Credicorp (D8V) Q3 2026 Earnings Report

The call was broadly positive. Credicorp reported strong profitability, accelerating loan growth, double-digit revenue expansion, improving asset quality, a favorable funding mix, and progress across BCP, Yape, Mibanco, insurance, and innovation businesses. Management maintained its 2026 guidance and medium-term ROE target. The main challenges are the escalating El Niño risk, additional expected provisions, possible near-term pressure on loan growth, regional inflation and macroeconomic uncertainty, selected declines in insurance and investment-management results, and slower-than-expected Tenpo and Yape customer or transaction growth.

For 2026, management maintains its expectation that Peru’s GDP will grow around 3.5%, loan growth measured in quarter-end balances will remain at around 12%, and full-year cost of risk will remain within guidance, between 1.7% and 2.1%, despite a likely increase in the last quarter; NIM and risk-adjusted NIM are expected to be at the higher end of their respective guidance ranges, fee income is expected to show high-teens growth, the efficiency ratio is expected to remain within guidance, and ROE is expected to reach around 19.5%, while the medium-term ROE target remains around 22%. Management expects additional El Niño provisions but said they can be absorbed within current guidance ranges; the stock of El Niño provisions was around PEN 500 million at the end of the third quarter, with approximately 8% of total loans directly exposed, and El Niño is estimated to impact GDP by around 0.9% this year and around another 1% next year. Longer term, management expects the portfolio to grow at double digits, while the bulk of El Niño provisioning should be made this year and the impact may affect the fourth quarter and maybe the first half of next year.