FIRST QUARTER 1997
(Lima, Peru, April 29, 1997) - Credicorp, Ltd. ("Credicorp") (NYSE:BAP;LSE:BAPC1) today announced its financial results for the quarter ended March 31, 1997.
Credicorp announced net income of US$29.6 million for the quarter ended March 31, 1997, 7.7% above US$27.5 million in the first quarter of last year. Credicorp had earnings per share of US$0.40 in the first quarter of 1997 and of US$0.37 for the same period in 1996, based on 73.6 million net outstanding shares (which includes the share dividend of March 1997 and excludes 12.2 million shares held by subsidiaries).
Credicorp which owns Banco de Crédito del Peru (BCP), El Pacifico-Peruano Suiza Cia. de Seguros y Reaseguros (PPS) and Atlantic Security Holding Corporation (ASHC), was established through an exchange of shares carried out in October 1995. Credicorp also owns 100% of Inversiones Crédito, a holding company with US$44.8 million in assets, with a 40% interest in AFP Union and in other non-financial business companies. In January 1997, 99.99% of the shares of Banco Tequendama, in Colombia, were acquired. This bank is included in Credicorps consolidated financial statements starting in the first quarter of 1997. Its financial highlights can be found at the end of this section.
(1) Based on 73.59 million outstanding shares in both periods. Following a share dividendin March 1997, the total number of shares outstanding increased to 85.80 million.However, as 12.21 million are held by affiliates as treasury shares, the net consolidatedoutstanding shares are 73.59 million, increasing from 61.32 million net sharesbefore the dividend.
The increase in net profits comparing the first quarter of 1997 with the same period of 1996 is primarily attributable to growth in the volume of banking operations resulting in increased net interest income. SuchThis increase was partially offset by higher provisions for possible loan losses and by increases in operating expenses. Return on net average shareholders equity ("ROE") waswas 17.9% during the first quarter of 1997 compared to 19.3% in the same period of 1996. Return on average total assets ("ROA") waswas 1.8% during the first quarter of 1997 compared to 2.1% in the same period of 1996.