To our shareholders and employees:
Last year will undoubtedly be remembered ominous outset: inflation, rising interest rates, peso volatility, the approaching election--taking shape to the most complex in recent Mexican history--, a global climate marked by looming protectionism, walls and other threats. But Mexico proved its strength and kept up a moderately positive pace of growth.
In this context, Grupo Financiero B×+ continued its disciplined pursuit of the Strategic Plan it charted in 2014: to continue building talent within our team, strengthen our infrastructure, launch online banking, improve mobile solutions for both the bank and brokerage firm, and complement our range of products.
In financial terms, the total credit portfolio of Banco B×+ grew by 17.6%, almost double the rate of the banking system at large, fueled by a solid 55% expansion in mortgage and 40% in farm finance.
In this process, we have made asset quality our highest priority, from credit origination through management and recovery. With this, we closed the year 2017 with a credit delinquency rate of 1.79%, better than the industry average of 2.15%.
Net interest income grew 31% in the year, thanks to a larger credit portfolio and meticulous management of funding costs and lending rates.
Total revenues grew 28% and net income after minority participation in Seguros B×+ was up 27% over 2016.
In 2017, our first year managing Seguros B×+, we were able to incorporate the insurance company’s team into our own while standardizing the brand and presence, and in the same year achieved a 42% increase in policies written compared to 2016, for an additional $2.14 billion.
We also extended our branch network and footprint in the central-western region of Mexico, with increased coverage of San Luis Potosí and Aguascalientes and improved points of contact in Polanco and Reforma in Mexico City.
In our trust business, we maintained the momentum this division has shown since the start of operations in 2015, reaching a total of $30.43 billion in assets under administration, a 99% growth compared to the end of 2016.
We continue being optimistic. Our talented team is passionate in everything they do and capable of close coordination, focused on becoming a strategic partner for every client, offering them simple, customized solutions and impeccable delivery. We are in constant search to provide sustainable value to every client, employee and shareholder of Grupo Financiero B×+.
¡Reach further, beyond your expectations!
Tomás Ehrenberg Aldford
Chief Executive Officer, Grupo Financiero B×+