Breaking Down Grupo Supervielle S.A. (SUPV) Financial Health: Key Insights for Investors

Are you keeping a close watch on your investments and seeking to understand the financial stability of Grupo Supervielle S.A. (SUPV)? With a market cap of AR$1.55 trillion and earnings of AR$125.18 billion in 2024, SUPV presents an intriguing case for investors. But how healthy is the company really? Delve into a detailed exploration of SUPV's financial performance, key growth drivers, and strategic initiatives, providing you with the insights needed to make informed decisions.

Grupo Supervielle S.A. (SUPV) Revenue Analysis

Understanding Grupo Supervielle S.A. (SUPV)'s revenue streams involves analyzing its primary revenue sources, year-over-year growth, and the contribution of different business segments to its overall revenue. Let's delve into these aspects based on the available information for the 2024 fiscal year.

Primary Revenue Sources:

Grupo Supervielle operates as a universal financial services group, and its revenue streams are derived from various segments, including:

• Personal and Business Banking
• Corporate Banking
• Bank Treasury
• Insurance
• Asset Management and Other Services

These segments reflect a diversified approach to financial services, catering to a wide range of customer needs from individual banking to corporate financial solutions.

Year-over-Year Revenue Growth Rate:

In the fiscal year ending December 30, 2024, Grupo Supervielle S.A. had an annual revenue of 890.31B. However, there are conflicting data points regarding revenue growth:

• One source indicates a 102.07% growth for the fiscal year ending December 30, 2024.
• Another source states a revenue decrease of 10.49% for the year ending December 31, 2024.

The revenue in the last twelve months was 863.40B, representing an 8.09% decrease.

Contribution of Different Business Segments to Overall Revenue:

The specific contribution of each business segment to Grupo Supervielle's overall revenue is detailed below:

Analysis of Any Significant Changes in Revenue Streams:

Based on available information, there were notable shifts in Grupo Supervielle’s revenue streams during 2024:

• The loan portfolio experienced substantial growth, increasing 28% quarter-over-quarter and 106% year-over-year.
• Retail lending became a key driver, accounting for 48% of total loans, up from 44% in the previous quarter.
• Deposits also showed solid growth, with U.S. dollar deposits surging 178% year-over-year.

These changes indicate a strategic focus on expanding the loan portfolio and growing the deposit base, particularly in U.S. dollar-denominated accounts.

Additionally, Mission Statement, Vision, & Core Values of Grupo Supervielle S.A. (SUPV). can provide further insights into the company's strategic direction and how it impacts revenue streams.

Grupo Supervielle S.A. (SUPV) Profitability Metrics

Analyzing profitability is crucial for investors. Here's a breakdown of Grupo Supervielle S.A. (SUPV)'s profitability metrics:

• Net Financial Income: For 9M24, Net Financial Income reached AR$786.6 billion, a 30.0% increase from AR$604.9 billion in 9M23. Adjusted Net Financial Income was AR$533.7 billion, up 10.0% from AR$485.2 billion in 9M23.
• Net Interest Margin (NIM): Stood at 24.8%, compared to 29.2% in 3Q23 and 36.3% in 2Q24.
• ROAE: In 3Q24, ROAE was 4.9% and for 9M24, it reached 16.4%. The company confirmed a 15% ROE guidance for FY2024. For FY24, ROAE reached 15.7%, compared to 16.7% in FY23.
• ROAA: Was 1.0% in 3Q24, compared to 2.9% in 3Q23 and 2.3% in 2Q24. 9M24 ROAA was 3.4% compared to 1.9% in 9M23. For FY24, ROAA improved to 3.1% from 2.5% in FY23.
• Net Income: Attributable Net Income of AR$8.9 billion in 3Q24, compared to net gains of AR$29.3 billion in 3Q23 and AR$19.2 billion in 2Q24. Net Income was AR$89.8 billion in 9M24, compared to AR$58.3 billion in the same period of 2023. Net Income was AR$125.2 billion in FY24, compared to AR$111.9 billion in FY23.
• Profit before income tax: AR$10.7 billion in 3Q24 compared to AR$47.0 billion in 3Q23 and AR$34.6 billion in 2Q24. Profit before income tax reached AR$141.6 billion in 9M24 increasing from AR$93.3 billion in 9M23.

Here's a table summarizing key profitability figures for Grupo Supervielle S.A. (SUPV) in 2024:

Operational efficiency is also reflected in Grupo Supervielle's efficiency ratio, which was 64.3% in 3Q24, increasing from 51.7% in 3Q23 and 50.9% in 2Q24. Excluding specific charges, the efficiency ratio would have been 60.5%. The 9M24 efficiency ratio was 46.1%, improving from 60.9% in 9M23. For FY24, the efficiency ratio improved to 49.3%, from 54.7% in FY23.

Access more insights on Grupo Supervielle S.A. (SUPV)'s financial health: Breaking Down Grupo Supervielle S.A. (SUPV) Financial Health: Key Insights for Investors

Grupo Supervielle S.A. (SUPV) Debt vs. Equity Structure

Understanding how Grupo Supervielle S.A. (SUPV) finances its operations and growth is crucial for investors. This involves examining its debt levels, debt-to-equity ratio, and recent financing activities to assess its financial stability and risk profile.

As of December 31, 2023, Grupo Supervielle S.A. (SUPV) reported the following debt-related figures:

• Total financial debt: ARS 350,469 million
• Of which, debt securities amounted to ARS 10,445 million

The company’s debt structure includes both short-term and long-term liabilities. Analyzing the composition of debt is essential to understand the company's liquidity and solvency.

Debt-to-Equity Ratio

The debt-to-equity ratio is a key metric used to evaluate a company's financial leverage. It indicates the proportion of debt and equity used to finance the company's assets. A higher ratio suggests that the company relies more on debt, which can increase financial risk. As of December 31, 2023, Grupo Supervielle S.A. (SUPV) presented the following data:

• Total Equity: ARS 229,971 million

While a precise debt-to-equity ratio requires matching the debt figures to this equity value, this data highlights the components needed for the calculation. Comparing this ratio to industry standards provides insights into whether Grupo Supervielle S.A. (SUPV)'s leverage is typical for its sector.

Recent Debt Issuances and Credit Ratings

Information regarding recent debt issuances, credit ratings, or refinancing activities can provide insights into Grupo Supervielle S.A. (SUPV)’s financial strategy and creditworthiness. For instance, a recent report highlighted that Banco Supervielle issued $50 million in notes in February 2024, signaling ongoing capital market activities.

Balancing Debt and Equity

Grupo Supervielle S.A. (SUPV) strategically balances debt financing and equity funding to optimize its capital structure. The decision to use debt or equity depends on various factors, including market conditions, interest rates, and the company's growth prospects. Maintaining an optimal balance is crucial for sustaining financial flexibility and minimizing the cost of capital.

For further insights into Grupo Supervielle S.A. (SUPV)'s financial health, explore: Breaking Down Grupo Supervielle S.A. (SUPV) Financial Health: Key Insights for Investors

Grupo Supervielle S.A. (SUPV) Liquidity and Solvency

Analyzing Grupo Supervielle S.A. (SUPV)'s financial health requires a close look at its liquidity and solvency, which are vital indicators of its ability to meet short-term and long-term obligations. Key metrics such as current and quick ratios, working capital trends, and cash flow statements provide insights into the company's financial stability.

Here's an overview:

• Current and Quick Ratios: These ratios measure a company's ability to cover its short-term liabilities with its short-term assets. A current ratio of greater than 1 indicates that a company has more current assets than current liabilities. The quick ratio, which excludes inventory from current assets, provides a more conservative measure of liquidity.
• Analysis of Working Capital Trends: Monitoring working capital trends helps to assess the efficiency of a company's operations. An increase in working capital suggests that a company is improving its short-term financial health, while a decrease may indicate potential challenges.
• Cash Flow Statements Overview: Examining cash flow statements offers a comprehensive view of a company's cash inflows and outflows. Cash flows are typically categorized into operating, investing, and financing activities.

The trends in these categories can reveal important information about a company's financial strategy and health:

• Operating Cash Flow: Positive operating cash flow indicates that a company is generating enough cash from its core business activities to cover its operating expenses.
• Investing Cash Flow: This section includes cash flows related to the purchase and sale of long-term assets, such as property, plant, and equipment (PP&E).
• Financing Cash Flow: Financing activities involve transactions related to debt, equity, and dividends.

Potential liquidity concerns might arise if a company consistently reports negative operating cash flow or has a high level of short-term debt relative to its liquid assets. Conversely, strengths include a strong current ratio, positive working capital trends, and consistent positive cash flow from operations.

For additional insights into Grupo Supervielle S.A. (SUPV), consider exploring their Mission Statement, Vision, & Core Values of Grupo Supervielle S.A. (SUPV).

Grupo Supervielle S.A. (SUPV) Valuation Analysis

Determining whether Grupo Supervielle S.A. (SUPV) is overvalued or undervalued involves analyzing several key financial metrics and market indicators. These include price-to-earnings (P/E), price-to-book (P/B), and enterprise value-to-EBITDA (EV/EBITDA) ratios, as well as stock price trends, dividend yield, payout ratios, and analyst consensus.

Currently, up-to-date, real-time data for these specific valuation metrics as of fiscal year 2024 for Grupo Supervielle S.A. (SUPV) is not available. To perform a comprehensive valuation analysis, investors should consider the following steps and data points:

• Price-to-Earnings (P/E) Ratio: Compare Grupo Supervielle S.A.'s P/E ratio to the industry average and its historical P/E ratio to gauge whether the stock is trading at a premium or discount relative to its earnings.
• Price-to-Book (P/B) Ratio: Assess whether the market price is aligned with the company's book value. A lower P/B ratio might indicate undervaluation, while a higher ratio could suggest overvaluation.
• Enterprise Value-to-EBITDA (EV/EBITDA) Ratio: This ratio provides a clearer picture of valuation by considering the company's debt and cash levels. Compare it against industry peers to determine relative valuation.

Analyzing the stock price trends over the last 12 months (or longer) can provide insights into market sentiment and investor confidence. Significant price appreciation might suggest overvaluation, while a declining price could indicate undervaluation, assuming the company's fundamentals remain stable.

If Grupo Supervielle S.A. (SUPV) distributes dividends, the dividend yield and payout ratios are essential. A higher dividend yield can make the stock attractive, but it's crucial to ensure the payout ratio is sustainable, indicating the company's ability to maintain dividend payments.

Furthermore, understanding analyst consensus on the stock's valuation—whether it's rated as a buy, hold, or sell—can offer a consolidated view of expert opinions. Keep in mind that analyst ratings are not definitive but provide additional perspective.

Given the constraints on accessing real-time 2024 fiscal year data, a hypothetical illustration of how these metrics might be assessed is provided below:

Based on this hypothetical data, Grupo Supervielle S.A. (SUPV) might be considered fairly valued to slightly undervalued. However, a comprehensive analysis requires actual 2024 fiscal year figures and a comparison with industry benchmarks.

Learn more about the investors of Grupo Supervielle S.A. (SUPV): Exploring Grupo Supervielle S.A. (SUPV) Investor Profile: Who’s Buying and Why?

Grupo Supervielle S.A. (SUPV) Risk Factors

Understanding the risks that Grupo Supervielle S.A. (SUPV) faces is crucial for investors. These risks can be both internal and external, significantly impacting the company's financial health.

Here's an overview of some key risk categories:

• Industry Competition: The financial services industry in Argentina is highly competitive. Increased competition could pressure Grupo Supervielle S.A.'s (SUPV) margins and market share.
• Regulatory Changes: Changes in Argentine regulations, including banking laws and monetary policies, can create uncertainty and affect Grupo Supervielle S.A.'s (SUPV) operations and profitability.
• Market Conditions: Economic conditions in Argentina, such as inflation, currency devaluation, and recession, can significantly impact the demand for financial services and the quality of Grupo Supervielle S.A.'s (SUPV) loan portfolio.

To delve deeper into Grupo Supervielle S.A.'s (SUPV) strategic focus, explore their Mission Statement, Vision, & Core Values of Grupo Supervielle S.A. (SUPV).

Operational, financial, and strategic risks are often highlighted in earnings reports and filings. These may include:

• Credit Risk: The risk that borrowers may default on their loans, especially during economic downturns.
• Liquidity Risk: The risk of being unable to meet financial obligations as they come due.
• Operational Risk: The risk of losses resulting from inadequate or failed internal processes, people, and systems or from external events.
• IT Systems and Cybersecurity Risk: The risk of failures in information technology systems and the potential for cyberattacks, which could disrupt operations and compromise sensitive data.

Mitigation strategies and plans are crucial for managing these risks. While specific details may vary, typical strategies include:

• Diversification: Spreading risk across different types of loans and business activities.
• Risk Management Systems: Implementing robust systems for identifying, measuring, and monitoring risks.
• Compliance Programs: Adhering to all applicable laws and regulations.
• Contingency Planning: Developing plans to address potential crises, such as economic downturns or cyberattacks.

Grupo Supervielle S.A. (SUPV) Growth Opportunities

Grupo Supervielle S.A. (SUPV) possesses several key growth drivers that underpin its future prospects. These include strategic initiatives, market expansions, and a focus on digital innovation.

Analysis of key growth drivers:

• Digital Transformation: Grupo Supervielle has been investing heavily in digital transformation to enhance customer experience and operational efficiency. This includes the development of new digital products and services, as well as the migration of existing customers to digital channels.
• Market Expansion: The company is focused on expanding its presence in key market segments, such as SMEs and the unbanked population. This involves offering tailored products and services, as well as leveraging partnerships to reach new customers.
• Strategic Acquisitions: Grupo Supervielle has a track record of making strategic acquisitions to expand its capabilities and market share. The company is likely to continue to pursue acquisition opportunities in the future.

Future revenue growth projections and earnings estimates for Grupo Supervielle S.A. (SUPV) are contingent upon several factors, including Argentina's macroeconomic environment and the execution of the company's strategic initiatives. While specific projections vary among analysts, the general consensus points towards moderate revenue growth in the coming years, driven by increased lending activity and fee income.

Strategic initiatives and partnerships that may drive future growth:

• Partnerships with Fintechs: Collaborating with fintech companies to offer innovative financial solutions and expand its digital footprint.
• Focus on Sustainable Finance: Integrating environmental, social, and governance (ESG) factors into its business operations and product offerings to attract socially responsible investors and customers.
• Development of New Products and Services: Launching new products and services tailored to the needs of specific customer segments, such as SMEs and the unbanked population.

Grupo Supervielle S.A. (SUPV) has several competitive advantages that position it for growth:

• Strong Brand Recognition: Grupo Supervielle has a well-established brand in Argentina, which gives it a competitive advantage in attracting and retaining customers.
• Extensive Distribution Network: The company has a large branch network and a growing digital presence, which allows it to reach a wide range of customers.
• Experienced Management Team: Grupo Supervielle has an experienced management team with a proven track record of success.

For insights into the company's guiding principles, explore Mission Statement, Vision, & Core Values of Grupo Supervielle S.A. (SUPV).