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- **Q3 Results**: Net loss of ARS 87.7 billion due to restructuring, but 9M ROE at 6.9% (excluding one-time costs). NPLs rose to 5.8%, driven by retail credit stress.
- **2025 Outlook**: Full-year ROE expected at 4% (6% excluding restructuring). 2026 target: 11-12% ROE, with Q4 2026 run rate at 15%.
- **Margin Recovery**: November margins returned to Q2 levels, with further improvement in 2026. NPLs to peak at 7% in March 2026, then decline to 4.3-4.5%.
- **Growth Drivers**: 25% YoY loan growth in 2026, focused on commercial lending and short-duration consumer loans. Deposit growth projected at 20%.
- **Capital Strength**: Tier 1 ratio at 22.1%, with no immediate funding constraints despite LDR near 100%.
- **Long-Term Vision**: Targeting 15-20% ROE by 2027 through loan-to-GDP expansion and cost efficiency improvements.

**【Management Opening Remarks】**
- **Economic Overview**: Argentina's economy grew 5% YoY in September 2025, with a primary surplus of 0.5% of GDP. Inflation reached 24.8% year-to-date, with monthly rates stabilizing at 2.1-2.3% in Q3.
- **Financial Market Trends**: Peso-denominated deposits grew 53% YoY, while dollar-denominated deposits rose 38.9%. Loan growth was strong (105.4% YoY for peso loans), but NPLs increased to 5.8% due to retail credit stress.
- **Company Performance**: Q3 net loss of ARS 87.7 billion included ARS 105.3 billion in restructuring expenses. ROE was -4.7% for the quarter, but 6.9% for the year excluding one-time costs.
- **Challenges**: High interest rates (48.7% on short-term peso deposits) and regulatory changes impacted margins. NPL provisions rose 26%, and restructuring costs drove headcount reduction by 2,000 YoY.

**【CFO Financial Commentary】**
- **Profit Outlook**: Full-year 2025 ROE expected at 4% (6% excluding restructuring). 2026 ROE target: 11-12%, with Q4 2026 run rate at 15%.
- **Margin Recovery**: November margins returned to Q2 levels, with further improvement expected in 2026 despite potential rate cuts.
- **Asset Quality**: NPLs expected to peak at 7% in March 2026, then decline to 4.3-4.5% by year-end. Coverage ratio to stabilize around 110%.
- **Cost Efficiency**: Restructuring reduced annualized costs by ARS 160 billion. 2026 loan growth projected at 25% YoY, with deposits growing 20%.
- **Capital Management**: Tier 1 ratio at 22.1% (down 160bps QoQ) but stable due to OCI reserve normalization. No immediate need for external funding despite LDR near 100%.

**【Q&A Highlights】**
- **Loan Growth Strategy**: Focus on commercial lending (oil, gas, mining) and short-duration consumer loans. Dollar lending growth constrained by liquidity limits.
- **Macro Assumptions**: 2026 GDP growth 3.7%, inflation 18%, exchange rate ARS 16.10/USD. Deposit growth to outpace lending in 2026.
- **Risk Appetite**: Comfortable with capital above 13.5%, targeting 15%+ ROE by 2027 through loan-to-GDP expansion (10%+ current, +2% YoY growth).
- **Market Participation**: Exploring debt issuance for large projects, but prioritizing deposit growth for cost efficiency.


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