Thursday, 18 October 2018
, 10/18/2018 / 16:36, EST/EDT - EQS Newswire - UNIFIN FINANCIERA, S.A.B. DE C.V., SOFOM, E.N.R.*MEXICO CITY, MEXICO / ACCESSWIRE / October 18, 2018 / UNIFIN Financiera S.A.B. de C.V. SOFOM, E.N.R. ("UNIFIN" or "the Company")(BMV: UNIFINA)*, announces its results for the third quarter ("3Q18") and first nine-months 2018 ("9M18") periods. Figures presented throughout this document are expressed in millions of Mexican pesos (Ps.). Financial information has been prepared in accordance with the accounting criteria of the Mexican National Banking and Securities Commission ("CNBV") and filed with the Mexican Stock Exchange ("BMV").
· *Total Revenue*grew *33.8%*y-o-y to *Ps. 4,988 million *in 3Q18. Leasing yield was *37.4%*(1)
· *Nominal financial margin* increased by *14.0%* y-o-y, *financial margin* reached *20.2%*(2) and* net interest margin ("NIM")* represented *8.1%*(3)
· *OPEX *as a percentage of total revenuewas *5.8%* in* *3Q18
· *Net income *reached* Ps. 545 million *in 3Q18, a *2.8%* y-o-y increase vs recurrent 3Q17(4)
· As of September 30, 2018,* total loan portfolio *reached *Ps. 48,806 million*, up *24.3% *y-o-y
· *NPL ratio* represented *0.95% *of the total loan portfolio; the *coverage for loan losses *was *107.0%, *while the *adjusted NPL ratio *improved 60 bps q-o-q to reach *2.7%*
· *Net fixed assets *and* total assets *increased by* 31.0% *and *25.3%*,* *respectively, at the close of 3Q18
· *93.5%* of our *total debt* is fixed rate
· During the 3Q18, the Company purchased *7.9 million of shares* via the *share repurchase program *(Annex 2 for full details)
*Message from the CEO:*
As previously announced, the Company entered into a new phase, and as part of its management succession process, strategic planning and corporate governance, I took over the CEO position on October 1st with a clear mandate: improve profitability. To reach this goal, I will lead and implement the Company's strategic initiatives, which will enable us to more efficiently advise our clients. For this purpose, throughout 2018, UNIFIN has made significant investments into converting our sales platform into an advisory business that will allow us to offer our clients informed financial guidance and provide a value-added proposal they require to boost long-term growth of their businesses. Other investments, such as IT infrastructure and the implementation of a new portfolio management system, in addition to an enhanced CRM will also support us in developing our client centric platform and become a more efficient Company.
As part of the executive changes, Sergio Cancino has become our CFO. He will support our long-term objectives, with the expectation that these changes will enhance the corporate structure, drive institutionalization, and help generate further value-added enhancements across the organization.
To achieve our strategic plans, the financing requirements for next year are expected to increase; the plan includes partial refinancing of current debt and working capital needs. Thus, we will seek the best market alternatives for funding, aligned with our strategy, looking to diversify our funding sources as we continue finding potential growth opportunities going forward. Our goal, as always, is to sustain growth at a healthy pace, without sacrificing the quality of our operations, and investing intelligently to ensure long-term progress for the Company.
In relation to our business trends, by the end of the third quarter we perceived a more dynamic economic activity. The results of the Mexican election and the likelihood of having a trade agreement with the U.S. and Canada gave certainty to our clients, which translated into a quicker decision-making process, and consequently a pick-up in the Company's operating metrics.
Now that the terms of the new agreement, the USMCA, have been disclosed, we expect less volatility in the overall business trends going forward, as we work to strengthen our position and relevance in the Mexican financial market.
*Sergio Camacho, CEO*
*For a full version of UNIFIN's Third Quarter 2018 Earnings Release, please visit: *
*Date: Friday, October 19, 2018*
*Time: 11:00 a.m. Eastern Time / 10:00 a.m. Mexico City Time*
*Presenting for UNIFIN:*
*Mr. Sergio Camacho - Chief Executive Officer*
*Mr. Sergio Cancino - Chief Financial Officer*
*Mr. David Pernas - Director, IR & Corporate Finance*
*1-877-830-2576 (U.S. participants)*
*+1-785-424-1726 (International participants)*
*Conference ID: UNIFIN*
UNIFIN is the leading independent Mexican leasing company, operating as a non-banking financial services company, specializing in three main business lines: operating leasing, factoring and auto and other lending. Through UNIFIN's leasing business line, its core business line, the Company offers operating leases for all types of equipment and machinery, various types of transportation vehicles (including cars, trucks, helicopters, airplanes and other vessels) and other assets in a variety of industries. Through its factoring business line, UNIFIN provides liquidity and financing solutions to its customers by purchasing or discounting accounts receivable and by providing vendor financing. UNIFIN's auto loans business line is focused on financing the acquisition of new and used vehicles.
*Investor Relations Contact*
*UNIFIN Investor Relations*
*+52 (55) 4162.8270 / email@example.com*
*In New York:*
*i-advize Corporate Communications, Inc.*
*Maria Barona / Sean Glickenhaus*
*Tel: +1 (212) 406-3691/ +1 (646) 462-4517*
*firstname.lastname@example.org** /**email@example.com** *
*SOURCE: *UNIFIN Financiera S.A.B. de C.V. SOFOM, E.N.R.10/18/2018 EQS Newswire / EQS Group AG