra tesoro $ aj CER Desc Vto.23/11/23 | | 6,312,277 | - | 6,312,277 | - | 6,312,277 |
Bonte Badlar $ Vto.23/11/27 | | 5,074,285 | 8,767,975 | 5,074,285 | - | 5,074,285 |
Letra Tesoro $ a desc. Vto.31/03/23 | | - | 6,704,498 | - | - | - |
Bono Tesoro BONCER 2% $ 2026 | | - | 3,209,349 | - | - | - |
Bono Nación Dual Vto.29/09/23 | | - | 8,076,366 | - | - | - |
Letra Tesoro $ a desc. Vto.18/09/23 | | - | 2,420,321 | - | - | - |
Bono Nación Moneda Dual Tdg24 | | 1,129,290 | - | 1,129,290 | - | 1,129,290 |
Bono De La Nación Moneda Dual Vto 30/04/2024 | | 4,632 | - | 4,632 | - | 4,632 |
Tdj24 - Bono Nación Moneda Dual 30/06/24 | | 550,189 | - | 550,189 | - | 550,189 |
40
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
Items | HOLDING | POSITION | ||||
---|---|---|---|---|---|---|
Level of fair value | Book value 09/30/2023 | Book value 12/31/2022 | Level of fair value | Book value 12/31/2022 | Final position | |
Letra Rep Arg Ajust. Cer Dto Vt. 23/11/23 $ (X23N3) | | 774,453 | - | 774,453 | - | 774,453 |
Letra Rep Arg Ajust. Cer Dto Vt. 18/10/23 $ (X18O3) | | 438,770 | - | 438,770 | - | 438,770 |
Letra del Tesoro Nacional ajus CER a desc 19/05/2023 | | - | 400,020 | - | - | - |
Others | | - | 20,846,102 | - | - | - |
| | | | | | |
Central Bank Bills | | | | | | |
Letra de liquidez del B.C.R.A. Vto.17/10/23 | | 129,862,848 | - | 129,862,848 | - | 129,862,848 |
Letra de liquidez del B.C.R.A. Vto.19/10/23 | | 75,370,400 | - | 75,370,400 | - | 75,370,400 |
Letra de liquidez del B.C.R.A. Vto.24/10/23 | | 41,759,910 | - | 41,759,910 | - | 41,759,910 |
Letra de liquidez del B.C.R.A. Vto.03/10/23 | | 24,759,875 | - | 24,759,875 | - | 24,759,875 |
Letra de liquidez del B.C.R.A. Vto.26/10/23 | | 16,604,334 | - | 16,604,334 | - | 16,604,334 |
Letra de liquidez del B.C.R.A. Vto.05/10/23 | | 14,761,395 | - | 14,761,395 | - | 14,761,395 |
Letra de liquidez del B.C.R.A. Vto.10/10/23 | | 14,530,260 | - | 14,530,260 | - | 14,530,260 |
Letra de liquidez del B.C.R.A. Vto.12/10/23 | | 14,439,810 | - | 14,439,810 | - | 14,439,810 |
Letra de liquidez del B.C.R.A. Vto.14/06/23 | | - | 5,161,858 | - | - | - |
| | | | | | |
Central Bank Notes | | | | | | |
Nota de liquidez del B.C.R.A. Vto.22/03/23 | | - | 25,008,987 | - | - | - |
Nota de liquidez del B.C.R.A. Vto.18/01/23 | | - | 12,153,953 | - | - | - |
Nota de liquidez del B.C.R.A. Vto.15/03/23 | | - | 7,593,419 | - | - | - |
Nota de liquidez del B.C.R.A. Vto.22/02/23 | | - | 6,559,650 | - | - | - |
| | | | | | |
Corporate Securities | | | | | | |
ON MSU CL 6 U$S Vto.02/11/24 | | 709,100 | 3,271,870 | 709,100 | - | 709,100 |
ON GN Medi/CT Roca 17 U$S Vto.07/11/24 | | 180,675 | 180,951 | 180,675 | - | 180,675 |
FF Crédito directo II lote 1 | | - | - | - | - | - |
Others | | 16 | 33 | 16 | - | 16 |
| | | | | | |
Total Other debt securities | | 390,300,660 | 563,095,354 | 390,300,659 | - | 390,300,659 |
| | | | | | |
EQUITY INSTRUMENTS | | | | | | |
Measured at fair value through profit and loss | | | | | | |
Argentine | | | | | | |
Banco Francés SA | 1 | 48,924 | 85 | 48,924 | - | 48,924 |
Edenor SA | 1 | 36,688 | 94,794 | 36,688 | - | 36,688 |
Pampa Energía S.A. | 1 | 22,065 | 94,528 | 22,065 | - | 22,065 |
Grupo Financiero Galicia SA | 1 | 6,696 | 10,210 | 6,696 | - | 6,696 |
Holcim Arg | 1 | 3,332 | 2,881 | 3,332 | - | 3,332 |
Loma Negra S.A. | 1 | 1,729 | 67,072 | 1,729 | - | 1,729 |
Cedear SPDR Dow Jones Ind | 1 | 1,349 | 1,130 | 1,349 | - | 1,349 |
Cedear SPDR S&P | 1 | 1,160 | 880 | 1,160 | - | 1,160 |
Cedear Financial Select Sector | 1 | 1,061 | 928 | 1,061 | - | 1,061 |
Ternium Arg S.A.Ords."A"1 Voto Esc | 1 | 805 | 27,909 | 805 | - | 805 |
Acciones Banco Frances | 1 | 50,752 | - | 50,752 | - | 50,752 |
Acciones Banco Macro | 1 | 91,164 | - | 91,164 | - | 91,164 |
41
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
Items | HOLDING | POSITION | ||||
---|---|---|---|---|---|---|
Level of fair value | Book value 09/30/2023 | Book value 12/31/2022 | Level of fair value | Book value 12/31/2022 | Final position | |
Acciones Banco Galicia | 1 | 226,428 | - | 226,428 | - | 226,428 |
Pampa Energía S.A. | 1 | 9,806 | - | 9,806 | - | 9,806 |
Others | 1 | 1,003 | 245,978 | 1,003 | - | 1,003 |
Measured at fair value with changes in OCI | |
|
|
|
|
|
Argentine | | | | | | |
Others | 3 | 294,536 | 474,560 | 294,536 | - | 294,536 |
Del Exterior | | | | | | |
| | | | | | |
Total Equity instruments | | 797,498 | 1,020,955 | 797,498 | - | 797,498 |
TOTAL | | 424,913,076 | 600,029,268 | 425,637,818 | - | 425,637,818 |
| |
|
|
|
|
|
42
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE B – CLASSIFICATION OF LOANS AND OTHER FINANCING CREDIT ACCORDING TO STATUS AND COLLATERAL RECEIVED
As of September 30, 2023 and December 31, 2022 balances of loans and other financing are the following:
| 09/30/2023 | 12/31/2022 |
COMMERCIAL PORTFOLIO | | |
| | |
Normal situation | 221,099,637 | 213,033,036 |
-With "A" Preferred Collateral and Counter-guarantees | 3,282,125 | 5,482,842 |
-With "B" Preferred Collateral and Counter-guarantees | 14,902,472 | 18,229,419 |
- Without Preferred Collateral nor Counter-guarantees | 202,915,040 | 189,320,775 |
| | |
Subject to special monitoring | | |
- Under Observation | 5,000,736 | 3,698,867 |
-With "A" Preferred Collateral and Counter-guarantees | - | 427 |
-With "B" Preferred Collateral and Counter-guarantees | 4,702,724 | 3,678,688 |
- Without Preferred Collateral nor Counter-guarantees | 298,012 | 19,752 |
| | |
With problems | - | 2,971,802 |
-With "A" Preferred Collateral and Counter-guarantees | - | - |
-With "B" Preferred Collateral and Counter-guarantees | - | 2,668,293 |
- Without Preferred Collateral nor Counter-guarantees | - | 303,509 |
| | - |
High risk of insolvency | - | 988,873 |
-With "A" Preferred Collateral and Counter-guarantees | - | 2,950 |
-With "B" Preferred Collateral and Counter-guarantees | - | 160,432 |
- Without Preferred Collateral nor Counter-guarantees | - | 825,491 |
| | - |
Uncollectible | 295,181 | 5,030 |
-With "A" Preferred Collateral and Counter-guarantees | 1,458 | - |
-With "B" Preferred Collateral and Counter-guarantees | 73,859 | 1,889 |
- Without Preferred Collateral nor Counter-guarantees | 219,864 | 3,141 |
| | |
TOTAL COMMERCIAL PORTFOLIO | 226,395,554 | 220,697,608 |
43
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE B – CLASSIFICATION OF LOANS AND OTHER FINANCING CREDIT ACCORDING TO STATUS AND COLLATERAL RECEIVED
| 09/30/2023 | 12/31/2022 |
CONSUMER AND HOUSING PORTFOLIO | | |
| | |
Normal situation | 218,466,581 | 297,581,295 |
-With "A" Preferred Collateral and Counter-guarantees | 6,315,685 | 9,961,372 |
-With "B" Preferred Collateral and Counter-guarantees | 19,582,391 | 26,814,844 |
- Without Preferred Collateral nor Counter-guarantees | 192,568,505 | 260,805,079 |
| | |
Low Risk | 5,281,186 | 11,693,474 |
-With "A" Preferred Collateral and Counter-guarantees | 67,062 | 151,305 |
-With "B" Preferred Collateral and Counter-guarantees | 473,423 | 1,004,173 |
- Without Preferred Collateral nor Counter-guarantees | 4,740,701 | 10,537,996 |
| | |
Medium Risk | 3,281,030 | 7,660,895 |
-With "A" Preferred Collateral and Counter-guarantees | 19,594 | 43,881 |
-With "B" Preferred Collateral and Counter-guarantees | 96,149 | 336,599 |
- Without Preferred Collateral nor Counter-guarantees | 3,165,287 | 7,280,415 |
| | |
High Risk | 2,766,148 | 4,994,141 |
-With "A" Preferred Collateral and Counter-guarantees | 25,712 | 58,134 |
-With "B" Preferred Collateral and Counter-guarantees | 207,154 | 284,771 |
- Without Preferred Collateral nor Counter-guarantees | 2,533,282 | 4,651,236 |
| | |
Uncollectible | 1,394,643 | 2,565,914 |
-With "A" Preferred Collateral and Counter-guarantees | 18,860 | 17,453 |
-With "B" Preferred Collateral and Counter-guarantees | 73,545 | 330,484 |
- Without Preferred Collateral nor Counter-guarantees | 1,302,238 | 2,217,977 |
| | |
| | |
TOTAL CONSUMER AND HOUSING PORTFOLIO | 231,189,588 | 324,495,719 |
TOTAL GENERAL(1) | 457,585,142 | 545,193,327 |
(1) Conciliation with Statement of Financial Position: | ||
Loans and other financing | 376,481,309 | 474,817,180 |
Other debt securities | 390,300,660 | 563,095,354 |
Computable items out of balance | 58,477,409 | 31,695,501 |
Plus allowances | 14,144,543 | 25,991,574 |
Plus IFRS adjustments non computable for DCS | 863,331 | 1,192,910 |
Less nondeductible ítems for DCS | - | (2,342,396) |
Less debt securities measured at amortized cost and fair value with changes in OCI | (382,682,110) | (549,256,796) |
Total | 457,585,142 | 545,193,327 |
44
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE C - CONCENTRATION OF LOANS AND OTHER FINANCING
As of September 30, 2023 and December 31, 2022 the concentration of leans and other financing are the following:
Loans and other financing | ||||
09/30/2023 | 12/31/2022 | |||
Balance | % over total portfolio | Balance | % over total portfolio | |
10 largest customers | 43,906,674 | 9.6% | 44,516,370 | 8.2% |
50 following largest customers | 77,473,758 | 16.9% | 80,928,137 | 14.8% |
100 following largest customers | 60,343,089 | 13.2% | 62,629,478 | 11.5% |
Rest of customers | 275,861,621 | 60.3% | 357,119,342 | 65.5% |
TOTAL | 457,585,142 | 100.0% | 545,193,327 | 100.0% |
45
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE D – BREAKDOWN OF TOTAL LOANS AND OTHER FINANCING
As of September 30, 2023 the breakdown of loans and other financing are the following:
Past due portfolio | Remaining terms for maturity | Total | ||||||
1 month | 3 months | 6 months | 12 months | 24 months | Up to 24 months | |||
Non-financial Public Sector | - | 266,699 | 127,702 | - | 127,702 | 255,405 | 766,214 | 1,543,722 |
Financial Sector | - | 164,364 | 177,084 | 285,357 | 686,676 | 1,051,177 | 321,675 | 2,686,333 |
Non-financial private sector and residents abroad | 9,664,871 | 207,533,846 | 87,651,376 | 73,966,775 | 101,262,738 | 95,207,779 | 256,646,832 | 831,934,217 |
TOTAL | 9,664,871 | 207,964,909 | 87,956,162 | 74,252,132 | 102,077,116 | 96,514,361 | 257,734,721 | 836,164,272 |
46
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE F - PROPERTY, PLANT AND EQUIPMENT
Movements in property, plant and equipment for the period ended September 30, 2023, were as follows:
Item | At the beginning of the period | Useful life | Additions | Disposals | Depreciation | Net carrying | ||||
Accumulated | Disposals | Of the period | At the end of the period | 09/30/2023 | 12/31/2022 | |||||
Cost model | | | | | | | | | | |
Furniture and facilities | 9,794,507 | 10 | 162,430 | (218,113) | (8,160,506) | 246,202 | (351,834) | (8,266,138) | 1,472,686 | 1,634,001 |
Machinery and equipment | 32,165,069 | 10 | 1,385,262 | (339,362) | (28,572,958) | 330,091 | (1,409,996) | (29,652,863) | 3,558,106 | 3,592,111 |
Vehicles | 1,526,661 | 5 | 184,219 | (232,477) | (669,343) | 176,101 | (200,553) | (693,795) | 784,608 | 857,318 |
Right of Use of Leased Properties | 11,019,649 | 50 | 1,516,189 | (5,481,002) | (6,308,991) | 5,475,821 | (3,030,256) | (3,863,426) | 3,191,410 | 4,710,658 |
Construction in progress | 4,894,511 | - | 771,063 | (1,767,408) | - | - | - | - | 3,898,166 | 4,894,511 |
Revaluation model | | | | | | | | | | |
Land and Buildings | 23,039,203 | 50 | - | (41,135) | (1,401,289) | 11,274 | (339,181) | (1,729,196) | 21,268,872 | 21,637,914 |
Total | 82,439,600 | | 4,019,163 | (8,079,497) | (45,113,087) | 6,239,489 | (5,331,820) | (44,205,418) | 34,173,848 | 37,326,513 |
Movements in investment properties for the period ended September 30, 2023, were as follows:
Item | At the beginning of the period | Useful life | Additions | Disposals | Depreciation | Net carrying 09/30/2023 | Net carrying 12/31/2022 | |||
Accumulated | Disposals | Of the period | At the end of the period | |||||||
Cost model | | | | | | | | | | |
Rent building | 659,866 | 5 | 94,005 | - | (126,823) | - | (96,291) | (223,114) | 530,757 | 533,045 |
Measurement at fair value | | | | | | | | | | |
Rent building | 33,805,650 | 50 | - | - | | - | - | - | 33,805,650 | 33,805,650 |
Total | 34,465,516 | | 94,005 | - | (126,823) | - | (96,291) | (223,114) | 34,336,407 | 34,338,695 |
47
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE G - INTANGIBLE ASSETS
Movements in intangible assets for the period ended September 30, 2023 were as follows:
Item | At the beginning of the period | Useful life | Additions | Disposals | Depreciation | Net carrying | |||||
At the beginning of the period | Disposals | Of the period | At the end of the period | 09/30/2023 | 12/31/2022 | ||||||
Measurement at cost | | | | | | | | | | | |
Goodwill | 20,240,964 | | - | - | - | - | - | - | 20,240,964 | 20,240,964 | |
Brands | 1,194,620 | | - | - | - | - | - | - | 1,194,620 | 1,194,620 | |
Other intangible assets | 58,722,299 | | 7,160,286 | (433,889) | (34,904,299) | 54,993 | (6,946,075) | (41,795,381) | 23,653,315 | 23,818,000 | |
TOTAL | 80,157,883 | | 7,160,286 | (433,889) | (34,904,299) | 54,993 | (6,946,075) | (41,795,381) | 45,088,899 | 45,253,584 |
Depreciation for the period is included in the line "Depreciations and impairment of non-financial assets" in the statement of comprehensive income.
48
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE H – CONCENTRATION OF DEPOSITS
As of September 30, 2023 and December 31, 2022 the concentration of deposits are the following:
Number of customers | Deposits | |||
09/30/2023 | 12/31/2022 | |||
Placement Balance | % over total portfolio | Placement Balance | % over total portfolio | |
10 largest customers | 380,000,922 | 39.2% | 372,855,153 | 33.5% |
50 following largest customers | 213,318,096 | 22.0% | 247,376,184 | 22.2% |
100 following largest customers | 44,984,307 | 4.6% | 61,441,783 | 5.5% |
Rest of customers | 330,740,138 | 34.1% | 430,612,209 | 38.7% |
TOTAL | 969,043,463 | 100.0% | 1,112,285,329 | 100.0% |
49
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE I – BREAKDOWN OF FINANCIAL LIABILITIES FROM REMAINING TERMS
Item | Remaining terms for maturity | |||||||
1 month | 3 months | 6 months | 12 months | 24 months | Up to 24 months | Total | ||
Deposits | | | | | | | | |
Non-financial public sector | 118,356,342 | 2,733,149 | - | - | - | - | 121,089,491 | |
Financial sector | 124,053 | - | - | - | - | - | 124,053 | |
Non-financial private sector and residents abroad | 814,778,610 | 16,023,552 | 47,082,018 | 129,015 | 9,880 | - | 878,023,075 | |
Liabilities at fair value through profit and loss | 1,189 | - | - | - | - | - | 1,189 | |
Other financial liabilities | 732,933 | - | - | - | - | - | 732,933 | |
Repo Transaction | 47,311,327 | 302,709 | 415,061 | 633,574 | 771,167 | 755,502 | 50,189,340 | |
Financing received from the Argentine Central Bank and other financial institutions | 653,431 | 2,576,693 | 650,837 | 1,038,237 | 1,648,832 | 1,202,382 | 7,770,412 | |
TOTAL | 981,957,885 | 21,636,103 | 48,147,916 | 1,800,826 | 2,429,879 | 1,957,884 | 1,057,930,493 |
As of September 30, 2023:
50
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE L - ASSETS AND LIABILITIES IN FOREIGN CURRENCY
As of September 30, 2023 and December 31, 2022:
Items | As of September 30, 2023 | As of September 30, 2023 (per currency) | As of December 31, 2022 | |||
Dollar | Euro | Real | Others | |||
ASSETS |
|
|
|
|
|
|
Cash and Due from Banks | 71,136,134 | 67,902,251 | 1,950,674 | 26,541 | 1,256,668 | 78,628,136 |
Debt securities at fair value through profit or loss | 8,647,373 | 8,647,373 | - | - | - | 2,904,484 |
Derivatives | 101,188 | 101,188 | - | - | - | 113,153 |
Other financial assets | 3,822,320 | 3,822,299 | - | - | 21 | 3,595,234 |
Loans and other financing | 24,840,123 | 24,788,460 | 51,663 | - | - | 36,971,209 |
Other Debt Securities | 11,234,689 | 11,234,689 | - | - | - | 19,754,856 |
Financial assets pledged as collateral | 3,403,871 | 3,403,871 | - | - | - | 1,970,096 |
Other non-financial assets | 338,018 | 338,018 | - | - | - | 270,938 |
TOTAL ASSETS | 123,523,716 | 120,238,149 | 2,002,337 | 26,541 | 1,256,689 | 144,208,106 |
| | | | | | |
LIABILITIES | | | | | | |
Deposits | 93,288,212 | 92,026,232 | 1,261,980 | - | - | 111,652,399 |
Non-financial public sector | 3,132,304 | 3,131,766 | 538 | - | - | 3,911,534 |
Financial sector | 2,876 | 2,876 | - | - | - | 3,104 |
Non-financial private sector and foreign residents | 90,153,032 | 88,891,590 | 1,261,442 | - | - | 107,737,761 |
Liabilities at fair value with changes in results | - | - | - | - | - | 1,765,537 |
Other financial liabilities | 7,683,133 | 6,892,125 | 764,708 | 56 | 26,244 | 8,673,626 |
Financing received from the Argentine Central Bank and other financial institutions | 2,582,586 | 2,532,473 | 50,113 | - | - | 3,474,782 |
Other non-financial liabilities | 2,155,781 | 2,155,774 | 3 | - | 4 | 604,316 |
TOTAL LIABILITIES | 105,709,712 | 103,606,604 | 2,076,804 | 56 | 26,248 | 126,170,660 |
| | | | | | |
NET POSITION | 17,814,004 | 16,631,545 | (74,467) | 26,485 | 1,230,441 | 18,037,446 |
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE R – ALLOWANCE FOR LOAN LOSSES
As of September 30, 2023:
Items | Balances at the beginning of the period | ECL of the following 12 months | ECL of remaining life of the financial asset | Balance at the end of the period | ||
FI significant credit risk increase | FI with credit impairment | FI with credit impairment either purchased or produced | ||||
Loans and other financing | 24,810,432 | (677,917) | (143,349) | 1,496,141 | (12,940,291) | 12,545,016 |
Other financial entities | 11,246 | 305 | - | - | (5,865) | 5,686 |
Non-financial private sector and residents abroad | 24,799,186 | (678,222) | (143,349) | 1,496,141 | (12,934,426) | 12,539,330 |
Overdrafts | 570,523 | 257,305 | 4,199 | 572,117 | (712,961) | 691,183 |
Unsecured Corporate Loans | 380,863 | 255,310 | 7,112 | 158,216 | (406,966) | 394,535 |
Mortgage Loans | 876,143 | 38,064 | 115,593 | 210,444 | (629,740) | 610,504 |
Automobile and other secured loans | 1,391,705 | 54,170 | (84,870) | (229,475) | (574,540) | 556,990 |
Personal Loans | 8,660,256 | (154,905) | (259,716) | (1,013,371) | (3,672,218) | 3,560,046 |
Credit cards | 10,264,270 | (1,696,665) | (158,649) | 422,554 | (4,484,243) | 4,347,267 |
Receivables from financial leases | 182,950 | 93,031 | 97,405 | 32,262 | (205,970) | 199,678 |
Others | 2,472,476 | 475,468 | 135,577 | 1,343,394 | (2,247,788) | 2,179,127 |
Other debt securities | 78,863 | 19,811 | - | - | (50,102) | 48,572 |
Other Commitments | 177,081 | 1,322,949 | 2 | 10,101 | (766,778) | 743,355 |
Unused credit card balances | 905,474 | (23,180) | 730,766 | - | (819,039) | 794,021 |
Agreed Revocable Overdraft | 19,724 | 7,387 | 475 | - | (14,007) | 13,579 |
TOTAL PROVISIONS | 25,991,574 | 649,050 | 587,894 | 1,506,242 | (14,590,217) | 14,144,543 |
grupo supervielle S.A.
informative review as of september 30, 2023
(expressed in thousands of pesos in homogeneous currency)
Brief description of the business and evolution of operations
The Company's objective is to position itself as a leader in the local financial business through an offer of innovative, inclusive and accessible financial services. Its strategy, carried out through its different companies (banking and non-banking), allows access to each segment of the population with the product offer, the service model and the price/risk ratio required.
The result for the period ended September 30, 2023, shows a profit of 18,852,566, which represents a positive return on average net worth of 12.7%. This result was mainly due to the results of our investments in companies.
The Annual Ordinary Shareholders' Meeting held on April 27, 2023 approved the financial statements as of December 31, 2022 and the treatment of the results corresponding to the year ended on that date. Since the unallocated results were negative, it was approved to absorb them with an optional reserve, legal reserve and share premium.
Grupo Supervielle S.A. is the controlling company of the economic group as of September 30, 2023 and December 31, 2022, it had the following direct and indirect shareholdings in its controlled companies:
Company | Main Activity | Interest in capital stock | |
09/30/2023 | 12/31/2022 | ||
Banco Supervielle S.A. | Commercial Bank | 99.90% | 99.90% |
IUDÚ Compañia Financiera S.A | Financial Company | 99.90% | 99.90% |
Tarjeta Automática S.A. | Credit Card and Consumer Loans | 99.91% | 99.99% |
Supervielle Asset Management S.A. | Asset Management Company | 100.00% | 100.00% |
Sofital S.A.F. e I.I. | Financial operations and administration of marketable securities | 100.00% | 100.00% |
Espacio Cordial de Servicios S.A. | Trading of products and services | 100.00% | 100.00% |
Supervielle Seguros S.A. | Insurance company | 100.00% | 100.00% |
Micro Lending S.A.U. | Financing investments | 100.00% | 100.00% |
Invertir Online S.A.U. | Settlement and Clearing Agent | 100.00% | 100.00% |
Portal Integral de Inversiones S.A.U. | Representations | 100.00% | 100.00% |
IOL Holding S.A. | Financial Company | 100.00% | 100.00% |
Supervielle Productores Asesores de Seguros S.A. | Insurance Broker | 100.00% | 100.00% |
Bolsillo Digital S.A.U | Computer Services | 100.00% | 100.00% |
Supervielle Agente de Negociación S.A.U. | Settlement and Clearing Agent | 100.00% | 100.00% |
Dólar IOL S.A.U. | Services and exchange agency | 100.00% | 100.00% |
grupo supervielle S.A.
informative review as of september 30, 2023
(expressed in thousands of pesos in homogeneous currency)
Brief description of Related Companies
Grupo Supervielle provides a wide range of financial and non-financial services to its clients and has more than 130 years of experience operating in Argentina. Supervielle focuses on delivering quick solutions to its clients and effectively adapting to evolving changes within the industries in which the company operates. Grupo Supervielle operates multiple platforms and brands and has developed a diverse ecosystem to respond to the needs and digital transformation of its clients. Since May 2016, Grupo Supervielle shares have been listed on ByMA and NYSE.
The activities and results of Grupo Supervielle's subsidiaries are detailed below:
As of September 30, 2023, Banco Supervielle S.A. It has assets of $1,239,100,348 and a net worth attributable to the owners of the parent company of $160,274,675. The net result attributable to the owners of the holding company as of September 30, 2023 was positive $14,559,131, which originated mainly from the financial margin and the services margin.
IUDÚ Compañía Financiera S.A. is a financial services company subject to the regulations of the Central Bank of the Argentine Republic, whose main business is the granting of credit cards and loans for consumption. Its business model is based on providing financing solutions primarily to middle- and lower-middle-income customer segments. It is currently in a merger process with the Bank, therefore during the months of October, November and December 2022 IUDÚ Compañía Financiera S.A. gave up its entire loan portfolio. On June 8, 2023, the final merger commitment was signed and said decision is subject to approval by the Central Bank of the Argentine Republic. As of September 30, 2023, it obtained a negative result of $132,387.
Tarjeta Automática S.A. is a company that operated in the consumer financing segment until September 2022. The net result as of September 30, 2023 showed a loss of $37,105.
Supervielle Asset Management S.A. is a Common Investment Fund Management Company whose purpose is the promotion, direction and administration of common investment funds in accordance with the provisions of Law 24,083, its Regulatory Decree and any other legal or regulatory norm that contemplates said activity. The net result as of September 30, 2023 showed a profit of $2,361,092.
Sofital S.A.F. and I.I. is a company whose main activity is to carry out financial operations and administration of securities. The net result as of September 30, 2023 showed a profit of $606,122.
Espacio Cordial de Servicios S.A., is a company whose purpose is the marketing of all types of goods and services linked to insurance activities, tourism, health plans and/or services and other goods and services. The net result as of September 30, 2023 showed a profit of $189,063.
Supervielle Seguros S.A., the insurance company of Grupo Supervielle S.A., has a net worth of 6,221,465 and assets of 11,770,313. As of September 30, 2023, it obtained a positive result of $270,325.
Micro Lending S.A.U., specializes in financing collateral loans, particularly for used cars. As of September 30, 2023, it presented a profit of $388,638.
InvertirOnline S.A.U., is a specialized online trading platform, which occupies a leading position among the top five in the online Broker segment in Argentina, and a benchmark within the Fintech sector in the country. InvertirOnline S.A.U obtained a profit of $1,832,138 as of September 30, 2023, and Portal Integral de Inversiones S.A.U. obtained negative results of $78,000 as of December 31, 2022. On the other hand, Dólar IOL S.A.U. It was liquidated on June 30, 2023.
IOL Holding S.A. It is a company that brings together shareholdings in other companies dedicated to providing stock market services at a regional level. As of December 31, 2022, it obtained a negative result of $47,850.
Bolsillo Digital S.A.U. is a company that was dedicated to the commercialization of products and services linked to the management and processing of payments. As of September 30, 2023, it presented a negative result of $298,485.
Supervielle Agente de Negociación S.A.U. is a company whose main activity is to engage, on its own account or on behalf of third parties or associated with third parties, in the country or abroad, to act as an agent in the categories in which it is duly registered by the National Securities Commission. As of September 30, 2023, it presented a positive result of $176,494.
grupo supervielle S.A.
informative review as of september 30, 2023
(expressed in thousands of pesos in homogeneous currency)
Supervielle Productores Asesores de Seguros S.A. is a company whose purpose is to carry out intermediation activity, promoting the conclusion of life, property and pension insurance contracts. As of September 30, 2023, it presented a profit of $172,841.
Asset structure. Results. Structure of generation or use of funds. Main ratios.
The information regarding the condensed interim consolidated financial statements is presented in a comparative manner below.
The information as of December 31, 2019, 2020, 2021, 2022 and September 30, 2023 corresponds to the originally reported figures expressed in homogeneous currency:
Statement of Financial Position | 09/30/2023 | 12/31/2022 | 12/31/2021 | 12/31/2020 | 12/31/2019 |
Total Assets | 1,291,688,079 | 1,416,847,429 | 1,544,995,450 | 1,492,796,522 | 1,215,100,641 |
Total Liabilities | 1,084,842,455 | 1,228,091,114 | 1,340,802,297 | 1,275,568,545 | 1,018,241,972 |
Changes in Shareholders’ Equity | 206,845,624 | 188,756,315 | 204,193,153 | 217,227,977 | 196,858,669 |
Total Liabilities plus Changes in Shareholders’ Equity | 1,291,688,079 | 1,416,847,429 | 1,544,995,450 | 1,492,796,522 | 1,215,100,641 |
Income Statement | 09/30/2023 | 12/31/2022 | 12/31/2021 | 12/31/2020 | 12/31/2019 |
Net income from interest | 158,511,042 | 133,710,032 | 127,157,163 | 166,821,621 | 42,929,223 |
Net income from commissions | 40,600,044 | 37,169,001 | 40,848,066 | 43,718,250 | 47,531,608 |
Net income before income tax | 30,190,813 | (5,613,708) | (4,529,985) | 20,283,012 | (17,730,730) |
Total comprehensive income attributable to owners of the parent company - Earnings | 18,635,022 | (8,994,185) | (5,396,306) | 17,658,156 | (19,668,879) |
Consolidated Cash Flow Statement | 09/30/2023 | 12/31/2022 | 12/31/2021 | 12/31/2020 | 12/31/2019 |
Total operating activities | 66,805,152 | (23,718,369) | (24,071,822) | 20,281,830 | (51,476,457) |
Total investment activities | (9,154,912) | (11,377,066) | (8,420,809) | (9,753,589) | (7,845,790) |
Total financing activities | (9,060,594) | (22,979,843) | (32,449,468) | (66,935,988) | (35,840,801) |
Effect of changes in exchange rate | 8,152,738 | 19,137,100 | 50,309,188 | 89,127,682 | 266,388,162 |
Net increase in cash and cash equivalents | 12,320,643 | (80,341,214) | (14,632,911) | 32,719,935 | 171,225,114 |
grupo supervielle S.A.
informative review as of september 30, 2023
(expressed in thousands of pesos in homogeneous currency)
SHAREHOLDERS´ EQUITY STRUCTURE, RESULTS, FUND GENERATION OR UTILIZATION STRUCTURE, MAIN RATIOS,
The following offers information related to Consolidated Financial Statements, on a comparative basis:
Indicators (figures in thousands of pesos) | 09/30/2023 | 12/31/2022 | 12/31/2021 | 12/31/2020 | 12/31/2019 |
| | | | | |
Liquidity | 12.63% | 9.90% | 15.40% | 22.09% | 31.45% |
- Cash and cash equivalents (1) | 122,417,540 | 110,096,897 | 175,827,776 | 235,738,411 | 227,632,530 |
- Deposits | 969,043,463 | 1,112,285,329 | 1,141,497,961 | 1,067,048,199 | 723,800,667 |
| | | | | |
Solvency | 19.07% | 15.37% | 15.23% | 17.03% | 19.33% |
- Shareholders Equity | 206,845,624 | 188,756,315 | 204,193,153 | 217,227,977 | 196,858,669 |
- Total Liabilities | 1,084,842,455 | 1,228,091,114 | 1,340,802,297 | 1,275,568,545 | 1,018,241,971 |
| | | | | |
Immobilization of Capital | 11.12% | 10.76% | 9.47% | 9.78% | 10.08% |
-Immobilized Assets (2) | 143,643,064 | 152,408,903 | 146,264,510 | 146,013,444 | 122,476,164 |
-Total Assets | 1,291,688,079 | 1,416,847,429 | 1,544,995,450 | 1,492,796,522 | 1,215,100,641 |
| | | | | |
(1) Including cash, listed corporate and government securities and mutual funds shares
(2) Including the following items: Equity Investments, Miscellaneous Receivables, Premises and Equipment, Miscellaneous Assets, Intangible Assets and unallocated item0073
For Statement of Financial Position and Income Statement structure, the Group utilized the consolidated accounts, which follow the presentation of Financial Statement provisions set by Communication “A” 3147 and complementary provisions issued by the Argentine Central Bank related to the Accounting Informative Regime for the annual disclosure and guidelines set by Technical Pronouncement N°8 issued by the Argentine Federation of Economy Sciences Professional Councils and the General Ruling 622/13 issued by the National Securities Commission.
Adoption of International Financial Reporting Standards (IFRS)
grupo supervielle S.A.
informative review as of september 30, 2023
(expressed in thousands of pesos in homogeneous currency)
The Argentine Central Bank, through Communication “A” 5541 and its amendments set the Implementation Plan for Convergence towards International Financial Report Standards (IFRS) issued by International Accounting Standards Board (IASB) and interpretations issued by the International Financial Reporting Standards Committee (IFRSC), for entities under its supervision, except for the application of section 5,5, (detriment of value) of IFRS 9 “Financial Instruments” and IAS 29 (which determines the obligatory restatement of financial statements in accordance with the detailed in note 1,2,b), for financial years started on January 1, 2018, Likewise, entities shall prepare their opening Financial Statements as from January 1, 2017 to be used as comparative base of the financial year to start on January 1, 2018, which will be the first Financial Statements submitted under these standards as of March 31, 2018.
On February 22, 2019 the Argentine Central Bank issued Communication "A" 6651, through which it established that as of January 1, 2020, the financial statements are prepared in constant currency, In this sense, Communication “A” 6849 issued by the Argentine Central Bank sets the re-expression frequency of the accounting information in a homogeneous currency on a monthly basis, and the index utilized to such ends accounts for the National Consumer Index drawn up by INDEC (basis month: December 2016) and for such items with previous initial date, IPIM issued by FACPCE is utilized, pursuant to Ruling JG 517/16, Likewise, transition date, in virtue of the retroactive application has been set on January 1, 2019.
Through Communication “A” 6430 and 6847, the B.C.R.A. established that Financial Entities must begin to apply the provisions regarding the impairment of financial assets contained in point 5.5 of IFRS 9, as of the years beginning on January 1, 2020, with the exception of debt instruments of the Non-Financial Public Sector, which will be temporarily excluded from the scope of said provisions.
Additionally, Communication “A” 6938 of the B.C.R.A. ordered the postponement of the application of the aforementioned point for the entities of group “B” until January 1, 2021, with which the forecasts of IUDÚ Compañía Financiera S.A. They remain under the minimum provisions regulations of the B.C.R.A. It is worth mentioning that through communications “A” 7108 and 7134, the B.C.R.A. established the classification of financial entities into groups “A”, “B” and “C”, leaving IUDÚ Compañía Financiera S.A. classified as a Group “C” entity as of October 1, 2020. However, IUDÚ Compañía Financiera S.A. has requested authorization from the B.C.R.A. to advance the application of point 5.5 of IFRS 9 to the current period, in accordance with what is mentioned in Note 1.1 of these financial statements. Currently IUDÚ Compañía Financiera S.A. is in a merger process with the Bank, therefore during the months of October, November and December 2022 IUDÚ Compañía Financiera S.A. gave up its entire loan portfolio. On June 8, 2023, the final merger commitment was signed and said decision is subject to approval by the Central Bank of the Argentine Republic.
Additionally, the B.C.R.A. allows financial entities to classify dual bonds in the three categories available in IFRS 9, based on this option, the Group has decided to classify them within the category of fair value with counterpart in OCI and at amortized cost, in accordance with the aforementioned in Note 1.1 of these financial statements.
In turn, pursuant to Article 2, Chapter I, Section I, of Title IV of the modified text issued by the National Securities Commission, issuing entities, whose main assets are made up by investments in financial entities or insurance companies, are exempted from submitting their Financial Statements under IFRS and may choose their submission in accordance with the provisions issued by the Argentine Central Bank and the National Insurance Superintendence, respectively.
As for the requirements, the following is set out:
● | the corporate purpose of Grupo Supervielle S.A. is, exclusively, to carry out financial and investment activities; |
● | the investment in financial entities and in the insurance company represents 83.8% of the assets of Grupo Supervielle S.A., being the main asset of the Company; |
● | 95.96% of the income of Grupo Supervielle S.A. They come from the participation in the results of the financial entities and the insurance company. |
● | Grupo Supervielle S.A. It has a direct and indirect participation in the share capital of 99.90% in Banco Supervielle S.A., 99.90% in IUDÚ Compañía Financiera S.A. and 100% in Supervielle Seguros S.A. which gives it control of the aforementioned entities. |
Perspectives
grupo supervielle S.A.
informative review as of september 30, 2023
(expressed in thousands of pesos in homogeneous currency)
For the year 2024, Grupo Supervielle plans to continue contributing with its credit generation to the growth and evolution of the Argentine economy.
Separate Condensed Interim Financial Statements
For the nine-month period ended on
September 30, 2023, presented on comparative basis in homogeneous currency.
59
GRUPO SUPERVIELLE S.A.
SEPARATE CONDENSED INTERIM STATEMENT OF FINANCIAL POSITION
As of September 30, 2023and December 31, 2022
(Expressed in thousands of pesos in homogeneous currency)
| | Notes and Schedules | 09/30/2023 | 12/31/2022 |
| ASSETS | | | |
| Cash and due from banks | 2 and 5.1 | 731,901 | 734,725 |
| Cash | | - | - |
| Financial institutions and correspondents | | 731,901 | 734,725 |
| Other local and financial institutions | | 731,901 | 734,725 |
| Debt Securities at fair value through profit or loss | 5.2 | 473,671 | - |
| Other financial assets | 3, 5.3 and 8 | 1,531,154 | 717,113 |
| Other debt securities | 3, 5.4 and A | 4,254,880 | 4,458,733 |
| Financial assets pledged as collateral | 5.5 | 6,539 | - |
| Current income tax assets | 8 | 477,274 | - |
| Investments in equity instruments | 5.6 | 368,344 | - |
| Investment in subsidiaries, associates and joint ventures | 4 and 5.7 | 175,099,441 | 158,960,446 |
| Intangible Assets | 5.8 and G | 23,881,883 | 24,078,841 |
| Deferred income tax assets | 8 | 42,426 | 285,936 |
| Other Non-financial assets | 5.9 and 8 | 293,476 | 226,455 |
| TOTAL ASSETS | | 207,160,989 | 189,462,249 |
| | | | |
| LIABILITIES | | | |
| Deferred income tax liability | 8 | - | 284,179 |
| Other Non-Financial Liabilities | 5.10 and 8 | 479,510 | 571,359 |
| TOTAL LIABILITIES | | 479,510 | 855,538 |
| | | | |
| SHAREHOLDERS' EQUITY | | | |
| Capital stock | 9 | 442,672 | 444,411 |
| Capital Adjustments | | 166,051,557 | 172,373,396 |
| Paid in capital | | 18,086,776 | 18,324,071 |
| Own shares in portfolio | | 14,050 | 12,311 |
| Comprehensive adjustment of shares in portfolio | | 1,916,290 | 1,678,995 |
| Cost of treasury stock | | (3,370,375) | (2,810,121) |
| Earnings Reserved | | 2,810,121 | 12,596,198 |
| Reserve | | - | (7,194,520) |
| Other comprehensive income | | 1,877,822 | 2,095,366 |
| Net Income for the period | | 18,852,566 | (8,913,396) |
| TOTAL SHAREHOLDERS' EQUITY | | 206,681,479 | 188,606,711 |
| TOTAL NET LIABILITIES AND SHAREHOLDERS' EQUITY | | 207,160,989 | 189,462,249 |
| | | | |
The accompanying notes and schedules are an integral part of the separate condensed interim financial statements.
60
GRUPO SUPERVIELLE S.A.
SEPARATE CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
For the nine and three-month period on September 30, 2023, presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
| | Notes | Nine-month period ending on | Three-month period ending on | ||
09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | |||
| Interest income | 5.11 | 2,452,447 | 1,642,805 | 1,316,091 | 988,512 |
| Net interest income | | 2,452,447 | 1,642,805 | 1,316,091 | 988,512 |
| Net income from financial instruments at fair value through profit or loss | 5.12 | 656,978 | 676,343 | 242,610 | 94,729 |
| Result from derecognition of assets measured at amortized cost | | (110,419) | (5,677) | (13,990) | 2,872 |
| Exchange rate difference on gold and foreign currency | | 501,191 | 491,562 | 223,952 | 192,096 |
| NIFFI and Exchange Rate Differences | | 1,047,750 | 1,162,228 | 452,572 | 289,697 |
| Subtotal | | 3,500,197 | 2,805,033 | 1,768,663 | 1,278,209 |
| Other operating income | 5.13 | 651,440 | 1,660,065 | 127,361 | 263,640 |
| Result from exposure to changes in the purchasing power of the currency | | (4,856,007) | (3,910,359) | (2,595,276) | (1,580,369) |
| Loan loss provisions | | (14,685) | - | (923) | - |
| Net operating income | | (719,055) | 554,739 | (700,175) | (38,520) |
| Personnel expenses | 5.14 | (81,676) | (74,014) | (28,071) | (24,904) |
| Administration expenses | 5.15 | (652,511) | (598,900) | (191,842) | (130,722) |
| Depreciation and impairment of non-financial assets | | (196,958) | (231,940) | (65,653) | (65,652) |
| Other operating expenses | 5.16 | (76,706) | (99,823) | (17,573) | (18,327) |
| Operating income | | (1,726,906) | (449,938) | (1,003,314) | (278,125) |
| Profit of subsidiaries and associates | 5.17 | 20,545,128 | (5,923,037) | 10,520,548 | (834,854) |
| Income before taxes | | 18,818,222 | (6,372,975) | 9,517,234 | (1,112,979) |
| Income tax | | 34,344 | (231,219) | (34,150) | (222,190) |
| Net income for the period | | 18,852,566 | (6,604,194) | 9,483,084 | (1,335,169) |
| | | | | | |
The accompanying notes and schedules are an integral part of the separate condensed interim financial statements.
61
GRUPO SUPERVIELLE S.A.
SEPARATE CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
For the nine and three-month period on September 30, 2023, presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
| Nine-month period ending on | Three-month period ending on | ||
09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | |
NUMERATOR | | | | |
Net income for the year attributable to owners of the parent company | 18,852,566 | (6,604,194) | 9,483,084 | (1,335,169) |
PLUS: Diluting events inherent to potential ordinary shares | - | - | - | - |
Net income attributable to owners of the parent company adjusted by dilution | 18,852,566 | (6,604,194) | 9,483,084 | (1,335,169) |
| | | | |
DENOMINATOR | | | | |
| | | | |
Weighted average of ordinary shares | 442,746 | 456,332 | 442,672 | 455,565 |
PLUS: Weighted average of number of ordinary shares issued with dilution effect, | - | - | - | - |
Weighted average of number of ordinary shares issued of the year adjusted by dilution effect | 442,746 | 456,332 | 442,672 | 455,565 |
| | | | |
Basic Income per share | 42.58 | (14.47) | 21.41 | (2.93) |
Diluted Income per share | 42.58 | (14.47) | 21.41 | (2.93) |
| | | | |
The accompanying notes and schdules are an integral part of the separate condensed interim financial statements.
62
GRUPO SUPERVIELLE S.A.
SEPARATE CONDENSED INTERIM STATEMENT OF COMPREHENSIVE INCOME
For the nine and three-month period on September 30, 2023, presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
| | Nine-month period ending on | Three-month period ending on | ||
| 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 | |
| Net income for the period | 18,852,566 | (6,604,194) | 9,483,084 | (1,335,169) |
| Components of Other Comprehensive Loss to be reclassified to profit or loss | | | | |
| Participation of Other Comprehensive income of associates and joint ventures recorded through the utilization of the participation method | (416,271) | (1,675,778) | (241,426) | 457,966 |
| Income of the year from the participation of Other Comprehensive income of associates and joint ventures recorded through the utilization of the participation method | (416,271) | (1,675,778) | (241,426) | 457,966 |
| Translation difference of Financial Statements | 135,913 | 80,511 | 41,553 | 23,983 |
| Conversion difference for the period | 135,913 | 80,511 | 41,553 | 23,983 |
| Gains or losses on financial instruments at fair value with changes in OCI (Point 4.1.2a of IFRS 9) | 62,814 | (93,641) | (40,142) | 257,986 |
| Loss for the year from financial instrument at fair value through other comprehensive income | 90,655 | (129,471) | (53,831) | 343,984 |
| Income tax | (27,841) | 35,830 | 13,689 | (85,998) |
| Total Other Comprehensive Loss to be reclassified to profit or loss | (217,544) | (1,688,908) | (240,015) | 739,935 |
| Total Other Comprehensive Income | (217,544) | (1,688,908) | (240,015) | 739,935 |
| Total Comprehensive Income | 18,635,022 | (8,293,102) | 9,243,069 | (595,234) |
| | | | | |
The accompanying notes and schdules are an integral part of the separate separate condensed interim financial statements.
63
GRUPO SUPERVIELLE S.A.
SEPARATE CONDENSED INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS´ EQUITY
For the nine-month period ended on September 30, 2023, presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
Items | Capital Stock (Note 9) | Capital Adjustments | Paid in capital | Own shares in portfolio | Comprehensive adjustment of own shares in portfolio | Cost of treasury stock | Legal reserve | Other reserves | Retained earnings | Other comprehensive income | Total shareholders´ equity | ||
Revaluation of PPE | Conversion difference | Earnings or los accrued by financial institutions at FV through profit and loss | |||||||||||
Balance at December 31, 2022 | 444,411 | 18,324,071 | 172,373,396 | 12,311 | 1,678,995 | (2,810,121) | 2,104,588 | 10,491,610 | (16,107,916) | 2,027,251 | 125,631 | (57,516) | 188,606,711 |
Acquisition of own shares | (1,739) | (237,295) | - | 1,739 | 237,295 | (560,254) | - | - | - | - | - | - | (560,254) |
Consideration of results approved by the General Assembly of Shareholders held on April 27, 2023: | | | | | | | | | | | | | |
Reserves release | - | - | (6,321,839) | - | - | - | (2,104,588) | (7,681,489) | 16,107,916 | - | - | - | - |
Net Income for the period | - | - | - | - | - | - | - | - | 18,852,566 | - | - | - | 18,852,566 |
Other comprehensive income for the period | - | - | - | - | - | - | - | - | - | (416,271) | 135,913 | 62,814 | (217,544) |
Balance at September 30, 2023 | 442,672 | 18,086,776 | 166,051,557 | 14,050 | 1,916,290 | (3,370,375) | - | 2,810,121 | 18,852,566 | 1,610,980 | 261,544 | 5,298 | 206,681,479 |
The accompanying notes and schedules are an integral part of the separate financial statements.
64
GRUPO SUPERVIELLE S.A.
SEPARATE CONDENSED INTERIM STATEMENT OF CHANGES IN SHAREHOLDERS´
For the nine-month period ended on September 30, 2023, presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
Items | Capital Stock (Note 9) | Capital Adjustments | Paid in capital | Own shares in portfolio | Comprehensive adjustment of own shares in portfolio | Cost of treasury stock | Legal reserve | Other reserves | Retained earnings | Other comprehensive income | Total shareholders´ equity | ||
Revaluation of PPE | Conversion difference | Earnings or los accrued by financial institutions at FV through profit and loss | |||||||||||
Balance at December 31, 2021 | 456,722 | 20,003,067 | 172,373,394 | - | - | - | 2,104,587 | 16,239,537 | (11,931,086) | 4,734,713 | 1,601 | 48,514 | 204,031,049 |
Acquisition of own shares | (10,139) | (574,466) | - | 10,139 | 574,466 | (1,000,312) | - | - | - | - | - | - | (1,000,312) |
Consideration of results approved by the General Assembly of Shareholders held on April 27, 2022: | | | | | | | | | | | | | |
Reserves release | - | - | - | - | - | - | - | (4,748,712) | 4,748,712 | - | - | - | - |
Distribution of dividends | - | - | - | - | - | - | - | (999,218) | - | - | - | - | (999,218) |
Net Income for the period | - | - | - | - | - | - | - | - | (6,604,194) | - | - | - | (6,604,194) |
Other comprehensive income for the period | - | - | - | - | - | - | - | - | - | (1,675,778) | 80,511 | (93,641) | (1,688,908) |
Balance at September 30, 2022 | 446,583 | 19,428,601 | 172,373,394 | 10,139 | 574,466 | (1,000,312) | 2,104,587 | 10,491,607 | (13,786,568) | 3,058,935 | 82,112 | (45,127) | 193,738,417 |
The accompanying notes and schedules are an integral part of the separate financial statements.
65
GRUPO SUPERVIELLE S.A.
SEPARATE CONDENSED INTERIM STATEMENT OF CASH FLOW
For the nine-month period ended on September 30,2023 presented on comparative basis
(Expressed in thousands of pesos in homogeneous currency)
09/30/2023 | 09/30/2022 | |
---|---|---|
CASH FLOW FROM OPERATING ACTIVITIES | | |
| | |
Net income for the period before Income Tax | 18,818,222 | (6,372,975) |
| | |
Adjustments to obtain flows from operating activities: | | |
Results of associates and join ventures | (20,545,128) | 5,923,037 |
Depreciation and impairment | 196,958 | 231,940 |
Loan loss provisions | 14,685 | - |
Exchange rate difference on gold and foreign currency | (501,191) | (491,562) |
Interests from loans and other financing | (2,452,447) | (1,642,805) |
Result from exposure to changes in the purchasing power of the currency | 4,856,007 | 3,910,359 |
Net income from financial instruments at fair value through profit or loss | (656,978) | (676,343) |
| | |
(Increases) / decreases from operating assets: | | |
Debt Securities at fair value through profit or loss | (473,671) | - |
Other debt securities | 4,385,483 | (1,278,507) |
Financial assets pledged as collateral | (6,539) | - |
Investments in equity instruments | (368,344) | - |
Other assets | 718,397 | 1,428,173 |
| | |
Increases / (decreases) from operating liabilities: | | |
Other liabilities | (91,848) | (769,159) |
Income Tax Payments | (511,439) | (51,016) |
| | |
Net cash provided by / (used in) operating activities (A) | 3,382,167 | 211,142 |
| | |
CASH FLOW FROM INVESTING ACTIVITIES | | |
| | |
Payments: | | |
Dividends paid | - | (999,218) |
Purchase of subsidiaries | (7,186) | (875,354) |
| | |
Collections: | | |
Sale of PPE, intangible assets and other assets | - | 6,543 |
Subsidiary capital reduction | 450,999 | - |
| | |
Net cash used in investing activities (B) | 443,813 | (1,868,029) |
| | |
CASH FLOWS FROM FINANCING ACTIVITIES | | |
| | |
Payments: | | |
Changes in the participation of subsidiaries that do not give rise to loss of control | - | (754,094) |
Repurchase of own shares | (560,254) | (1,000,312) |
Collections: | | |
Dividends collected | 3,409,365 | 3,991,977 |
| | |
Net cash used in financing activities (C) | 2,849,111 | 2,237,571 |
| | |
Effects of exchange rate changes and exposure to changes in the purchasing power of money on cash and cash equivalents (D) | (3,485,783) | (1,203,574) |
Result from exposure to changes in the purchasing power of the currency in cash and equivalents (E) | (869,033) | (2,215,223) |
TOTAL CHANGES IN CASH FLOW | | |
Net increase / (decrease) in cash and cash equivalents (A+B+C+D+E) | 2,320,275 | (2,838,113) |
Cash and cash equivalents at the beginning of the period (Note 2) | 935,090 | 5,013,157 |
Cash and cash equivalents at the end of the period (Note 2) | 3,255,365 | 2,175,044 |
| | |
| | |
The accompanying notes and schedules are an integral part of the separate condensed interim financial statements
66
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
1. | ACCOUNTING STANDARDS AND BASIS OF PREPARATION |
Grupo Supervielle S.A. (hereinafter, “the Group”), is a company whose main activity is the investment in other companies, Its main income is given by the distribution of dividends of such companies and the raising of earnings of other financial assets.
The main investment of the Company accounts for the stake in Banco Supervielle S.A., a financial entity governed pursuant to Law N° 21,526 of Financial Statements and subject to provisions issued by the Argentine Central Bank, in virtue of which the entity has adopted valuation and disclosure guidelines pursuant to provisions included in Title IV, chapter I, Section I, article 2 of the Amended Text 2013 issued by the National Securities Commissions.
These separated condensed interim financial statements have been approved by the Board of Directors of the Company at its meeting held on November 27, 2023.
1.1. | Differences between the accounting framework established by the BCRA and IFRS |
These separated condensed interim financial statements have been prepared pursuant to: (i) provisions set by Intenational Accounting Standards N° 34, “Interim Financial Information” (IAS 34) and (ii) the accouting information framework set by the Argentine Central Bank which is based on International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board and interpretations issued by the International Financial Reporting Standards Interpretation Committee, with the following exceptions:
● | temporary exception to the application of point 5.5. (impairment) of IFRS 9 "Financial Instruments" on debt instruments of the Non-Financial Public Sector. Had IFRS 9 been applied to the debt instruments of the Non-Financial Public Sector, a net reduction in income tax of 739 million and 310 million would have been recorded in the Bank's equity as of September 30, 2023 and December 31, 2022, respectively. |
● | Option to classify holdings in dual bonds at amortized cost or fair value with a counterpart in other comprehensive income: The BCRA allows financial entities to classify said bonds in the three categories available in IFRS 9, based on this option, the Group has decided to classify them within the category of fair value with a counterpart in ORI and at amortized cost. However, according to the contractual characteristics of the instrument, it does not meet the criteria of "only payments of principal plus interest" established in IFRS 9, therefore, in accordance with said standard, the Group should have valued said instruments at fair value with consideration in results. Had IFRS 9 been applied, and the bonds valued at fair value through profit or loss, a reduction net of income tax of 39 million and 406 million would have been recorded in the Bank's equity as of September 30, 2023 and 31 December 2022, respectively. |
In accordance with the provisions of IAS 34, the interim financial information will include an explanation of events and transactions, occurred since the end of the last reporting period, that are significant for understanding the changes in the financial position, performance Group financial statements and cash flow statements with the objective of updating the information corresponding to the latest financial statements for the year ended December 31, 2022 (hereinafter “annual financial statements”). Therefore, these condensed interim consolidated financial statements do not include all the information required by complete financial statements prepared in accordance with International Financial Reporting Standards, therefore, for an adequate understanding of the information included therein, they must be read in conjunction with the annual financial statements.
1.2. | Preparation basis |
These separated financial statements have been prepared applying accounting policies and measurement criteria consistent with those applied by the Group for the preparation of the annual financial statements, except as described in Note 1.1.
The Gruop´s Board has concluded that these financial statements reasonably express the financial position, financial performance and cash flows.
The preparation of financial statements requires that the Group carries out calculations and evaluations that affect the amount of incomes and expenses recorded in the period. In this sense, calculations are aimed at the estimation of, for example, credit risk provisions, useful life of property, plant and equipment, impairments and amortizations, recoverable value of assets, income tax charges and the reasonable value of certain financial instruments. Future real results may defer from calculations and evaluations as of the date of these separate financial statements preparation.
67
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
As of these financial statements issuance date, such statements are pending of transcription to Inventory and Balance Sheet Book.
1.2.1. | Going concern |
As of the date of these separate financial statements there are no uncertainties with respect to events or conditions that may raise doubts regarding the possibility that the Group continues to operate normally as a going concern.
1.2.2. | Measuring unit |
Figures included in these financial statements are expressed in thousands of Argentine pesos, unless otherwise stated.
The Group´s financial statements recognice changes in the currency purchasing power until August 31, 1995. As from such date, in virtue of existing economic stability conditions and pursuant to Communication “A” 2365 issued by the Argentine Central Bank, accounting measurements were not re-expressed until December 31, 2001. In virtue of Communication “A” 3702 issued by the Argentine Central Bank, the application of the method was resumed and became effective on January 1, 2002, Previous accouting measurements were considered to be expressed in the currency as of December 31, 2001.
Pursuant to Communication “A” 3921 issued by the Argentine Central Bank, in compliance with Decree 664/03 issued by the National Executive Power, the application of the re-expression of financial statements in homogeneous currency was interrupted as from March 1, 2003. Therefore, the Group applied said re-expression until February 28, 2003.
In turn, Law N° 27.468 (B.O. 04/12/2018) amended article 10° of Law N° 23,928 and its amendments, thus establishing that the abolition of all legal and regulating standards that set and authorize price indexing, monetary updating, cost changes or any other manner of re-increasing debts, taxes, prices or fees for goods, works or services does not include financial statements, regarding which the application of article 62 of the General Corporations Law N° 19550 (T.O 1984) and its amendments shall prevail. Likewise, the aforementioned legal body set de abolition of Decree N° 1269/2002 dated on July 16, 2002 and its amendments and instructed the National Executive Power, through its controlling agencies, to set the date as from which said regulations became into effect in relation with financial statements to be submitted. Therefore, on February 22, 2019, the Argentine Central Bank issued Communication “A” 6651 which established that financial statements shall be prepared in a homogeneous currency as from January 1, 2020. Therefore, these financial statements have been re-expressed as of September 30, 2023.
1.2.3. | Comparative information |
The balances for the year ended December 31, 2022 and for the three-month period ended September 30, 2022 that are disclosed in these financial statements for comparative purposes arise from the financial statements as of such dates, which were prepared with the regulations in force in said year/period.
It´s worth mentioning that, given the restatement of financial statements pursuant to IAS 29 and the provisions of Communication “A” 7211, the Group adjusted for inflation the figures included in the Statement of Financial Position, Income Statement, Other Comprehensive Income and Changes in the Shareholders’ Equity Statement and respective notes as of September 30, 2022 and December 31, 2022 in order to record them in homogeneous currency.
1.2.4. | Changes in accounting policies and new accounting standards |
With the approval of new IFRS, modifications or derogations of the standards in force, and once such changes are adopted through Adoption Bulletins issued by Federación Argentina de Consejos Profesionales en Ciencias Económicas (FACPCE), the Argentine Central Bank will determine the approval of such standards for financial entities, In general terms, no anticipated IFRS application shall be allowed unless upon adoption such anticipated measure is specified.
The following are changes that were made effective over the course of the quarter ended on September 30, 2023:
(a) | IFRS 17 “Insurance contracts” |
On May 18, 2017, IASB issued IFRS 17 “Insurance contracts” which provides a comprehensive framework based on principles for measurement and presentation of all insurance contracts. The new rule will supersede IFRS 4 Insurance contracts and requires that insurance contracts be measured using cash flows of existing enforcement and that income be recognized as the service is rendered during the coverage period. The standard will come into force for the fiscal years beginning as from January 1, 2023.
68
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
The Group evaluated that there will be no significant impact from the application of this standard.
(b) | Amendments to IAS 1 “Presentation of Financial Statements”, IFRS Practice Statement 2 and IAS 8 “Accounting Policies, changes in accounting estimates and errors” |
The IASB amended IAS 1, “Presentation of Financial Statements”, to require companies to disclose material accounting policy information rather than significant accounting policy information. The amendment also clarifies that accounting policy information is expected to be material or of relative importance if, without it, users of the financial statements would be unable to understand other material information, or of relative importance, in the financial statements concerning significant accounting standards. To support this amendment, the Board also amended IFRS Practice State 2, “Making Materiality Judgments”, to provide guidance on how to apply the concept of materiality to accounting policy disclosures.
The amendment to IAS 8, “Accounting Policies, Changes in Accounting Estimates and Errors”, helps to distinguish between changes in accounting policies from changes in accounting estimates. This distinction is important because changes in accounting estimates are applied prospectively to future transactions and other future events, but changes in accounting policies are generally applied retrospectively to past transactions and other past events as well as to those of the current period.
The Group evaluated that there will be no significant impact from the application of this standard.
(c) | Amendments to IAS 12 Deferred tax related to assets and liabilities arising from a single transaction |
These amendments establish that deferred taxes arising from a single transaction that, on initial recognition, give rise to taxable and deductible temporary differences of the same value shall be recognized. This will generally apply to transactions such as leases (for lessees) and decommissioning or remediation obligations, where the recognition of deferred tax assets and liabilities will be required. These amendments shall be applied to transactions that occur on or after the beginning of the earliest comparative period presented. Likewise, deferred tax assets (to the extent that it is probable that they can be used) and deferred tax liabilities shall be recognized at the beginning of the earliest comparative period for all deductible or taxable temporary differences associated with:
-Right-of-use assets and lease liabilities, and
-Decommissioning, restoration and similar liabilities and the corresponding amounts recognized as part of the cost of the related asset.
The cumulative effect of initially applying the amendments is recognized as an adjustment to the opening balance of retained earnings (or other component of equity, as appropriate) at that date.
Previously, IAS 12 did not establish any particular accounting treatment for the tax effects of leases that were recognized on the balance sheet and for similar transactions, so different approaches were considered acceptable. Entities that are already recognizing deferred taxes on these transactions will not have an impact on their financial statements.
The Group evaluated that there will be no impact from the application of this standard.
The changes that have not entered into force as of September 30, 2023, are set out below:
(a) Amendments to IAS 16 – Leases
These amendments include requirements for sale and leaseback transactions in IFRS 16 to explain how an entity accounts for a sale and leaseback after the transaction date. Sale and leaseback transactions where some or all of the lease payments are variable lease payments that do not depend on an index or rate are most likely to be impacted.
The amendments will be effective for the annual periods beginning on or after January 1, 2024.
Grupo Supervielle is currently evaluating the impact that this amendment may have on its consolidated financial statements.
(b) Amendments to IAS 1 – Non-current assets with covenants.
These amendments clarify how conditions with which an entity must comply within twelve months after the reporting period affect the classification of a liability.
The amendments will be effective for the annual periods beginning on or after January 1, 2024.
69
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
Grupo Supervielle is currently evaluating the impact that this amendment may have on its consolidated financial statements.
(c) Amendments to IAS 21 - Lack of Interchangeability
The amendments establish a two-step approach to assess whether a currency can be exchanged for another currency and, when this is not possible, determine the exchange rate to be used and the information to be disclosed.
The modifications will be effective for the years beginning on January 1, 2025 and, although international standards allow their early application, RG N°972/23 of the C.N.V. does not allow it.
The Group is currently evaluating the impact that this modification may have on its consolidated financial statements.
1.2.5. | Impairment of financial assets |
The Group evaluates, based on a prospective approach, expected credit losses (“ECL”) related to financial assets rated at amortized cost or fair value with changes in another comprehensive income, the exposure resulting from loan commitments and financial guarantee contracts with the scope set by Communication “A” 6847 issued by the Argentine Central Bank.
The Group measures ECL of financial instruments reflecting the following:
IFRS 9 sets forth the following “Three stages” model for the impairment based on changes in the credit quality from initial recognition:
The following chart summarizes the impairment requirements pursuant to IFRS 9 (for financial assets that do not entail impairment on credit value, either purchased or produced:
Changes in the credit quality since initial recognition | ||
Stage 1 | Stage 2 | Stage 3 |
(initial recognition) | (Significant increase of credit risk since initial recognition) | (Impaired credit) |
12 months ECL | Lifetime ECL |
70
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
There have been no significant changes in the judgments and key assumptions adopted by the Group for the measurement of PCE, with respect to what was reported in the financial statements as of December 31, 2022.
1.3. | Critical accounting policies and estimates |
The preparation of consolidated financial statements pursuant to the accouting framework set by the Argentine Central Bank requires the utilization of certain key accouting forecasts. Likewise, such framework requires that the Senior Management takes decisions regarding the application of accounting standards set by the Argentine Central Bank and accounting policies of the Group.
The Group has identified the following areas that entail a higher judgement and complexity degree, or areas where assumptions and forecasts play a significant role for consolidated financial statements which play a key role in the understanding of underlying accounting/financial accouting reporting risks:
(a) | Fair value of derivatives and other instruments |
The fair value of financial instruments that do not list in cative markets are defined through the utilization of valuation techniques. Such techniques are validated and regularly reviewed by qualified independent personnel of the area that developed such technqiues. All models are evaluated and adjusted before being utilized in order to make sure that results express current information and comparative market prices. Where possible, models only use observable information; however, certain factors, such as implied rates in the last available bidding for similar securities and spot rate curves, require the use of estimates. Changes in assumptions regarding such factors may impact on the fair value reported for financial instruments
(b) | Allowances for loan losses and advances |
The Group recognizes the allowance for loan losses under the expected credit loss method included in IFRS 9. The most significant judgements of the model relate to defining what is considered to be a significant increase in credit risk and in making assumptions and estimates to incorporate relevant information about past events, current conditions and forecasts of economic conditions. The impact of the forecasts of economic conditions are determined based on the weighted average of three internally developed macroeconomic scenarios that take into consideration the Group´s economic outlook as derived through forecast macroeconomic variables, which include Inflation rate, monthly economic activity estimator and private sector wage. A high degree of uncertainty is involved in making estimations using assumptions that are highly subjective and very sensitive to the risk factors.
Note 1.2 to the consolidated condensed interim financial statements provides more detail of how the expected credit loss allowance is measured.
(c) | Impairment of non-financial assets |
Intangible assets with finite lives and property, plants and equipment are amortized or depreciated along their useful lives in a lineal manner. The Group monitores the conditions related to these assets to determine whether events and circumstances justify a review of the amortization and remaining depreciation period and whether there are factors or circumstances that imply an impairment in the value of assets that cannot be recovered.
The Group has applied the judgement in the identification of impairment indicators for property, plant and equipment and intangible assets. The Group has determined that there were no indications of impairment for any of the periods presented in its financial statement; therefore, no recoverable value has been estimated, except for certain real property that, due to the post-pandemic macro context and a devaluation of the dollar well below inflation, generated deterioration.
(d) | Income tax and deferred tax |
A significant judgement is required to determine liabilities and assets from current and deferred taxes, The current tax is provisioned in accordance with the amounts expected to be paid and the deferred taz is provisioned over temporary differences between tax basis of assets and liabilities and book values to aliquots expected to be in force when reversing them.
Assets from deferred tax are recognized upon the possibility of relying on future taxable earnings against which temporary differences can be utilized, based on the Senior Management´s assumptions regarding amounts and opportunities of future
71
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
taxable earnings, Later, it is necessary to determine whether assets from deferred tax are likely to be utilized and set off future taxable earnings, Real results may differ from estimates, such as changes in tax legislation or the result of the final review of affidavits issued by tax authorities and tax courts.
Likely future tax earnings and the number of tax benefits are based on a medium term business plan prepared by the administration. Such plan is based on reasonable expactations.
2. | CASH AND DUE FROM BANKS |
Cash and equivalents are considered to be the total of the item Cash and Due from Banks and Investments with maturity up to 90 days from the date of their acquisition or constitution, according to the following detail:
| 09/30/2023 | 12/31/2022 | 09/30/2022 | 12/31/2021 |
Cash and due from banks | 731,901 | 734,725 | 1,027,239 | 1,725,986 |
Other financial assets | 1,527,228 | 200,365 | 479,847 | 3,287,171 |
Other debt securities | 996,236 | - | 667,958 | - |
Cash and cash equivalents | 3,255,365 | 935,090 | 2,175,044 | 5,013,157 |
Reconciliation between the balances of the Statement of Financial Position and those items considered cash equivalents in the Cash Flow Statement:
Item | 09/30/2023 | 12/31/2022 | 09/30/2022 | 12/31/2021 |
---|---|---|---|---|
Cash and due from Banks | | | | |
As per Statement of Financial Position | 731,901 | 734,725 | 1,027,239 | 1,725,986 |
As per the Statement of Cash Flows | 731,901 | 734,725 | 1,027,239 | 1,725,986 |
Other financial assets |
|
|
|
|
As per Statement of Financial Position | 1,531,154 | 717,113 | 570,184 | 4,696,858 |
Other financial assets not considered as cash equivalents | (3,926) | (516,748) | (90,337) | (1,409,687) |
As per the Statement of Cash Flows | 1,527,228 | 200,365 | 479,847 | 3,287,171 |
Other debt securities |
|
|
|
|
As per Statement of Financial Position | 4,254,880 | 4,458,733 | 5,777,275 | 1,641,133 |
Other financial assets not considered as cash equivalents | (3,258,646) | (4,458,733) | (5,109,317) | (1,641,133) |
As per the Statement of Cash Flows | 996,236 | - | 667,958 | - |
3. | FAIR VALUES |
Fair value is defined as the amount by which an asset may be exchanged or a liability may be settled, in an arm’s length orderly transaction between knowledgeable principal market participants (or more advantageous) at the date of measurement of the current market conditions regardless of whether such price is directly observable or estimated utilizing a valuation technique under the assumption that the Group is a going concern.
When a financial instrument is sold in a liquid and active market, its settled price in the market in a real transaction provides the best evidence of its fair value. When a stipulated price is not settled in the market or when it cannot be an indicator of a fair value of the instrument, in order to determine such fair value, another similar instrument’s fair value may be used, as well as the analysis of discounted flows or other applicable techniques. Such techniques are significantly allocated by the assumptions used.
The Group classifies the fair values of the financial instruments into 3 levels, according to the quality of the data used for their determination.
Fair Value level 1: The fair value of financial instruments traded in active markets (such as publicly traded derivatives, debt securities or available for sale) is based on market quoted prices as of the date of the reporting period, If the quote price is available and there is an active market for the instrument, it will be included in level 1.
Fair Value level 2: The fair value of financial instruments which are not traded in active markets, such as over-the-counter derivatives, is determined using valuation techniques that maximize the use of observable market data and rely the least possible on the Group’s specific estimates, If all significant inputs required to fair value a financial instrument are observable, such instrument is included in level 2.
72
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
Fair Value level 3: If one or more significant inputs are not based on observable market data, the instrument is included in level 3.
The portfolio of financial instruments valued at fair value held by the Group is detailed below, at the end of the period ended September 30, 2023, and December 31, 2022:
Portfolio of instruments at 09/30/2023 | FV Level 1 | FV Level 2 | FV Level 3 | Total |
Assets | | | | |
Debt Securities at fair value through profit or loss | - | 473,671 | - | 473,671 |
Other financial assets | 1,386,489 | 1,734,469 | - | 3,120,958 |
Investments in equity instruments | 368,344 | - | - | 368,344 |
Other financial assets | 1,531,154 | - | - | 1,531,154 |
Total Assets | 3,285,987 | 2,208,140 | - | 5,494,127 |
Portfolio of instruments at 12/31/2022 | FV Level 1 | FV Level 2 | FV Level 3 | Total |
Assets | | | | |
Other Debt securities | 4,458,733 | - | - | 4,458,733 |
Other financial assets | 717,113 | - | - | 717,113 |
Total Assets | 5,175,846 | - | - | 5,175,846 |
Fair Value of Other Financial Instruments
The following chart includes a comparison between the fair value and the accounting value of financial instruments not recorded at fair value as of September 30, 2023 and December 31, 2022
Other Financial Instruments as of 09/30/2023 | Accounting value | Fair value | FV Level 1 | FV Level 2 | FV Level 3 |
Financial Assets |
|
|
|
|
|
Cash and due from banks | 731,901 | 731,901 | 731,901 | - | - |
Other Debt securities | 1,133,922 | 1,104,765 | 1,104,765 | - | - |
Total Assests | 1,865,823 | 1,836,666 | 1,836,666 | - | - |
Other Financial Instruments as of 12/31/2022 | Accounting value | Fair value | FV Level 1 | FV Level 2 | FV Level 3 |
Financial Assets |
|
|
|
|
|
Cash and due from banks | 734,725 | 734,725 | 734,725 | - | - |
Total Assests | 734,725 | 734,725 | 734,725 | - | - |
73
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
4. | INVESTMENT IN SUBSIDIARIES AND ASSOCIATES |
Subsidiary | Class | Market Value/Nominal | Number | Issuers’ last Financial Statements | Book value at 09.30.2023 | Book value at 12.31.2022 | |||
Main Activity | Capital Stock | Shareholders’ equity | |||||||
Banco Supervielle S.A. | Ord. | 1 | 805,533,007 | Commercial Bank | 829,564 | 112,974,159 | 155,629,684 | 141,841,536 | |
IUDÚ Compañia Financiera S.A | Ord. | 1 | 46,561,140 | Financial Company | 931,223 | 11,956,700 | 799,524 | 778,331 | |
Sofital S.A.F.e.I.I. | Ord. | 1 | 20,854,642 | Financial operations and administration of securities | 21,544 | 5,351,747 | 4,819,869 | 4,413,785 | |
Tarjeta Automática S.A. | Ord. | 1 | 10,720,696 | Credit Cards | 136,509 | 599,625 | 61,766 | 63,752 | |
Supervielle Asset Management S.A. | Ord. | 1 | 1,336,915 | Mutual Fund Management | 1,407 | 1,359,232 | 2,327,652 | 2,468,296 | |
Espacio Cordial de Servicios S.A. | Ord. | 1,000 | 1,273 | Trading of products and services | 1,340 | 457,306 | 612,060 | 408,971 | |
Supervielle Seguros S.A. | Ord. | 1 | 1,543,750 | Insurance company | 1,625 | 4,414,087 | 5,917,355 | 5,539,659 | |
FF Fintech SUPV I | Ord. | - | 304,743,797 | Financial Trust | 118,482 | 300,832 | 504,991 | 588,738 | |
Micro Lending S.A.U. | Ord. | 1 | 132,223,770 | Commercial Bank | 132,224 | 868,872 | 692,769 | 1,257,490 | |
Invertir Online | InvertirOnline S,A,U | Ord, | 100 | 2,438 | Settlement and Clearing Agent | 244 | 155,629,684 | 2,361,300 | 517,514 |
Portal Integral de Inversiones S,A,U | Ord, | 0,01 | 80,451,077 | Representations | 805 | 13,965 | |||
IOL Holding S,A, | Ord, | 1 | 30,177,500 | Financial Company | 108,058 | 152,842 | 171,351 | 207,521 | |
Supervielle Productores Asesores de Seguros S.A. | Ord, | 1 | 58,667,291 | Insurance Broker | 61,599 | 190,470 | 308,558 | 143,942 | |
Supervielle Agente de Negociación S.A.U. | Ord, | 1,000 | 55,027 | Settlement and Clearing Agent | 55,027 | 570,661 | 885,239 | 720,388 | |
Dólar IOL S.A.U. | Ord, | 3,000 | 1,500 | Services and exchange agency | 4,500 | 7,323 | 7,323 | 10,523 | |
Total Investments in subsidiaries, associates and joint ventures | 175,099,441 | 158,960,446 |
74
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
5. | COMPOSITION OF THE MAIN ITEMS OF THE SEPARATE STATEMENT OF COMPREHENSIVE INCOME |
| 09/30/2023 | 12/31/2022 |
| | |
5.1 Cash and due from banks | | |
Financial institutions and correspondents | 731,901 | 734,725 |
| 731,901 | 734,725 |
5.2 Debt Securities at fair value through profit or loss | | |
Public securities | 473,671 | - |
| 473,671 | - |
| | |
5.3 Other financial assets | | |
Investments in mutual funds | 1,527,228 | 613,795 |
Debtors for cash operations to be settled | - | 97,718 |
Other investments | - | 5,600 |
Miscellaneous Debtors | 3,926 | - |
| 1,531,154 | 717,113 |
5.4 Other debt securities | | |
| 1,935,030 | - |
Public securities | 2,319,850 | 4,458,733 |
Unsubordinated debt securities | 4,254,880 | 4,458,733 |
| | |
5.5 Financial assets pledged as collateral | | |
Deposits in guarantee | 6,539 | - |
| 6,539 | - |
| | |
5.6 Investments in equity instruments | | |
Public securities | 368,344 | - |
| 368,344 | - |
5.7 Investments in subsidiaries. associates and joint ventures | | |
Banco Supervielle S.A. | 155,629,684 | 141,841,536 |
IUDÚ Compañia Financiera S.A | 799,524 | 778,331 |
Sofital S.A.F. e I.I. | 4,819,869 | 4,413,785 |
Tarjeta Automática S.A. | 61,766 | 63,752 |
Supervielle Asset Management S.A. | 2,327,652 | 2,468,296 |
Espacio Cordial de Servicios S.A. | 612,060 | 408,971 |
Supervielle Seguros S.A. | 5,917,355 | 5,539,659 |
FF Fintech SUPV I | 504,991 | 588,738 |
Micro Lending S.A.U | 692,769 | 1,257,490 |
Invertir Online S.A.U e Portal Integral de Inversiones S.A.U. | 2,361,300 | 517,514 |
Supervielle Broker de Seguros S.A. | 308,558 | 143,942 |
Supervielle Agente de Negociación S.A.U. | 885,239 | 720,388 |
Dólar IOL S.A.U. | 7,323 | 10,523 |
IOL Holding S.A. | 171,351 | 207,521 |
| 175,099,441 | 158,960,446 |
5.8 Intangible Assets | | |
Goodwill – Businness combination | 19,907,972 | 19,907,972 |
Relations with clients | 2,779,292 | 2,976,250 |
Brand | 1,194,619 | 1,194,619 |
| 23,881,883 | 24,078,841 |
5.9 Other non-financial assets | | |
Retirement insurance | 194,728 | 198,712 |
Other non-financial assets | 98,748 | 27,743 |
| 293,476 | 226,455 |
| | |
5.10 Other non-financial liabilities | | |
Compensation and social charges payable | 18,339 | 12,570 |
Miscellaneous creditors | 461,171 | 558,789 |
| 479,510 | 571,359 |
75
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
| Nine-month period ended | Three-month period ended | ||
---|---|---|---|---|
| 09/30/2023 | 09/30/2022 | 09/30/2023 | 09/30/2022 |
5.11. Interest income | | | | |
Earned interests | 41 | 562 | 13 | 8 |
Interest earned on Fixed Term Deposits | 293,537 | 185,961 | 133,747 | - |
Profit by government securities measure at amortized cost | 1,419,794 | 1,456,282 | 443,256 | 988,504 |
Profit by Public Securities operations | 739,075 | - | 739,075 | - |
| 2,452,447 | 1,642,805 | 1,316,091 | 988,512 |
| | | | |
| | | | |
5.12. Net from financial instruments at fair value through profit or loss | | | | |
Holding Result - CIF | 507,814 | 676,343 | 93,446 | 94,729 |
Holding Result - Private securities | 58,615 | - | 58,615 | - |
Holding Result - Stock exchange promissory note | 90,549 | - | 90,549 | - |
| 656,978 | 676,343 | 242,610 | 94,729 |
5.13. Other operating income | | | | |
Subsidiaries’ advisory fees | 457,978 | 809,005 | 50,259 | 222,784 |
Royalties | 484 | 5,024 | 125 | 1,386 |
Other income | - | 754,093 | - | - |
Revaluation of retirement insurance contributions | 130,600 | 72,140 | 60,397 | 31,121 |
Foreign source commissions | 62,378 | 19,803 | 16,580 | 8,349 |
| 651,440 | 1,660,065 | 127,361 | 263,640 |
5.14. Personnel expenses | | | | |
Personnel expenses | 81,676 | 74,014 | 28,071 | 24,904 |
| 81,676 | 74,014 | 28,071 | 24,904 |
5.15. Administration expenses | | | | |
Bank expenses | 405 | 906 | 150 | 236 |
Professional fees | 186,596 | 182,259 | 36,286 | 22,923 |
Fees to directors and syndics | 363,120 | 301,386 | 128,527 | 80,104 |
Taxes. rates and contributions | 21,014 | 29,549 | 5,905 | 9,637 |
Insurance | - | 424 | - | - |
Expenses and office services | 11,245 | 13,749 | 2,274 | 2,738 |
Other expenses | 70,131 | 70,627 | 18,700 | 15,084 |
| 652,511 | 598,900 | 191,842 | 130,722 |
5.16. Other operating expenses | | | | |
Turnover tax from Service Activities | 22,923 | 40,701 | 2,519 | 11,209 |
Turnover tax from Financial Activities | 53,762 | 48,224 | 15,054 | 7,118 |
Tax Bs. Personal Shares and Participations Soc | - | 10,865 | - | - |
Compensatory interest | 21 | 33 | - | - |
| 76,706 | 99,823 | 17,573 | 18,327 |
5.17. Results from associates and joint ventures | | | | |
Results from equity investment in Banco Supervielle S.A | 14,204,417 | (6,213,352) | 7,993,302 | (407,256) |
Results from equity investment in IUDÚ Compañía Financiera S.A. | 21,193 | (501,746) | 8,893 | (1,182,508) |
Results from equity investment in Tarjeta Automática S.A. | 270,611 | (777,491) | 271,311 | (14,065) |
Results from equity investment in Supervielle Asset Management S.A. | 2,057,719 | 1,316,337 | 586,741 | 204,635 |
Results from equity investment in Espacio Cordial de Servicios S.A. | 203,090 | (291,105) | 121,906 | 54,709 |
Results from equity investment in Supervielle Seguros S.A. | 1,056,208 | 1,176,891 | 243,112 | 645,696 |
Results from equity investment in Sofital S.A.F. e I.I. | 562,557 | (335,442) | 244,758 | (152,976) |
Results from equity investment in Micro Lending S.A.U. | 262,296 | 160,741 | (115,285) | (59,187) |
Results from equity investment in InvertirOnline S.A. e Portal Integral de Inversiones S.A. | 1,843,787 | (375,183) | 1,069,403 | 37,256 |
Results from equity investment in FF Fintech S.A. | (90,933) | 74,535 | (25,782) | 113,339 |
Results from equity investment in Supervielle Productores Asesores de Seguros S.A. | 164,615 | (4,377) | 63,983 | (19,023) |
Results from equity investment in Supervielle Agente de Negociación S.A.U. | 164,851 | (2,950) | 115,865 | (8,156) |
Results from equity investment in Dólar IOL S.A.U. | (3,200) | (9,417) | (2,550) | (2,482) |
Results from equity investment in IOL Holding S.A. | (172,083) | (140,478) | (55,109) | (44,836) |
| 20,545,128 | (5,923,037) | 10,520,548 | (834,854) |
76
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
6. | RESTRICTED ASSETS |
As of September 30, 2023, and December 31, 2022, the Group does not hold restricted assets,
7. | COMPANIES UNDER SECT, 33 OF CORPORATE LAW AND OTHER RELATED COMPANIES |
As of September 30, 2023 and December 31, 2022, corporations where Grupo Supervielle S.A. holds direct or indirect shares, and with which it consolidates its Financial Statements are the following:
Company | Condition | Legal Adress | Principal Activity | Percentage of direct participation | Percentage of direct and indirect participation | ||
---|---|---|---|---|---|---|---|
09/30/2023 | 12/31/2022 | 09/30/2023 | 12/31/2022 | ||||
Banco Supervielle S.A. (1) | Controlled | Reconquista 330, C.A.B.A., Argentina | Commercial Bank | 97.10% | 97.10% | 99.90% | 99.90% |
IUDÚ Compañia Financiera S.A | Controlled | Reconquista 320, 1st floor, C.A.B.A., Argentina | Financial Company | 5.00% | 5.00% | 99.90% | 99.90% |
Tarjeta Automática S.A. | Controlled | Bartolomé Mitre 434, 5th floor C.A.B.A., Argentina | Credit Card and Consumer Loans | 7.85% | 7.85% | 99.91% | 99.91% |
Supervielle Asset Management S.A. | Controlled | San Martín 344, C.A.B.A., Argentina | Asset Management Company | 95.00% | 95.00% | 100.00% | 100.00% |
Sofital S.A.F. e I.I. | Controlled | Bartolomé Mitre 434, 16th floor C.A.B.A., Argentina | Financial operations and administration of marketable securities | 96.80% | 96.80% | 100.00% | 100.00% |
Espacio Cordial de Servicios S.A. | Controlled | Patricias Mendocinas 769 - Mendoza – Argentina (2) | Trading of products and services | 95.00% | 95.00% | 100.00% | 100.00% |
Supervielle Seguros S.A | Controlled | San Martin 344, C.A.B.A., Argentina | Insurance company | 95.00% | 95.00% | 100.00% | 100.00% |
Micro Lending S.A.U. | Controlled | Bartolomé Mitre 434, C.A.B.A., Argentina (3) | Financial Company | 100.00% | 100.00% | 100.00% | 100.00% |
Invertir Online S.A.U. | Controlled | Humboldt 1550, 2nd floor, department 201, C.A.B.A., Argentina | Settlement and Clearing Agent | 100.00% | 100.00% | 100.00% | 100.00% |
Portal Integral de Inversiones S.A.U. | Controlled | San Martín 344, 15th floor, C.A.B.A., Argentina | Representations | 100.00% | 100.00% | 100.00% | 100.00% |
IOL Holding S.A. | Controlled | Treinta y tres 1271, Montevideo, Uruguay | Financial Company | 99.99% | 99.99% | 100.00 | 100.00 |
Supervielle Productores Asesores de Seguros S.A. | Controlled | Reconquista 320, 1st floor, C.A.B.A., Argentina | Insurance Broker | 95.24% | 95.24% | 100.00% | 100.00% |
Bolsillo Digital S.A.U. | Controlled | Bartolomé Mitre 434, 5th floor. C.A.B.A., Argentina (4) | Computer Services | - | - | 100.00% | 100.00% |
Supervielle Agente de Negociación S.A.U. | Controlled | Bartolomé Mitre 434, 5th floor. C.A.B.A., Argentina (5) | Settlement and Clearing Agent | 100.00% | 100.00% | 100.00% | 100.00% |
Dólar IOL S.A.U. | Controlled | San Martin 344, 16th floor, Buenos Aires | Services and exchange agency | 100.00% | 100.00% | 100.00% | 100.00% |
77
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
(1) | Grupo Supervielle S.A.’s direct and indirect interest in Banco Supervielle votes amounts to 99,87% as of 09/30/23 and 12/31/22 |
(2) | On October 21, 2021, through the Board of Directors Minutes, the change of address of the Company's headquarters was resolved, fixing it at Avda. Gral. San Martín 731, 1st floor, in the City of Mendoza. It is pending registration in the IGJ |
(3) | On May 31, 2023, by Board Minutes, the change of address of the Company's headquarters was resolved, setting it at San Martin 344, 16th floor of the Autonomous City of Buenos Aires. It is pending registration in the IGJ |
(4) | On May 31, 2023, the Board of Directors Assembly discussed the change of headquarters of the Company currently located at Bartolomé Miter 434, floor 5, of the Autonomous City of Buenos Aires, setting it at San Martin 344, floor 16 of the Autonomous City of Buenos Aires. It is pending registration in IGJ |
(5) | On June 29, 2023, the Board of Directors Assembly discussed the change of headquarters of the Company currently located at Bartolomé Miter 434, floor 5, of the Autonomous City of Buenos Aires, setting it at San Martin 344, floor 16 of the Autonomous City of Buenos Aires. It is pending registration in IGJ. |
The capital movements of the subsidiaries carried out during 2022 and 2023 expressed in pesos are detailed below:
In accordance with the resolutions of the Board of Directors dated January 28, 2022, Grupo Supervielle S.A. made an irrevocable capital contribution on account of future increases to IUDÚ Compañía Financiera S.A of $25,000,000 through the issuance of 1,762,666 common, registered, non-endorsable shares with a par value of $1 each and with the right to 1 vote per share, with an issue premium of $13.18306021 per share.
In accordance with the resolutions of the Board of Directors dated February 25, 2022, Grupo Supervielle S.A. and Banco Supervielle S.A, made irrevocable capital contributions to IUDÚ Compañía Financiera S.A. for $12,500,000 and $237,500,000, respectively, increasing the capital stock by $19,312,748, through the issuance of 19,312,748 new shares (with an issue premium of $11.94481738 per share).
In accordance with the resolutions of the Board of Directors dated March 30, 2022, Grupo Supervielle S.A. and Banco Supervielle S.A. made irrevocable capital contributions on account of future increases to IUDÚ Compañía Financiera S.A of $62,500,000 and $1,187,500.00 respectively, increasing the capital stock in the amount of $113,825,361 through the issuance of 113,825,361 common, registered shares , non-endorsable with par value of $1 each and with the right to 1 vote per share, with an issue premium of $9.98173543 per share. Said contributions were capitalized in the Assembly held on September 16, 2022.
In accordance with the resolution of the Board of Directors dated February 25, 2022 and March 30, 2022, IUDÚ Compañía Financiera S.A. has made irrevocable capital contributions to Tarjeta Automática S.A. for $150,000,000 each, increasing the capital stock in the amount of $67,776,590 through the issuance of 67,776,590 common, nominative, non-endorsable shares with a par value of $1 each and with the right to 1 vote per share, with an issuance premium of $3,42630703 per share. Based on these contributions, the direct ownership of Grupo Supervielle in Tarjeta Automática S.A. it went from 87.5% to 13.40%. Because of this transaction, Grupo Supervielle S.A. recorded a profit of 236,118 thousand pesos in its separate financial statements.
In accordance with the resolutions of the Board of Directors dated June 27, 2022, Grupo Supervielle S.A. and Banco Supervielle S.A. made irrevocable capital contributions on account of future increases to IUDÚ Compañía Financiera S.A of $50,000,000 and $950,000.00 respectively, increasing the capital stock in the amount of $103,701,474 through the issuance of 103,701,474 common, registered shares , non-endorsable with par value of $1 each and with the right to 1 vote per share, with an issue premium of $8.64306455 per share. Said contributions were capitalized in the Assembly held on September 16, 2022.
As resolved by the Board of Directors on June 27, 2022, IUDÚ Compañía Financiera S.A. has made an irrevocable capital contribution to Tarjeta Automática S.A. for $250,000,000 increasing the capital stock in the amount of $56,480,492 through the issuance of 56,480,492 common, registered, non-endorsable shares with a par value of $1 each and with the right to 1 vote per share, with a premium issue of $3,426307 per share. From said contribution, the direct ownership of Grupo Supervielle in Tarjeta Automática S.A. it went from 13.40% to 7.85%.
In accordance with the resolutions of the Board of Directors dated July 8, 2022, Grupo Supervielle S.A. made a capital contribution to IOL Holding S.A. for the sum of US$ 200,000 to be applied to working capital and investments. Said contributions will be capitalized in the next Assembly to be held.
In accordance with the resolutions of the Board of Directors dated August 16, 2022, Grupo Supervielle S.A. made an irrevocable capital contribution to InvertirOnline S.A.U of $70,165,000 through the issuance of 38 common, registered, non-endorsable shares with a nominal value of $100 each and with the right to 5 votes per share, with an issue premium of $1,846 ,347.37 per share.
In accordance with the resolutions of the Board of Directors dated August 30, 2022, Grupo Supervielle S.A. and Banco Supervielle S.A. made irrevocable capital contributions on account of future increases to IUDÚ Compañía Financiera S.A of $37,500,000 and $712,500.00 respectively, increasing the capital stock in the amount of $82,428,856 through the
78
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
issuance of 82,428,856 common, registered shares , non-endorsable with par value of $1 each and with the right to 1 vote per share, with an issue premium of $8.09875547 per share. Said contributions were capitalized in the Assembly held on September 16, 2022.
In accordance with the resolutions of the Board of Directors dated September 28, 2022, Grupo Supervielle S.A. and Banco Supervielle S.A. made irrevocable capital contributions on account of future increases to IUDÚ Compañía Financiera S.A of $12,500,000 and $237,500.00 respectively, increasing the capital stock in the amount of $27,476,285 through the issuance of 27,476,285 common, registered shares , non-endorsable with par value of $1 each and with the right to 1 vote per share, with an issue premium of $8.09875547 per share. These contributions were capitalized at the meeting held on March 27, 2023.
As resolved by the Board of Directors on February 23, 2023, Banco Supervielle S.A. made an irrevocable capital contribution to Bolsillo Digital S.A.U. for the sum of $100,000,000, through the issuance of 100,000,000 non-endorsable registered ordinary shares of $1 par value each and with the right to 1 vote per share. Said contribution was capitalized in the Pocket Assembly dated April 17, 2023.
As resolved by the Board of Directors on June 28, 2023, Banco Supervielle S.A. made an irrevocable capital contribution to Bolsillo Digital S.A.U. for the sum of $75,000,000, through the issuance of 75,000,000 non-endorsable registered ordinary shares of $1 par value each and with the right to 1 vote per share. This contribution was capitalized in the Pocket Meeting held on July 14, 2023.
In accordance with the resolution of the Extraordinary Assembly minutes of Micro Lending S.A.U., held on July 28, 2023, the voluntary reduction of the share capital was resolved for up to the sum of $111,756,079 along with its corresponding proportion of the capital adjustment account for the sum of $288,243,921.
According to what was mentioned in note 15 to the condensed interim consolidated financial statements, once the merger between Banco Supervielle S.A., IUDÚ Compañía Financiera S.A. was completed. and Tarjeta Automática S.A., the participation of Grupo Supervielle S.A. at Banco Supervielle S.A. will be 97.1198%.
The financial situation and net results of the controlled companies were as follows, according to the respective financial statements of each subsidiary:
As of September 30, 2023 – In thousands of pesos | ||||
Company | Assets | Liabilities | Shareholders’ equity | Net income |
Banco Supervielle S.A. (1) | 1,239,100,348 | 1,077,964,286 | 160,274,675 | 14,559,131 |
IUDÚ compañía Financiera S.A(1) | 17,585,257 | 1,361,519 | 16,154,730 | (132,386) |
Tarjeta Automática S.A. | 2,016,957 | 1,228,412 | 788,545 | (37,105) |
Supervielle Asset Management S.A. | 3,504,643 | 1,054,487 | 2,450,156 | 2,361,092 |
Sofital S.A. F. e I.I. | 7,480,277 | 3,104 | 7,477,173 | 606,122 |
Espacio Cordial de Servicios S.A. | 1,285,117 | 554,694 | 730,423 | 189,064 |
Micro Lending S.A.U. | 980,696 | 287,926 | 692,770 | 388,638 |
Portal Integral de Inversiones S.A.U. | 50,071 | 31,243 | 18,828 | (78,000) |
InvertirOnline S.A.U. | 42,344,916 | 40,014,093 | 2,330,823 | 1,832,138 |
IOL Holding S.A. | 207,465 | 1,401 | 206,064 | (47,849) |
Supervielle Seguros S.A. (2) | 11,770,313 | 5,548,848 | 6,221,465 | 270,325 |
Supervielle Productores Asesores de Seguros S.A. (3) | 510,785 | 186,810 | 323,975 | 172,841 |
Bolsillo Digital S.A.U. | 46,822 | 17,432 | 29,390 | (298,485) |
Supervielle Agente de Negociación S.A.U. | 1,066,786 | 181,547 | 885,239 | 176,494 |
Dólar IOL S.A.U. (4) | 9,873 | - | 9,873 | (650) |
As of December 31, 2022 – In thousands of pesos | |||||
---|---|---|---|---|---|
Company | Assets | Liabilities | Shareholders’ equity | Net income | |
Banco Supervielle S.A. (1) | 1,370,168,058 | 1,223,193,093 | 146,132,242 | (9,629,736) | |
IUDÚ Compañia Financiera S.A | 27,864,164 | 11,504,795 | 16,287,116 | (6,623,380) | |
Tarjeta Automática S.A. | 1,617,225 | 791,575 | 825,650 | (999,965) | |
Supervielle Asset Management S.A. | 3,448,857 | 850,650 | 2,598,207 | 2,035,880 | |
Sofital S.A. F. e I.I. | 7,084,869 | 16,999 | 7,067,870 | (139,896) | |
Espacio Cordial de Servicios S.A. | 1,800,863 | 1,259,504 | 541,359 | (1,110,104) | |
Micro Lending S.A.U. | 1,849,091 | 630,236 | 1,218,855 | 184,595 | |
Portal Integral de Inversiones S.A.U. | 50,071 | 31,243 | 18,828 | (78,000) | |
InvertirOnline S.A.U. | 27,859,197 | 27,360,512 | 498,685 | (355,449) | |
IOL Holding S.A. | 207,465 | 1,401 | 206,064 | (47,849) | |
Supervielle Seguros S.A. (2) | 10,700,636 | 4,875,852 | 5,824,784 | 1,187,894 | |
Supervielle Productores Asesores de Seguros S.A. | 409,159 | 258,025 | 151,134 | 538 | |
Bolsillo Digital S.A.U. | 458,518 | 411,450 | 47,068 | (417,117) | |
Supervielle Agente de Negociación S.A.U. | 879,521 | 170,776 | 708,745 | 53,650 | |
Dólar IOL S.A.U. | 11,858 | 1,336 | 10,522 | (19,901) |
As of September 30, 2023, and December 31,2022, balances with Grupo Supervielle S.A‘s controlled are as follows:
Assets | 09/30/2023 | 12/31/2022 |
| ||
Cash and due from banks | | |
Banco Supervielle S.A. | 1,755 | 2,060 |
InvertirOnline S.A.U. Cta. Cte. | 15 | 79 |
1,770 | 2,139 | |
| | |
Other financial assets | | |
Espacio Cordial Servicios S.A. | 306 | 320 |
IUDÚ Compañía Financiera S.A. | - | 5,281 |
Term Deposits IUDÚ Compañía Financiera S.A | 52 | - |
| 358 | 5,601 |
Liabilities | | |
| | |
Other non-financial liabilities | | |
Debt with subsidiaries - IOL Holding | 231 | 237 |
231 | 237 |
As of September 30, 2023 and December 31,2022, results with Grupo Supervielle S.A‘s controlled are as follows:
09/30/2023 | 09/30/2022 | ||
Results | | | |
Interest income | | | |
Interests from current accounts – Banco Supervielle S.A. | 13 | 7 | |
Interests from current accounts – IUDÚ | - | 345 | |
Interest on paid account– IOL | 30 | 215 | |
| 43 | 567 | |
| | | |
Other operating income | | | |
Banco Supervielle S.A. | 449,049 | 742,635 | |
Sofital S.A.F. e I.I. | 563 | 609 |
80
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
Supervielle Asset Management S.A. | 5,538 | 6,003 |
Tarjeta Automática S.A. | - | 1,770 |
IUDÚ Compañía Financiera S.A. | - | 59,416 |
Espacio Cordial de Servicios S.A. | 3,313 | 3,595 |
| 458,463 | 814,028 |
Administrative expenses | | |
Bank expenses – Banco Supervielle S.A. | 148 | 168 |
Rent – Banco Supervielle S.A. | 6,600 | 7,184 |
Legal and accounting consultancy services | 786 | 1,659 |
Fees for market operations - InvertirOnline S.A.U. | 1,081 | 4,030 |
Fees for market operations - SAN | 7,404 | 1,875 |
16,019 | 14,916 | |
| | |
Net income from financial instruments at fair value through profit or loss | | |
Interest from time deposits– IUDÚ Compañía Financiera | 293,537 | 185,961 |
| 293,537 | 185,961 |
8. | LOAN AND DEBT ESTIMATED TERMS |
The composition of loans and debts in accordance with collection or payment estimated terms and interest rate accrued as of September 30, 2023, is as follows:
| Other financial assets | Current income tax assets | Other non-financial assets | Deferred income tax liabilities | Other non- financial liabilities |
---|---|---|---|---|---|
To mature: | | | | | |
1st. Quarter | 1,531,154 | 147,430 | - | 479,510 | 477,274 |
2nd. Quarter | - | 48,682 | - | - | - |
3rd. Quarter | - | 48,682 | - | - | - |
4th. Quarter | - | 48,682 | - | - | - |
Over a year | - | - | 42,426 | - | - |
Subtotal to mature: | 1,531,154 | 293,476 | 42,426 | 479,510 | 477,274 |
Matured term | | | | | |
Total | 1,531,154 | 293,476 | 42,426 | 479,510 | 477,274 |
At fixed rate | - | - | - | - | - |
At floating rate | 1,527,228 | - | - | - | - |
Not accrue interest | 3,926 | 293,476 | 42,426 | 479,510 | 477,274 |
Total | 1,531,154 | 293,476 | 42,426 | 479,510 | 477,274 |
9. | CAPITAL STOCK |
As of September 30, 2023, and December 31, 2022, the corporate net share capital of own shares in portfolio for 14,050 and 10,139 respectively is the following:
Capital Stock | Nominal Value |
Capital stock as of 09/30/2023 | 442,672 |
Capital stock as of 09/30/2022 | 446,583 |
Pursuant to the Corporate By-law, any share transfer or event enabling any changes in its condition or alterations in its stock holding structure shall be informed to the Argentine Central Bank.
On July 20, 2022, the Company's Board of Directors resolved to approve a Program for the Acquisition of Own Shares with a maximum amount to invest of 2,000,000 or the lower amount resulting from the acquisition until reaching 10% of the share capital. The price to be paid for the shares will be up to a maximum of US$2.20 per ADR on the New York Stock
81
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
Exchange and up to a maximum of $138 per Class B share on Bolsas y Mercados Argentinos S.A. The Company will acquire shares for a term of 250 calendar days counted from the entry into force of the program, subject to any renewal or extension of the term that is approved by the Board of Directors.
Subsequently, on September 13, the Board of Directors of Grupo Supervielle S.A. approved to modify point 5 of the terms and conditions of the treasury stock acquisition plan approved on July 20, 2022 as follows: “5. The price to be paid for the shares will be up to a maximum of US$2.70 per ADR on the New York Stock Exchange and up to a maximum of $155 per Class B share on Bolsas y Mercados Argentinos S.A.” The remaining terms and conditions will remain in force as approved from time to time.
Subsequently, on December 27, 2022, Supervielle approved to modify point 5 of the terms and conditions of the own shares acquisition program approved on July 20, 2022 as follows: “5. The price to be paid for the shares will be up to a maximum of US$2.70 per ADR on the New York Stock Exchange and up to a maximum of $200 per Class B share on Bolsas y Mercados Argentinos S.A.” The remaining terms and conditions remain in force as approved.
In the statement of changes in equity, the nominal value of the repurchased shares is shown as “treasury shares” and its restatement as “comprehensive adjustment of treasury shares”. The consideration paid, including directly attributable incremental expenses, is deducted from equity until the shares are canceled or reissued, and is disclosed as “cost of treasury shares”.
As of September 30, 2023, Grupo Supervielle's share repurchase program has expired, meaning additional shares cannot be acquired. Grupo Supervielle has acquired a total of 11,093,572 Class B Shares in ByMA and 591,384 ADRs in NYSE, achieving an execution of 86.3% of the program and 3.076% of the share capital.
10. | FINANCIAL RISK FACTORS |
There have been no significant changes in the risk management policies to which the Group is exposed, with respect to what was reported in the financial statements as of December 31, 2022.
11. | RESTRICTIONS ON THE DISTRIBUTION OF PROFITS |
In accordance with the General Law of Companies, the by-laws and Resolution No. 195 of the National Securities Commission, 5% of the profits for the year plus (minus) the adjustments of results from previous years must be transferred to the Legal Reserve, until the Reserve reaches 20% of the capital stock.
As indicated in note 9, because of the treasury stock purchase program, as of September 30, 2023, the Company has 14,050,492 treasury shares in its portfolio. Their acquisition cost amounted to 3,370,375 thousand pesos. In accordance with the provisions of Title IV, Chapter III, article 3, subsection 11, item c of the CNV Regulations (N.T. 2013 and mod.), while said shares are held in the portfolio, there is a restriction on the distribution of the results unassigned and free reserves for the amount of said cost.
12. | ECONOMIC CONTEXT IN WHICH THE COMPANY OPERATES |
The Group operates in a complex economic context, whose main variables have been highly volatile, both nationally and internationally.
Economic activity in Argentina registered an increase of 0.3% year-on-year in August 2023. Regarding inflation, it accelerated strongly in the third quarter of 2023, reaching 12.7% monthly in September.
The main indicators in our country are:
• The accumulated inflation between December 31, 2022 and September 30, 2023 reached 103.2% (CPI). In the year-on-year comparison, the increase reached 138.3%.
• Between December 31, 2022 and September 30, 2023, the peso depreciated 97.60% against the US dollar, according to the exchange rate of the Central Bank of the Argentine Republic (Com “A” 3500).
The International Reserves of the B.C.R.A. They ended September with a balance of US$26,925 million, registering a drop of US$894 million compared to the end of August. So far in 2023, the Central Bank has lost US$20,042 million in reserves. The effect of the drought on exports, plus the use of foreign currency to intervene in the exchange market, led the monetary
82
GRUPO SUPERVIELLE S.A.
Notes to Separate Condensed Interim Financial Statements
(Expressed in thousands of pesos in homogeneous currency)
authority to close October with gross reserves of US$24.5 billion, while net reserves have a negative balance of US$7.7 billion.
The Government will try to improve the dynamics of the Central Bank's reserves through the new exchange rate scheme for exporters. The new regime consists of settling 70% of exports through the Single and Free Exchange Market (MULC) and the remaining 30% through cash settlement (CCL). The gap between the official exchange rate and the financial ones, which today reaches 167%, discourages the liquidation of exports and, at the same time, promotes the import of goods and services, despite the current restrictions.
The National Securities Commission (C.N.V.) limited the purchase of financial dollars, such as the MEP dollar and the Cash With Liquidation dollar (CCL), for foreign investors, in order to improve controls on the capital market and prevent money laundering maneuvers. of assets and tax evasion. He also added conditions for local businesses. The decision was formalized through General Resolution 981/2023, published in the Official Gazette.
Complementing this measure, the National Securities Commission (C.N.V.) focused on Cash with Settlement (CCL) and the MEP by setting a new minimum portfolio holding period for bonds issued under foreign law. In accordance with resolution 979/2023, those who operate in the CCL segment will not be able to obtain foreign currency until 5 days after the operation is completed. Meanwhile, for papers under local legislation, the term of a minimum holding of one business day will follow.
After recalibrating it in mid-August, the BCRA decided to keep the bilateral nominal exchange rate (TCN) unchanged with respect to the US dollar at $350/US$ during the month of September. Thus, it had an average increase of 8.8% compared to the previous month. As of November 15, a 3% monthly crawling peg began to be applied.
Parallel to the recalibration of the official exchange rate, and with the objective of mitigating its transfer to prices, the reference interest rates and fixed-term deposits were simultaneously readjusted, aligning them at a level consistent with medium-term inflation expectations. term. In this way, we sought to promote positive real returns on investments in local currency and contribute to financial and exchange balance.
On October 22, 2023, the general election for the presidency of the nation was held, UxP (Sergio Massa) obtained 36% of the total votes, followed by 30% and 24% of Milei (LLA) and Bullrich (JxC). This resulted in a runoff between Sergio Masa and Javier Milei, which took place on November 19, 2023, and the candidate Javier Milei was established as president with 56% of the votes.
According to estimates by the BCRA (Market Expectations Survey - REM) as of October 2023 published on November 13, 2023, Argentine GDP is expected to decrease 2.5% in 2023. Analysts participating in the REM also expect that the Inflation will increase from 94.8% in 2022 to 185% in 2023. In addition, the nominal exchange rate is expected to end at AR$526.4 per dollar on December 31, 2023.
As of the date of these Financial Statements, the Central Bank modified the LELIQ interest rate to 133% TNA.
At the same time, the yields of fixed terms increased, so the Badlar and TM20 rates for private banks rose to 128.81% TNA and 126% TNA, respectively. The overnight repo rate rose to 126% TNA.
So far in 2023, the drop in dollar deposits is approximately 12.5%, of which 6.4% was after the PASO.
The context of volatility and uncertainty resulting from the elections continues as of the date of issuance of these financial statements.
Framed in a context of great volatility resulting from the elections, the Group's Management permanently monitors the evolution of the aforementioned situations in the international markets and at the local level, to identify possible impacts on its equity and financial situation,and determine the possible actions to be adopted.
13. | SUBSEQUENT EVENTS |
There are no events or operations that occurred after September 30, 2023 that could significantly affect the financial position or results of the Company as of the closing date of this period.
83
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE A – DETAILS OF PUBLIC AND PRIVATE SECURITIES
Items | HOLDING | |
---|---|---|
Book value 09/30/2023 | Book value 12/31/2022 | |
OTHER DEBS SECURITIES | | |
Argentine | | |
Measured at fair value with changes in OCI | | |
Letra del Tesoro Nacional En Pesos Ajust por Cer A Dto | - | 4,458,733 |
Bono del Tesoro Boncer 2% $ 2026 | 189,693 | - |
Letra del Tesoro Nacional En Pesos Ajust por Cer A Desc. Vto 23/11/23 | 996,235 | - |
| | |
Corporate Securities | | |
ON Arcor Cl. 20 Vto12/05/25 Rcllo | 345,186 | - |
ON Newsan Cl. 15 V19/05/24 Wncgo | 109,985 | - |
ON SPI Energy Sa Cl.1 Us$ V.27/06/2026 Spc10 | 400,467 | - |
ON Tarjeta Naranja Cl.53 S.2 $ V05/04/24 Cg T5320 | 461,686 | - |
ON Pan American Cl.25 V14/03/25 $ Pnqco | 527,130 | - |
ON Pyme Alz Semillas 7 V29/09/25 San | 90,576 | - |
| | |
Measured at amortized cost | | |
Bono Nacion Moneda Dual TDG24 | 1,129,289 | - |
Bono de La Nacion En Moneda Dual Vto 30/04/2024 | 4,633 | - |
| | |
| | |
Total other debt securities | 4,254,880 | 4,458,733 |
| | |
EQUITY INSTRUMENTS | | |
Argentine | | |
Measured at fair value through profit and loss | | |
Acciones Banco Frances | 50,752 | - |
Acciones Banco Macro | 91,164 | - |
Acciones Banco Galicia | 226,428 | - |
| | |
Total equity instruments | 368,344 | - |
| | |
DEBT SECURITIES AT FAIR VALUE THROUGH PROFIT OR LOSS | | |
Argentine | | |
Government Securities | | |
Pagarés | 473,671 | - |
Total Debt securities at fair value through profit or loss | 473,671 | - |
Total | 5,096,895 | 4,458,733 |
84
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE G - INTANGIBLE ASSETS
Item | Gross carrying amount | Depreciation | Net carrying amount | ||||||||
At the beginning of the period | Increases | Disposals | At the end of the period | At the beginning of the period | Useful life | Disposals | Of the period | At the end of the period | 09/30/2023 | 12/31/2022 | |
Goodwill | 19,907,972 | - | - | 19,907,972 | - | - | - | | - | 19,907,972 | 19,907,972 |
Relations with clients | 4,201,764 | - | - | 4,201,764 | (1,225,514) | - | - | (196,958) | (1,422,472) | 2,779,292 | 2,976,250 |
Brand | 1,194,619 | - | - | 1,194,619 | - | 3 | - | - | - | 1,194,619 | 1,194,619 |
Proprietary Software & Technology | 411,938 | - | - | 411,938 | (411,938) | - | - | - | (411,938) | - | - |
Total | 25,716,293 | - | - | 25,716,293 | (1,637,452) | | - | (196,958) | (1,834,410) | 23,881,883 | 24,078,841 |
85
GRUPO SUPERVIELLE S.A.
(Expressed in thousands of pesos in homogeneous currency)
SCHEDULE L – ASSETS AND LIABILITIES IN FOREIGN CURRENCY
Items | Headquarters and branches in the country | As of 09/30/2023 | As of 09/30/2023 (per currency) | As of 12/31/2022 |
Dollar | ||||
ASSETS |
|
|
|
|
Cash and Due from Banks | 730,003 | 730,003 | 730,003 | 732,644 |
Others Debs Securities | 1,133,922 | 1,133,922 | 1,133,922 | - |
Other financial assets | 438,756 | 438,756 | 438,756 | 413,430 |
Other non-financial assets | 194,728 | 194,728 | 194,728 | 198,712 |
TOTAL ASSETS | 2,497,409 | 2,497,409 | 2,497,409 | 1,344,786 |
| | | | |
LIABILITIES | | | | |
Other non-financial liabilities | 438,756 | 438,756 | 438,756 | 413,430 |
TOTAL LIABILITIES | 438,756 | 438,756 | 438,756 | 413,430 |
| | | | |
NET POSITION | 2,058,653 | 2,058,653 | 2,058,653 | 931,356 |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized,
| Grupo Supervielle S,A, | |||
Date: December 26, 2023 | By: | /s/ Mariano Biglia
| ||
|
|
| Name: | Mariano Biglia |
|
|
| Title: | Chief Financial Officer |
1 Year Grupo Supervielle Chart |
1 Month Grupo Supervielle Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions