BIAT Shareholders Have Reason to Be Proud: Strong Q1 2024 Results

The leader of the Tunisian banking sector, BIAT, has posted a Net Banking Product (PNB) of 367,386 MTND at the end of the first quarter of 2024, a 2.8% increase compared to the same period in 2023. The bank has collected interest of 566,565 MTND, up from 535,532 in 2023, thanks to high interest rates and a continuous increase in credit outstanding to 12,185,667 MTND.

Notably, compared to the end of last year, the net credit outstanding has decreased by 256,916 MTND, a rare occurrence in the bank's accounts. In our opinion, this is explained by the current global economic situation, marked by an increase in risks, which is prompting BIAT to tighten its financing policy to avoid transforming these loans into provisions.

With its critical size relative to the economy in which it operates, the bank is focused on profitable growth.

Commissions and Fees

Despite the Central Bank's principle of free commissions, the figures show a 6.6% increase to 64,513 MTND. This proves that the bank offers basic services at low tariffs, while also providing access to high-value-added services that justify the application of high tariffs.

Portfolio Revenues

The last component of the PNB, portfolio revenues from commercial and investment activities, has decreased by 6.3% to 132,641 MTND. This movement is linked to the changing maturities of interest and dividend payments from one year to another. There is no cause for concern, especially since the portfolio stands at 4,931,236 MTND as of the end of March 2024.

Operating Expenses

BIAT's operating expenses have increased by 12.1% to 148,981 MTND, including 84,537 MTND in personnel expenses. Such a high expense structure is necessary to maintain a cutting-edge service, materialized by the largest deposits in Tunisia, amounting to 18,249,460 MTND.

The signs point to a good 2024 exercise, a particularly important year for the credit institution.