BLX

This article first appeared on GuruFocus. Release Date: July 28, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Record commercial portfolio of $13 billion, up 8% sequentially and 20% year-over-year, driven by broad-based growth in loans and contingencies. Non-interest income reached a record $25.1 million, up 86% from Q1, with strong contributions from syndications, letters of credit, and client derivatives, diversifying revenue streams. Net income hit a record $66.5 million, up 18% from Q1, with adjusted ROE improving to 16.4% and efficiency ratio improving to 24.1%. Deposits reached a record $7.9 billion, up 8% sequentially and 20% since December, with the introduction of green Yankee CDs to broaden the funding base. Asset quality remains sound with 98.4% of credit exposure in Stage 1, and proactive risk management reduced Stage 2 exposures to 1.1%. Tier 1 capital ratio remains strong at 16.6%, above the 15%-16% operating range, providing capacity for continued disciplined growth. Net interest margin declined 10 basis points to 2.24% due to higher average liquidity and continued competitive pressure on lending spreads. Margin pressure has been stronger than initially expected, with abundant regional liquidity and strong competition for high-quality assets affecting pricing. Provisions increased to $8.6 million from $4.7 million in Q1, driven by portfolio growth and a specific exposure migration to Stage 3, raising cost of risk to 26 basis points. Stage 3 exposure increased to 0.5% of the portfolio, reflecting the migration of a single petrochemical sector exposure in Brazil, which remains fully reserved. Operating expenses increased 8% sequentially and 14% year-over-year due to strategic investments, with full-year efficiency ratio expected to rise to 27%-28%. The quarterly contribution of non-interest income is variable, with syndication fees hard to predict, and the company advises against extrapolating Q2's exceptional fee performance. Warning! GuruFocus has detected 5 Warning Signs with BLX. Is BLX fairly valued? Test your thesis with our free DCF calculator. Q: Given the intense competitive environment pressuring spreads, has your appetite for growth changed for the second half of the year, and why not increase the portfolio guidance if you are already growing around 20%?A: Jorge Salas (CEO): There is no change in appetite. The pressure is stronger than expected due to excess liquidity, but our strategy is designed to navigate this. We are mitigating compression through structured products like supply chain finance and factoring, which will increase in proportion. We are retaining the guidance until we have better visibility on the second half, but there might be upside. We will not chase volume just to raise the number. Q: Can you help us distinguish how much of the record fee income this quarter is recurring versus one-offs?A: Jorge Salas (CEO): There are three types of fee income. Syndication deals are hard to predict and can move between quarters; we do not advise multiplying this quarter's performance for the rest of the year. However, letters of credit are growing steadily, and derivatives are gaining traction. Samuel Canineu (CCO) added that while there were exceptional transactions, the first semester's structuring fees matched last year's without depending on a single deal, showing a direction of less dependency on individual transactions. Q: The coverage ratio is now closer to 120%, a historically low level. Should we expect a pickup in provisions, or will lower NPL formation improve the coverage ratio?A: Annette Van Hoorde De Solis (CFO): Credit quality remains very strong, with 98% of total exposure in Stage 1. The increase in Stage 3 was limited to a single client in the petrochemical sector in Brazil, which remains well reserved. We do not expect non-performing loans to increase from current levels, and we estimate the coverage will move from 1.25 to around 1.5 to 1.6 towards the end of the year. Q: How much of the significant acceleration in commercial loan growth reflects structural gains from new businesses versus increased market activity, and can this robust growth remain for the rest of 2026?A: Jorge Salas (CEO): The growth is split evenly between typical short-term lending with some structured deals and long-term deals, mainly syndications and project finance in Panama, Argentina, and the Dominican Republic. There might be upside in our loan growth guidance, but we are not ready to confirm that yet. Q: On the transactional services pillar, at what point should investors expect to see the online banking platform and new correspondent banking clients reflected in improved funding costs?A: Jorge Salas (CEO): The meaningful contribution on cost of funds will be seen in the second part of the plan, meaning years 4 and 5. We have one correspondent bank working with us, two will join this year, and between 5 and 10 will join next year. We are right on track with the execution of this pillar. Q: Can you provide more color on the increased exposure to Argentina and El Salvador, and should we expect to see exposure in Venezuela in the next few quarters?A: Jorge Salas (CEO): Argentina exposure is mainly in the oil and gas sector, including short-term gas imports for winter. El Salvador is mainly short-term financial sector related. Regarding Venezuela, our position remains unchanged; it is not included in current projections and exposure is zero. If we reenter, it will be gradual, selective, and consistent with our credit, legal, and compliance framework. Q: How sensitive is the current credit portfolio to a potential slowdown in Latin American trade activity or commodity prices?A: Jorge Salas (CEO): Higher oil prices are generally positive for Bladex. Our longer-term exposure is concentrated in competitive low-cost producers, where high prices strengthen cash flows. While importers may face pressure, our clients are strong national oil companies with decades-long relationships. The short-term tenor allows us to reprice quickly. We are not seeing a slowdown; in fact, we are seeing more activity. Q: Operating expenses increased 14% year-over-year due to investments in technology and personnel. When should investors expect these investments to translate into tangible efficiency gains?A: Annette Van Hoorde De Solis (CFO): We are already seeing tangible efficiency gains. Investments in technology and people have allowed us to originate more sophisticated transactions, increasing fee income. The trade platform implemented last year is already providing additional income. Jorge Salas (CEO) added that the investment plan is designed so the efficiency ratio stays between 27% and 29% throughout the plan, with a decrease to 25%-26% expected in the second half of the strategic plan. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Record net income of $66.5 million was driven by the successful transition of the 2030 strategic plan from design into tangible execution, specifically through revenue diversification. Noninterest income reached a record $25 million, representing 26% of total revenue, as management actively works to reduce earnings sensitivity to interest margin compression. The commercial portfolio expanded to a record $13 billion, reflecting disciplined capital deployment following last year's AT1 issuance to support strategic growth. Net Interest Margin (NIM) faced a 10-basis point compression to 2.24% due to abundant regional liquidity and intense competitive pressure on short-term lending spreads. Efficiency improved to 24.1% as revenue growth outpaced strategic investments, though management expects this to normalize as second-half project implementation accelerates. The funding base reached new heights with $7.9 billion in deposits, providing a stable foundation that kept pace with the rapid expansion of the commercial portfolio. Management reaffirmed full-year adjusted ROE guidance of 14% to 15%, despite expecting seasonal expense increases in the second half of 2026. The transactional services pillar is viewed as a long-term build, with meaningful cost-of-funds benefits from operational deposits expected only in years four and five of the plan. Portfolio growth is expected to continue at a disciplined pace, with management indicating potential upside to guidance if current momentum persists without compromising credit standards. Efficiency ratios are projected to remain within the 27% to 28% range for the full year as the bank continues its technology and personnel investment cycle. Guidance assumes interest rates will remain stable for longer as the Federal Reserve maintains a cautious stance due to renewed inflationary pressures. Stage 3 exposures increased to 0.5% following the migration of a single petrochemical exposure in Brazil, which management proactively mitigated by selling the bilateral loan component. A $8.6 million write-off was recorded against existing reserves for two fully reserved commercial loans, resulting in no additional impact on the quarter's bottom line. Management maintains a zero-exposure policy toward Venezuela, characterizing any potential future reentry as a gradual, long-term upside scenario not included in current projections. The bank introduced green Yankee CDs during the quarter to diversify the investor base and align funding with eligible green assets originated by the commercial team. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management acknowledged that margin pressure was stronger than initially anticipated due to excess market liquidity. They will not change credit appetite or chase volume for its own sake, relying instead on structured products like supply chain finance to alleviate compression. Management cautioned against extrapolating the record $25 million noninterest income, noting that syndication fees are transactional and hard to predict. However, they emphasized that the underlying growth in letters of credit and derivatives is structural and aligns with the long-term diversification strategy. The bank is currently in the capability-building phase, with a new online platform and additional correspondent banking clients being onboarded. Tangible improvements in funding costs from these initiatives are explicitly slated for the second half of the five-year strategic plan. Management views higher oil prices as a net positive for the bank, as it strengthens the cash flows of their core low-cost producer clients. The short-dated nature of the portfolio (65% maturing within 12 months) allows the bank to reprice and reposition quickly if macro conditions shift.

Interested in Banco Latinoamericano de Comercio Exterior, S.A.? Here are five stocks we like better. Record profitability: Bladex reported second-quarter 2026 net income of $66.5 million, up 18% sequentially, with adjusted ROE reaching 16.4%. The bank reaffirmed its full-year adjusted ROE guidance of 14% to 15%. Strong balance-sheet and fee growth: The commercial portfolio and deposits both rose 8% sequentially to records of $13 billion and $7.9 billion, respectively. Non-interest income surged 86% to $25.1 million, offsetting continued pressure on net interest margins. Credit remains sound, but provisions increased: Provision expense rose to $8.6 million, mainly due to portfolio growth and one Brazilian petrochemical exposure moving to Stage 3. Management said overall credit quality remains healthy and maintained its broadly unchanged 2026 outlook. Banco Latinoamericano de Comercio Exterior (NYSE:BLX), known as Bladex, reported record second-quarter 2026 net income of $66.5 million, up 18% from the prior quarter, as commercial portfolio growth and higher fee income more than offset continued pressure on lending margins. Chief Executive Officer Jorge Salas said the quarter showed the company’s strategy moving from planning into execution, citing record commercial lending, deposits and non-interest income. Adjusted return on equity reached 16.4% in the quarter, while the bank reaffirmed its full-year adjusted ROE guidance of 14% to 15%. → Volatility Is Back and These 3 Market Tollbooths Are Best Positioned to Profit Bladex’s commercial portfolio rose to a record $13 billion at the end of the second quarter, increasing 8% from the first quarter, 20% from a year earlier and 17% since year-end. Loans increased 8% sequentially to $10.5 billion, while contingencies rose 11% to $2.3 billion. Chief Financial Officer Annette van Hoorde said growth was broad-based across loans and contingencies and was supported by trade finance and medium-term lending. Panama and Argentina led quarter-over-quarter growth, with additional contributions from the Dominican Republic, Peru and Brazil. No individual country represented more than 14% of total exposure, she said. → This Tiny AI Supplier Could Be More Important Than the Chipmakers About 65% of the commercial portfolio is scheduled to mature within 12 months, maintaining the bank’s predominantly short-term profile. The commercial bond portfolio was broadly stable at $226 million, as management said it continued to favor lending opportunities over additional investment purchases. Deposits also reached a record, rising 8% sequentially to $7.9 billion and accounting for approximately 64% of total funding. Yankee certificate of deposit balances approached $2 billion. During the quarter, the bank introduced Green Yankee CDs, whose proceeds are allocated to eligible green assets originated by its commercial team. → 2 Stocks Built to Thrive If Inflation Refuses to Fade Net interest income increased 4% from the first quarter to $73.3 million, supported by higher average loan balances. However, net interest margin declined 10 basis points sequentially to 2.24%, while net interest spread fell to 1.64%. Management attributed the margin decline to higher average liquidity and competitive pressure on short-term lending spreads. Salas told analysts that the bank’s credit appetite had not changed, but said it would not pursue volume solely to increase growth targets. The company retained its portfolio growth guidance while it seeks greater visibility into the second half of the year. Salas said more structured lending products, including supply-chain finance, factoring, accounts receivable financing and commercial prepayments, should become a larger portion of business over time. Medium-term syndicated and project finance transactions also provide higher spreads and more fee opportunities, he said. Non-interest income excluding hedging derivatives rose 86% sequentially to a record $25.1 million, representing 25.4% of total revenue. Fees and commissions totaled $23.3 million. Letters of credit and guarantees generated $9.5 million, supported by increased trade finance activity and the distribution of a letter-of-credit facility. Credit commitments contributed $5.2 million, primarily from project finance and medium-term committed facilities. Structuring and distribution fees totaled $7.9 million, with seven transactions completed across six countries. Client derivatives generated $1.3 million as pilot transactions linked to structured client transactions gained traction. Van Hoorde said Bladex mobilized approximately $2.2 billion year to date through structuring and distribution activity while retaining 26% of that volume on its balance sheet. Salas cautioned that syndication-related revenue can vary by quarter because transaction closings may shift between reporting periods. Provision expense increased to $8.6 million from $4.7 million in the first quarter, primarily reflecting portfolio growth and a specific exposure that moved into Stage 3. Stage 1 exposures represented 98.4% of total credit exposure, or $14.2 billion, at quarter-end. Stage 3 exposures rose to $75 million, or 0.5% of total exposure, primarily due to a single Brazilian petrochemical client that had previously been under enhanced monitoring. Van Hoorde said the bank reduced its bilateral loan exposure to the client, while the remaining deferred-payment letter of credit was reclassified to Stage 3 and remained reserved. The quarter included $8.6 million in write-offs related to two fully reserved commercial loans, which did not create an additional impact on quarterly results, along with $1.1 million in recoveries from prior write-offs. Total reserves ended the quarter at $93.8 million, covering impaired credits by 1.25 times. Management said it does not expect nonperforming loans to rise from current levels and expects coverage to move toward 1.5 to 1.6 times by year-end. Operating expenses rose 8% sequentially to $23.8 million as Bladex continued investments in strategic initiatives. Revenue growth exceeded expense growth, improving the efficiency ratio to 24.1% from 26.5% in the first quarter. The company expects the full-year ratio to be between 27% and 28% as spending is weighted toward the second half. Salas said the first phase of the bank’s new online banking platform is operating and the company is gradually adding letters-of-credit clients. Bladex is also close to onboarding two additional correspondent banking clients. Management said meaningful funding-cost benefits from operational deposits are expected later in the broader strategic plan, rather than immediately. Despite geopolitical trade tensions, inflation concerns and competitive lending conditions, Salas said the bank’s outlook for the rest of 2026 remains broadly unchanged. The company plans to manage margin pressure through disciplined growth, deposit gathering, broader fee income and cost controls while maintaining its stated full-year guidance. Banco Latinoamericano de Comercio Exterior SA, commonly known as BLADEx and traded on the New York Stock Exchange under the symbol BLX, is a multilateral financial institution dedicated to promoting foreign trade and regional integration in Latin America and the Caribbean. Headquartered in Panama City, the bank provides specialized trade finance solutions to corporate clients and financial institutions, helping to facilitate cross-border transactions across key markets in the region. Its services encompass import and export financing, supply chain solutions, project and structured finance, as well as treasury and risk management products. Established in 1977 by a consortium of 20 Latin American and Caribbean governments in partnership with the Inter-American Development Bank (IDB), BLADEx has a mandate to support economic development through trade facilitation. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Banco Latinoamericano de Comercio Exterior Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

PANAMA CITY, July 27, 2026 /PRNewswire/ -- Bladex, Inc. (NYSE: BLX, or "the Bank"), a Panama-based multinational bank originally established by the central banks of 23 Latin-American and Caribbean countries to promote foreign trade and economic integration in the Region, announced today its results for the second quarter ("2Q26") and the six months ("6M26") ended June 30, 2026. The consolidated financial information in this document has been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). Financial & Business Highlights All-time high profitability with Net Profits reaching $66.5 million or $1.77 per share in 2Q26 (+4% YoY) and $122.8 million or $3.08 per share in 6M26 (+6% YoY), supported by higher average commercial balances, record fee generation and continued funding optimization, notwithstanding continued margin pressure driven by abundant liquidity and intensified competition for high-quality assets across the Region. Adjusted Annualized Return on Equity stood at 16.4% in 2Q26 and 15.3% in 6M26, reflecting disciplined commercial growth, enhanced revenue diversification and continued funding optimization. Including the effect of the AT1 issuance completed in late September 2025, the annualized Return on Equity ("ROE") reached 15.4% in 2Q26 and 14.5% in 6M26. Net Interest Income ("NII") resulted in $73.3 million in 2Q26 (+8% YoY) and $143.5 million in 6M26 (+8% YoY) mostly driven by higher average business volumes. Net Interest Margin ("NIM") stood at 2.24% in 2Q26 and 2.29% in 6M26, supported by lower funding costs driven by deposit growth and continued pricing discipline, which was offset by increased market liquidity and intensified competition for high-quality assets that continue to pressure asset pricing and short-term lending spreads. Fees and non-interest income reached a record $25.6 million in 2Q26 (+15% YoY), primarily attributable to the growing contribution from fee-generating activities, supported by sustained client engagement and increased transactional activity. Revenues generated by the intermediation of financial instruments have become increasingly an important source of income, generating $1.3 million in 2Q26. Consequently, fees and non-interest income totaled $38.5 million in 6M26 (+10% YoY). Well-managed Efficiency Ratio of 24.1% in 2Q26 and 25.2% in 6M26, as higher total revenues more than offset increased operating expenses associated with expanded execution capacity and personnel-related expenses, along with continuing investments in technology, modernization and other strategic initiatives. Credit Portfolio reached a record level at $14,466 million as of June 30, 2026 (+19% YoY), resulting from: Commercial Portfolio EoP balances reaching a peak of $13,029 million at the end of 2Q26 (+20% YoY), reflecting growth across loans and contingencies, as the Bank continues to execute its commercial pipeline. Treasury Investment Portfolio of $1,437 million (+5% YoY), mostly consisting of investment-grade securities outside of Latin America held at amortized cost, further enhancing country and credit-risk diversification and providing contingent liquidity funding. Sound asset quality, with most of the credit portfolio (98.4%) remaining low-risk or Stage 1 at the end of 2Q26. Stage 2 exposures decreased to 1.1% of the portfolio at the end of 2Q26, reflecting credit quality improvements, maturities, repayments and the migration of a specific exposure to Stage 3. As a result, impaired credits or Stage 3 principal balance increased to $75.1 million or 0.5% of total Credit Portfolio, with a reserve coverage of 1.2x. Heightened and diversified deposit base, reaching historically high levels of $7,890 million at the end of 2Q26 (+22% YoY), representing 64% of the Bank's total funding sources. The Bank also maintained ample and constant access to interbank and debt capital markets. Solid liquidity position at $1,922 million, or 13.3% of total assets as of June 30, 2026, mostly consisting of deposits placed with the Federal Reserve Bank of New York (67%) and highly rated banks in the U.S. and other OECD countries (27%). The Bank's Tier 1 Basel III Capital and Regulatory Capital Adequacy Ratios resulted in 16.6% and 14.3% at the end of 2Q26, respectively, both well above internal targets and regulatory minimum, reflecting the strategic deployment of capital to support profitable business growth. Recent Events Quarterly dividend payment: The Board of Directors approved a quarterly common dividend of $0.6875 per share corresponding to 2Q26. The cash dividend will be paid on August 25, 2026, to shareholders registered as of August 7, 2026. Rating updates: On June 18, 2026, S&P Global Ratings upgraded the Bank's global long-term issuer credit ratings to "BBB+" and affirmed the short-term issuer credit rating at "A-2" on robust credit risk management, superior asset quality indicators, a well-diversified portfolio across geographies, economic sectors, and client profiles; and resilient earnings and strong capital adequacy, which give it ample capacity to absorb unexpected credit losses. The outlook remains "Stable". On June 16, 2026, Moody's Investors Service affirmed Bladex's all ratings, including its long- and short-term foreign currency deposit ratings at "Baa2/Prime-2", respectively. The outlook on Bladex's long-term foreign currency ratings remains "Stable". On April 28, 2026, Fitch Ratings affirmed Bladex's Long- and Short-Term Issuer Default Rating at 'BBB/F2', respectively. The outlook remains "Stable". In addition, the Bank's National Long- and Short-Term ratings were affirmed at 'AAA(pan)'/Outlook Stable, and 'F1+(pan)', respectively. Notes Numbers and percentages set forth in this earnings release have been rounded and accordingly may not total exactly. QoQ and YoY refer to quarter-on-quarter and year-on-year variations, respectively. Footnotes 1. Earnings per Share ("EPS") calculation is based on profit attributable to common shareholders, after deducting distributions accrued on AT1 instruments, divided by the weighted-average number of common shares outstanding during the period. 2. ROE refers to return on average stockholders' equity which is calculated based on unaudited daily average balances. 3. ROE excluding other equity instruments refers to the adjusted net profit after AT1 distributions over average stockholders' equity excluding other equity instruments, which is calculated based on unaudited daily average balances. 4. ROA refers to return on average assets which is calculated based on unaudited daily average balances. 5. NIM refers to net interest margin which constitutes to Net Interest Income ("NII") divided by the average balance of interest-earning assets. 6. NIS refers to net interest spread which constitutes the average yield earned on interest-earning assets, minus the average yield paid on interest-bearing liabilities. 7. Efficiency Ratio refers to consolidated operating expenses as a percentage of total revenues. 8. The Bank's "Credit Portfolio" includes (i) loans – principal balance, which excludes interest receivable, allowance for loan losses, and unearned interest and deferred fees (or the "Loan Portfolio"); (ii) principal balance of securities at FVOCI and at amortized cost, which excludes interest receivable and allowance for expected credit losses; and (iii) loan commitments and financial guarantee contracts, such as confirmed and stand-by letters of credit and guarantees covering commercial risk and other assets consisting of customers' liabilities under acceptances. 9. The Bank's "Commercial Portfolio" includes loans – principal balance (or the "Loan Portfolio"), loan commitments and financial guarantee contracts, such as issued and confirmed letters of credit, stand-by letters of credit, guarantees covering commercial risk and other assets consisting of customers' liabilities under acceptances; and the principal balance of investment securities managed by the Bank's Commercial Unit (or the "Commercial Bond Portfolio"). 10. Market capitalization corresponds to total outstanding common shares multiplied by market close price at the end of each corresponding period. 11. Tier 1 Capital ratio is calculated according to Basel III capital adequacy guidelines, and as a percentage of risk-weighted assets. Risk-weighted assets are estimated based on Basel III capital adequacy guidelines, utilizing internal-ratings based approach or "IRB" for credit risk and standardized approach for operational risk. 12. As defined by the Superintendency of Banks of Panama ("SBP") through Rules No. 01-2015, 03-2016 and 05-2023, based on Basel III standardized approach. The capital adequacy ratio is defined as the ratio of capital funds to risk-weighted assets, rated according to the asset's categories for credit risk. In addition, risk-weighted assets consider calculations for market risk and operating risk. 13. Liquid assets consist of total cash and due from banks, excluding time deposits with original maturity over 90 days and other restricted deposits, as well as corporate debt securities rated A- or above. Liquidity ratio refers to liquid assets as a percentage of total assets. 14. Loan Portfolio refers to loans – principal balance, which excludes interest receivable, allowance for loan losses, and unearned interest and deferred fees. Credit-impaired loans are also commonly referred to as Non-Performing Loans or NPLs. 15. Impaired Credits refers to the principal balance of Non-Performing Loans or NPLs and non-performing securities at FVOCI and at amortized cost. 16. Total allowance for losses refers to allowance for loan losses plus allowance for loan commitments and financial guarantee contract losses, allowance for investment securities losses and allowance for cash and due from banks losses. Safe Harbor Statement This press release contains forward-looking statements of expected future developments within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements can be identified by words such as: "anticipate", "intend", "plan", "goal", "seek", "believe", "project", "estimate", "expect", "strategy", "future", "likely", "may", "should", "will" and similar references to future periods. The forward-looking statements in this press release include the Bank's financial position, asset quality and profitability, among others. These forward-looking statements reflect the expectations of the Bank's management and are based on currently available data; however, actual performance and results are subject to future events and uncertainties, which could materially impact the Bank's expectations. Among the factors that can cause actual performance and results to differ materially are as follows: the coronavirus (COVID-19) pandemic and geopolitical events; the anticipated changes in the Bank's credit portfolio; the continuation of the Bank's preferred creditor status; the impact of increasing/decreasing interest rates and of the macroeconomic environment in the Region on the Bank's financial condition; the execution of the Bank's strategies and initiatives, including its revenue diversification strategy; the adequacy of the Bank's allowance for expected credit losses; the need for additional allowance for expected credit losses; the Bank's ability to achieve future growth, to reduce its liquidity levels and increase its leverage; the Bank's ability to maintain its investment-grade credit ratings; the availability and mix of future sources of funding for the Bank's lending operations; potential trading losses; the possibility of fraud; and the adequacy of the Bank's sources of liquidity to replace deposit withdrawals. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. About Bladex Bladex, a multinational bank originally established by the central banks of Lat-in-American and Caribbean countries, began operations in 1979 to promote foreign trade and economic integration in the Region. The Bank, headquartered in Panama, also has offices in Argentina, Brazil, Colombia, Mexico, and the Unit-ed States of America, and a Representative License in Peru, supporting the re-gional expansion and servicing its customer base, which includes financial in-stitutions and corporations. Bladex is listed on the NYSE in the United States of America (NYSE: BLX), since 1992, and its shareholders include: central banks and state-owned banks and entities representing 23 Latin American countries; commercial banks and fi-nancial institutions; and institutional and retail investors through its public listing. Conference Call Information There will be a conference call to discuss the Bank's quarterly results on Tuesday, July 28, 2026, at 11:00 a.m. New York City time (Eastern Time). For those interested in participating, please click here to pre-register to our conference call or visit our website at https://bladex.com/. Participants should register five minutes before the call is set to begin. The webcast presentation will be available for viewing and downloads on https://bladex.com/. The conference call will become available for review one hour after its conclusion. For more information, please access http://www.bladex.com or contact: Mr. Carlos Daniel RaadChief Investor Relations OfficerTel: +507 366-4925 ext. 7925E-mail: [email protected] / [email protected] Logo - https://mma.prnewswire.com/media/2950874/5927140/BLADEX_Logo_PMS_289_Blue_Logo.jpg View original content:https://www.prnewswire.com/news-releases/bladex-announces-net-profit-of-66-5-million-for-the-second-quarter-2026--302835678.html

Balance-sheet momentum: Commercial portfolio reached $12.0 billion (up 8% QoQ, 13% YoY) and deposits hit a record $7.3 billion (up 11% sequentially, 25% YoY), aided by Yankee CDs above $1.7 billion. Profitability and margin resilience: Net income was $56.4 million (up 9% YoY) with net interest income of $70 million and a net interest margin of 2.34%; management reaffirmed 2026 guidance with margins expected around 2.30%. Strong credit and capital position: Credit quality remains solid despite a proactive increase in Stage 2 to 2.2% (~$300 million); allowances were $112 million, Basel III Tier 1 ratio rose to 17.9% while Panama's regulatory ratio was 14.7%. Interested in Banco Latinoamericano de Comercio Exterior, S.A.? Here are five stocks we like better. Banco Latinoamericano de Comercio Exterior (NYSE:BLX) opened 2026 with what management described as a “very strong quarter” for balance sheet growth while maintaining profitability despite a competitive lending environment and tighter spreads across Latin America. On the company’s first-quarter 2026 earnings call, CEO Jorge Salas said the commercial portfolio reached a record $12.0 billion, up 8% quarter-over-quarter and 13% year-over-year, driven mainly by medium-term transactions in Colombia, Brazil, and Guatemala. Deposits also hit a record $7.3 billion, up 11% sequentially and 25% year-over-year, as the bank expanded funding across depositor segments, including growth in Yankee certificates of deposit that surpassed $1.7 billion. → Pipelines and Automation: 2 Energy Plays Built for Any Oil Price CFO Annette van Hoorde de Solís reported net income of $56.4 million, up 9% year-over-year and “broadly stable” versus the prior quarter. Return on adjusted equity was 14.2%, in line with the previous quarter and within the company’s 2026 guidance range, while return on average assets was 1.8%. Net interest income totaled $70 million, which Salas said was slightly lower as the balance sheet absorbed the repricing effects of interest rate cuts implemented in late 2025. Net interest margin was 2.34%, which management attributed to disciplined balance sheet management, deposit growth, and liquidity actions that helped offset pressure from competition and ample market liquidity. → Homebuilder Earnings: D.R. Horton Sticks Out as Pulte & NVR Sales Tank During Q&A, van Hoorde de Solís reiterated that the bank remained comfortable with its 2026 margin outlook, stating guidance “will remain around 2.30%.” She added that incremental balance growth occurred toward the end of the quarter, meaning the earnings impact was only partially reflected in first-quarter net interest income, with a fuller contribution expected in subsequent quarters. Fee and commission income totaled $13.1 million, up 24% year-over-year, despite management characterizing the first quarter as seasonally softer for its main fee businesses. Letters of credit and guarantees generated $7.4 million in the quarter. Credit commitments and other commissions reached $2.7 million, which the CFO said more than doubled from the same period last year, reflecting the growing role of medium-term transactions and committed facilities. → Meta Platforms Earnings Preview: What to Watch in Q1 2026 Report Chief Commercial Officer Samuel Canineu explained that growth in commitment fees was tied to the expansion of project finance, infrastructure, and syndicated loan activity, where facilities are often drawn over time rather than immediately. He said commitment fees “tend to be 30% to 40% of the loan margin.” Canineu also emphasized the bank’s commitment exposures are not “liquidity backstop facilities,” which he said the bank does not prefer because they can be drawn when underlying credit deteriorates. Structuring and distribution fees totaled $3.1 million, supported by two transactions in Costa Rica and Colombia, though management noted some closings shifted from the first quarter into the second. Addressing analyst questions about sustainability, Salas said there were no one-offs behind the year-over-year fee increase. He described recent shifts between quarters as timing effects and said the bank was “confident with the guidance on fees,” arguing that fees are becoming a more structural component of revenue over time. Management said credit quality remained strong. Van Hoorde de Solís reported total credit exposure of $13.5 billion, with 97.5% in Stage 1, 2.2% in Stage 2 (about $300 million), and 0.3% in Stage 3 (about $39 million). Total allowances were $112 million, with a coverage ratio of 0.83%, and coverage of impaired credits at 2.9x. Asked about the sequential increase in Stage 2 exposures, Salas said management was “not worried,” describing the move as a proactive step rather than deterioration. He said the change reflected increased caution on selected exposures, “basically in Brazil,” and that the bank expected normalization rather than further deterioration. Van Hoorde de Solís added that no material credit events were recorded during the quarter. Bladex ended the quarter with a Basel III Tier 1 ratio of 17.9%, up from 17.4% at year-end 2025. Van Hoorde de Solís said the increase was driven mainly by lower risk-weighted asset intensity and the regular revision of internal risk parameters based on strong historical credit performance. She also cited an Ecuador country upgrade during the quarter as a factor that impacted the Basel III ratio. Under Panama’s regulatory framework, the capital adequacy ratio was 14.7%. In response to investor questions about the differences between the ratios, van Hoorde de Solís said the Panamanian calculation is more standardized and does not reflect improvements in risk profile in the same way Basel III does, particularly for cross-border corporate exposure. She said the quarter’s decline in the Panamanian ratio was “directly” tied to balance sheet growth of about 8% from the fourth quarter to the first quarter. Looking ahead, management said it expects the Basel III Tier 1 ratio to “gradually” move toward the company’s 15% to 16% guidance range as capital is deployed. On the funding side, van Hoorde de Solís emphasized that deposits represented 63% of total funding, supported by growth across corporates, financial institutions, and multilateral clients, with Class A shareholder deposits providing what she called a stable anchor. Beyond deposits, the bank executed an additional tranche under a Middle Eastern syndicated loan and completed a roughly $250 million issuance in the Mexican market that was swapped into U.S. dollars “at a cost well within” its U.S. dollar curve. Salas highlighted progress on the bank’s letters of credit platform, saying processing time improved from “almost five hours to about one hour per transaction,” enabling the bank to handle smaller ticket sizes profitably. He also said transactional deposits are a key strategic priority and noted the bank onboarded its first correspondent banking client in a pilot phase and is working on a second, with governance in place to add more during the year. On macro conditions, Salas said Latin America has been resilient amid global geopolitical and financial volatility, in part because the region’s direct trade exposure with the Persian Gulf is limited and the region is a net commodity exporter. He said higher commodity prices are historically beneficial for Bladex, while noting that net commodity importers in Central America and the Caribbean could face headwinds. In Q&A, Canineu said the bank’s roughly 18% exposure to oil and gas was “much more of a tailwind rather than a headwind” on a net basis, citing stronger conditions for low-cost regional producers and larger trade finance cargo sizes. He acknowledged potential inflation and profitability pressures for importers in Central America, but said the bank is generally dealing with national oil companies in “very solid countries.” Salas also said Venezuela could represent an upside scenario, but is not included in current projections. He said Bladex’s exposure to Venezuela is currently zero, compared with a historical range of roughly 4% to 5% of the portfolio, and that returning would be a matter of timing as the bank assesses risks and opportunities. Management reaffirmed its full-year 2026 guidance, with Salas saying the first quarter was consistent with expectations and the bank remains focused on disciplined execution despite competitive pressures. Banco Latinoamericano de Comercio Exterior SA, commonly known as BLADEx and traded on the New York Stock Exchange under the symbol BLX, is a multilateral financial institution dedicated to promoting foreign trade and regional integration in Latin America and the Caribbean. Headquartered in Panama City, the bank provides specialized trade finance solutions to corporate clients and financial institutions, helping to facilitate cross-border transactions across key markets in the region. Its services encompass import and export financing, supply chain solutions, project and structured finance, as well as treasury and risk management products. Established in 1977 by a consortium of 20 Latin American and Caribbean governments in partnership with the Inter-American Development Bank (IDB), BLADEx has a mandate to support economic development through trade facilitation. The article "Banco Latinoamericano de Comercio Exterior Q1 Earnings Call Highlights" was originally published by MarketBeat.

PANAMA CITY, April 27, 2026 /PRNewswire/ -- Bladex (NYSE: BLX, or "the Bank"), a Panama-based multinational bank originally established by the central banks of 23 Latin-American and Caribbean countries to promote foreign trade and economic integration in the Region, announced today its results for the First Quarter ("1Q26") ended March 31, 2026. The consolidated financial information in this document has been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB"). Financial & Business Highlights Solid profitability with Net Profits reaching $56.4 million in 1Q26 (+9% YoY), supported by continued balance sheet expansion and revenue generation. Earnings per share totaled $1.31 for 1Q26, reflecting the deduction of the AT1 coupon distribution from net profit attributable to common shareholders, in accordance with the applicable EPS calculation. Adjusted Annualized Return on Equity stood at 14.2% for 1Q26, reflecting disciplined balance sheet growth, solid fee generation, and continued funding optimization. Including the effect of the AT1 issuance completed in late September 2025, the annualized Return on Equity ("ROE") reached 13.5% in 1Q26. Net Interest Income ("NII") resulted in $70.2 million in 1Q26 (+8% YoY) mostly driven by higher average business volumes. Net Interest Margin ("NIM") stood at 2.34% for 1Q26 (-2bps YoY), reflecting lower base rates implemented in the fourth quarter of 2025 and increased market liquidity driving competitive pricing and margin compression, which was partially offset by improved funding costs driven by deposit growth, as well as pricing discipline. Fees and non-interest income totaled $12.9 million for 1Q26 (+2% YoY), mainly driven by higher fees (+$2.5 million or +24% YoY) from the Bank's off-balance sheet business (letters of credit and commitments) supported by consistent client engagement and increased transactionality. Fee generation was also supported by the loan syndication desk, reflecting continued execution across the Bank's structuring and distribution capabilities. Well-managed Efficiency Ratio of 26.5% for 1Q26, as higher total revenues (+7% YoY) compensated the increase in operating expenses (+5% YoY), associated with continuing investments in technology, modernization and other business initiatives related to the Bank's strategic priorities, including its associated operating costs and depreciation and amortization. Credit Portfolio reached new all-time high at $13,487 million as of March 31, 2026 (+13% YoY), resulting from: Commercial Portfolio EoP balances reaching a peak of $12,047 million at the end of 1Q26 (+13% YoY), reflecting strong growth across all products lines. In addition, the Bank created in this quarter a "Commercial Bond Portfolio" as a strategic capital deployment mechanism applied selectively within the Bank's existing credit framework, with an outstanding principal balance of $234 million as of March 31, 2026. Treasury Investment Portfolio of $1,440 million (+14% YoY), mostly consisting of investment-grade securities outside of Latin America held at amortized cost, further enhancing country and credit-risk diversification and providing contingent liquidity funding. Healthy asset quality, with most of the credit portfolio (97.5%) remaining low-risk or Stage 1 at the end of 1Q26. Stage 2 exposures increased to 2.2% of the portfolio at the end of 1Q26, resulting from the Bank's proactive and cautionary credit assessment against a backdrop of challenging macroeconomic and operating conditions. Impaired credits or Stage 3 principal balance remained unchanged at $38.7 million or 0.3% of total Credit Portfolio, with a reserve coverage of 2.9x. Heightened and diversified deposit base, reaching historically high levels of $7,307 million at the end of 1Q26 (+25% YoY), representing 63% of the Bank's total funding sources (+6pp YoY). The Bank also maintained ample and constant access to interbank and debt capital markets, most recently denoted by the MXN4.3 billion bond issued in April 2026 in the Mexican capital market. Strong Liquidity position at $1,988 million, or 14.5% of total assets as of March 31, 2026, mostly consisting of deposits placed with the Federal Reserve Bank of New York (80%). The Bank's Tier 1 Basel III Capital and Regulatory Capital Adequacy Ratios resulted in 17.9% and 14.7% at the end of 1Q26, respectively, both well above internal targets and regulatory minimum and providing ample headroom for capital deployment. Recent Events Quarterly dividend payment: The Board of Directors approved a quarterly common dividend of $0.6875 per share corresponding to 1Q26. The cash dividend will be paid on May 27, 2026, to shareholders registered as of May 8, 2026. Annual Shareholders' Meeting Results: At the Annual Shareholders' Meeting held on April 21, 2026, in Panama City, Panama, shareholders: Approved an amendment of the Article 1 of the Bank's Articles of Incorporation to change the name of the Bank from "Banco Latinoamericano de Comercio Exterior, S.A." to "Bladex, Inc." Reelected Mr. Jos￩ Alberto Garzon and elected Mr. Juan Alberto Pazo, as Directors representing the holders of Class "A" shares of the Bank's common stock, Elected Ms. Julianne Canavaggio as Director representing the holders of Class "E" shares of the Bank's common stock, Approved the Bank's audited consolidated financial statements for the fiscal year ended December 31, 2025, Ratified KPMG as the Bank's independent registered public accounting firm for the fiscal year ending December 31, 2026, Approved, on an advisory basis, the compensation of the Bank's executive officers. Notes Numbers and percentages set forth in this earnings release have been rounded and accordingly may not total exactly. QoQ and YoY refer to quarter-on-quarter and year-on-year variations, respectively. Footnotes Safe Harbor Statement This press release contains forward-looking statements of expected future developments within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements can be identified by words such as: "anticipate", "intend", "plan", "goal", "seek", "believe", "project", "estimate", "expect", "strategy", "future", "likely", "may", "should", "will" and similar references to future periods. The forward-looking statements in this press release include the Bank's financial position, asset quality and profitability, among others. These forward-looking statements reflect the expectations of the Bank's management and are based on currently available data; however, actual performance and results are subject to future events and uncertainties, which could materially impact the Bank's expectations. Among the factors that can cause actual performance and results to differ materially are as follows: the coronavirus (COVID-19) pandemic and geopolitical events; the anticipated changes in the Bank's credit portfolio; the continuation of the Bank's preferred creditor status; the impact of increasing/decreasing interest rates and of the macroeconomic environment in the Region on the Bank's financial condition; the execution of the Bank's strategies and initiatives, including its revenue diversification strategy; the adequacy of the Bank's allowance for expected credit losses; the need for additional allowance for expected credit losses; the Bank's ability to achieve future growth, to reduce its liquidity levels and increase its leverage; the Bank's ability to maintain its investment-grade credit ratings; the availability and mix of future sources of funding for the Bank's lending operations; potential trading losses; the possibility of fraud; and the adequacy of the Bank's sources of liquidity to replace deposit withdrawals. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. About Bladex Bladex, a multinational bank originally established by the central banks of Latin-American and Caribbean countries, began operations in 1979 to promote foreign trade and economic integration in the Region. The Bank, headquartered in Panama, also has offices in Argentina, Brazil, Colombia, Mexico, and the United States of America, and a Representative License in Peru, supporting the regional expansion and servicing its customer base, which includes financial institutions and corporations. Bladex is listed on the NYSE in the United States of America (NYSE: BLX), since 1992, and its shareholders include: central banks and state-owned banks and entities representing 23 Latin American countries; commercial banks and financial institutions; and institutional and retail investors through its public listing. Conference Call Information There will be a conference call to discuss the Bank's quarterly results on Tuesday, April 28, 2026, at 11:00 a.m. New York City time (Eastern Time). For those interested in participating, please click here to pre-register to our conference call or visit our website at https://bladex.com/. Participants should register five minutes before the call is set to begin. The webcast presentation will be available for viewing and downloads on https://bladex.com/. The conference call will become available for review one hour after its conclusion. For more information, please access http://www.bladex.com or contact: Mr. Carlos Daniel Raad Chief Investor Relations Officer Tel: +507 366-4925 ext. 7925 E-mail: [email protected] / [email protected] Logo - https://mma.prnewswire.com/media/2950874/5927140/BLADEX_Logo_PMS_289_Blue_Logo.jpg View original content:https://www.prnewswire.com/news-releases/bladex-announces-net-profit-of-56-4-million-for-the-first-quarter-2026--302754837.html

Achieved a record commercial portfolio of $12 billion, driven by medium-term transactions in Colombia, Brazil, and Guatemala following last year's AT1 capital issuance. Maintained a resilient Net Interest Margin (NIM) of 2.34% through disciplined balance sheet management, offsetting pressures from 2025 rate cuts and high market liquidity. Leveraged record deposit levels of $7.3 billion to optimize funding costs, with Yankee CDs surpassing $1.7 billion as a key diversification tool. Attributed strong asset quality to proactive risk management, noting that the increase in Stage 2 loans reflects cautious monitoring of specific Brazilian exposures rather than systemic deterioration. Benefited from Latin America's resilience as a net commodity exporter, where higher oil prices increased trade finance ticket sizes and improved the credit profiles of regional producers. Advanced the 'next phase' strategy by onboarding the first correspondent banking client in a pilot phase to grow transactional deposit volumes. Reaffirmed full-year 2026 guidance for NIM at approximately 2.30% and efficiency levels around 28%, despite expectations for slightly higher expenses in coming quarters. Expects the Basel III Tier 1 ratio to gradually normalize toward a 15% to 16% target range as capital is deployed to support disciplined portfolio expansion. Anticipates a pickup in fee income during the second and third quarters as seasonal trade patterns normalize and transactions delayed from Q1 reach closing. Assumes a 'higher-for-longer' interest rate environment will act as a neutral 'wash,' where higher yields are largely offset by intense competition for high-quality loan originations. Maintains a zero-exposure stance on Venezuela in current projections, though management is actively assessing the country as a potential long-term upside opportunity. Introduced a tactical $234 million bond position of LatAm issuers (Fair Value through OCI) to capture selective credit opportunities while maintaining liquidity flexibility. Noted a 70 bps sequential increase in Stage 2 loans to 2.2%, primarily driven by proactive internal risk assessments in a more challenging operating environment. Reported a divergence between Basel III and Panama regulatory capital ratios due to different sensitivities to risk-weighted asset intensity and country-specific upgrades like Ecuador. Identified potential headwinds for net commodity importers in Central America and the Caribbean due to sustained high energy prices. Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management explained that the Basel III ratio is more risk-sensitive to borrower quality and country risk, benefiting from the Ecuador upgrade and lower RWA intensity. The Panama regulatory ratio follows a standardized approach that does not differentiate between investment-grade ratings, making it less sensitive to the bank's specific portfolio mix. Fees from commitments (30-40% of loan margins) are expected to grow alongside project finance and syndicated loans as CapEx is deployed over time. Management clarified these are not liquidity backstop facilities, which they avoid due to higher risk profiles during credit deterioration. Higher oil prices are viewed as a net tailwind, increasing demand for short-term trade finance and improving the profitability of low-cost regional producers. The bank utilizes the short duration of its portfolio to quickly reprice and reposition exposures if geopolitical shocks transmit into trade flows. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here.