Credicorp Ltd.
BAP · NYSE
Next quarter
Expected to report Nov 12, 2026 — estimated from last year’s reporting date.
Consensus is $7.39 EPS for Sep 2026 across 3 estimates, ranging $7.07 to $7.67.
BAP Jun 2026
- 1.25%
- +2.99%
- $7.20
- $7.29
- —
- —
Highlights
- Earnings: 2Q26 EPS was S/7.29 versus consensus of S/7.20, a 1.25% beat; attributable net income reached S/1,981.9 million, up 8.8% YoY but down 3.9% QoQ.
- Returns: Quarterly ROE was 20.3%, versus 20.7% in 2Q25 and 21.1% in 1Q26; 1H26 ROE was 21.2% on net income of S/4,045.1 million, up 12.4% YoY.
- Loan growth: Total loans increased 13.1% YoY and 4.3% QoQ to S/159.4 billion, or 14.6% YoY and 5.2% QoQ on an FX-neutral basis, led by BCP retail and Mibanco.
- Margins: NII rose 13.3% YoY and 3.4% QoQ to S/4,097.0 million; NIM expanded 21 bps YoY and 5 bps QoQ to 6.63%, while risk-adjusted NIM was 5.49%.
- Credit costs: The NPL ratio improved to 4.1%, down 91 bps YoY and 22 bps QoQ, but provisions rose 27.1% YoY and 51.7% QoQ; S/106 million of El Niño provisions lifted reported cost of risk to 1.9% versus 1.6% underlying.
- Funding and fees: Deposits grew 17.7% YoY and 1.8% QoQ to S/182.1 billion, with low-cost deposits up 25.1% and representing 74.4% of total deposits; other core income rose 19.7% YoY.
- Yape: Monthly active users reached 16.7 million, with 69 monthly transactions per MAU and revenue per MAU of S/11.1 versus S/6.0 of expenses; loans quadrupled YoY to S/1.8 billion and Yape contributed 8.9% of Credicorp risk-adjusted revenue.
- Costs and outlook: 1H26 operating expenses increased 13.5% YoY and the efficiency ratio was 45.6%; 2026 ROE guidance remains around 19.5% with upside bias, while the medium-term ROE expectation increased to around 22.0% from approximately 19.5%.
- Capital: IFRS CET1 stood at 11.7% at BCP Stand-alone and 15.9% at Mibanco; Credicorp paid its record ordinary dividend of S/50.0 per share, or approximately S/4.0 billion, during the quarter.
Analysis
Credicorp delivered a solid 2Q26, with EPS of S/7.29 modestly above the S/7.20 consensus estimate. Attributable net income of S/1,981.9 million increased 8.8% from the year-ago quarter but fell 3.9% from 1Q26, while ROE was 20.3%, below 21.1% in the prior quarter and 20.7% in 2Q25. The first half nevertheless produced S/4,045.1 million of net income, up 12.4% YoY, and 21.2% ROE.
The print was defined by accelerating commercial momentum, resilient margins and improving credit quality. Loans grew 13.1% YoY, or 14.6% FX-neutral, driven by BCP retail and Mibanco, while NII rose 13.3% and NIM reached 6.63% as lower funding costs and a stronger low-cost deposit mix offset some pressure from funding expenses. Reported provisions were the main quarterly drag: an S/106 million El Niño overlay lifted cost of risk to 1.9%, although underlying cost of risk was 1.6% and the NPL ratio improved to 4.1%. Revenue diversification also strengthened, with other core income up 19.7% YoY and Yape reaching 16.7 million MAUs. Management reaffirmed 2026 ROE guidance of around 19.5%, with upside bias, and raised its medium-term ROE expectation to around 22.0%.
Earnings and returns
Credicorp's earnings remained firmly profitable despite the sequential decline. Attributable net income was S/1,981.9 million in 2Q26, versus S/2,063.2 million in 1Q26 and S/1,822.0 million in 2Q25. The 20.3% quarterly ROE reflected strong operating income across the group, but was moderated by higher provisions and the weaker insurance underwriting result. Operating income rose 12.7% YoY and 3.4% QoQ, while profit before tax increased 10.9% YoY to S/2,839.9 million.
Loans and margins
Commercial activity accelerated as Credicorp leaned into higher-yielding retail and microfinance segments without materially weakening reported portfolio quality. Total loans reached S/159.4 billion, up 4.3% QoQ and 13.1% YoY, with FX-neutral growth of 5.2% and 14.6%, respectively. BCP Stand-alone grew 5.5% QoQ and 12.3% YoY on an FX-neutral basis, led by consumer, SME-Pyme and wholesale lending; Mibanco grew 4.4% QoQ and 15.0% YoY. NII increased to S/4,097.0 million, supported by loan volumes and lower funding costs. NIM rose to 6.63% from 6.42% a year earlier, while risk-adjusted NIM remained comparatively resilient at 5.49%.
Credit quality and provisions
Underlying credit trends continued to improve, although the quarter included a notable weather-related overlay. NPLs declined 1.0% QoQ and 7.6% YoY, taking the NPL ratio to 4.1%, its lowest level in the supplied comparison and broadly back to pre-pandemic levels. NPL coverage increased to 117.3% from 113.8% in 1Q26 and 109.5% in 2Q25. Net provisions, however, rose to S/731.2 million, up 51.7% QoQ and 27.1% YoY, reflecting approximately S/106 million of additional El Niño provisions. Excluding that charge, underlying provisions rose 29.7% QoQ and 8.7% YoY, producing underlying cost of risk of 1.6% versus reported cost of risk of 1.9%.
Yape monetisation
Yape was a central driver of Credicorp's diversification strategy and delivered stronger unit economics alongside rapid scale. MAUs increased 11.4% YoY to 16.7 million, while transactions per MAU rose 25.7% to 69 and NPS reached 78. Monthly revenue per MAU climbed 72.4% YoY to S/11.1, outpacing the 37.4% increase in expenses per MAU to S/6.0. Yape's risk-adjusted revenue contribution rose to 8.9% from 5.3% a year earlier. Its loan portfolio reached S/1.8 billion, four times the year-ago level, and lending represented 28% of Yape risk-adjusted revenue; payments remained the largest contributor at 45%.
Deposits and fee income
Funding growth provided support for loan expansion and margin resilience. Total deposits rose 17.7% YoY and 1.8% QoQ to S/182.1 billion, with FX-neutral growth of 19.9% and 2.9%. Low-cost deposits increased 25.1% YoY to S/135.5 billion and represented 74.4% of total deposits, up 440 bps YoY. Other core income rose 19.7% YoY and 4.9% QoQ to S/1,677.1 million, driven by fee income up 15.9% YoY and foreign-exchange gains up 29.8%. Other core income represented 28.8% of total risk-adjusted income, up from 26.5% in 2Q25.
Costs and capital
Investment in growth continued to pressure efficiency, but remained within management's framework. Operating expenses increased 13.5% in 1H26, including a 33.1% increase in innovation expenses led by Yape, Tenpo and Culqi. The efficiency ratio was 45.6%, up 27 bps YoY and described as within 2026 guidance. Insurance underwriting was a partial offset to otherwise broad operating strength, declining 17.9% YoY to S/288.0 million because of prior-period reserve-release comparisons and weaker reinsurance results, while medical services rose 8.2% YoY. BCP's IFRS CET1 ratio was 11.7% and Mibanco's was 15.9%, both above internal appetites, despite the S/50-per-share ordinary dividend paid during the quarter.
