Grupo Supervielle Reports 4Q25 & FY25 Results
Attributable net loss narrowed sequentially as revenues recovered and NIM rebounded to 19%, while preserving a solid 15.4% CET1 ratio
Positioned for renewed expansion as macro conditions continue to normalize
Starting 1Q20, the Company began reporting results applying Hyperinflation Accounting, in accordance with IFRS rule IAS 29 (“IAS 29”) as established by the
Commenting on fourth quarter 2025 results,
The fourth quarter marked a transition from tight pre-election financial conditions to early signs of normalization. During this transition quarter, we reported an attributable net loss of AR$19.5 billion, a meaningful improvement from the third quarter as margins and revenues began to recover. Revenues improved meaningfully versus the third quarter, with net interest margin rebounding to 19%, supported by lower funding costs and recovering investment portfolio yields. Fee income continued to expand sequentially, while personnel expenses declined 6% quarter-over-quarter and 15% for the full year, reflecting ongoing efficiency gains. Loan growth outperformed the system, with total loans up 8% quarter-over-quarter and 37% year-on-year. Corporate lending increased 25% sequentially, driving 64% year-on-year growth, while retail expansion remained disciplined and focused on risk-adjusted returns amid a more volatile environment. Cost of risk reached the upper end of our guidance range, reflecting system-wide stress and updated macroeconomic assumptions within our Expected Credit Loss framework. The NPL ratio stood at 5.0%. Importantly, we closed the year with a strong CET1 ratio of 15.4%, preserving balance sheet strength and flexibility. Our non-banking subsidiaries, insurance, asset management, and online retail brokerage, continued to deliver a solid performance, further diversifying earnings in a challenging quarter.
Throughout 2025, we executed on our strategic priorities with discipline. Over 70% of transactions were completed through our mobile app, underscoring the continued shift toward digital engagement. Our SuperApp reinforced its role as the core of our ecosystem, integrating savings, investments, payments, and services within a unified experience. We added a record 114,000 payroll customers, strengthening our funding base and deepening client engagement. Remunerated accounts gained traction across payroll and SMEs, with 30% of SMEs activating remuneration, and increasing their deposit volumes. Integration with IOL accelerated cross-selling, as we successfully offered remunerated accounts to IOL clients, capturing high-value customers and enhancing funding quality. In corporate banking, we expanded selectively in export-driven sectors and strengthened our position in key regions such as Vaca Muerta in Neuquén, and the mining cluster in San Juan, while consolidating our leading position in Mendoza, where we rank first in both private sector loans and deposits. IOL delivered strong results, with assets under custody rising 34% year-over-year to AR$3.6 trillion, record revenues of AR$ 72 billion and over 2 million customer accounts. Its asset management platform gained further scale, operating the third-largest
Looking ahead, we believe the fourth quarter marked the peak in credit cost, and we have already observed improvements in recent months. As financial conditions normalize, reforms advance, and
Fourth quarter and Fiscal Year 2025 Highlights
PROFITABILITY
The Company reported an Attributable Net Loss of AR$19.5 billion in 4Q25, compared to an Attributable Net Loss of AR$54.2 billion in 3Q25 and Net Income of AR$37.1 billion in 4Q24, reflecting a meaningful sequential improvement as financial conditions normalized toward the latter part of the quarter.
For FY25, Supervielle reported an Attributable Net Loss of AR$48.6 billion, compared to Net Income of AR$164.7 billion in FY24. The full-year performance primarily reflects the extraordinary monetary tightening and regulatory conditions experienced during part of the year, which materially impacted financial margins and pressured asset quality across the banking system.
Operating conditions during 4Q25 evolved through the quarter. October remained affected by the pre‑election volatility and elevated real interest rates, while financial conditions improved significantly beginning in November following the mid‑term elections held late October. The subsequent normalization of monetary conditions, including declining rates, improving liquidity and some slight easing of liquidity requirements, supported a recovery in funding dynamics and financial intermediation across the system. While this drove a strong sequential recovery in Net Financial Income, profitability in 4Q25 continued to reflect the lagged impact of the earlier restrictive monetary stance, particularly through elevated credit risk costs.
Operating expenses increased sequentially, due to seasonally higher administrative expenses and commercial positioning initiatives in 4Q25. Importantly, structural efficiency gains continued, with personnel expenses declining in real terms, as the Company maintained a disciplined cost base.
Net service fee income remained broadly stable during the quarter. Stronger brokerage-related fees were largely offset by softer banking fee income, as repricing initiatives implemented late in the year only had a limited contribution during the quarter.
Loan loss provisions increased significantly, reflecting weaker asset quality amid a less supportive macroeconomic environment in 2025, following strong loan growth in the prior year. Provisioning levels also incorporate the year-end risk assessment updating macroeconomic assumptions under the expected credit loss framework. FY25 results reflect macro‑financial headwinds together with structural improvements. The Company delivered meaningful cost efficiencies, with personnel and administrative expenses declining in real terms, and maintained resilient fee generation.
These improvements were more than offset by compressed financial margins during the period of peak monetary tightening and elevated loan loss provision requirements associated with loan growth since
4Q25 ROAE was -7.7% and ROAA was -1.0%.
FY25 ROAE was -4.6%, compared to 15.7% in FY24, primarily reflecting the combined impact of the extraordinary contractionary conditions experienced during part of the year and higher loan loss provisions, despite the financial income recovery observed toward year‑end.
FY25 ROAA was -0.7% compared to 3.1% in FY24.
During 4Q25, the Company reported a Loss before income tax of AR$37.1 billion, compared to a Loss before Income Tax of AR$87.6 billion in 3Q25 and Profit before Income Tax of AR$29.8 billion in 4Q24. The sequential improvement of AR$50.5 billion primarily reflects a strong rebound in Net Financial Income, with Net Financial Margin increasing 82.2% QoQ. This recovery was driven by lower funding costs, faster repricing of liabilities relative to assets, slight easing of reserve requirements, and improved investment portfolio performance as monetary conditions normalized during the latter part of the quarter.
Despite the sequential financial margin recovery, 4Q25 profitability remained impacted by elevated Loan Loss Provisions, which totaled AR$108.3 billion, up 72.2% QoQ, peaking in
On a year‑on‑year basis, results continued to reflect higher credit risk costs and provisioning levels compared to 4Q24, despite the recovery in operating performance observed toward quarter-end.
For FY25, the Company reported a Loss Before Income Tax of AR$96.7 billion, compared to a gain of AR$231.0 billion in FY24. This decline primarily reflects the impact on Net Financial Margin and Loan Loss Provisions. In contrast, FY24 benefited from exceptionally strong financial margins, supported by extraordinary gains on government securities in 1H24.
On a full‑year basis, the decline in profit before income tax was mainly driven by the contraction in Net Financial Income during the period of peak monetary tightening earlier in the year, together with a significant increase in Loan Loss Provisions associated with loan portfolio expansion since
During 4Q25, the Net Financial Margin totaled AR$245.7 billion, increasing 82.2% QoQ and 1.3% YoY, reflecting a marked sequential recovery following the extraordinary pressures observed in the prior quarter, despite elevated volatility and tight monetary conditions during the early part of the period. The QoQ improvement was driven by both base effects and an underlying improvement in core financial margin dynamics. October continued to reflect elevated interest rates and tight funding conditions, but with the election outcome, liquidity pressures eased, and the negative carry observed in prior periods when liabilities repriced faster than assets under exceptionally high real interest rates, began to reverse.
As a result, Client Net Financial Income rebounded to AR$150.0 billion, up 21.0% QoQ and 12.8% YoY. Loan yields continued to reprice gradually, further supporting asset returns during the second half of the quarter.
Market‑related Net Financial Income also recovered sharply to AR$95.7 billion, from AR$10.8 billion in 3Q25, reflecting improved investment portfolio yields as market volatility subsided and monetary conditions normalized post mid‑term elections.
Adjusted Net Financial Income (Net Financial Income + Result from exposure to inflation) totaled AR$211.0 billion, increasing 104.2% QoQ and 7.3% YoY, confirming a clear inflection in financial margin performance following the significant distortions experienced in the prior quarter.
Net Interest Margin (NIM) improved to 18.8% in 4Q25, from 10.8% in 3Q25, while declining from 24.9% in 4Q24. The QoQ expansion primarily reflects the decline in market interest rates following the mid‑term elections, which drove a rapid repricing of liabilities and a lower cost of funds. Although October continued to reflect elevated interest rates and liquidity conditions broadly in line with the prior quarter, funding costs began to ease thereafter, supporting a recovery in margins during the latter part of the period. Margin performance also benefitted from improved investment portfolio yields and the continued lagged repricing of the loan portfolio. AR$ NIM increased to 21.3%, while loan portfolio NIM rose to 21.3%, reflecting spread expansion driven by faster liability repricing relative to asset yields.
The YoY decline in NIM reflects narrower loan spreads together with lower investment portfolio yields compared to the strong margin environment observed in 4Q24.
The total NPL ratio rose to 5.0% in 4Q25, from 3.9% in 3Q25 and 1.3% in 4Q24. This increase is in line with higher delinquency levels in the retail portfolio and early signs of stress in commercial loans. Elevated real interest rates in the second half of the year, combined with slower economic activity, softening in employment levels, and pressure on household disposable income, affected borrowers’ repayment dynamics across segments and across the financial system. In response, the Bank has moderated retail origination since 2Q25 and continues to strengthen its credit models and underwriting standards to safeguard portfolio quality and optimize risk-adjusted returns.
Loan loss provisions (LLPs) totaled AR$108.3 billion in 4Q25, up 72.2% QoQ and 408.3% YoY. Following significant growth in retail and commercial lending during 2024, a less supportive macroeconomic backdrop for most of 2025 has meaningfully impacted asset quality across all customer segments, thereby increasing the cost of risk. LLPs for the quarter also include AR$17.3 billion related to updated macroeconomic assumptions within the expected credit loss (ECL) framework, reflecting a prudent reassessment of forward-looking scenarios. Net loan loss provisions, defined as LLPs net of recovered charged-off loans and reversed allowances, amounted to AR$106.6 billion in 4Q25, compared to AR$60.7 billion in 3Q25 and AR$17.2 billion in 4Q24. The Coverage Ratio was 111.6% as of
Efficiency ratio improved to 60.6% in 4Q25, compared with 63.8% in 4Q24 and 95.8% in 3Q25. The QoQ performance reflects: i) a 67.1% increase in revenues, mainly driven by the recovery in Net Financial Income following the sharp decline experienced in 3Q25, and ii) a 5.6% reduction in personnel expenses, reflecting ongoing structural initiatives across the organization and a leaner operating model. These improvements were partially offset by higher administrative expenses, primarily related to commercial positioning campaigns and year-end seasonality.
For FY25, the efficiency ratio was 66.5%, compared to 49.3% in FY24. The YoY increase primarily reflects the contraction in net financial margin during the period of peak monetary tightening in 2025, whereas FY24 benefitted from exceptionally high investment portfolio gains.
The Loans to Deposits Ratio increased to 77.8% as of
AR$ deposits totaled AR$3,404.7 billion, decreasing 5.9% QoQ and increasing 11.4% YoY in real terms. The QoQ decline reflects asset and liability management decisions that resulted in deliberate reduction in wholesale institutional funding (21.5% or AR$ 437.4 billion). This was partially offset by higher transactional balances, including a 39.4% increase, or AR$170.2 billion, in checking accounts from commercial customers, and a 28.6%, or AR$98.7 billion, increase in savings accounts, reflecting December seasonality along with continued traction of the remunerated account.
On an YoY basis, AR$ Deposit growth was mainly explained by the following increases: i) 11.6%, or AR$166.0 billion, in wholesale institutional funding, ii) 19.4%, or AR$104.0 billion, in time deposits from individuals and corporates, iii) 18.6%, or AR$94.6 billion, in checking accounts supported by higher transactional volumes from commercial clients; and iv) 11.2%, or AR$44.8 billion, in savings accounts from retail customers.
The YoY performance in checking and savings accounts reflects the positive impact from the remunerated account product launched early
Foreign currency deposits totaled
Total Assets reached AR$7,791.5 billion as of
The QoQ performance was primarily driven by the following decreases: i) 10.8%, or AR$175.4 billion, in Government securities; and ii) 15.7%, or AR$298.4 billion, in cash and due from banks reflecting lower regulatory liquidity requirements. These effects were partially offset by a 7.0%, or AR$244.8 billion, increase in Net Loans, driven by a significant decline in interest rates relative to 3Q25, which improved credit demand, while the Bank maintained disciplined underwriting standards on retail and SMEs customers amid a still challenging economic environment. The Company continues to prioritize disciplined loan portfolio expansion as macroeconomic conditions normalize, consistent with its near‑term strategy for 2026. The YoY increase reflects sustained loan growth and higher minimum cash reserve requirements. In addition, higher investment portfolio also contributed to this performance.
The leverage ratio (Assets to Shareholders’ Equity) decreased to 7.7x, down 20 bps QoQ, from 7.9x as of
Total Loans amounted to AR$3,982.9 billion as of
Loans represented 48.1% of total assets as of
Common Equity Tier 1 Ratio (CET1) stood at 15.4% as of
The QoQ increase in CET1 reflects lower deferred tax asset deductions, mainly resulting from improved market valuations of securities classified as held to maturity, along with lower RWA density.
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ana.bartesaghi@supervielle.com.ar
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