Selected financial data
The following financial data of Grupo Aval at December 31, 2025 and 2024 and for the years ended December 31, 2025, 2024 and 2023 have been derived from our audited consolidated financial statements prepared in accordance with IFRS, included in this report. Our historical results are not necessarily indicative of results to be expected for future periods.
This financial data should be read in conjunction with our audited consolidated financial statements and the related notes, “Presentation of financial and other information” and “Item 5. Operating and Financial Review and Prospects” included in this annual report.
** Statement of income data**
IFRS
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| | Grupo Aval |
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| | For the years ended December |
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| | 2025 | | 2024 | | 2023 |
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| · (in Ps billions, except share and per share data) |
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| Total interest income | 25,919.2 | | 26,971.9 | | 27,651.7 |
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| Total interest expense | (18,047.9) | | (20,044.5) | | (21,756.4) |
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| Net interest income | 7,871.3 | | 6,927.4 | | 5,895.3 |
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| Impairment loss on loans and other accounts receivable | (4,268.2) | | (4,615.6) | | (4,596.0) |
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| Impairment (loss) recovery on other financial assets | (6.9) | | (5.0) | | 10.8 |
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| Recovery of charged-off financial assets | 736.3 | | 574.3 | | 555.8 |
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| Net impairment loss on financial assets | (3,538.9) | | (4,046.3) | | (4,029.5) |
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| Net interest income, after impairment losses | 4,332.4 | | 2,881.1 | | 1,865.8 |
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| Net income from commissions and fees | 3,660.0 | | 3,476.0 | | 3,241.5 |
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| Gross profit from sales of goods and services | 2,087.7 | | 2,477.4 | | 3,218.0 |
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| Net income (loss) trading | 1,402.0 | | 1,401.7 | | (919.2) |
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| Net income from other financial instruments mandatorily at fair value through profit or loss | 623.2 | | 350.9 | | 323.7 |
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| Other income | 1,415.8 | | 646.2 | | 3,568.8 |
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| Other expenses | (8,899.9) | | (8,125.5) | | (7,875.4) |
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| Net income before tax expense | 4,621.2 | | 3,107.8 | | 3,423.2 |
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| Income tax expense | (1,432.7) | | (942.0) | | (1,309.1) |
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| Net income from continuing operations | 3,188.5 | | 2,165.8 | | 2,114.1 |
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| Net income from discontinued operations, net of tax | 26.6 | | 25.7 | | 63.0 |
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| Net income for the year | 3,215.2 | | 2,191.5 | | 2,177.1 |
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| | | | | | |
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| Net income for the year attributable to owners of the parent | | | | | |
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| Net income for the period from continuing operations | 1,703.5 | | 997.4 | | 695.6 |
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| Net income for the period from discontinued operations, net of tax | 18.4 | | 17.7 | | 43.4 |
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| Owners of the parent | 1,721.9 | | 1,015.1 | | 739.0 |
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| Net income for the year attributable to non-controlling interests | | | | | |
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| Net income for the period from continuing operations | 1,485.0 | | 1,168.4 | | 1,418.5 |
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| Net income for the period from discontinued operations, net of tax | 8.3 | | 8.0 | | 19.6 |
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| Non-controlling interest | 1,493.3 | | 1,176.4 | | 1,438.1 |
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| Net income for the year | 3,215.2 | | 2,191.5 | | 2,177.1 |
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| Earnings per 1,000 shares (basic and diluted earnings): | | | | | |
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| Common shares (in pesos) | 72,519.8 | | 42,752.2 | | 31,124.5 |
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| Earnings per 1,000 shares (basic and diluted earnings): | | | | | |
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| Preferred shares (in pesos) | 72,519.8 | | 42,752.2 | | 31,124.5 |
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| Dividends per 1,000 shares: | | | | | |
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| Common and preferred shares (in pesos) | 31,800.0 | | 27,600.0 | | 24,000.0 |
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| Weighted average number of shares: | | | | | |
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| Outstanding common shares in thousands | 16,186,869.6 | | 16,201,502.9 | | 16,202,376.2 |
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| Outstanding preferred shares in thousands | 7,556,606.1 | | 7,541,972.8 | | 7,541,099.6 |
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| Outstanding common and preferred shares in thousands | 23,743,475.8 | | 23,743,475.8 | | 23,743,475.8 |
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** Statement of financial position data**
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| | Grupo Aval |
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| | At December 31, |
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| | 2025 | | 2024 |
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| · (in Ps billions) |
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| Assets: · · |
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| Cash and cash equivalents | 19,354.7 | | 16,998.9 |
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| Trading assets | 29,097.6 | | 20,163.2 |
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| Investment securities | 39,252.6 | | 39,162.6 |
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| Hedging derivative assets | 236.6 | | 54.0 |
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| Total loans, net | 184,226.0 | | 190,129.5 |
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| Other accounts receivables, net | 24,458.9 | | 27,958.4 |
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| Non-current assets held for sale | 18,256.6 | | 105.2 |
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| Investments in associates and joint ventures | 1,314.4 | | 1,430.6 |
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| Tangible assets | 9,608.3 | | 7,243.4 |
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| Concession arrangement rights | 13,495.1 | | 14,314.6 |
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| Goodwill | 2,057.1 | | 2,223.6 |
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| Other intangible assets | 2,954.2 | | 2,758.3 |
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| Income tax assets | 4,238.2 | | 4,778.1 |
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| Other assets | 386.4 | | 538.9 |
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| Total assets | 348,936.7 | | 327,859.4 |
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| Liabilities: | | | |
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| Trading liabilities | 1,951.4 | | 1,011.9 |
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| Hedging derivatives liabilities | 34.8 | | 21.7 |
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| Customer deposits | 207,405.2 | | 200,872.2 |
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| Interbank borrowings and overnight funds | 22,655.4 | | 18,509.8 |
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| Borrowings from banks and others | 24,559.2 | | 28,098.2 |
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| Bonds issued | 21,457.0 | | 26,215.8 |
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| Provisions | 989.6 | | 1,102.7 |
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| Income tax liabilities | 6,162.8 | | 5,864.0 |
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| Employee benefits | 987.8 | | 1,003.3 |
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| Liabilities directly associated with non-current assets classified as held for sale | 16,459.4 | | — |
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| Other liabilities | 11,531.3 | | 11,997.0 |
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| Total liabilities | 314,193.8 | | 294,696.5 |
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| Equity: | | | |
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| Attributable to the owners of the parent | | | |
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| Subscribed and paid-in capital | 23.7 | | 23.7 |
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| Additional paid-in capital | 9,503.0 | | 9,508.1 |
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| Retained earnings | 9,241.4 | | 8,163.4 |
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| Other comprehensive income | (322.2) | | (244.0) |
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| Equity attributable to owners of the parent | 18,445.9 | | 17,451.3 |
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| Non-controlling interest | 16,296.9 | | 15,711.7 |
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| Total equity | 34,742.8 | | 33,162.9 |
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| Total liabilities and equity | 348,936.7 | | 327,859.4 |
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Ratios and Measures of Financial Performance
The tables in this section, and elsewhere in this annual report, provide the calculation of certain ratios and measures of financial performance, which are used by our management to analyze the evolution and results of our company. Although calculated using IFRS inputs, the ratios and measures of financial performance as determined and measured by us should not be compared to similarly titled measures reported by other companies, as other companies may calculate and report such measures differently. The Company considers these measurements useful for investors, regulators, management and others to evaluate our performance and compare us against other financial institutions.
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| · · Grupo Aval |
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| · · At and for the year ended December 31, |
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| | | 2025 (1) | | 2024 (1) | | 2023 (1) | |
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| | | (in percentages, unless otherwise | |
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| | | indicated) | |
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| Profitability ratios: | | | | | | | |
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| Net interest margin(2) | | 3.5% | | 3.3% | | 2.9% | |
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| Net interest margin including trading investment income(2) | | 3.9% | | 3.5% | | 3.6% | |
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| ROAA(3) | | 1.0% | | 0.7% | | 0.7% | |
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| ROAE(4) | | 9.6% | | 6.0% | | 4.5% | |
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| Efficiency ratios(5): | | | | | | | |
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| Cost to income | | 52.2% | | 53.2% | | 51.4% | |
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| Cost to assets | | 2.6% | | 2.6% | | 2.6% | |
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| Capital ratios: | | | | | | | |
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| Period-end equity as a percentage of period-end total assets | | 10.0% | | 10.1% | | 10.5% | |
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| Tangible equity ratio(6) | | 8.6% | | 8.8% | | 9.2% | |
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| Credit quality data: | | | | | | | |
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| Cost of risk: Impairment loss on loans and other accounts receivable / average gross loans(7) | | 2.3% | | 2.6% | | 2.7% | |
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| Cost of risk, net: Impairment loss on loans and other accounts receivable, net / average gross loans(7)(8) | | 1.9% | | 2.3% | | 2.4% | |
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| Charge-offs as a percentage of average gross loans(7) | | 3.0% | | 3.0% | | 2.4% | |
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| Loans past due more than 30 days / gross loans(7) | | 4.4% | | 5.4% | | 5.6% | |
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| Loans past due more than 90 days / gross loans(7) | | 3.3% | | 4.1% | | 4.1% | |
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| Loans classified as Stage 2 / gross loans(7) | | 4.5% | | 4.4% | | 4.7% | |
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| Loans classified as Stage 3 / gross loans(7) | | 5.7% | | 6.6% | | 6.7% | |
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| Loans classified as Stage 2 and Stage 3 / gross loans(7) | | 10.2% | | 11.1% | | 11.4% | |
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| Loss allowance as a percentage of loans past due more than 30 days | | 101.0% | | 99.4% | | 101.5% | |
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| Loss allowance as a percentage of loans past due more than 90 days | | 134.3% | | 131.2% | | 139.1% | |
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| Loss allowance for Stage 2 loans as a percentage of Stage 2 loans(7) | | 11.4% | | 14.4% | | 15.6% | |
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| Loss allowance for Stage 3 loans as a percentage of Stage 3 loans(7) | | 51.3% | | 55.5% | | 59.3% | |
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| Loss allowance for Stage 2 and Stage 3 loans as a percentage of Stage 2 and Stage 3 loans(7) | | 33.6% | | 39.0% | | 41.4% | |
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| Loss allowance as a percentage of gross loans(7) | | 4.4% | | 5.3% | | 5.7% | |
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| Operational data (in units): | | | | | | | |
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| Number of customers of the banks(9) | | 18,474,857 | | 16,186,406 | | 15,402,972 | |
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| Number of employees(10) | | 67,585 | | 70,271 | | 74,036 | |
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| Number of branches(11) | | 946 | | 1,015 | | 1,020 | |
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| Number of ATMs(11) | | 2,738 | | 2,853 | | 2,909 | |
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| (1) | On November 27, 2025, Banco de Bogotá’s subsidiary MFH, entered into a share purchase agreement with BIC, for the disposal of its shares of MFG. In accordance with IFRS, this operation was reclassified to discontinued operations in our consolidated statement of income. However, in accordance with IFRS, our consolidated statement of financial position prior to December 31, 2025 was not retrospectively adjusted. Some ratios and measures of financial performance presented on the table above have been adjusted to better reflect the Company’s financial performance, by excluding the assets and liabilities contributed by MFG, as detailed under each applicable metric below. |
| (2) | Net interest margin is calculated as net interest income divided by the total average interest-earning assets, excluding the average interest-earning assets contributed by MFG in each 2025, 2024 and 2023. Net interest margin including net trading income is calculated as the sum of net interest income and net trading income, divided by the sum of the total average interest-earning assets (excluding those contributed by MFG) and average fixed income and equity trading assets (excluding those contributed by MFG). Average interest- |
earning assets for 2025, 2024 and 2023 are calculated as the sum of interest-earning assets (excluding those contributed by MFG) at each quarter-end during the applicable year and the prior year end divided by five. Average fixed income and equity trading assets for 2025, 2024 and 2023 are calculated as the sum of fixed income and equity trading assets (excluding those contributed by MFG) at each quarter-end during the applicable year and the prior year end divided by five.
| (3) | For the years ended December 31, 2025, 2024 and 2023, ROAA is calculated as net income divided by consolidated average assets. Consolidated average assets for 2025, 2024 and 2023 are calculated as the sum of consolidated assets at each quarter-end during the applicable year and the prior year end divided by five. |
| (4) | For the years ended December 31, 2025, 2024 and 2023, ROAE is calculated as net income attributable to owners of the parent divided by consolidated average equity attributable to owners of the parent. Consolidated average equity attributable to owners of the parent for 2025, 2024 and 2023 is calculated as the sum of consolidated equity attributable to owners of the parent at each quarter-end during the applicable year end and the prior year end divided by five. |
| (5) | Our cost to income ratio is calculated as Other Expenses (see Note 30 of our audited consolidated financial statements), divided by total income before net impairment losses on financial assets (defined as the sum of net interest income, net income from commissions and fees, gross profit (loss) from sales of goods and services, net trading (loss) income, net income from other financial instruments mandatorily at fair value through profit or loss “FVTPL” and other income). Our cost to assets ratio is calculated as Other expenses divided by consolidated average assets. Consolidated average assets for 2025, 2024 and 2023 are calculated as the sum of consolidated assets at each quarter-end during the applicable year and the prior year end divided by five. |
| (6) | Tangible equity ratio is calculated as total equity minus intangible assets (calculated as goodwill plus other intangible assets, excluding those related to concession arrangements rights, Ps 13,495.1 billion in 2025, Ps 14,314.6 billion in 2024 and Ps 13,557.3 billion in 2023), excluding those intangible assets contributed by MFG, divided by total assets minus intangible assets (as defined before). |
| (7) | Gross loans, excluding those contributed by MFG, do not consider interbank and overnight funds (Ps 1,777.5 billion in 2025, Ps 581.8 billion in 2024 and Ps 321.1 billion in 2023) as these are short-term liquidity operations generally not subject to deterioration. Average gross loans for 2025, 2024 and 2023 are calculated as the sum of gross loans, excluding those contributed by MFG, at each quarter-end during the applicable year and the prior year end divided by five. Total gross loan portfolio includes Interbank and overnight funds. Throughout this document charge-offs and write-offs refer to the same concept. |
| (8) | Impairment (loss) on loans and other accounts receivable, net refers to Impairment (loss) on loans and other accounts receivable minus Recovery of charged-off financial assets. |
| (9) | Reflects the aggregated customers of our banking subsidiaries. Customers of more than one of our Colombian banking subsidiaries are counted separately for each banking subsidiary. |
| (10) | Number of employees of continuing operations is defined as the sum of direct, temporary and outsourced personnel in financial entities (40,564 in 2025, 40,710 in 2024 and 41,923 in 2023), call-centers (7,032 in 2025, 7,437 in 2024 and 7,255 in 2023) and employees of non-financial entities of Corficolombiana (19,989 in 2025, 22,124 in 2024 and 24,858 in 2023). |
| (11) | Reflects the aggregated number of full-service branches or ATMs of our Colombian banking subsidiaries, as applicable, located throughout Colombia. |
ROAA and ROAE
ROAA, which is calculated as net income divided by consolidated average assets, provides a measure of return on assets. ROAE, which is calculated as net income attributable to owners of the parent, divided by consolidated average equity attributable to owners of the parent, provides a measure of the total return generated from our company and our subsidiaries for shareholders. Net income attributable to non-controlling interest divided by net income provides an indication of non-controlling interest ownership of Grupo Aval’s consolidated subsidiaries’ net income, where a higher ratio typically implies that higher net income was generated in subsidiaries in which Grupo Aval has lower ownerships and vice versa.
The following table sets forth ROAA, ROAE and Net income attributable to non-controlling interest divided by net income for Grupo Aval for the indicated years:
| · · · · · · · |
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| · · Year ended December 31, |
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| | | 2025 | | 2024 | | 2023 |
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| · · (in Ps billions, except percentages) |
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| Grupo Aval (consolidated): · · · · · |
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| Average assets(1) | 337,237.1 | | 314,632.8 | | 298,489.0 | |
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| Average equity attributable to owners of the parent(2) | 17,848.1 | | 16,958.5 | | 16,454.5 | |
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| Net income for the year | 3,215.2 | | 2,191.5 | | 2,177.1 | |
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| Net income attributable to owners of the parent | 1,721.9 | | 1,015.1 | | 739.0 | |
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| Net income attributable to non-controlling interest | 1,493.3 | | 1,176.4 | | 1,438.1 | |
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| ROAA(1) | 1.0% | | 0.7% | | 0.7% | |
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| ROAE(2) | 9.6% | | 6.0% | | 4.5% | |
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| Net income attributable to non-controlling interest divided by net income | 46.4% | | 53.7% | | 66.1% | |
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| (1) | For the methodology used to calculate Average assets and ROAA, see note (3) to the table under “Item 3. Key Information—Ratios and Measures of Financial Performance.” |
| (2) | For the methodology used to calculate Average equity attributable to owners of the parent and ROAE, see note (4) to the table under “Item 3. Key Information—Ratios and Measures of Financial Performance.” |
