Credicorp Ltd. Q2 FY26 Earnings Analysis

- Yape's revenue-generating payment volume grew 80% YoY, with lending revenue growing 3.6x YoY; as of Q1 2026, Yape represented 17% of Credicorp's group fee income and 8% of risk-adjusted revenues, up from 12% and 5% respectively, signaling strong growth potential. - Yape continues expanding user base, with 16.4 million monthly active users covering ~82% of Peru’s economically active population; users transact 67 times/month, with revenue per user up 65% YoY. - Mibanco delivered double-digit loan growth (12.4% YoY) and expects loan growth to continue, with retail segments and microfinance accelerating in coming quarters. - Overall loan growth guidance stands at 8.5% for the year, though this might be conservative due to positive economic backdrop. - Disruptive initiatives (like Yape) initially targeted 10% of risk-adjusted income, but Yape alone may represent up to 30% of Credicorp’s earnings by 2028, with new aggressive targets under review. - Credicorp plans to scale integrated digital ecosystem and deepen cross-sell to drive revenue growth across platforms.

- The company reaffirms its ROE guidance of around 19.5% for 2026, with confidence in potentially achieving results on the upper side due to strong Q1 performance and positive trends. (Page 7) - Solid growth in risk-adjusted revenue streams and overall operating results were reported, including record-high net income reflecting robust loan portfolio expansion and efficient capital allocation. (Pages 3-4) - Innovation portfolio contributed 9% of risk-adjusted revenues in Q1, advancing towards a 10% target by end of the year, indicating growth from new digital businesses like Yape and neobank platforms. (Page 2) - Loan growth remains robust, especially in retail and wholesale banking, with potential upside on the 8.5% loan growth guidance, subject to some macroeconomic and political uncertainties. (Page 11) - Operating leverage is progressing positively, especially in digital segments (e.g., Yape), with revenue per user increasing strongly, supporting future profitability growth. (Pages 5, 13)

- Operating expenses increased partly due to higher administrative expenses linked to ongoing investments in strategic projects, primarily digital transformation initiatives to modernize technology and improve client experience (Page 5). - Yape is investing in technological capabilities around lending, distribution, and internationalization of the platform; investments are within planned expectations and under control (Page 12). - Credicorp is investing in service and digital capabilities, deepening client relationships, and driving market share gains, supporting sustained long-term growth (Page 3). - Marketing and consulting expenses rose alongside IT-related services costs, including Yape's use of cloud infrastructure (Page 4). - The creation of a neobanking unit (Ander Ramundo Morales as CEO) consolidates Yape Peru, Yape Bolivia, and Tempo to leverage tech capabilities and support international expansion (Page 9).

Based on the provided information across the pages, there is no explicit mention of any current or future new fundraising through debt or equity. Key points related to capital and financial strategy include: - Credicorp recently declared a record high ordinary dividend of PLN 50 per share, moving capital levels closer to target across subsidiaries (Page 3). - Strong solvency has enabled dividend increases while supporting sustained long-term growth (Page 3). - No mentions of new debt issuances or equity offerings in the discussion. - Focus is on organic growth, improving asset quality, and investments in digital transformation and strategic projects funded internally (Pages 4-5). - Prudency remains, especially with uncertainties around elections and external events, but no planned fundraising disclosed (Page 15). Hence, no current or planned fundraising via debt or equity is indicated in the recent disclosures.

The provided pages from the PDF do not contain specific information regarding the current or expected orderbook or pending orders. The discussion mainly covers: - Economic outlook and political stability in Peru. - Performance metrics of Credicorp and its subsidiaries including loan growth, risk management, profitability, and digital banking platforms like Yape. - Quarter-on-quarter financial results including loan disbursement volumes, costs of risk, and revenue growth. - No explicit mention or data about orderbooks or pending orders is found in these excerpts. If you need detailed figures on orderbook or pending orders, please provide those specific sections or clarify the document area.