Grupo Aval, Colombia’s largest financial conglomerate, reported a return on average equity (ROAE) of 12.7% for the second quarter of 2026, up from 11.5% in the same period last year. The improvement was attributed to a 30-basis-point expansion in net interest margins, which offset pressures from higher credit costs and a weaker Colombian peso.
The company’s financial results, outlined in investor presentation slides, highlighted a 5% year-over-year increase in net interest income to $1.2 billion, driven by stronger loan growth in retail and corporate segments. Total assets grew 4% to $120 billion, while non-performing loans (NPLs) remained stable at 3.2% of gross loans, unchanged from Q2 2025.
Grupo Aval’s liquidity position strengthened, with a loan-to-deposit ratio improving to 92% from 94% in the prior-year quarter. The bank’s capital adequacy ratio (CAR) stood at 16.8%, exceeding regulatory requirements and signaling capacity for further loan expansion. Operating expenses rose 6% year-over-year, primarily due to investments in digital banking infrastructure and compliance costs.
Analysts noted that while macroeconomic challenges persist, including inflationary pressures and political uncertainty in Colombia, Grupo Aval’s margin discipline and asset quality management supported its earnings resilience. The company did not provide forward guidance in the slides but emphasized its focus on maintaining stable profitability amid volatile market conditions.
