Document and Entity Information
Document and Entity Information | 12 Months Ended |
Dec. 31, 2020shares | |
Document Information [Line Items] | |
Entity Registrant Name | GRUPO SUPERVIELLE S.A. |
Entity Central Index Key | 0001517399 |
Document Type | 20-F |
Document Period End Date | Dec. 31, 2020 |
Document Registration Statement | false |
Document Annual Report | true |
Document Transition Report | false |
Document Shell Company Report | false |
Amendment Flag | false |
Document Fiscal Year Focus | 2020 |
Document Fiscal Period Focus | FY |
Current Fiscal Year End Date | --12-31 |
Entity Well-known Seasoned Issuer | No |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Voluntary Filers | No |
Entity Filer Category | Accelerated Filer |
Entity Shell Company | false |
Entity Emerging Growth Company | false |
ICFR Auditor Attestation Flag | false |
Class B Shares | |
Document Information [Line Items] | |
Title of 12(b) Security | Class B shares of Grupo Supervielle S.A. |
Trading Symbol | SUPV |
Security Exchange Name | NYSE |
Entity Common Stock, Shares Outstanding | 394,984,134 |
Class A Ordinary Shares [member] | |
Document Information [Line Items] | |
Entity Common Stock, Shares Outstanding | 61,738,188 |
American Depositary Shares | |
Document Information [Line Items] | |
Title of 12(b) Security | American Depositary Shares, each representing 5 Class B shares of Grupo Supervielle S.A. |
Trading Symbol | SUPV |
Security Exchange Name | NYSE |
Consolidated Statements of Fina
Consolidated Statements of Financial Position - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
ASSETS | ||
Cash and due from banks | $ 36,674,869 | $ 35,945,335 |
Cash | 12,792,522 | 11,913,814 |
Argentine Central Bank | 19,623,684 | 21,683,569 |
Other local financial institutions | 4,106,336 | 2,307,232 |
Others | 152,327 | 40,720 |
Debt Securities at fair value through profit or loss | 9,871,903 | 773,961 |
Derivatives | 143,944 | 350,680 |
Reverse Repo transactions | 22,354,735 | |
Other financial assets | 4,285,221 | 2,854,686 |
Loans and other financing | 105,395,186 | 119,817,347 |
To the non-financial public sector | 23,530 | 39,307 |
To the financial sector | 12,062 | 87,841 |
To the Non-Financial Private Sector and Foreign residents | 105,359,594 | 119,690,199 |
Other debt securities | 40,859,975 | 14,238,340 |
Financial assets pledged as collateral | 4,904,935 | 7,261,336 |
Current income tax assets | 139,487 | |
Inventories | 70,964 | 60,521 |
Investments in equity instruments | 116,328 | 19,848 |
Property, plant and equipment | 7,103,638 | 5,448,454 |
Investment Property | 5,997,945 | 5,520,143 |
Intangible assets | 6,782,538 | 5,919,425 |
Deferred income tax assets | 3,315,885 | 2,275,175 |
Other non-financial assets | 1,352,880 | 1,795,477 |
TOTAL ASSETS | 249,230,946 | 202,420,215 |
LIABILITIES | ||
Deposits | 178,641,594 | 121,176,255 |
Non-financial public sector | 7,911,255 | 7,447,131 |
Financial sector | 57,416 | 38,253 |
Non-financial private sector and foreign residents | 170,672,923 | 113,690,871 |
Liabilities at fair value through profit or loss | 2,002,005 | 258,060 |
Derivatives | 1,995 | |
Repo transactions | 435,401 | |
Other financial liabilities | 7,528,889 | 12,409,984 |
Financing received from the Argentine Central Bank and other financial institutions | 5,852,292 | 12,276,610 |
Unsubordinated debt securities | 4,226,748 | 8,286,163 |
Current income tax liability | 1,288,267 | |
Subordinated debt securities | 1,140,469 | 2,886,028 |
Provisions | 681,092 | 921,696 |
Deferred income tax liabilities | 42,005 | 689,268 |
Other non-financial liabilities | 12,146,102 | 11,175,664 |
TOTAL LIABILITIES | 213,551,458 | 170,515,129 |
SHAREHOLDERS' EQUITY | ||
Shareholders' Equity attributable to owners of the parent company | 35,651,135 | 31,878,404 |
Shareholders' Equity attributable to non-controlling interests | 28,353 | 26,682 |
TOTAL SHAREHOLDERS' EQUITY | $ 35,679,488 | $ 31,905,086 |
Consolidated Income Statement
Consolidated Income Statement - ARS ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Consolidated Income Statement | |||
Interest income | $ 64,699,880 | $ 60,983,625 | $ 63,700,230 |
Interest expenses | (28,578,388) | (47,531,377) | (36,468,510) |
Net interest income | 36,121,492 | 13,452,248 | 27,231,720 |
Net income from financial instruments (NIFFI) at fair value through profit or loss | 3,315,582 | 28,536,382 | 13,215,705 |
Result from derecognition of assets measured at amortized cost | 657,019 | ||
Exchange rate differences on gold and foreign currency | 1,064,545 | (441,191) | 2,359,639 |
Net Income From Financial instruments And Exchange Rate Differences | 5,037,146 | 28,095,191 | 15,575,344 |
Net Financial Income | 41,158,638 | 41,547,439 | 42,807,064 |
Services Fee Income | 11,493,824 | 11,707,556 | 12,414,260 |
Services Fee Expense | (3,548,269) | (3,054,954) | (2,970,070) |
Income from insurance activities | 1,671,455 | 1,896,923 | 1,777,345 |
Net Service Fee Income | 9,617,010 | 10,549,525 | 11,221,535 |
Subtotal | 50,775,648 | 52,096,964 | 54,028,599 |
Results from exposure to changes in the purchasing power of money | (4,290,328) | (7,296,543) | (12,597,117) |
Other operating income | 3,779,451 | 3,751,037 | 5,180,332 |
Loan loss provisions | (8,615,060) | (10,533,018) | (10,846,363) |
Net operating income | 41,649,711 | 38,018,440 | 35,765,451 |
Personnel expenses | 18,176,866 | 19,283,346 | 18,384,833 |
Administration expenses | 10,318,557 | 10,310,666 | 11,729,051 |
Depreciation and impairment of non-financial assets | 2,407,028 | 2,470,504 | 905,545 |
Other operating expenses | 6,574,779 | 8,656,215 | 9,030,424 |
Income/ (Loss) before taxes | 4,172,481 | (2,702,291) | (4,284,402) |
Income tax | (671,707) | (229,663) | (2,117,088) |
Net income / (loss) for the year | 3,500,774 | (2,931,954) | (6,401,490) |
Net income / (loss) for the year attributable to owners of the parent company | 3,499,882 | (2,929,201) | (6,341,497) |
Net income / (loss) for the year attributable to non-controlling interest | 892 | (2,753) | (59,993) |
NUMERATOR | |||
Net income / (loss) for the year attributable to owners of the parent company | 3,499,882 | (2,929,201) | (6,341,497) |
Net income attributable to owners of the parent company adjusted by dilution | $ 3,499,882 | $ (2,929,201) | $ (6,341,497) |
DENOMINATOR | |||
Weighted average of ordinary shares | 456,722 | 456,722 | 456,722 |
Weighted average of number of ordinary shares issued of the period adjusted by dilution effect | 456,722 | 456,722 | 456,722 |
Basic Income per share | $ 7.66 | $ (6.41) | $ (13.88) |
Diluted Income per share | $ 7.66 | $ (6.41) | $ (13.88) |
Consolidated Statement of Compr
Consolidated Statement of Comprehensive Income - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Consolidated Statement of Comprehensive Income | |||
Net income / (loss) for the year | $ 3,500,774 | $ (2,931,954) | $ (6,401,490) |
Components of Other Comprehensive Income not to be reclassified to profit or loss | |||
Revaluation surplus of property, plant and equipment | 818,447 | (84,516) | 646,265 |
Income tax | (238,992) | 13,170 | (159,864) |
Net revaluation surplus of property, plant and equipment | 579,455 | (71,346) | 486,401 |
(Loss) / income from equity instruments at fair value through other comprehensive income | (6,475) | 2,182 | |
Income tax | 1,944 | (655) | |
Net (loss) / income from equity instruments at fair value through other comprehensive income | (4,531) | 1,527 | |
Total Other Comprehensive Income not to be reclassified to profit or loss | 579,455 | (75,877) | 487,928 |
Components of Other Comprehensive Income to be reclassified to profit or loss | |||
Income from financial instruments at fair value through other comprehensive income | 326,200 | 15,364 | 24,985 |
Income tax | (101,962) | (4,610) | (6,991) |
Net income from financial instruments at fair value through other comprehensive income | 224,238 | 10,754 | 17,994 |
Total other comOther Comprehensive Income to be reclassified to profit or loss | 224,238 | 10,754 | 17,994 |
Other Comprehensive (loss) / income | 803,693 | (65,123) | 505,922 |
Other comprehensive (loss) / income attributable to parent company | 802,914 | (64,940) | 505,396 |
Other comprehensive (loss) income attributable to non-controlling interest | 779 | (183) | 526 |
Comprehensive loss | 4,304,467 | (2,997,077) | (5,895,568) |
Comprehensive loss for the year attributable to owners of the parent company | 4,302,796 | (2,994,141) | (5,836,101) |
Comprehensive loss for the year attributable to non-controlling interest | $ 1,671 | $ (2,936) | $ (59,467) |
Consolidated Statement of Chang
Consolidated Statement of Changes in Shareholders' Equity - ARS ($) $ in Thousands | Capital Stock | Capital Adjustment | Paid in Capital | Legal Reserve | Other Reserves | Retained earnings | Other Comprehensive Income | Total shareholders' equity attributable to parent company [member] | Total Shareholders' equity attributable to non-controlling interests [member] | Total |
Beginning balance at Dec. 31, 2017 | $ 456,722 | $ 3,079,801 | $ 33,164,697 | $ 152,370 | $ 6,662,091 | $ (1,582,686) | $ 98,157 | $ 42,031,152 | $ 465,561 | $ 42,496,713 |
Distribution of retained earnings by the shareholders' | ||||||||||
- Other reserves | 38,931 | 4,554,572 | (4,593,503) | |||||||
- Dividend distribution | (687,687) | (687,687) | (687,687) | |||||||
Purchase of subsidiaries' shares | (914) | (914) | (338) | (1,252) | ||||||
Other movements | (376,254) | (376,254) | ||||||||
Net income / (loss) for the year | (6,341,497) | (6,341,497) | (59,993) | (6,401,490) | ||||||
Other comprehensive (loss) income for the year | 505,396 | 505,396 | 526 | 505,922 | ||||||
Ending balance at Dec. 31, 2018 | 456,722 | 3,079,801 | 33,163,783 | 191,301 | 11,216,663 | (13,205,373) | 603,553 | 35,506,450 | 29,502 | 35,535,952 |
Distribution of retained earnings by the shareholders' | ||||||||||
- Other reserves | 2,833,486 | (2,833,486) | ||||||||
- Dividend distribution | (634,568) | (634,568) | (634,568) | |||||||
Purchase of subsidiaries' shares | 663 | 663 | 116 | 779 | ||||||
Net income / (loss) for the year | (2,929,201) | (2,929,201) | (2,753) | (2,931,954) | ||||||
Other comprehensive (loss) income for the year | (64,940) | (64,940) | (183) | (65,123) | ||||||
Ending balance at Dec. 31, 2019 | 456,722 | 3,079,801 | 33,164,446 | 191,301 | 14,050,149 | (19,602,628) | 538,613 | 31,878,404 | 26,682 | 31,905,086 |
Distribution of retained earnings by the shareholders' | ||||||||||
Absorption of negative retained earnings | (4,417,494) | $ (191,301) | (19,316,859) | 23,925,654 | ||||||
- Other reserves | 5,796,775 | (5,796,775) | ||||||||
- Dividend distribution | $ (530,065) | (530,065) | (530,065) | |||||||
Net income / (loss) for the year | 3,499,882 | 3,499,882 | 892 | 3,500,774 | ||||||
Other comprehensive (loss) income for the year | 802,914 | 802,914 | 779 | 803,693 | ||||||
Ending balance at Dec. 31, 2020 | $ 456,722 | $ 3,079,801 | $ 28,746,952 | $ 2,026,133 | $ 1,341,527 | $ 35,651,135 | $ 28,353 | $ 35,679,488 |
Consolidated Statement of Cash
Consolidated Statement of Cash Flow - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash flow from operating activities | |||
Net income / (loss) for the year | $ 3,500,774 | $ (2,931,954) | $ (6,401,490) |
Income tax | 671,707 | 229,663 | 2,117,088 |
Depreciation and Impairment of Property, plant and equipment | 2,407,028 | 2,470,504 | 905,545 |
Loan loss provisions | 8,615,060 | 10,533,018 | 10,846,363 |
Exchange rate difference on gold and foreign currency | (1,064,545) | 441,191 | (2,359,639) |
Interest from loans and other financings | (64,699,880) | (60,983,625) | (63,700,230) |
Interest from deposits and financing received | 28,578,388 | 47,531,377 | 36,468,510 |
Net income from financial instruments at fair value through profit or loss | (3,315,582) | (28,536,382) | (13,215,705) |
Fair value measurement of investment properties | 92,457 | 173,076 | (301,426) |
Results from exposure to changes in the purchasing power of money | 4,290,328 | 7,296,543 | 12,597,117 |
Interest on liabilities for financial leases | 207,035 | 289,288 | |
Allowances reversed | (572,480) | (678,796) | (665,561) |
Result from derecognition of financial assets measured at amortized cost | (657,019) | ||
(Increases) / decreases from operating assets: | |||
Debt securities at fair value through profit or loss | (3,704,499) | 33,730,615 | 13,361,338 |
Derivatives | 206,736 | (317,331) | 49,878 |
Reverse Repo transactions | (22,354,735) | 10,358,040 | |
Loans and other financing | |||
To the non-financial public sector | 15,777 | 29,390 | 32,129 |
To the other financial entities | 75,779 | 746,839 | 393,321 |
To the non-financial sector and foreign residents | 69,862,241 | 87,397,438 | 73,827,816 |
Other debt securities | (26,621,635) | (5,209,685) | (7,918,913) |
Financial assets in guarantee | 2,356,401 | (3,057,655) | (180,104) |
Investments in equity instruments | (48,916) | 1,941 | 122,467 |
Other assets | (578,668) | 3,051,066 | (9,736,045) |
Increases / (decreases) from operating liabilities: | |||
Non-financial public sector | 464,124 | (15,810,885) | 4,174,518 |
Financial sector | 19,163 | (14,598) | 4,299 |
Private non-financial sector and foreign residents | 28,504,851 | (113,144,888) | (16,309,593) |
Derivatives | 1,995 | (197,328) | 197,328 |
Repo transactions | (435,401) | 435,401 | |
Liabilities at fair value through profit or loss | 1,743,945 | (303,388) | 561,448 |
Other liabilities | (3,796,035) | 713,438 | 995,641 |
Income Tax paid | (1,272,880) | (1,102,703) | (2,932,952) |
Net cash provided by / (used in) operating activities (A) | 22,491,514 | (37,218,430) | 43,291,188 |
Payments related to: | |||
Purchase of PPE, intangible assets and other assets | (4,724,074) | (1,516,436) | (5,978,681) |
Purchase of liabilities and equity instruments issued by other entities | (47,564) | (376,258) | |
Acquisition of subsidiaries, net of cash acquired | (7,292) | (269,496) | (3,849,461) |
Collections: | |||
Disposals related to PPE, intangible assets and other assets | 425,906 | 10,920 | 908,416 |
Net cash used in investing activities (B) | (4,353,024) | (1,775,012) | (9,295,984) |
Payments: | |||
Repurchase of non-controlling interest in subsidiaries | 772 | (1,252) | |
Lease Liabilities | (1,366,164) | (1,703,937) | |
Financing received from Argentine Financial Institutions | (6,785,701) | (155,072,118) | (143,192,966) |
Unsubordinated debt securities | (21,297,718) | (23,641,629) | (15,818,913) |
Subordinated debt securities | (1,774,264) | (1,147,619) | (27,195) |
Dividends | (530,065) | (634,568) | (687,687) |
Collections: | |||
Unsubordinated negotiable obligations | 2,653,805 | 11,452,532 | 8,752,664 |
Financing received from Argentine Financial Institutions | 14,873,400 | 150,529,472 | 149,113,655 |
Net cash used in financing activities (C) | (14,226,707) | (20,217,095) | (1,861,694) |
Effects of exchange rate changes and exposure to changes in the purchasing power of money on cash and cash equivalents (D) | 10,375,405 | 32,802,331 | 32,132,480 |
Net increase / (decrease) in cash and cash equivalents (A+B+C+D) | 14,287,188 | (26,408,206) | 64,265,990 |
Result from exposure to changes in the purchasing power of the currency of Cash and equivalents | (12,853,555) | (33,941,124) | (32,132,480) |
Cash and cash equivalents at the beginning of the year | 38,032,893 | 98,382,223 | 66,248,712 |
Cash and cash equivalents at the end of the year | $ 39,466,526 | $ 38,032,893 | $ 98,382,223 |
ACCOUNTING STANDARDS AND BASIS
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | 12 Months Ended |
Dec. 31, 2020 | |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | 1. ACCOUNTING STANDARDS AND BASIS OF PREPARATION Grupo Supervielle S.A. (individually referred to as “Grupo Supervielle” or “the Company” and jointly with its subsidiaries as the “Group”), is a financial services holding company organized under the laws of Argentina that conducts its business through its subsidiaries, providing banking services, proprietary brand credit card services, personal loans, insurance and other services. Grupo Supervielle´s Consolidated Financial Statements as of December 31, 2020 and 2019 and for the years ended December 31, 2020, 2019 and 2018 include the assets, liabilities and results of the controlled companies detailed in Note 1.2. 1.1.1 Basis of preparation These Consolidated Financial Statements have been prepared in accordance with IFRS as adopted by the IASB. The preparation of Financial Statements at a certain date requires Management to make estimations and evaluations affecting the amount of assets and liabilities recorded and contingent assets and liabilities disclosed at such date, as well as income and expenses recorded during the year. Actual results might differ from the estimates and evaluations made at the date of preparation of these Consolidated Financial Statements. The most significant judgments made by Management in applying the Group’s accounting policies and the major estimations and significant judgments are described in Note 2. These consolidated financial statements as of December 31, 2020, were approved by resolution of the Board of Directors' meeting held on April 30, 2021. 1.1.2 The consolidated financial statements as of December 31, 2020, 2019 and 2018 have been prepared on a going concern basis as there is a reasonable expectation that the Group will continue its operational activities in the foreseeable future (and in any event with a time horizon of more than twelve months from the end of the reporting period). 1.1.3 The Consolidated Financial Statements of the Entity are expressed in Argentine pesos which is the functional currency. IAS 29 establishes the conditions under which an entity shall restate its financial statements if it is located in an economic environment considered hyperinflationary. This Standard requires that the financial statements of an entity that reports in the currency of a highly inflationary economy shall be stated in terms of the measuring unit current at the closing date of the latest reporting period, regardless of whether they are based on a historical cost approach or a current cost approach. To this end, in general terms, the inflation rate must be computed in the non-monetary items as from the acquisition date or the revaluation date, as applicable. These requirements also comprise the comparative information of the financial statements. To determine the existence of a highly inflationary economy under the terms of IAS 29, the standard details a series of factors to consider, including a cumulative inflation rate over three years that is close to or exceeds 100%. It is important to highlight that the three-year accumulated inflation rate as of December 31, 2020 reached 209.2%. On the other hand, the macroeconomic events that have taken place in the country during the year show that the country is complying with the qualitative factors provided for in IAS 29 to consider Argentina as a highly inflationary economy for accounting purposes. All this, consequently, originates the need to apply the restatement for inflation of the financial statements in the terms of IAS 29 for the year ended December 31, 2020. The Group determined to use the Internal Wholesale Price Index (IWPI) to restate balances and transactions until the year 2016, for the months of November and December 2015 the average variation of the Consumer Price Index (CPI) of the City of Buenos Aires was used, due to the fact that during those two months there were no IWPI measurements at national level. Then, from January 2017 omwards, the Group used the National Consumer Price Index (National CPI). The tables below show the evolution of these indexes in the last three years and as of December 31, 2020 according to official statistics (INDEC): As of December 31, 2018 2019 2020 Variation in Prices Annual 47.6 % 53.8 % 36.1 % Accumulated 3 years 148.0 % 183.4 % 209.2 % As a consequence of the aforementioned, these Consolidated Financial Statements as of December 31, 2020 were restated in accordance with the provisions of IAS 29. Restatement of the Financial Position The Group restated all the non-monetary items in order to reflect the impact of inflation in terms of the measuring unit current as of December 31, 2020. Consequently, the main items restated were Property, Plant and Equipment, Intangible assets, Goodwill, Inventories and Equity. Each item must be restated since the date of the initial recognition in the Group's accounts or since the date of the last revaluation. Monetary items have not been restated because they are stated in terms of the measuring unit current as of December 31, 2020. Comparative figures must also be presented in the measuring unit current as of December 31, 2020. Therefore, comparative figures for the previous reporting periods have been restated by applying a general price index, so that the resulting comparative financial statements are presented in terms of the current unit of measurement as of the closing date of the reporting period. Restatement of the Income Statement and the Statement of Cash Flows In the Income Statement, items shall be restated from the dates when the items of income and expense were originally recorded. To this end, the Group applied the variations in a general price index. The effect of inflation on the monetary position is included in the Income Statement under Results from exposure to changes in the purchasing power of money. The items of the Statement of Cash Flows must also be restated in terms of the measuring unit current at the closing date of the Statement of Financial Position. IAS 29 para 33 states that all items in the statement of cash flows are expressed in terms of the measuring unit current at the end of the reporting period. The loss arising from the restatement has an impact on the Income Statement and must be eliminated from the Statement of Cash Flows because it is not considered cash or cash equivalent. Restatement of the Statement of Changes in Shareholder’s Equity All components of the Statement of Changes in Shareholder’s Equity, except reserves and retained earnings, must be restated from the dates on which the items were contributed or otherwise arose. 1.1.4 (a) On October 22, 2018, IASB released changes, which include the definition of business with the purpose of helping entities determine whether a transaction must be recorded as a combination of business or the acquisition of an asset. Such changes: (i) (ii) (iii) (iv) (v) Entities need to apply changes in transactions which acquisitions date as from the beginning of the first annual period over which it has been informed as of January 1, 2020. The amendment did not have any impact in the Group´s consolidated financial statements. (b) On 31 October 2018, the IASB issued amendments to the definition of material in IAS 1 and IAS 8. The amendments to IAS 1, 'Presentation of financial statements', and IAS 8, 'Accounting policies, changes in accounting estimates and errors', and consequential amendments to other IFRSs: i) use a consistent definition of materiality throughout IFRSs and the Conceptual Framework for Financial Reporting; ii) clarify the explanation of the definition of material; and iii) incorporate some of the guidance in IAS 1 about immaterial information. The amended definition is: "Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity." The amendment clarifies that the reference to obscuring information addresses situations in which the effect is similar to omitting or misstating that information. It also states that an entity assesses materiality in the context of the financial statements as a whole. The amendment also clarifies the meaning of 'primary users of general purpose financial statements' to whom those financial statements are directed, by defining them as 'existing and potential investors, lenders and other creditors' that must rely on general purpose financial statements for much of the financial information they need. Entities need to apply these changes for annual periods beginning on or after 1 January 2020. The amendment did not have a significant effect in the Group´s consolidated financial statements. (c) The IASB has revised its Conceptual Framework. This will not result in any immediate change to IFRS, but the Board and Interpretations Committee will use the revised Framework in setting future standards. Preparers might also use the Framework to assist them in developing accounting policies where an issue is not addressed by an IFRS The amendment is effective for annual periods beginning on or after 1 January 2020 for preparers that develop an accounting policy based on the Framework. The Group considers that such changes have no significant effect in its consolidated financial statements. 1.1.5 (a) IASB carried out changes specifically on IFRS 10 “Consolidated Financial Entities” and IAS 28 “Investments in associates and joint ventures”. Such changes clarify the accounting of sales or contribution of assets between the investor and its associates and joint ventures and confirm that the accounting treatment depends on whether non-monetary assets sold or contributed to the associate or joint venture account for a “business” (as defined in IFRS 3). When non-monetary assets account for a business, the investor will recognize earnings or losses of the sale or contribution of assets. If assets do not account for a business, earnings or losses are recognized by the investor only up to the amount recognized by the investor in the associate or joint venture. These changes are applied with retroactive effect. IASB has decided to delay the application date for this modification until the research project over the interest method is concluded. The Group is evaluating the impact of the application of this new standard. (b) In May 18, 2017, the IASB issued IFRS 17 “Insurance contracts” as replacement for IFRS 4. It requires a current measurement model where estimates are re-measured each reporting period. Contracts are measured using the building blocks of discounted probability-weighted cash flows, an explicit risk adjustment, and a contractual service margin representing the unearned profit of the contract which is recognized as revenue over the coverage period. This standard is effective for fiscal years beginning on or after January 1, 2023. The Group is evaluating the impact of the adoption of this new standard. (c) The IASB has issued amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 that address issues that arise during the reform of an interest rate benchmark, including the replacement of one benchmark with an alternative one. The most important changes are related to the accounting of financial instruments at amortized cost. For instruments to which the amortised cost measurement applies, the amendments require entities, as a practical expedient, to account for a change in the basis for determining the contractual cash flows as a result of IBOR reform by updating the effective interest rate using the guidance in paragraph B5.4.5 of IFRS 9. As a result, no immediate gain or loss is recognised. This practical expedient applies only to such a change and only to the extent it is necessary as a direct consequence of IBOR reform, and the new basis is economically equivalent to the previous basis. IFRS 16 was also amended to require lessees to use a similar practical expedient when accounting for lease modifications that change the basis for determining future lease payments as a result of IBOR reform (for example, where lease payments are indexed to an IBOR rate).Such changes will become effective as from January 1, 2021. The Group is assessing the impact of the amendments. (d) Rent concessions have been, or are expected to be, provided to lessees as a result of the COVID-19 pandemic. Such concessions might take a variety of forms, including payment holidays and deferral of lease payments for a period of time, sometimes followed by increased rent payments in future periods. IFRS 16 contains requirements that apply to such rent concessions. The IASB has noted, however, that applying those requirements to a potentially large volume of rent concessions related to COVID-19 could be complex – particularly in the light of the many other challenges that stakeholders face during the pandemic. As a result, the IASB has provided lessees (but not lessors) with relief in the form of an optional exemption from assessing whether a rent concession related to COVID-19 is a lease modification. Lessees can elect to account for rent concessions in the same way as they would if they were not lease modifications. In many cases, this will result in accounting for the concession as a variable lease payment.The practical expedient only applies to rent concessions occurring as a direct consequence of the COVID-19 pandemic. Lessees that apply the exemption will need to disclose that fact, as well as the amount recognised in profit or loss arising from COVID-19-related rent concessions. If a lessee chooses to apply the practical expedient to a lease, it would apply the practical expedient consistently to all lease contracts with similar characteristics and in similar circumstances. The amendment is to be applied retrospectively in accordance with IAS 8, but lessees are not required to restate prior period figures or to provide the disclosure under paragraph 28(f) of IAS 8. The amendments are mandatory for annual reporting periods beginning on or after 1 June 2020. Earlier application is permitted. The Group is assessing the impact of the amendments. (e) Fees included in the 10% test for derecognition of financial liabilities The amendment to IFRS 9 addresses which fees should be included in the 10% test for derecognition of financial liabilities. Costs or fees could be paid to either third parties or the lender. Under the amendment, costs or fees paid to third parties will not be included in the 10% test. Illustrative examples accompanying IFRS 16, 'Leases' The Board has amended Illustrative Example 13 that accompanies IFRS 16 to remove the illustration of payments from the lessor relating to leasehold improvements. The reason for the amendment is to remove any potential confusion about the treatment of lease incentives. Subsidiary as a first-time adopter IFRS 1 allows an exemption if a subsidiary adopts IFRS at a later date than its parent. The subsidiary can measure its assets and liabilities at the carrying amounts that would be included in its parent's consolidated financial statements, based on the parent's date of transition to IFRS, if no adjustments were made for consolidation procedures and for the effects of the business combination in which the parent acquired the subsidiary. The Board has amended IFRS 1 to allow entities that have taken this IFRS 1 exemption to also measure cumulative translation differences using the amounts reported by the parent, based on the parent's date of transition to IFRS. The amendment to IFRS 1 extends the above exemption to cumulative translation differences, in order to reduce costs for first-time adopters. This amendment will also apply to associates and joint ventures that have taken the same IFRS 1 exemption. Taxation in fair value measurements The Board has removed the requirement for entities to exclude cash flows for taxation when measuring fair value under IAS 41, 'Agriculture'. This amendment is intended to align with the requirement in the standard to discount cash flows on a post-tax basis. Effective date All of the amendments are effective 1 January 2022. Earlier application is permitted The Group is assessing the impact of the amedments. (f) The IASB amended IAS 1, 'Presentation of Financial Statements', to require companies to disclose their material accounting policy information rather than their significant accounting policies. The amendment also clarifies that accounting policy information is expected to be material if, without it, the users of the financial statements would be unable to understand other material information in the financial statements. their significant accounting policies. To support this amendment, the Board also amended IFRS Practice Statement 2, 'Making Materiality Judgements', to provide guidance on how to apply the concept of materiality to accounting policy disclosures. The amendment to IAS 8, 'Accounting Policies, Changes in Accounting Estimates and Errors', clarifies how companies should distinguish changes in accounting policies from changes in accounting estimates. The distinction is important, because changes in accounting estimates are applied prospectively to future transactions and other future events, but changes in accounting policies are generally applied retrospectively to past transactions and other past events as well as the current period. These amendments should be applied for annual periods beginning on or after 1 January 2023. Earlier application is permitted. The amendments should be applied prospectively. The Group is assessing the impact of the amendments. 1.2. Consolidation A subsidiary is an entity, including structured entities, over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. The subsidiaries are consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases. The following chart details the subsidiaries included in the consolidation process: Percentage of direct or indirect investment in capital stock Company Main Activity 12/31/2020 12/31/2019 12/31/2018 Banco Supervielle S.A. Commercial Bank 99.90 % (1) 99.90 % (1) 99.89 % (1) Cordial Compañía Financiera S.A. Financial Company 99.90 % 99.90 % 99.90 % Tarjeta Automática S.A. Credit Card 99.99 % 99.99 % 99.99 % Supervielle Asset Asset Management 100.00 % 100.00 % 100.00 % Sofital S.A.F. e I.I. Real State 100.00 % 100.00 % 100.00 % Espacio Cordial de Servicios S.A. Retail Services 100.00 % 100.00 % 100.00 % Supervielle Seguros S.A. Insurance 100.00 % 100.00 % 100.00 % Micro Lending S.A.U. Financial Company 100.00 % 100.00 % 100.00 % InvertirOnline S.A.U. Financial Broker 100.00 % 100.00 % 100.00 % InvertirOnline.Com Argentina S.A.U. Representations 100.00 % 100.00 % 100.00 % Supervielle Productores Asesores de Seguros S.A. Insurance Broker 100.00 % 100.00 % — Bolsillo Digital S.A.U. Fintech 100.00 % 100.00 % — Futuros del Sur S.A. Financial Broker 100.00 % 100.00 % — Easy Cambio S.A. Financial Company 100.00 % — — (1) Financial Statements of controlled companies are for the same period of the Group´s Financial Statements. Intercompany transactions, balances and unrealized gains on transactions between group companies are eliminated. Unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the transferred asset. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Group. Non-controlling interests in the results and equity of subsidiaries are shown separately in the consolidated statement of income, statement of comprehensive income, statement of changes in shareholder’s equity and statement of financial position, respectively. Easy Cambio S.A. was consolidated from the acquisition date (See Note 29). The acquisition method of accounting is used to account for business combinations by the Group. The consideration transferred for the acquisition of a subsidiary comprises the fair value of the assets transferred, the liabilities incurred to the former owners of the acquired business, the equity interests issued by the Group, the fair value of any asset or liability resulting from a contingent consideration arrangement and the fair value of any pre-existing equity interest in the subsidiary. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The Group recognizes any non-controlling interest in the acquired entity on an acquisition-by-acquisition basis either at fair value or at the non-controlling interest’s proportionate share of the acquired entity’s net assets. Acquisition-related costs are expensed as incurred. The excess of the consideration transferred, the amount of any non-controlling interest in the acquired entity and the acquisition-date fair value of any previous equity interest in the acquired entity over the fair value of the net identifiable assets acquired is recorded as goodwill. If those amounts are less than the fair value of the net identifiable assets of the business acquired, the difference is recognized directly in the Consolidated Income Statement as a “bargain purchase”. 1.3. Consolidated Structured Entities The Group have securitized certain financial instruments, mainly consumer loans, through financial trusts that issue debt securities and participation certificates. The structured entity in which the Group was the trustor as of December 31, 2020 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Amount Type Amount Micro Lending S.A.U. III 06/08/2011 10/12/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 09/01/2011 06/29/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 The structured entity in which the Group was the trustor as of December 31, 2019 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Cantidad Tipo Cantidad Banco Supervielle S.A. Serie 97 27/03/2018 20/03/2020 $ 750,000 VDF TV A VN$712,500 CP VN$37,500 Cordial Compañía Financiera S.A. 20 08/04/2019 15/01/2022 $ 600,000 VDF VN$480,000 CP VN$120,000 Cordial Compañía Financiera S.A. 21 24/06/2019 15/06/2022 $ 1,000,000 VDF VN$780,000 CP VN$220,000 Cordial Compañía Financiera S.A. 22 13/11/2019 15/01/2021 $ 571,560 VDF VN$469,260 CP VN$102,300 Micro Lending S.A.U. III 08/06/2011 12/10/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 01/09/2011 29/06/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 Micro Lending S.A.U. XVIII 01/12/2017 15/10/2022 $ 119,335 VDF TV A VDF TV B VN $89,501 CP VN$22,543 The Group controls a structured entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Structured entities are consolidated from the date on which the control is transferred to the Group. They are deconsolidated from the date that control ceases. As for financial trusts, the Group has evaluated the following: · The purpose and design of the trust · Identification of relevant activities of the trust · Decision-making process on these activities · If the Group has the power to direct the relevant activities of the trust · If the Group is exposed to, or has rights to, variable returns from its involvement with the trust · If the Group has ability to affect those returns through its power over the trust In accordance with the aforementioned, the Group controls such financial trusts and, therefore, such structured entities have been consolidated. The following chart details the assets and liabilities of Structured Entities that have been consolidated by the Group as of December 31, 2020 and 2019: 12/31/2020(i) 12/31/2019 Assets Loans — 2,170,985 Financial assets — 148,174 Other assets — 397,110 Total Assets — 2,716,269 Liabilities Financial liabilities — 1,939,295 Other liabilities — 56,675 Total Liabilities — 1,995,970 (i) 1.4. Transactions with non-controlling interest The Group treats transactions with non-controlling interests that do not result in a loss of control as transactions with equity owners of the Group. A change in ownership interest results in an adjustment between the carrying amounts of the controlling and non-controlling interests to reflect their relative interests in the subsidiary. Any difference between the amount of the adjustment to non-controlling interests and any consideration paid or received is recognized in a separate reserve within equity attributable to owners of the Group. 1.5. Segment Reporting An operating segment is defined as a component of an entity or a Group that engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity), and whose financial information is evaluated on a regular basis by the chief operating decision maker. Operating segments are reported in a manner consistent with the internal reporting provided to: (i) Key personnel of the senior management who account for the main authority in operating decision-making processes and is responsible for allocating resources and assessing the performance of operating segments; and (ii) The Board, who is in charge of making strategic decisions of the Group. 1.6. Foreign currency translation (a) Functional and presentation currency Figures included in the Consolidated Financial Statements of each of the Group’s entities are measured using the functional currency, that is, the currency of the primary economic environment in which the entity operates. Consolidated Financial Statements are presented in Argentine pesos, which is the functional and presentation currency of the Group. (b) Transactions and balances Transactions in foreign currency are translated into the functional currency using the exchange rates published by the Argentine Central Bank at the dates of the transactions. Gains and losses in foreign currency resulting from the settlement of such transactions and from the translation of monetary assets and liabilities denominated in foreign currency at year end exchange rates, are recognized in the income statement, under "Exchange rate differences on gold and foreign currency", except when such items are deferred in the shareholders' equity for transactions classified as cash flow hedges, when applicable. As of December 31, 2020 and 2019, the balances in US dollars were converted at the reference exchange rate determined by the Argentine Central Bank. In the case of foreign currencies other than US dollars, they have been converted to this currency using the rexchange rates derived from repo transactions reported by the Argentine Central Bank. 1.7. Cash and due from banks Cash and due from Banks includes available cash and unrestricted deposits held in Banks, which are short-term liquid instruments and have original maturities of less than three months. Assets disclosed under cash and due from Banks are measured at amortized cost which is close to its fair value. Cash and Cash equivalents include cash and highly liquid short-term securities with an original maturity of less than three-months according to the following detail: Item 12/31/2020 12/31/2019 12/31/2018 Cash and due from banks 36,674,869 35,945,335 70,551,283 Debt securities at fair value through profit or loss 1,868,604 773,961 26,458,009 Money Market Funds(*) 923,053 1,313,597 1,372,931 Cash and cash equivalents 39,466,526 38,032,893 98,382,223 (*) Included within the "other financial assets" line in the statement of financial position The Group invests in money market funds (MMF) whose investments qualify individually as cash and cash equivalents. An MMF is an open-ended mutual fund that invests in short-term debt instruments (typically one day to one year) such as treasury bills, certificates of deposit, bonds, government gilts and commercial papers. These MMF have to comply with strict fund policies such as: · Controls ensuring constant net asset value or linear performance to limit volatility supported by actual performance; · Returns benchmarked to short-term money market interest rates; · Investment in high-quality instruments with high liquidity and a maximum weighted average maturity of a few weeks; and · Highly diversified portfolio. Reconciliation between balances as appearing on the Statement of Financial Position and the items in the Statement of Cash Flow: Items 12/31/2020 12/31/2019 12/31/2018 Cash and due from Banks As per Statement of Financial Position 36,674,869 35,945,335 70,551,283 As per the Statement of Cash Flows 36,674,869 35,945,335 70,551,283 Debt securities at fair value through profit or loss As per Statement of Financial Position 9,871,903 773,961 31,649,050 Securities not considered as cash equivalents (8,003,299) — (5,191,041) As per the Statement of Cash Flows 1,868,604 773,961 26,458,009 Money Market Funds As per Statement of Financial Position – Other financial assets 4,285,221 2,854,686 3,556,206 Other financial assets not considered as cash equivalents (3,362,168) (1,541,089) (2,183,275) As per the Statement of Cash Flow 923,053 1,313,597 1,372,931 Reconciliation of liabilities from financing activities at December 31, 2020, 2019 and 2018 is as follows: Cash Flows Other non-cash Items 12/31/2019 Inflows Outflows movements 12/31/2020 Unsubordinated debt securities 8,286,163 2,653,805 (6,785,701) 72,481 4,226,748 Subordinated debt securities 2,886,028 — (1,774,264) 28,705 1,140,469 Financing received from the Argentine Central Bank and other financial institutions 12,276,610 14,873,400 (21,297,718) — 5,852,292 Lease Liabilities 1,288,420 — (1,366,164) 1,259,442 1,181,698 Total 24,737,221 17,527,205 (31,223,847) 1,360,628 12,401,207 Cash Flows Other non-cash Items 12/31/2018 Inflows Outflows movements 12/31/2019 Unsubordinated debt securities 19,491,854 11,452,532 (23,641,629) 983,406 8,286,163 Subordinated debt securities 2,898,105 — (1,147,619) 1,135,542 2,886,028 Financing received from the Argentine Central Bank and other financial institutions 16,823,037 150,529,472 (155,072,118) (3,781) 12,276,610 Lease Liabilities — — (1,703,937) 2,992,357 1,288,420 Total 39,212,996 161,982,004 (181,565,303) 5,107,524 24,737,221 Cash Flows Other non-cash Items 12/31/2017 Inflows Outflows movements 12/31/2018 Unsubordinated debt securities 26,558,104 6,429,136 (11,619,542) (1,875,844) 19,491,854 Subordinated debt securities 2,120,799 — (19,976) 797,282 2,898,105 Financing received from the Argentine Central Bank and other financial institutions 10,902,349 109,529,169 (105,180,217) 1,571,736 16,823,037 Total 39,581,252 115,958,305 (116,819,735) 493,174 39,212,996 1.8. Financial Instruments Initial Recognition and measurement Financial assets and financial liabilities are recognized when the entity becomes a party to the contractual provisions of the instrument. Purchases and sales of financial assets are recognized on trade-date, the date on which the Group commits to purchase or sell the asset. At initial recognition, the Group measures a financial asset or liability at its fair value plus or minus, in the case of a financial asset or financial liability not at fair value through profit or loss, transaction costs that are incremental and directly attributable to the acquisition or issue of the financial asset or financial liability, such as fees and commissions. Transaction costs of financial assets and financial liabilities carried at fair value through profit or loss are expensed in profit or loss. Immediately after initial recognition, an expected credit loss allowance (ECL) is recognized for financial assets measured at amortized cost and investments in debt instruments measured at fair value through other comprehensive income, as described in note 1.12, which results in an impariment loss being recognized in profit or loss when an asset is newly originated. When the fair value of financial assets and liabilities differs from the transaction price on initial recognition, the Group recognizes the difference as follows: · When the fair value is evidenced by a quoted price in an active market for an identical a |
CRITICAL ACCOUNTING POLICIES AN
CRITICAL ACCOUNTING POLICIES AND ESTIMATES | 12 Months Ended |
Dec. 31, 2020 | |
CRITICAL ACCOUNTING POLICIES AND ESTIMATES | |
CRITICAL ACCOUNTING POLICIES AND ESTIMATES | 2. CRITICAL ACCOUNTING POLICIES AND ESTIMATES The preparation of these Consolidated Financial Statements in accordance with IFRS requires the use of certain critical accounting estimates. It also requires Senior Management to make judgements in applying the accounting standards to define the Group’s accounting policies. The Group has identified the following areas which involve a higher degree of judgement or complexity, or areas where assumptions and estimates are material for these Consolidated Financial Statements which are essential to understand the underlying accounting/financial reporting risks: a- Fair value of derivatives and other instruments The fair value of financial instruments not listed in active markets is determined using valuation techniques. Such techniques are validated and reviewed periodically by qualified personnel independent from the area which developed them. All models are assessed and adjusted before being put into use in order to ensure that results reflect current information and comparable market prices. As long as possible, models rely on observable inputs only; however, certain factors such as as implicit rates in the last available tender for similar securities and spot rate curves, require the use of estimates. Changes in the assumptions of these factors may affect the reported fair value of financial instruments. b- Allowances for loan losses The Group recognizes the allowance for loan losses under the expected credit losses method included in IFRS 9. The most significant judgements of the model relate to defining what is considered to be a significant increase in credit risk, determining the life of revolving facilities, and in making assumptions and estimates to incorporate relevant information about past events, current conditions and forecasts of economic conditions. The impact of the forecasts of economic conditions are determined based on the weighted average of three internally developed macroeconomic scenarios that take into consideration the Group´s economic outlook as derived through forecast macroeconomic variables, which include inflation rate, monthly economic activity estimator and private sector wage.A high degree of uncertainty is involved in making estimations using assumptions that are highly subjective and very sensitive to the risk factors Note 1.11 provides more detail of how the expected credit loss allowance is measured. c- Impairment of Non-Financial Assets Intangible assets with definite useful life and property, plant and equipment are amortized or depreciated on a straight-line basis during their estimated useful life. The Group monitors the conditions associated with these assets to determine whether the events and circumstances require a review of the remaining amortization or depreciation term and whether there are factors or circumstances indicating impairment in the value of the assets which might not be recoverable. The Group has applied the judgment in the identification of impairment indicators for property, plant and equipment and intangible assets. The Group has defined that there was no evidence of impairment for any period included in the consolidated Financial Statements. Given the aforementioned, no recoverable value has been calculated. The evaluation process for potential impairment of an asset of indefinite useful life is subject to and require a significant judgment in many points over the course of the analysis, including the identification of its cash-generating unit, the identification and allocation of assets and liabilities to a cash-generating unit and the definition of their recoverable value. The recoverable value is compared with the carrying value in order to define the non-recoverable portion of such value. When calculating the recoverable value of the cash-generating unit in virtue of the assessment of annual or regular impairment, the Group use estimates and significant judgments on future cash flows of the cash-generating unit. Its cash flow forecasts are based on assumptions that account for the best use of its cash-generating unit. Although the Group believes that assumptions and forecasts used are suitable in virtue of the information available for the administration, changes in assumptions or circumstances may require changes in the assessment. Negative changes in assumptions utilized in an impairment tests of indefinite useful life intangible assets may result in the reduction or removal of the excess of fair value over the book value, which would result in the potential recognition of the impairment. The Group decided that it would not be necessary to recognize an impairment loss in indefinite useful life intangible assets under such conditions d- Structured Entities Assessing whether the Group controls a structured entity requires Management to make, judgments. Management assesses its exposure to risks and rewards, as well as its ability to make decisions and direct the relevant activities of such structured entity. Structured entities controlled by the Group are subject to consolidation. The following elements were used to determine if the Group controls a structured entity: · The purpose and design of the trust · Identification of relevant activities of the trust · Decision-making process on these activities · If the Group has the power to direct the relevant activities of the trust · If the Group is exposed to, or has rights to, variable returns from its involvement with the trust · If the Group has the ability to affect those returns through its power over the trust e- Income tax and deferred tax A significant level of judgment is required to determine current and deferred tax assets and liabilities. Current income tax is measured at the amount expected to be paid while deferred income tax is measured based on the temporary differences between the carrying amount of assets and liabilities and their tax base, at the rates expected to be in force at the time of reversal of such differences. A deferred tax asset is recognized when future taxable income is expected to exist to offset such temporary differences, based on Management’s assumptions about the amounts and timing of such future taxable income. Then, management needs to determine whether deferred tax assets are likely to be used and offset against future taxable income. Actual results may differ from these estimates, for instance, changes in the applicable tax laws or the outcome of the final review of the tax returns by the tax authorities and tax courts. Future taxable income and the number of tax benefits likely to be available in the future are based on a medium term business plan prepared by management on the basis of reasonable expectations. |
SEGMENT REPORTING
SEGMENT REPORTING | 12 Months Ended |
Dec. 31, 2020 | |
SEGMENT REPORTING | |
SEGMENT REPORTING | 3. SEGMENT REPORTING The Group determines operating segments based on performance reports which are reviewed by the Board and key personnel of Senior Management and updated upon changes. With the purpose of implementing a strategic vision focused on the individual client and Small and Medium Size Companies that require and values closeness and digital service models, the Retail Banking sector turned into a new area of Personal and Business Banking. In this sense, Small and Medium Size Companies clients and the loan portfolio have been transferred from the Corporate Division to the Personal and Business Banking area. Such change became effective on January 1, 2020. The comparative information as of December 31, 2019 and 2018 was modified with the purpose of showing the new organization and making it comparable to information as of December 31, 2020. As from January 1, 2020, the Bank´s clients receive the following services: · Personal and Business Banking Segment: - - · Corporate Baking Segment: - - The Group considers the business for the type of products and services offered, identifying the following operating segments: a- Personal and Business Banking– Includes a wide range of financial products and services targeted to small comoanies, included in Entrepreneours & SMSs, and high income people identified with so-called Identité proposal. Likewise, the Bank offers services and products targeted to retirees and pensioneers. b- Corporate Banking – Includes advisory services at a corporate and financial level, as well as the administration of assets and loans targeted to corporate clients. c- Bank Treasury – This segment is in charge of the assignment of liquidity of the Entity in accordance with the different commercial areas´ needs and its own needs, Treasury implements financial risk administration policies of the Bank, administers trading desk operations, distributes financial products, such as negotianle securities and develops business with the financial sector clients and whole sale non-financial sector clients.Consumer – Includes loans and other credit products targeted to middle and lower-middle income sectors and non-financial products and services. d- Consumer Finance– Includes loans and other credit products targeted to middle and lowed-middle income sectors and non-financial products and services. e- Insurance: Includes insurance products, with a focus on life insurance, to targeted customers segments f- Asset Management and Other Services – Includes MFs administered by the Group. Includes also assets, liabilities and results of Micro Lending S.A.U., Invertir Online.Com Argentina S.A.U. and InvertirOnline S.A.U, Easy Cambio S.A., Bolsillo Digital S.A.U and Futuros del Sur S.A. Operating results of the different operating segments of the Group are reviewed individually with the purpose of taking decisions over the allocation of resources and the performance analysis of each segment. The performance of such segments will be evaluated based on operating income and is measured consistently with operating income/(expenses) of the consolidated income statement. Transaction between segments are carried out at arm´s length. Income, expenses and results from transfers between operating segments are eliminated in consolidation. The Group does not present information by geographical segments because there are no operating segments in economic environments with risks and rewards that are significantly different. The following chart includes information by segment measured in accordance with IAS 29, as of December 31, 2020, 2019 and 2018: Personal and Asset Business Corporate Bank Consumer Management and Total as of Asset by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2020 Cash and due from banks 12,345,695 533,466 23,288,859 238,350 2,176 399,895 (133,572) 36,674,869 Debt securities at fair value through profit or loss — — 8,827,214 1,034,836 — 9,853 — 9,871,903 Loans and other financing 52,474,545 42,240,034 5,823,189 6,808,494 592,067 49,403 (2,592,546) 105,395,186 Other Assets 8,569,274 8,324,469 58,840,094 3,063,890 1,254,830 1,080,197 16,156,234 97,288,988 Total Assets 73,389,514 51,097,969 96,779,356 11,145,570 1,849,073 1,539,348 13,430,116 249,230,946 Personal and Asset Businesses Corporate Bank Consumer Management and Total as of Liabilities by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2020 Deposits 93,834,062 16,184,803 65,197,484 3,561,745 — — (136,500) 178,641,594 Financing received from the Argentine Central Bank and others 15,011 — 5,794,778 2,529,652 — 48,169 (2,535,318) 5,852,292 Debt Securities 23,896 12,588 4,190,264 — — — — 4,226,748 Other liabilities 7,481,326 2,073,534 5,859,467 2,016,065 857,130 579,256 5,964,046 24,830,824 Total Liabilities 101,354,295 18,270,925 81,041,993 8,107,462 857,130 627,425 3,292,228 213,551,458 Personal and Asset For the year Business Corporate Bank Consumer Management and ended Result by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2020 Interests income 22,032,597 12,981,215 25,591,006 4,433,064 — 42,406 (380,408) 64,699,880 Interest Expense (8,181,916) (1,073,707) (18,395,101) (1,367,357) — (26,587) 466,280 (28,578,388) Distribution of results by the Treasury 3,409,620 (6,389,960) 2,980,340 — — — — — Net interest income 17,260,301 5,517,548 10,176,245 3,065,707 — 15,819 85,872 36,121,492 Net income from financial instruments at fair value through profit or loss — — 2,315,048 143,465 353,513 162,716 340,840 3,315,582 Result from derecognition of assets measured at amortized cost — — 688,793 — — — (31,774) 657,019 Exchange rate differences on gold and foreign currency 379,276 52,605 423,261 37,771 (98) 73,159 98,571 1,064,545 NIFFI And Exchange Rate Differences 379,276 52,605 3,427,102 181,236 353,415 235,875 407,637 5,037,146 Net Financial Income 17,639,577 5,570,153 13,603,347 3,246,943 353,415 251,694 493,509 41,158,638 Services Fee Income 7,464,407 672,282 59,634 2,133,202 — 1,584,304 (420,005) 11,493,824 Services Fee Expenses (2,453,402) (192,364) (59,759) (762,313) — (50,754) (29,677) (3,548,269) Income from insurance activities — — — — 1,454,204 — 217,251 1,671,455 Net Service Fee Income 5,011,005 479,918 (125) 1,370,889 1,454,204 1,533,550 (232,431) 9,617,010 Subtotal 22,650,582 6,050,071 13,603,222 4,617,832 1,807,619 1,785,244 261,078 50,775,648 Result from exposure to changes in the purchasing power of money (1,078,519) (1,274,193) (269,124) (887,134) (381,065) (253,338) (146,955) (4,290,328) Other operating income 1,531,510 1,518,644 253,278 364,527 10,498 233,704 (132,710) 3,779,451 Loan loss provisions (4,365,418) (3,370,120) (4,097) (886,996) — 11,571 — (8,615,060) Net operating income 18,738,155 2,924,402 13,583,279 3,208,229 1,437,052 1,777,181 (18,587) 41,649,711 Personnel expenses (13,284,682) (1,271,081) (930,606) (1,713,808) (317,809) (540,802) (118,078) (18,176,866) Administrative expenses (7,431,135) (508,923) (462,356) (1,463,065) (264,086) (458,159) 269,167 (10,318,557) Depreciations and impairment of non-financial assets (1,924,361) (144,156) (108,498) (135,823) (20,761) (10,497) (62,932) (2,407,028) Other operating expenses (3,834,606) (1,255,478) (736,566) (602,415) (1,826) (103,867) (40,021) (6,574,779) Operating income (7,736,629) (255,236) 11,345,253 (706,882) 832,570 663,856 29,549 4,172,481 Income from associates and joint ventures — — — 6,456 — — (6,456) — Result before taxes (7,736,629) (255,236) 11,345,253 (700,426) 832,570 663,856 23,093 4,172,481 Income tax 1,380,576 75,324 (2,219,977) 122,886 (294,523) (262,820) 526,827 (671,707) Net income (6,356,053) (179,912) 9,125,276 (577,540) 538,047 401,036 549,920 3,500,774 Net income for the year attributable to owners of the parent company (6,356,053) (179,912) 9,125,276 (577,540) 538,047 401,036 549,028 3,499,882 Net loss for the year attributable to non-controlling interest — — — — — — 892 892 Other comprehensive income 220,150 115,969 479,208 — — — (11,634) 803,693 Other comprehensive income attributable to owners of the parent company 220,150 115,969 479,208 — — — (12,413) 802,914 Other comprehensive loss attributable to non-controlling interest — — — — — — 779 779 Comprehensive income for the year (6,135,903) (63,943) 9,604,484 (577,540) 538,047 401,036 538,286 4,304,467 Comprehensive income attributable to owners of the parent company (6,135,903) (63,943) 9,604,484 (577,540) 538,047 401,036 536,615 4,302,796 Comprehensive loss attributable to non-controlling interest — — — — — — 1,671 1,671 Personal and Asset Business Corporate Bank Consumer Management and Total as of Asset by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2019 Cash and due from banks 10,471,392 1,392,602 22,967,633 437,209 4,608 3,295,926 (2,624,035) 35,945,335 Debt securities at fair value through profit or loss — — 425,175 126,287 — 222,499 — 773,961 Loans and other financing 56,863,126 52,299,847 5,064,985 6,857,365 618,048 41,858 (1,927,882) 119,817,347 Other Assets 3,216,481 1,600,424 24,308,991 4,050,457 1,485,761 733,256 10,488,202 45,883,572 Total Assets 70,550,999 55,292,873 52,766,784 11,471,318 2,108,417 4,293,539 5,936,285 202,420,215 Personal and Asset Businesses Corporate Bank Consumer Management and Total as of Liabilities by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2019 Deposits 86,332,384 14,481,577 21,342,195 2,224,661 — — (3,204,562) 121,176,255 Financing received from the Argentine Central Bank and others 17,161 — 12,250,927 1,293,014 — 62,652 (1,347,144) 12,276,610 Debt Securities 147,721 104,240 8,013,021 — — 21,181 — 8,286,163 Other liabilities 6,347,903 1,876,158 5,926,868 4,348,891 1,031,927 3,517,477 5,726,877 28,776,101 Total Liabilities 92,845,169 16,461,975 47,533,011 7,866,566 1,031,927 3,601,310 1,175,171 170,515,129 Personal and Asset For the year Business Corporate Bank Consumer Management and ended Result by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2019 Interests income 30,299,712 19,478,944 6,132,453 6,834,394 — 303,685 (2,065,563) 60,983,625 Interest Expense (11,995,094) (4,676,394) (28,791,267) (4,274,907) — (182,092) 2,388,377 (47,531,377) Distribution of results by Treasury 6,447,537 (9,131,377) 2,683,840 — — — — — Net interest income 24,752,155 5,671,173 (19,974,974) 2,559,487 — 121,593 322,814 13,452,248 Net income from financial instruments at fair value through profit or loss 13,964 — 27,334,575 331,348 526,305 132,899 197,291 28,536,382 Exchange rate differences on gold and foreign currency 2,601,295 281,750 (3,381,111) 11,166 1,679 29,577 14,453 (441,191) NIFFI And Exchange Rate Differences 2,615,259 281,750 23,953,464 342,514 527,984 162,476 211,744 28,095,191 Net Financial Income 27,367,414 5,952,923 3,978,490 2,902,001 527,984 284,069 534,558 41,547,439 Services Fee Income 7,153,209 1,532,939 50,267 2,433,057 — 868,490 (330,406) 11,707,556 Services Fee Expenses (1,979,198) (166,561) (66,517) (889,658) — (41,409) 88,389 (3,054,954) Income from insurance activities — — — — 1,627,670 — 269,253 1,896,923 Net Service Fee Income 5,174,011 1,366,378 (16,250) 1,543,399 1,627,670 827,081 27,236 10,549,525 Subtotal 32,541,425 7,319,301 3,962,240 4,445,400 2,155,654 1,111,150 561,794 52,096,964 Result from exposure to changes in the purchasing power of money (2,439,672) (2,243,877) (535,746) (1,141,796) (1,204,601) (475,643) 744,792 (7,296,543) Other operating income 1,665,517 860,383 467,542 568,593 10,190 212,318 (33,506) 3,751,037 Loan loss provisions (4,555,505) (4,302,282) 33,553 (1,760,136) — 51,352 — (10,533,018) Net operating income 27,211,765 1,633,525 3,927,589 2,112,061 961,243 899,177 1,273,080 38,018,440 Personnel expenses (14,363,518) (1,412,159) (886,187) (1,740,329) (255,296) (414,832) (211,025) (19,283,346) Administrative expenses (7,109,852) (464,220) (421,634) (1,592,780) (359,381) (360,971) (1,828) (10,310,666) Depreciations and impairment of non-financial assets (1,891,160) (247,501) (97,492) (136,548) (12,751) (9,014) (76,038) (2,470,504) Other operating expenses (4,635,433) (2,306,728) (693,363) (865,702) (1,673) (135,505) (17,811) (8,656,215) Operating income (788,198) (2,797,083) 1,828,913 (2,223,298) 332,142 (21,145) 966,378 (2,702,291) Income from associates and joint ventures — — — 4,570 — — (4,570) — Result before taxes (788,198) (2,797,083) 1,828,913 (2,218,728) 332,142 (21,145) 961,808 (2,702,291) Income tax 7,210 8,894 24,010 736,962 (301,677) (117,294) (587,768) (229,663) Net income (780,988) (2,788,189) 1,852,923 (1,481,766) 30,465 (138,439) 374,040 (2,931,954) Net income for the year attributable to owners of the parent company (780,988) (2,788,189) 1,852,923 (1,481,766) 30,465 (138,439) 376,793 (2,929,201) Net loss for the year attributable to non-controlling interest — — — — — — (2,753) (2,753) Other comprehensive income (50,447) (35,598) (89,847) — 110,770 — (1) (65,123) Other comprehensive income attributable to owners of the parent company (50,447) (35,598) (89,847) — 110,770 — 182 (64,940) Other comprehensive income attributable to non-controlling interest — — — — — — (183) (183) Comprehensive income for the year (831,435) (2,823,787) 1,763,076 (1,481,766) 141,235 (138,439) 374,039 (2,997,077) Comprehensive income attributable to owners of the parent company (831,435) (2,823,787) 1,763,076 (1,481,766) 141,235 (138,439) 376,975 (2,994,141) Comprehensive loss attributable to non-controlling interest — — — — — — (2,936) (2,936) |
INCOME TAX
INCOME TAX | 12 Months Ended |
Dec. 31, 2020 | |
INCOME TAX | |
INCOME TAX | 4. INCOME TAX On December 21, 2019, the National Executive enacted Income Tax Law 27,541. This law has introduced several changes to the previous income tax treatment. Some of the key changes involved in the reform include: Article 27 of the Law stipulates that the inflation adjustment, positive or negative, corresponding to the first and second fiscal year beginning on January 1, 2019, should allocate a sixth (1/6) in that fiscal period and the remaining five sixth (5/6), in equal parts, in the next five (5) immediate fiscal periods. In turn, it is clarified that said provision does not preclude the allocation of the remaining thirds corresponding to previous periods, calculated in accordance with the previous version of article 194 of the Income Tax Law. Article 48 of the Law 27,541 establishes that until the fiscal years beginning as of January 1, 2021 inclusive, the tax rate will be thirty percent (30%) -Dividends or distributed profits will be 7%. The following table reconciles the statutory income tax rate in Argentina to the Group´s effective tax rate as of December 31, 2020, 2019 and 2018: 12/31/2020 12/31/2019 12/31/2018 Current income tax (2,700,633) (562,210) (1,009,829) Income tax – deferred method 2,028,926 332,547 (1,107,259) Income tax allotted in the Income Statement (671,707) (229,663) (2,117,088) Income tax allotted in Other comprehensive income (340,954) 10,504 (167,510) Total Income Tax Charge (1,012,661) (219,159) (2,284,598) The following is a reconciliation between the income tax charged to income as of December 31, 2020, 2019 and 2018, and that which would result from applying the current tax rate on the accounting profit 12/31/2020 12/31/2019 12/31/2018 Income before taxes 4,172,481 (2,702,291) (4,284,402) Tax rate 30 % 30 % 30 % Income for the year at tax rate (1,251,744) 810,687 1,285,321 Permanent differences at tax rate: Tax inflation adjustment 14,441 228,247 (3,836,719) Deductible investments 5,305 77,894 440,450 Others 560,291 (1,346,491) (6,140) Income tax (671,707) (229,663) (2,117,088) 4.1 The net position of the deferred tax is as follows: 12/31/2020 12/31/2019 Deferred tax assets 3,315,885 2,275,175 Deferred tax liability (42,005) (689,268) Net assets by deferred tax 3,273,880 1,585,907 Deferred taxes to be recovered in more than 12 months 1,687,447 2,063,254 Deferred taxes to be recovered in 12 months 1,628,438 211,921 Subtotal – Deferred tax assets 3,315,885 2,275,175 Deferred taxes to be paid in more than 12 months (65,140) — Deferred taxes to be paid in 12 months 23,135 (689,268) Subtotal – Deferred tax liabilities (42,005) (689,268) Total Net Assets by deferred Tax 3,273,880 1,585,907 Deferred tax assets / (liabilities) are summarized as follows: (Charge)/Credit Balance at to Income/OCI Balance at 12/31/2019 (*) 12/31/2020 Intangible assets (955,680) (20,331) (976,011) Retirement plans 114,991 849 115,840 Loan Loss Reserves 1,253,696 924,017 2,177,713 Property, plant and equipment (1,235,317) 57,792 (1,177,525) Foreign Currency (83,709) 40,831 (42,878) Tax Loss Carry Forward 224,665 — 224,665 Inflation adjustment credit 2,032,364 490,706 2,523,070 Provisions 266,923 (125,743) 141,180 Others (32,026) 319,852 287,826 Total 1,585,907 1,687,973 3,273,880 (*)include ($340,954) that was recorded in OCI. Balance at (Charge)/Credit Balance at 12/31/2018 to Income 12/31/2019 Intangible assets (523,741) (431,939) (955,680) Retirement plans 120,441 (5,450) 114,991 Loan Loss Reserves 2,191,203 (937,507) 1,253,696 Property, plant and equipment (704,615) (530,702) (1,235,317) Foreign Currency (171,598) 87,889 (83,709) Tax Loss Carry Forward 336,380 (111,715) 224,665 Inflation adjustment credit — 2,032,364 2,032,364 Provisions — 266,923 266,923 Others 5,289 (37,315) (32,026) Total 1,253,359 332,548 1,585,907 |
FINANCIAL INSTRUMENTS
FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2020 | |
FINANCIAL INSTRUMENTS | |
FINANCIAL INSTRUMENTS | 5. FINANCIAL INSTRUMENTS Financial instruments held by the Group as of December 31, 2020 and 2019: Fair value Fair value through through Financial Instruments as of 12/31/2020 profit or loss Amortized Cost OCI Total Assets - Cash and due from banks — 36,674,869 — 36,674,869 - Debt securities at fair value through profit or loss 9,871,903 — — 9,871,903 - Derivatives 143,944 — — 143,944 - Reverse Repo transactions — 22,354,735 — 22,354,735 - Other financial assets 3,407,891 877,330 — 4,285,221 - Loans and other financing — 105,395,186 — 105,395,186 - Other debt securities — 6,325,194 34,534,781 40,859,975 - Financial assets pledged as collateral 4,687,488 217,447 — 4,904,935 - Investments in Equity Instruments 87,131 — 29,197 116,328 Total Assets 18,198,357 171,844,761 34,563,978 224,607,096 Liabilities - Deposits — 178,641,594 — 178,641,594 - Liabilities at fair value through profit or loss 2,002,005 — — 2,002,005 - Derivates 1,995 — — 1,995 - Other financial liabilities 7,326,629 202,260 — 7,528,889 - Financing received from the Argentine Central Bank and other financial institutions — 5,852,292 — 5,852,292 - Unsubordinated debt securities — 4,226,748 — 4,226,748 - Subordinated debt securities — 1,140,469 — 1,140,469 Total Liabilities 9,330,629 190,063,363 — 199,393,992 Fair value Fair value through through Financial Instruments as of 12/31/2019 profit or loss Amortized Cost OCI Total Assets - Cash and due from banks — 35,945,335 — 35,945,335 - Debt securities at fair value through profit or loss 773,961 — — 773,961 - Derivatives 350,680 — — 350,680 - Other financial assets 1,499,631 1,355,055 — 2,854,686 - Loans and other financing — 119,817,347 — 119,817,347 - Other debt securities — 4,475,465 9,762,875 14,238,340 - Financial assets pledged as collateral 6,704,298 557,038 — 7,261,336 - Investments in Equity Instruments 7,891 — 11,957 19,848 Total Assets 9,336,461 162,150,240 9,774,832 181,261,533 Liabilities - Deposits — 121,176,255 — 121,176,255 - Liabilities at fair value through profit or loss 258,060 — — 258,060 - Repo transactions — 435,401 — 435,401 - Other financial liabilities 8,163,994 4,245,990 — 12,409,984 - Financing received from the Argentine Central Bank and other financial institutions — 12,276,610 — 12,276,610 - Unsubordinated debt securities — 8,286,163 — 8,286,163 - Subordinated debt securities — 2,886,028 — 2,886,028 Total Liabilities 8,422,054 149,306,447 — 157,728,501 |
FAIR VALUES
FAIR VALUES | 12 Months Ended |
Dec. 31, 2020 | |
FAIR VALUES | |
FAIR VALUES | 6. FAIR VALUES 6.1 Fair Value of Financial Instruments The Group classifies fair values of financial instruments in a three level hierarchy according to the reliability of the inputs used to determine them. Fair Value level 1: The fair value of financial instruments traded in active markets (such as publicly-traded derivatives, debt securities or available for sale) is based on market quoted prices as of the date of the reporting period. If the quoted price is available and there is an active market for the instrument, it will be included in Level 1. Otherwise, it will be included in Level 2. Fair Value level 2: The fair value of financial instruments which are not traded in active markets, such as over-the-counter derivatives, is determined using valuation techniques that maximize the use of observable market data and rely the least possible on the Group’s specific estimates. If all significant inputs required to determine fair value a financial instrument are observable, such instrument is included in level 2. If the inputs used to determine the price are not observable, the instrument will be included in Level 3. Fair Value level 3: If one or more significant inputs are not based on observable market data, the instrument is included in level 3. The Group’s financial instruments measured at fair value as of December 31, 2020 and 2019 are detailed below: Financial Instruments as of 12/31/2020 FV level 1 FV level 2 FV level 3 Total Assets - Cash and due from banks — — — — - Debt securities at fair value through profit or loss 9,632,732 239,171 — 9,871,903 - Derivatives 143,944 — — 143,944 - Other financial assets 3,407,891 — — 3,407,891 - Other debt securities 6,353,196 28,181,585 — 34,534,781 - Financial assets pledged as collateral 4,687,488 — — 4,687,488 - Investments in Equity Instruments 87,131 29,197 — 116,328 Total Assets 24,312,382 28,449,953 — 52,762,335 Liabilities - Liabilities at fair value through profit or loss 2,002,005 — — 2,002,005 - Derivatives 1,995 — — 1,995 - Other financial liabilities 7,326,629 — — 7,326,629 Total Liabilities 9,330,629 — — 9,330,629 Financial Instruments as of 12/31/2019 FV level 1 FV level 2 FV level 3 Total Assets - Cash and due from banks — — — — - Debt securities at fair value through profit or loss 768,963 — 4,998 773,961 - Derivatives 350,680 — — 350,680 - Other financial assets 1,499,631 — — 1,499,631 - Other debt securities 9,762,875 — — 9,762,875 - Financial assets pledged as collateral 6,704,298 — — 6,704,298 - Investments in Equity Instruments 7,891 11,957 — 19,848 Total Assets 19,094,338 11,957 4,998 19,111,293 Liabilities - Liabilities at fair value through profit or loss 258,060 — — 258,060 - Other financial liabilities 8,163,994 — — 8,163,994 Total Liabilities 8,422,054 — — 8,422,054 Below is shown the reconcilation of the financial instruments classiffied as Fair Value Level 3: FV level 3 12/31/2019 Transfers Additions Disposals P/L 12/31/2020 Assets - Debt securities at fair value through profit or loss 4,998 — — 4,998 — — The Group’s policy is to recognize transfers between fair value levels only at end of period. The transfers were produced by the classification as Level 3 of the financial instruments with lack of observable prices. Valuation Techniques Valuation techniques to determine fair values Level 2 and Level 3 include the following: · Market or quoted prices for similar instruments. · The estimated present value of instruments. The valuation technique to determine fair value Level 2 is based on inputs other than the quoted price included in Level 1 that are readily observable for the asset or liability (i.e., prices). For Level 3, the Group uses valuation techniques through spot rate curves which calculate the yield upon market prices. These valuation techniques are detailed below: · Interpolation model: It consists of the determination of the value of financial instruments that do not have a market price at the closing date, based on quoted prices for similar assets (both in terms of issue, currency, and duration) in the active markets ( MAE, Bolsar or secondary) through the linear interpolation of them. This technique has been used by the Entity to determine the fair value of the instruments issued by the BCRA and Treasury Bills without quotation at the end of this period. · Performance Curve Model under Nelson Siegel: This model proposes a continuous function to model the trajectory of the instant forward interest rate considering as a domain the term comprised until the next interest and / or capital payment. It consists in the determination of the instrument's price estimating volatility through market curves. The Entity has used this model to estimate prices in debt securities or financial instruments with variable interest rate. The principal inputs considered by the Group for its determination of fair values under the linear interpolation model are: · Instrument prices that were quoted between the date the curve is estimated and the settlement date of the latest payment available. · Implicit rates in the last available tender. · Only instruments that have been traded with a 24-hour settlement are considered. · If the same instrument has been listed on MAE (“Mercado Abierto Electrónico”) and Bolsar, only the market price that has been traded in the market with higher volume is considered · The yield curve is standardized based on a set of nodes, each of which has an associated expiration date. · Instruments denominated in US dollars are converted at the exchange rate on the date the instrument is negotiated. Likewise, for the determination of fair values under the Nelson Siegel model, the main data and aspects considered by the Entity were: · The Spot rate curves in pesos + BADLAR and the Spot rate curve in US dollars are established based on bonds predefined by Financial Risk Management. · The main source of prices for Bonds is MAE, without considering those corresponding to operations for own portfolio. · The portfolio of bonds used as input is changed with every issuance. The Group periodically evaluates the performance of the models based on indicators which have defined tolerance thresholds. Under IFRS, the estimated residual value of an instrument at inception is generally the transaction price. In the event that the transaction price differs from the determined fair value, the difference will be recognized in the income statement proportionally for the duration of the instrument. 6.2 Fair Value of other Financial Instruments The following describes the methodologies and assumptions used to determine the fair values of financial instruments not recorded at their value in these financial statements: · Assets whose fair value is similar to book value: For financial assets and liabilities that are liquid or have short-term maturities (less than three months), the book value is considered to be similar to fair value. · Fixed rate financial instruments: The fair value of financial assets was determined by discounting future cash flows at the current market rates offered, for each year, for financial instruments with similar characteristics. The estimated fair value of deposits with a fixed interest rate was determined by discounting future cash flows through the use of market interest rates for deposits with maturities similar to those of the Group’s portfolio. · For listed assets and the quoted debt, fair value was determined based on market prices. Below is the difference between the carrying amount and the fair value of the main assets and liabilities recorded at amortized cost as of December 31, 2020 and 2019, respectively: Other Financial Instruments as of 12/31/2020 Book value Fair value FV Level 1 FV Level 2 FV Level 3 Financial Assets -Cash and due from Banks 36,674,869 36,674,869 36,674,869 — — -Other financial assets 877,330 877,330 877,330 — — -Loans and other financing 105,395,186 112,402,330 — — 112,402,330 -Reverse Repo transactions 22,354,735 22,354,735 22,354,735 — — - Other Debt Securities 6,325,194 6,325,194 6,325,194 — — -Financial assets in guarantee 217,447 217,447 217,447 — — 171,844,761 178,851,905 66,449,575 — 112,402,330 Financial Liabilities -Deposits 178,641,594 179,320,910 — — 179,320,910 -Other financial liabilities 202,260 202,260 202,260 — — -Financing received from the BCRA and other financial institutions 5,852,292 5,607,896 — — 5,607,896 - Unsubordinated Negotiable obligations 4,226,748 4,226,748 4,226,748 — — - Subordinated Negotiable Obligations 1,140,469 1,192,293 1,192,293 — — 190,063,363 190,550,107 5,621,301 — 184,928,806 Other Financial Instruments as of 12/31/2019 Book value Fair value FV Level 1 FV Level 2 FV Level 3 Financial Assets -Cash and due from Banks 35,945,335 35,904,615 35,904,615 — — -Other financial assets 1,355,055 1,355,055 1,355,055 — — -Loans and other financing 119,817,347 124,755,831 — — 124,755,831 - Other Debt Securities 4,475,465 4,588,171 4,588,171 — — -Financial assets in guarantee 557,038 557,038 557,038 — — 162,150,240 167,160,710 42,404,879 — 124,755,831 Financial Liabilities -Deposits 121,176,255 121,178,488 — — 121,178,488 -Repo transactions 435,401 435,401 435,401 — — -Other financial liabilities 4,245,990 4,321,690 4,321,690 — — -Financing received from the BCRA and other financial institutions 12,276,610 11,950,528 — — 11,950,528 - Unsubordinated Negotiable obligations 8,286,163 8,286,163 8,286,163 — — - Subordinated Negotiable Obligations 2,886,028 3,223,964 3,223,964 — — 149,306,447 149,396,234 16,267,218 — 133,129,016 6.3 Fair Value of Equity instruments The following are the equity instruments measured at Fair Value throug profit or loss as of December 31, 2020 and 2019: 12/31/2020 12/31/2019 Grupo Financiero Galicia S.A. 74,881 7,891 Pampa Holding S.A 8,286 — Loma Negra S.A. 3,179 — Others 785 — Total 87,131 7,891 The following are the equity instruments measured at Fair Value throug Other Comprehensive Income as of December 31, 2020 and 2019: FV at Loss FV at Detail 12/31/2019 through OCI Additions 12/31/2020 MAE 6,276 (1,666) — 4,610 SEDESA 2,197 (583) — 1,614 COELSA 1,251 (332) — 919 PROVINCANJE 371 (100) — 271 CUYO AVAL SGR 1,428 8 — 1,436 ARGENCONTROL 170 (45) — 125 LOS GROBO SGR 95 (22) — 73 IEBA SA 83 (22) — 61 MODO — (25,089) 45,043 19,954 Others 86 48 — 134 Total 11,957 (27,803) 45,043 29,197 FV at Income FV at Detail 12/31/2018 through OCI 12/31/2019 MAE 9,655 (3,379) 6,276 SEDESA 3,380 (1,183) 2,197 COELSA 1,925 (674) 1,251 PROVINCANJE 568 (197) 371 CUYO AVAL SGR 1,883 (455) 1,428 ARGENCONTROL 263 (93) 170 LOS GROBO SGR 437 (342) 95 IEBA SA 127 (44) 83 Others 194 (108) 86 Total 18,432 (6,475) 11,957 |
FINANCE LEASES
FINANCE LEASES | 12 Months Ended |
Dec. 31, 2020 | |
FINANCE LEASES | |
FINANCE LEASES | 7. FINANCE LEASES 7.1 The Group as lessee (i) The following table shows the carrying amount in the statement of financial position: 12/31/2020 12/31/2019 Right-of-use asset Land and buildings 2,146,928 2,047,260 Lease liability Current 660,694 637,106 Non-current 521,004 651,313 Total 1,181,698 1,288,419 (ii) The following table shows the amounts charged in the income statement: Items 12/31/2020 Right-of-use assets – Depreciation 780,397 Interest expenses on lease liabilities (Other operating expenses) 207,035 (iii) Lease activities: The Group leases several branches. Rental agreements are generally made for fixed periods of 1 to 3 years, but may have extension options as described in (iv) below. Contracts may contain lease components or not. The Group assigns consideration in the contract to the lease and non-lease components based on their independent relative prices. However, for the leases of real estate for which the Group is a lessee, it has chosen not to separate the lease components and those that are not, and instead counts them as a single lease component. Lease terms are negotiated individually and contain a wide range of different terms and conditions. Lease agreements do not impose other obligations to do or not do, other than the leased assets owned by the lessor. Leased assets cannot be used as collateral for obtaining loans. Until 2018, Property, Plant and Equipment leases were classified as operating leases. As of January 1, 2019, leases are recognized as a right-of-use asset by registering a liability as a counterparty on the date on which the leased asset is available for use by the Entity. Assets and liabilities arising from leases are initially measured based on the present value. Lease liabilities include the net present value of the following lease payments: · fixed payments (including fixed payments in substance), less any incentives receivable; · variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date; · amounts expected to be payable by the Group under residual value guarantees; · the exercise price of a purchase option if the Group is reasonably certain to exercise that option, and · payments of penalties for terminating the lease, if the lease term reflects the Group exercising an option to terminate the lease. Lease payments to be made under reasonably certain extension options are also included in the measurement of the liability. Lease payments are discounted using the interest rate implicit in the lease. If that rate cannot be easily determined, which is generally the case with leases in the Group, the lessee’s incremental borrowing rate is used, which is the rate that the individual lessee would have to pay to borrow the necessary funds to obtain an asset of similar value to the asset by right of use in a similar economic environment with similar terms, security and conditions. To determine the incremental interest rate, the Group: · whenever possible, uses the external financing recently received as a starting point, adjusted to reflect changes in financing conditions since the external financing was received. · uses a rate determination approach that begins with a risk-free interest rate adjusted for credit risk for leases that the Entity already has for those cases in which it does not have recent third-party financing, and · makes specific adjustments for the lease, for example, term, currency and guarantee. The Group is exposed to possible future increases in variable lease payments based on an index or rate, which are not included in the lease liability until they become effective. When adjustments to lease payments based on an index or rate become effective, the lease liability is reassessed and adjusted against the right-of-use asset. Lease payments are allocated between capital and financial cost. The financial cost is charged to income during the lease period to produce a constant periodic interest rate on the remaining balance of the liability for each period. The right-of-use assets are measured at cost comprising the following: · the amount of the initial measurement of the lease liability; · any lease payment made at or before the commencement date, less any lease incentives received; · any initial direct costs, and · an estimate of costs to be incurred by the lessee in dismantling and removing the underlying asset, restoring the site on which it is located or restoring the underlying asset to the condition required by the terms and conditions of the lease. The right-of-use assets are generally depreciated during the shortest useful life of the asset and the lease term in a linear fashion. Payments associated with short-term leases of equipment and all leases of low-value assets are recognized linearly as an expense in income. Short-term leases are leases with a lease term of 12 months or less and that does not contains a purchase option. Low-value assets include computer equipment and small items of office furniture. (iv) Extension and termination options Extension and termination options are included in several property leases. These are used to maximize operational flexibility in terms of managing the assets used in operations. Most of the extension and termination options maintained are exercisable only by the Group and not by the respective lessor. 7.2 The Group as lessor The following is a breakdown of the maturities of the Group’s financial and operating leases receivables and of the current values as of December 31, 2020 and 2019: Financial Lease Receivables 12/31/2020 12/31/2019 Up to 1 year 1,982,763 2,427,531 More than a year up to two years 1,099,924 1,589,098 From two to three years 634,899 906,156 From three to five years 355,885 574,490 More than five years 14,429 27,744 Total 4,087,900 5,525,019 Unearned financial income (1,196,789) (1,186,642) Net investment in the lease 2,891,111 4,338,377 The balance of allowance for loan losses related to finance leases amounts to 252,961 and 111,708 as of December 31, 2020 and 2019. Operating Lease Receivables 12/31/2019 12/31/2018 Up to 1 year 16,067 22,744 More than a year up to two years 13,766 21,418 From two to three years 9,202 18,438 From three to five years — 12,528 Total 39,035 75,128 |
TRANSFER OF FINANCIAL ASSETS
TRANSFER OF FINANCIAL ASSETS | 12 Months Ended |
Dec. 31, 2020 | |
TRANSFER OF FINANCIAL ASSETS | |
TRANSFER OF FINANCIAL ASSETS | 8. TRANSFER OF FINANCIAL ASSETS When the Group transfers financial assets under an agreement that meets all requirements to derecognize such assets, the difference between the carrying amount of those assets and the amount received as consideration is charged to income. (a) Transfers that do not qualify for derecognition The following is a detail of the financial assets transferred by the Group that continue to be recognized in its consolidated financial statements as of December 31, 2020 and 2019: 12/31/2020 12/31/2019 Securitized Personal Loans Asset — 2,197,444 Liabilities — 1,156,889 Transfers of receivables with recourse Asset — 41,116 Liabilities — — (b) Transfers of financial assets that qualify for derecognition The Group makes, in certain opportunities, non-recourse portfolio sales. In these cases, the Group has not retained any substantial risk or reward regarding the transferred portfolio, and therefore, such portfolio meets derecognition requirements. |
REPO AND REVERSE REPO TRANSACTI
REPO AND REVERSE REPO TRANSACTIONS | 12 Months Ended |
Dec. 31, 2020 | |
REPO AND REVERSE REPO TRANSACTIONS | |
REPO AND REVERSE REPO TRANSACTIONS | 9. REPO AND REVERSE REPO TRANSACTIONS The Group carries out repo transactions in which it performs the spot sale of a security with the related forward purchase thereof, thus substantially retaining all the risks and rewards associated with the instruments and recognizing them in " Repo Transactions " at year-end, as the provisions set out in point 3.4.2 (Derecognition of Assets) of IFRS 9 "Financial Instruments") are not met. The residual values of assets transferred under repo and reverse repo transactions as of December 31, 2020 and 2019 are detailed below: Repo Transactions: Book Value December 31, 2020 — December 31, 2019 435,401 Reverse Repo Transactions: Book Value December 31, 2020 22,354,735 December 31, 2019 — |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 12 Months Ended |
Dec. 31, 2020 | |
DERIVATIVE FINANCIAL INSTRUMENTS | |
DERIVATIVE FINANCIAL INSTRUMENTS | 10. DERIVATIVE FINANCIAL INSTRUMENTS In the normal course of business, the Group enters into a variety of transactions principally in the foreign exchange stock markets. Most counterparties in the derivative transactions are banks and other financial institutions. These instruments include: · Forwards and futures: they are agreements to deliver or take delivery at a specified rate, price or index applied against the underlying asset or financial instrument, at a specific date. Futures are exchange traded at standardized amounts of the underlying asset or financial instrument. Forwards contracts are OTC agreements and are principally dealt in by the Group in foreign exchange as forward agreements. · Swaps: they are agreements between two parties with the intention to exchange cash flows and risks at specific date and for a period in the future. · Options: they confer the right to the buyer, but no obligation, to receive or pay a specific quantity of an asset or financial instrument for a specified price at or before a specified date. As of December 31, 2020 and 2019, the following amounts were recorded for operations related to derivatives: 12/31/2020 12/31/2019 Amounts receivable for spot and forward transactions pending settlement 143,944 350,680 Amounts payable for spot and forward transactions pending settlement — — 143,944 350,680 The following table shows, the notional value of options and outstanding forward and futures contracts as of December 31, 2020 and 2019: 12/31/2020 12/31/2019 Forward sales of foreign exchange without delivery of underlying assets 3,189,269 446,195 Forward purchases of foreign exchange without delivery of underlying assets 1,647,980 579,188 The incomes/(expenses) generated by derivative financial instruments during the years ended December 31, 2020 and 2019 amounted to 180,102 and 971,521 respectively. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 12 Months Ended |
Dec. 31, 2020 | |
EARNINGS PER SHARE | |
EARNINGS PER SHARE | 11. EARNINGS PER SHARE Earnings per share are calculated by dividing income attributable to the Group´s shareholders by the weighted average number of outstanding common shares during the period. As the Group does not have preferred shares or debt convertible into shares, basic earnings are equal to diluted earnings per share. 12/31/2020 12/31/2019 12/31/2018 Income attributable to shareholders of the group 3,499,882 (2,929,201) (6,341,497) Weighted average of ordinary shares (thousands) 456,722 456,722 456,722 Income per share 7.66 (6.41) (13.88) |
SPECIAL TERMINATION ARRANGEMENT
SPECIAL TERMINATION ARRANGEMENTS | 12 Months Ended |
Dec. 31, 2020 | |
SPECIAL TERMINATION ARRANGEMENTS | |
SPECIAL TERMINATION ARRANGEMENTS | 12. SPECIAL TERMINATION ARRANGEMENTS Special termination arrangements are principally termination benefits payable to employees who accepted a pre-retirement offer. These benefits are payable during the period between their effective termination date and their retirement age, when they voluntarily accept an irrevocable termination arrangement. As of December 31, 2020 and 2019, special termination arrangements amounted to Ps. 1,146,516 and Ps. 1,289,981, respectively. The amounts charged to profit or loss regarding these benefits as of December 31, 2020 and 2019 were Ps. (140,695) and Ps. 718,688, respectively including in Other non-financial liabilities. The evolution during each period is detailed below: 12/31/2020 12/31/2019 Balances at the beginning 1,289,981 829,507 Charged to profit or loss 140,695 718,688 Benefits paid to participants (284,160) (258,214) Balances at closing 1,146,516 1,289,981 |
PROPERTY, PLANT AND EQUIPMENT
PROPERTY, PLANT AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2020 | |
PROPERTY, PLANT AND EQUIPMENT | |
PROPERTY, PLANT AND EQUIPMENT | 13. PROPERTY, PLANT AND EQUIPMENT Changes in property, plant and equipment for financial years ended on December 31, 2020 and 2019 are as follows: Gross carrying amount Depreciation At the Net beginning Additions by At the At the Additions by carrying of the Useful business end of beginning business Of the Other At the end amount Item year Life Revaluation Additions combinations Disposals the year of the year Disposals combinations Year Movements of the year 12/31/2020 Cost model Furniture and facilities 1,373,239 10 — 77,415 — (30,084) 1,420,570 (949,089) (85,526) — (100,150) — (1,134,765) 285,805 Machinery and equipment 4,296,555 5 — 1,326,532 — (436,367) 5,186,720 (3,822,034) (238,037) — (308,075) — (4,368,146) 818,574 Vehicles 235,652 5 — 72,255 — (47,045) 260,862 (101,041) 25,273 — (44,344) — (120,112) 140,750 Right of use assets 2,047,260 — — 803,901 — (704,233) 2,146,928 (771,302) 604,923 — (780,397) — (946,776) 1,200,152 Construction in progress 653,718 — — 152,146 — (167,470) 638,394 — — — — — — 638,394 Revaluation model Land and Buildings 2,600,111 50 818,447 786,020 — (1,846) 4,202,732 (114,615) 2,489 — (70,643) — (182,769) 4,019,963 Total 11,206,535 — 818,447 3,218,269 — (1,387,045) 13,856,206 (5,758,081) 309,122 — (1,303,609) — (6,752,568) 7,103,638 Gross carrying amount Depreciation At the Net beginning Additions by At the At the Additions by carrying of the Useful business end of beginning business Of the Other At the end amount Item year Life Revaluation Additions combinations Disposals the year of the year Disposals combinations Year Movements of the year 12/31/2019 Cost model Furniture and facilities 1,373,239 10 — — — — 1,373,239 (944,414) — — (4,675) — (949,089) 424,150 Machinery and equipment 4,226,071 5 — 261,872 — (191,388) 4,296,555 (3,398,030) 425,780 — (849,784) — (3,822,034) 474,521 Vehicles 236,589 5 — 47,385 — (48,322) 235,652 (80,055) 21,317 — (42,303) — (101,041) 134,611 Right of use assets — 6 — 2,047,260 — — 2,047,260 — 877 — (772,179) — (771,302) 1,275,958 Construction in progress 746,082 — — 154,345 — (246,709) 653,718 — — — — — — 653,718 Revaluation model Land and Buildings 2,537,146 50 (84,516) 147,606 — (125) 2,600,111 (123,271) 40,558 — (31,902) — (114,615) 2,485,496 Total 9,119,127 — (84,516) 2,658,468 — (486,544) 11,206,535 (4,545,770) 488,532 — (1,700,843) — (5,758,081) 5,448,454 13.1 Revaluation of Property, Plant and Equipment The Group´s properties, plant and equipment measured at revaluation model were valued at each reporting date by an independent expert. The frequency of revaluations ensures fair value of the revalued asset does not differ materially from its carrying amount. The last revaluation was made on December 31, 2020. The following are the book values that would have been recognized if the assets had been accounted under the cost model: Residual Value according to Revaluation Revalued the cost Class date amount model Difference Land and buildings 12/31/2020 4,019,963 3,201,516 818,447 Land and buildings 12/31/2019 2,485,496 2,570,012 (84,516) For all Land and Buildings with a total valuation of 4,020 million as of December 31, 2020, the valuation was determined using sales Comparison Approach prepared by the Group’s management considering a report of an independent expert. Sale prices of comparable properties are adjusted considering the specific aspects of each property, the most relevant premise being the price per meter (Level 3). The Group estimated that, other factors being constant, a 5% reduction on the Sales price per meter for the period ended December 31, 2020 would have reduced the value of the Land and Buildings on 150.7 million, which would impact, net of its tax effect on the "Net Revaluation surplus of property, plant and equipment" item in the statement of comprehensive income. |
INVESTMENT PROPERTIES
INVESTMENT PROPERTIES | 12 Months Ended |
Dec. 31, 2020 | |
INVESTMENT PROPERTIES | |
INVESTMENT PROPERTIES | 14. The movements in investment properties for the years ended December 31, 2020 and 2019 were as follows: At the P/L for Beginning Total useful changes As of Item of the year life in the FV Additions Disposals 12/31/2020 Measurement at fair value Rented properties 5,520,143 50 (92,457) 1,447,123 (876,864) 5,997,945 TOTAL INVESTMENT PROPERTIES 5,520,143 — (92,457) 1,447,123 (876,864) 5,997,945 At the P/L for Beginning Total useful changes As of Item of the year life in the FV Additions Disposals 12/31/2019 Measurement at fair value Rented properties 865,687 50 (173,076) 4,834,792 (7,260) 5,520,143 TOTAL INVESTMENT PROPERTIES 865,687 — (173,076) 4,834,792 (7,260) 5,520,143 Investment properties are measured at fair value which is determined by professionally qualified valuers . For all Investment Properties with a total valuation of 5.998 million as of December 31, 2020, the valuation was determined using sales Comparison Approach prepared by the Group’s management considering a report of an independent expert. Sale prices of comparable properties are adjusted considering the specific aspects of each property, the most relevant premise being the price per meter (Level 3). The Group estimated that, other factors being constant, a 5% reduction on the Sales price per meter for the period ended December 31, 2020 would have reduced the value of the Investment Properties by 224.9 million, which would impact, net of its tax effect on the "Other Operating Income" item in the Income statement. |
INTANGIBLE ASSETS
INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2020 | |
INTANGIBLE ASSETS | |
INTANGIBLE ASSETS | 15. INTANGIBLE ASSETS Intangible assets of the Group for fiscal years ended on December 31, 2020 and 2019 are as follows: Gross carrying amount Depreciation At the Additions At the At the At the Net carrying beginning by business End of the beginning By business End of the amount at Item of the year Additions combinations Disposals year of the year Disposals combinations Of the year year 12/31/2020 Measurement at cost Goodwill 3,632,645 7,292 — — 3,639,937 — — — — — 3,639,937 Brands 199,999 — — — 199,999 — — — — — 199,999 Other intangible assets(*) 3,913,880 1,739,447 — (14,279) 5,639,048 (1,827,099) (71) — (869,276) (2,696,446) 2,942,602 TOTAL 7,746,524 1,746,739 — (14,279) 9,478,984 (1,827,099) (71) — (869,276) (2,696,446) 6,782,538 Gross carrying amount Depreciation At the Additions At the At the At the Net carrying beginning by business End of the beginning By business End of the amount at Item of the year Additions combinations Disposals year of the year Disposals combinations Of the year year 12/31/2019 Measurement at cost Goodwill 3,613,818 18,827 — — 3,632,645 — — — — — 3,632,645 Brands 199,999 — — — 199,999 — — — — — 199,999 Other intangible assets (*) 3,033,287 886,405 — (5,812) 3,913,880 (1,203,185) 164 — (624,078) (1,827,099) 2,086,781 TOTAL 6,847,104 905,232 — (5,812) 7,746,524 (1,203,185) 164 — (624,078) (1,827,099) 5,919,425 (*)mainly include systems and programs. 15.1 Goodwill impairment Goodwill is assigned to the Group’s cash generating units on the basis of the operating segments. 12/31/2020 12/31/2019 Supervielle Seguros S.A. 9,686 9,686 Cordial Compañía Financiera S.A. 243,971 243,971 Banco Regional de Cuyo S.A. 50,784 50,784 InvertirOnline S.A.U. / InvertirOnline.Com Argentina S.A.U. 1,846,042 1,846,042 Micro Lending S.A.U. 1,453,519 1,453,519 Others 35,935 28,643 TOTAL 3,639,937 3,632,645 The recoverable amount of a cash generating unit is determined on the basis of its value in use. These method uses cash flow projections based on approved financial budgets covering a period of five years. The key assumptions are related to marginal contribution margins. These were determined on the basis of historic performances, other external sources of information and the expectations of market development. The discount rates used are the respective average cost of capital (“WACC”), which is considered a good indicator of the cost of capital. For each cash generating unit, where the assets are assigned, a specific WACC was determined considering the industry, the country and the size of the business. The main macroeconomic premises used are detailed below: Real Forecast Forecast Forecast Forecast Forecast 2020 2021 2022 2023 2024 2025 Inflation (end of period) 35.6 % 46.8 % 29.2 % 19.6 % 18.0 % 18.0 % Inflation (average) 44.6 % 41.1 % 37.7 % 24.3 % 18.7 % 18.0 % Cost of funding (average) 31.3 % 40.0 % 26.8 % 21.5 % 18.8 % 18.8 % Loan’s interest rate (average) 59.4 % 40.0 % 18.4 % 18.2 % 17.5 % 17.1 % Goodwill has been tested annually for impairment. No impairment adjustments have been determined over these assets as a result of the tests performed. The sensitivity analysis for the cash-generating unit to which the Goodwill was allocated was based on a 1% increase in the weighted average cost of capital. The Group concluded that no impairment loss would need to be recognized on the Goodwill in the segment under these conditions. |
COMPOSITION OF THE MAIN ITEMS O
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | 12 Months Ended |
Dec. 31, 2020 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | 16. COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT 16.1 Debt securities at fair value through profit or loss 12/31/2020 12/31/2019 Government securities 8,864,640 768,967 Corporate securities 401,671 4,994 Securities issued by the BCRA 605,592 — 9,871,903 773,961 16. 2 Other financial assets 12/31/2020 12/31/2019 Participation Certificates in Financial Trusts 40,855 41,648 Investments in Asset Management and Other Services 1,528,987 1,178,803 Other investments 535,684 81,151 Receivable from spot sales pending settlement 1,077,649 188,679 Several debtors 833,604 848,251 Miscellaneous debtors for credit card operations 203,811 516,154 Miscellaneous debtors for collections 64,631 — 4,285,221 2,854,686 16.3 Other debt securities 12/31/2020 12/31/2019 Government securities 12,674,746 14,226,009 Securities issued by the BCRA 28,181,585 — Others 3,644 12,331 40,859,975 14,238,340 16.4 Financial assets pledged as collateral 12/31/2020 12/31/2019 Special guarantees accounts in the Argentine Central Bank 3,710,757 2,887,177 Deposits in guarantee 1,194,178 4,374,159 4,904,935 7,261,336 16.5 Inventories 12/31/2020 12/31/2019 Electronics 56,282 29,614 Home and Health care 16,110 10,529 Tools and Workshop Equipment 259 22,121 Obsolescence Reserve (1,687) (1,743) 70,964 60,521 16.6 Other non-financial assets 12/31/2020 12/31/2019 Other Miscellaneous assets 603,701 1,164,863 Loans to employees 235,259 359,305 Payments in advance 321,958 18,474 Other non-financial assets 16,367 — Retirement Plan 143,252 205,805 Works of art and collector's pieces 32,343 47,030 16.7 Deposits 12/31/2020 12/31/2019 Non-financial sector 7,911,255 7,447,131 Financial sector 57,416 38,253 Current accounts 16,891,003 14,819,309 Savings accounts 102,845,465 54,445,823 Time deposits and investments accounts 46,113,056 40,457,410 Others 4,823,399 3,968,329 178,641,594 121,176,255 16.8 Liabilities at fair value through profit or loss 12/31/2020 12/31/2019 Liabilities for transactions in local currency 2,002,005 258,060 2,002,005 258,060 16.9 Other financial liabilities 12/31/2020 12/31/2019 Amounts payable for spot transactions pending settlement 1,362,541 2,986,677 Collections and other operations on behalf of third parties 4,951,341 7,112,817 Fees accrued to pay 5,423 366 Financial guarantee contracts 19,832 20,786 Liabilities associated with the transfer of financial assets not derecognized — 970,923 Lease liability 1,181,698 1,288,419 Others 8,054 29,996 16.10 Financing received from the Argentine Central Bank and other financial institutions 12/31/2020 12/31/2019 Financing received from local financial institutions 645,206 1,278,545 Financing received from international institutions 5,207,086 10,998,065 5,852,292 12,276,610 16.11 Provisions 12/31/2020 12/31/2019 Legal issues 32,557 44,993 Labor lawsuits 29,552 38,151 Tax 113,303 106,029 Eventual commitments 8,634 499 Judicial Deposits 22,303 21,465 Restructuring Provision — 680,703 Unused Balances Credit Cards 206,812 — Charges to be paid to National Social Security Administration 225,387 — Others 42,544 29,856 681,092 921,696 16.12 Other non-financial liabilities 12/31/2019 12/31/2018 Payroll and social securities 5,500,933 5,401,884 Sundry creditors 3,660,784 3,209,713 Revenue from contracts with customers (1) 188,665 262,069 Tax payable 1,802,458 1,900,826 Social security payment orders pending settlement 894,809 297,448 Other 98,453 103,724 12,146,102 11,175,664 (1) Deferred income resulting from contracts with customers includes the liability for the customers’ loyalty program. The Group estimates the value of the points assigned to customers through the application of a mathematical model that considers assumptions about redemption rates, the fair value of points redeemed based on the combination of available products, and customer preferences, as well as the expiration of not redeemed points. As of December 31, 2020 and 2019, the amounts of 188,665 and 262,069, respectively, have been recorded for the points not redeemed or expired. The following table shows the estimated use of the liability recorded as of December 31, 2020: Maturity Up to 12 Up to 24 More than Item months months 24 months Total Revenue from contracts with customers 88,352 46,692 53,621 188,665 16.13 Interest Income 12/31/2020 12/31/2019 12/31/2018 Interest on overdrafts 2,678,469 6,217,172 6,807,778 Interest on promissory notes 6,226,382 8,002,944 8,539,122 Interest on personal loans 14,173,544 17,584,460 22,887,135 Interest on corporate unsecured loans 5,981,812 8,360,682 6,322,241 Interest on credit card loans 3,818,628 6,555,201 7,147,137 Interest on mortgage loans 3,994,607 5,148,348 4,123,314 Interest on automobile and other secured loan 738,403 943,454 1,030,844 Interest on foreign trade loans 1,453,129 2,356,094 2,448,435 Interest on financial leases 704,408 1,537,851 1,929,148 Interest on public and private securities measured at amortized cost 20,524,157 — — Others 4,406,341 4,277,419 2,465,076 Total 64,699,880 60,983,625 63,700,230 16.14 Interest Expenses 12/31/2020 12/31/2019 12/31/2018 Interest on current accounts deposits 6,325,123 8,182,612 10,742,108 Interest on time deposits 19,574,998 27,030,921 13,602,675 Interest on other financial liabilities 2,285,959 10,472,760 9,933,537 Interest from financing from financial sector 100,834 373,163 1,548,673 Others 291,474 1,471,921 641,517 Total 28,578,388 47,531,377 36,468,510 16.15 Net income from financial instruments at fair value through profit or loss 12/31/2020 12/31/2019 12/31/2018 Income from corporate and government securities 2,999,989 2,086,183 3,828,698 Income from securities issued by the Argentine Central Bank 135,491 25,478,678 12,934,407 Derivatives 180,102 971,521 (3,547,400) Total 3,315,582 28,536,382 13,215,705 16.16 Service fee income 12/31/2020 12/31/2019 12/31/2018 Commissions from deposits accounts 4,627,421 4,777,932 4,626,945 Commissions from credit and debit cards 3,413,407 3,944,787 4,576,075 Commissions from loans operations 164,852 401,370 819,244 Others Commissions 3,131,296 — — Others 156,848 2,583,467 2,391,996 Total 11,493,824 11,707,556 12,414,260 16.17 Service fee expenses 12/31/2020 12/31/2019 12/31/2018 Commissions paid 3,469,846 2,955,840 2,858,035 Export and foreign currency operations 78,423 99,114 112,035 Total 3,548,269 3,054,954 2,970,070 16.18 Income from insurance activities 12/31/2019 12/31/2019 12/31/2018 Accrued premiums 2,300,856 2,978,764 3,081,828 Accrued losses (308,798) (471,071) (695,386) Production expenses (320,603) (610,770) (609,097) Total 1,671,455 1,896,923 1,777,345 16.19 Other operating income 12/31/2020 12/31/2019 12/31/2018 Loans recovered and allowances reversed 572,480 678,796 665,561 Insurance commissions 51,525 92,966 831,740 Rental from safety boxes 340,303 390,561 501,124 Commissions from trust services 9,638 35,778 15,958 Returns of risk funds 1,215,745 235,093 587,419 Commissions from financial guarantees - 854,752 985,595 Default interests 212,927 573,061 505,679 Sale of fixed assets 133,983 - - Others 1,242,850 890,030 1,087,256 Total 3,779,451 3,751,037 5,180,332 16.20 Personnel expenses 12/31/2020 12/31/2019 12/31/2018 Payroll and social securities 16,682,917 16,902,763 13,627,260 Others expenses 1,493,949 2,380,583 4,757,573 Total 18,176,866 19,283,346 18,384,833 16.21 Administrative expenses 12/31/2020 12/31/2019 12/31/2018 Directors´ and statutory auditors’fees 341,532 382,328 342,430 Professional fees 3,043,958 1,385,391 3,459,708 Advertising and publicity 688,705 737,956 862,200 Taxes 1,857,970 2,000,527 2,244,207 Maintenance, security and services 2,823,341 2,351,755 1,152,917 Rent 72,050 70,446 973,551 Others 1,491,001 3,382,263 2,694,038 Total 10,318,557 10,310,666 11,729,051 16.22 Depreciation and impairment of non-financial assets 12/31/2020 12/31/2019 12/31/2018 Depreciation of property, plant and equipment 523,212 928,664 439,094 Depreciation of other non-financial assets 234,143 145,583 154,856 Depreciation of intangible assets 869,276 624,078 311,013 Depreciation of right-of-use assets 780,397 772,179 — Impairment of other-non financial assets — — 582 Total 2,407,028 2,470,504 905,545 16.23 Other operating expenses 12/31/2020 12/31/2019 12/31/2018 Promotions related with credit cards 525,355 695,109 886,298 Turnover tax 3,950,539 5,104,595 5,869,614 Fair value on initial recognition of loans 195,459 273,505 809,049 Contributions made to deposit insurance system 289,814 332,127 323,838 Others 1,613,612 2,250,879 1,141,625 Total 6,574,779 8,656,215 9,030,424 |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2020 | |
COMMITMENTS AND CONTINGENCIES | |
COMMITMENTS AND CONTINGENCIES | 17. COMMITMENTS AND CONTINGENCIES International Financial Reporting Standards result in a contingent liability consisting of (i) a possible obligation, arising from past events, the existence of which must be confirmed by the occurrence of one or more future events of an uncertain nature, which are not have under the control of the Group or (ii) a present obligation that has not been probable or whose amount cannot be measured or estimated with sufficient reliability. The provisions recorded are detailed below: 12/31/2020 12/31/2019 12/31/2018 Legal issues 32,557 44,993 64,226 Labor lawsuits 29,552 38,151 35,929 Tax 113,303 106,029 27,759 Unused Balances Credit Cards 206,812 — — Deceased ANSES 225,387 — — Judicial Deposits 22,303 21,465 20,553 Eventual commitments 8,634 499 2,505 Restructuring Provision — 680,703 — Others 42,544 29,856 31,052 Total 681,092 921,696 182,024 |
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS | 12 Months Ended |
Dec. 31, 2020 | |
RELATED PARTY TRANSACTIONS | |
RELATED PARTY TRANSACTIONS | 18. RELATED PARTY TRANSACTIONS Related parties are those entities that directly, or indirectly through other entities, have control over another, are under the same controlling party or may have significant influence on another entity’s financial or operating decisions. The Group controls another entity when it has power over other entities’ financial and operating decisions and also receives benefits from such entity. The subsidiaries that the Group has control are detailed in Note 1.2. On the other hand, the Group considers that it has joint control when there is an agreement between the parties on the control of an economic activity in common. Finally, those cases in which the Group has significant influence is due to the power to influence the financial and operating decisions of another entity but not being able to exercise control over them. To determine these situations, not only the legal aspects are observed, but also the nature and substantiation of the relationship. Furthermore, the key personnel of the Group’s Management (Board of Directors members and Managers of the Group and its subsidiaries) are considered as related parties. Controlling Interest Mr. Julio Patricio Supervielle is the main shareholder of the Group. Julio Patricio Supervielle´s interest in the capital and votes of the Group as of December 31, 2020 and December 31, 2019 is 35.12% and 57.89%; respectively. Remuneration of key personnel The remuneration received by the key personnel of the Group as of December 31, 2020 and 2019 amounts to 628.7 million and 480.8 million respectively. Transactions with related parties The financings, including those that were restructured, were granted in the normal course of business and on substantially the same terms, including interest rates and guarantees, as those in force at the time to grant credit to non-related parties. Likewise, they did not imply a risk of bad debts greater than normal nor did they present any other type of unfavorable conditions. The following table presents the aggregate amounts of total consolidated financial exposure of the Bank to related parties, the number of recipients, the average amounts and the single largest exposures as of December 31, 2020 and 2019: As of As of December 31, 2020 December 31, 2019 Aggregate total financial exposure 242,271 1,311,056 Number of recipient related parties 80 95 (a) Individuals 71 86 (b) Companies 9 10 Average total financial exposure 3,028 18,729 Single largest exposure 933,426 1,120,671 |
INSURANCE
INSURANCE | 12 Months Ended |
Dec. 31, 2020 | |
INSURANCE | |
INSURANCE | 19. INSURANCE a. Assets and liabilities related to insurances activities 12/31/2020 12/31/2019 Assets related to insurance contracts (Loans and other financing) Receivables premius 590,044 618,048 Commissions receivables 2,023 — Total 592,067 618,048 Liabilities related to insurance contracts (Other non-financial liabilities) Debt with insured 136,124 185,380 Debt with reinsurers 11,731 55,239 Debt with co-insurers — 2,317 Debt with producers 183,809 204,734 Technical commitments 221,719 236,877 Outstanding claims paid by re-insurance companies (regularizer) (9,059) (655) Total 544,324 683,892 Debt with insured Property insurance Direct administrative insurance 18,158 15,305 Direct insurance in mediation 25 1,089 Claims settled to pay 293 1,199 Claims occurred and not reported - IBNR 9,794 20,093 Life insurance Direct administrative insurance 64,506 56,181 Direct insurance in judgments 1,418 1,688 Direct insurance in mediation 886 2,501 Claims settled to pay 19,164 27,525 Claims occurred and not reported - IBNR 21,880 59,799 Total 136,124 185,380 Debt with producers Producers currenct account 39,274 38,456 Commisions for premiums receivable 144,535 166,278 Total 183,809 204,734 Technical commitments Course and similar risk Premiums and surcharges 221,714 236,825 Premium insufficiency 5 52 Total 221,719 236,877 b. Income from insurances activities The composition of the item “Result for insurance activities” as of December 31, 2020 and 2019 is disclosed in Note 16.18. |
ASSET MANAGEMENT AND OTHER SERV
ASSET MANAGEMENT AND OTHER SERVICES | 12 Months Ended |
Dec. 31, 2020 | |
ASSET MANAGEMENT AND OTHER SERVICES | |
ASSET MANAGEMENT AND OTHER SERVICES | 20. ASSET MANAGEMENT AND OTHER SERVICES As of December 31, 2020 and 2019, Banco Supervielle S.A. is the depository of the Asset managed by Supervielle Asset Management S.A. Portfolio Net Worth Number of Units Asset Management and Other Services 12/31/2020 12/31/2019 12/31/2020 12/31/2019 12/31/2020 12/31/2019 Premier Renta C.P. Pesos 36,297,562 19,103,061 36,260,237 19,073,822 12,597,963,038 3,958,398,573 Premier Renta Plus en Pesos 168,089 148,593 162,743 145,943 11,899,481 10,250,999 Premier Renta Fija Ahorro 1,721,266 633,635 1,709,665 625,558 59,317,777 12,851,475 Premier Renta Fija Crecimiento 73,983 63,880 73,386 63,519 3,983,791 3,688,485 Premier Renta Variable 188,342 226,526 185,576 223,268 6,689,975 6,982,580 Premier FCI Abierto Pymes 941,245 762,877 917,368 761,161 119,588,138 91,559,624 Premier Commodities 259,125 28,643 255,128 18,506 25,702,973 2,596,034 Premier Capital 192,336 175,700 191,253 175,237 36,842,932 36,057,519 Premier Inversión 736,703 184,280 713,499 184,186 1,576,391,366 442,160,447 Premier Balanceado 1,196,216 849,329 1,195,336 848,555 253,733,905 249,317,925 Premier Renta Mixta 3,559,642 181,414 3,151,517 181,267 1,072,064,209 76,562,093 Premier Renta Mixta en USD 112,768 177,271 112,768 176,619 2,083,508 2,815,589 Premier Performance en USD 526,115 617,920 521,839 616,534 7,724,190 9,312,208 Premier Global USD 490,472 951,507 489,973 948,572 5,444,411 11,338,023 |
CONTRIBUTION TO THE DEPOSIT INS
CONTRIBUTION TO THE DEPOSIT INSURANCE SYSTEM | 12 Months Ended |
Dec. 31, 2020 | |
CONTRIBUTION TO THE DEPOSIT INSURANCE SYSTEM | |
CONTRIBUTION TO THE DEPOSIT INSURANCE SYSTEM | 21. CONTRIBUTION TO THE DEPOSIT INSURANCE SYSTEM Law No. 24485 and Decree No. 540/95 established the creation of the Deposit Insurance System to cover the risk attached to bank deposits, in addition to the system of privileges and safeguards envisaged in the Financial Institutions Law. The National Executive Branch through Decree No. 1127/98 dated September 24, 1998 , established the maximum amount for this insurance system to demand deposits and time deposits denominated either in Pesos and/or in foreign currency. Such limit was set at $1,000 as from March 1, 2019 and increased to 1,500 as of May 1, 2020. This system does not cover deposits made by other financial institutions (including time deposit certificates acquired through a secondary transaction), deposits made by parties related to Banco Supervielle, either directly or indirectly, deposits of securities, acceptances or guarantees and those deposits set up at an interest rate exceeding the one established regularly by the Argentine Central Bank. Those deposits acquired through endorsement and those deposits made as a result of incentives other than interest rate are also excluded. This system has been implemented through the creation of the Deposit Insurance Fund (“FGD”), which is managed by a company called Seguros de Depósitos S.A. (“SEDESA”). The shareholders of SEDESA are the Argentine Central Bank and the financial institutions, in the proportion determined for each one by the Argentine Central Bank based on the contributions made to the fund. |
RESTRICTED ASSETS
RESTRICTED ASSETS | 12 Months Ended |
Dec. 31, 2020 | |
RESTRICTED ASSETS | |
RESTRICTED ASSETS | 22. RESTRICTED ASSETS As of December 31, 2020 and 2019, the following Grupo Supervielle’s assets are restricted: Item 12/31/2020 12/31/2019 Financial assets in guarantee Special guarantee accounts in the Argentine Central Bank 3,710,757 2,887,162 Trust guarantee deposits — 5,173 Guarantee deposits for currency forward transactions 601,248 2,865,356 Guarantee deposits for credit cards transactions 421,942 432,118 Other guarantee deposits 160,820 215,866 Guarantee deposits for repo transactions — 32,510 4,894,767 6,438,185 |
FINANCIAL TRUSTS
FINANCIAL TRUSTS | 12 Months Ended |
Dec. 31, 2020 | |
FINANCIAL TRUSTS | |
FINANCIAL TRUSTS | 23. FINANCIAL TRUSTS The detail of the financial trusts in which the Group acts as Trustee or as Trustee is summarized below: As Trustee: Banco Supervielle S.A. Below is a detail of financial trusts: Below is a detail of the Guarantee Management trust where the Bank acts as a trustee as of December 31, 2020: Financial trust Indenture executed on Due of principal obligation Original principal amount Principal balance Beneficiaries Settlers Fideicomiso de Administración Interconexión 500 KV ET Nueva San Juan - ET Rodeo Iglesia 09/12/2018 The Term of this Trust Fund Contract will be in force over 24 months as from 09/12/2018, or until the expiration of liabilities through Disbursements (Termination Date”). 30 days (thirty days) after the maturity of this Trust Agreement without the parties’ having agreed upon an Extension Commission, the Trustor of the trust account shall receive USD 6,000 (six thousand US Dollars) at the exchange rate in force in Banco Supervielle as a fine. - - Those initially mentioned in Exhibit V (DISERVEL S.R.L., INGENIAS S.R.L, GEOTECNIA (INV. CALVENTE), NEWEN INGENIERIA S.A., INGICIAP S.A., MERCADOS ENERGETICOS, DISERVEL S.R.L.) and providers of works, goods and services included in the Project to be assigned by the Trustee with prior consent of the Trustor Interconexion Electrica Rodeo S.A. As of 09/30/2020, Banco Supervielle S.A. as Trustee, is undergoing a negotiation process for the Contract “Extension Commission”. On 10/07/2020, the Trustor accepted the extension commission and the Bank accepted the request for the extension of the Trust contract sent by IERSA on 09/16/2020. Micro Lending Financial Trust The following are financial trusts where Micro Lending S.A.U acts as settler: Securitized Issued Securities Financial Trust Set-up on Amount Type Amount Amount Type Amount III 06/08/2011 $ 39,779 VDF TV A VN$31,823 VDF B VN $6,364 CP VN $1,592 Vto: 03/12/13 Vto: 11/12/13 Vto: 10/12/16 IV 09/01/2011 $ 40,652 VDF TV A VN$32,522 VDF B VN $6,504 CP VN $1,626 Vto: 06/20/13 Vto: 10/20/13 Vto: 06/29/17 |
ISSUANCE OF DEBT SECURITIES
ISSUANCE OF DEBT SECURITIES | 12 Months Ended |
Dec. 31, 2020 | |
ISSUANCE OF DEBT SECURITIES | |
ISSUANCE OF DEBT SECURITIES | 24. ISSUANCE OF DEBT SECURITIES Banco Supervielle S.A. Unsubordinated Debt Securities Global Program for the Issuance of Medium-Term Securities for up to N/V USD 2,300,000 of Banco Supervielle S.A. On September 22, 2016, the Shareholders' meeting No. 117, resolved to approve the creation of a Global Program for the Issuance of debt securities for up to a maximum outstanding amount of USD 800,000. The Program was authorized by the National Securities Commission through Resolution No. 18,376 dated November 24, 2016. On March 6, 2018, the Shareholders' meeting, resolved to approve the extension of the Program for up to a maximum outstanding amount of USD 2,300,000. The Program was authorized by the National Securities Commission through Resolution No. 19,470 dated April 16, 2018. Frequent issuer regime registration CNV On August 6, 2018, the Board of Directors resolved to request the National Securities Commission (the “CNV”) to register the Bank as a frequent issuer of negotiable obligations. Said request was authorized by the CNV through Resolution No. 19,958 dated December 27, 2018. The Bank is registered with the CNV as a frequent issuer of debt securities under No. 03. At the board meeting of the company on March 7, 2019, it was resolved to approve the Bank's ratification in the Frequent Issuer Regime and at the Board meeting on December 2, 2019 it was resolved to allocate the maximum amount of USD 300,000 corresponding to the Global Issuance Program of Negotiable Obligations for up to USD 2,300,000, with the bank in the process of reducing the maximum amount of said Program. The CNV approved said ratification through Resolution DI-2020-11-APN-GE #CNV dated February 11, 2020. On June 12, 2020, the Board of Directors of Banco Supervielle SA, approved the issuance of a Class G Non-Subordinated Negotiable Obligation for an amount that will not exceed in its N/V USD 30,000,000 set within the Global Program of Debt Securities. It was also approved to modify the terms of said issuance, so that the Issue Amount is up to USD 50,000,000 and without prejudice to the fact that the Negotiable Obligations are denominated in USD dollars, they may be integrated and payments under them can be made in pesos. The bidding period ended on June 25, 2020. As of December 31, 2020 and 2019, the amounts outstanding and the terms corresponding to outstanding unsubordinated negotiable obligations were as follows: Class Issue Date Maturity Date Annual Interest Rate 12/31/2020 12/31/2019 Banco Supervielle Class A 02/09/2017 08/09/2020 Badlar + Spread 4.5 % — 5,179,248 Banco Supervielle Class C 12/22/2017 12/22/2021 Badlar + Spread 4.25 % 444,327 908,288 Banco Supervielle Class E 02/14/2018 02/14/2023 Badlar + Spread 4.05 % 1,579,563 2,177,446 Banco Supervielle Class G 06/30/2020 06/30/2021 2% Annual Nominal 2,202,858 — Micro Lending Class III 10/04/2017 10/05/2020 Badlar + Spread 7 % — 21,181 Total 4,226,748 8,286,163 The outstanding amount of the Class A Negotiable Obligations was reduced on October 17, 2018 by a nominal value in pesos of $ 618,030 and on January 23, 2019 by a nominal value in pesos of $ 254,925. Thus resulting in the total amount of circulation in pesos of $ 3,895,215. Subordinated debt securities Program for the issuance of Negotiable Obligations for up to N/V $ 750,000 (increased to N/V $ 2,000,000) of Banco Supervielle S.A. As of March 25, 2013, the Bank’s Extraordinary General shareholders’ meeting, approved the creation of a Global Program for the issuance of debt securities for up to a maximum outstanding amount of $750,000. On April 15, 2016, the Ordinary and Extraordinary Shareholders' meeting approved the increase the maximum outstanding amount of the Program to $2,000,000 or its equivalent in foreign currency, passed by Resolution N° 18,224 from the National Securities Commission on September 22, 2016. The following chart provides the main terms and conditions of issuances underway as of December 31, 2020 and 2019: Issuance Maturity Book Value date Currency Class Amount Amortization Term date Rate 12/31/2020 12/31/2019 08/20/2013 U$S III 22,500 100% at mat, 84 Months 08/20/20 7 % — 1,780,980 11/18/2014 U$S IV 13,441 100% at mat, 84 Months 11/18/21 7 % 1,140,469 1,105,048 Total 1,140,469 2,886,028 |
RESTRICTIONS IMPOSED ON THE DIS
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | 12 Months Ended |
Dec. 31, 2020 | |
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | 25. RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS Pursuant to regulations set by the Argentine Central Bank, 20% of the profits for the year, net of possible prior year adjustments, where applicable, are to be allocated to the Legal Reserve. Pursuant to the amended text on distributions of dividends, financial entities shall comply with a series of requirements, as follows: i) They shall not be subject to the provisions of Sections 34 and 35 bis of the Financial Institutions Law; ii) No liquidity assistance loans shall have been granted to them; iii) they shall be in compliance with information regimes; iv) they shall not record shortfalls in the compiled minimum capital (without computing for such purposes the effects of the individual exemptions granted by the Superintendence of Financial and Foreign Exchange Institutions) or minimum cash, v) they shall have complied with additional capital margin when applicable. The entities not facing any of these situations may distribute dividends in accordance with provisions set forth in said amended text, provided the entity´s liquidity or solvency is not jeopardized. It is worth to be mentioned that pursuant to Communication “A” 6464 issued by the Argentine Central Bank, until March 31, 2020, financial entities, which, for the purpose of determining the distributable result, have not applied the additional on capital margins shall rely on previous authorization issued by the SEFyC. On August 30, 2019 and with the purpose of stabilizing the exchange market, the Argentine Central Bank issued Communication “A” 6768, pursuant which financial entities shall rely on the previous authorization of Exchange and Financial Entities Superintendence before distributing its income. Over the course of such authorization process, the Central Bank will assess, among other items, potential effects of the application of international accounting standards pursuant to Communication “A” 6430 (Paragraph 5.5 of IFRS 9 – Detriment of financial assets value) as well as the effects of the re-expression of financial statements pursuant to Communication “A” 6651. On March 19, 2020 the Argentine Central Bank issued Communication “A” 6939 by means of which the suspension of income distribution of financial entities was made effective until June 30, 2020. Later, on June 4, 2020, through Communication “A” 7035, the Argentine Central Bank extended such suspension until December 31, 2020. On March 19, 2020, in the midst of the coronavirus' outbreak crisis, the Central Bank issued Communication "A" 6939, as amended from time to time, by virtue of which the distribution of dividends by financial entities was temporarily suspended until June 30, 2021. Our shareholders' equity under the rules of the Argentine Central Bank comprise the following captions: 12/31/2020 Capital Stock 456,722 Capital Adjustment 2,968,586 Paid in Capital 28,858,170 Legal Reserve — Other Reserves — Retained earnings 3,412,111 Other Comprehensive Income 642,945 Total shareholders’ equity attributable to the owners of the parent under the rules of the Argentine Central Bank 36,338,534 Absorption of Negative Non-Allocated Income In accordance with the provisions of Title IV, Chapter III, Section 3, Subsection b) of the Regulations of the Argentine Securities Commission (Restated Text 2013), the Company has made use of the option to absorb the accumulated negative results that were generated as a consequence of the inflation adjustment by application of the IAS 29, subject to the ratification of the AGM. Based on the foregoing, and in accordance with the order of absorption of accumulated losses as established in such regulations, Grupo Supervielle's Net Worth as of January 1, 2020 (transition date) is composed as follows: January 1, 2020 Thousands of AR$ Capital stock 456,722 Capital Adjustment 2,968,586 Issue Premium 28,858,170 Other comprehensive income 117,647 Total shareholders´ equity 32,401,125 |
LOANS AND OTHER FINANCING
LOANS AND OTHER FINANCING | 12 Months Ended |
Dec. 31, 2020 | |
LOANS AND OTHER FINANCING | |
LOANS AND OTHER FINANCING | 26. LOANS AND OTHER FINANCING As of December 31, 2020 and 2019 the composition of the loan portfolio is as follows: Total as of Assets Before Allowances December 31, Stage 1 Stage 2 Stage 3 2020 Promissory notes 18,228,303 610,850 146,257 18,985,410 Unsecured corporate loans 12,407,922 793,555 2,359,458 15,560,935 Overdrafts 2,034,612 159,552 302,868 2,497,032 Mortgage loans 7,894,984 2,118,357 1,044,497 11,057,838 Automobile and other secured loans 1,227,511 312,404 352,278 1,892,193 Personal loans 19,046,521 1,452,586 624,011 21,123,118 Credit card loans 17,420,096 1,839,516 389,148 19,648,760 Foreign Trade Loans 9,558,036 1,585,023 1,901,861 13,044,920 Other financings 3,293,864 725,488 163,301 4,182,653 Other receivables from financial transactions 2,546,026 33,788 59,701 2,639,515 Receivables from financial leases 2,817,385 217,321 152,820 3,187,526 Subtotal 96,475,260 9,848,440 7,496,200 113,819,900 Allowances for loan losses (1,856,309) (1,988,731) (4,579,674) (8,424,714) Total 94,618,951 7,859,709 2,916,526 105,395,186 Total as of Assets Before Allowances December 31, Stage 1 Stage 2 Stage 3 2019 Promissory notes 10,904,372 300,364 387,249 11,591,985 Unsecured corporate loans 13,579,312 494,932 1,045,787 15,120,031 Overdrafts 5,908,410 119,964 1,593,199 7,621,573 Mortgage loans 8,209,763 1,550,950 1,017,564 10,778,277 Automobile and other secured loans 1,088,637 354,852 217,339 1,660,828 Personal loans 19,124,764 1,518,200 1,541,472 22,184,436 Credit card loans 16,133,436 762,996 738,378 17,634,810 Foreign Trade Loans 22,053,128 837,964 1,819,440 24,710,532 Other financings 10,541,125 127,893 103,346 10,772,364 Other receivables from financial transactions 2,511,245 22,471 62,543 2,596,259 Receivables from financial leases 3,836,879 250,933 250,569 4,338,381 Subtotal 113,891,071 6,341,519 8,776,886 129,009,476 Allowances for loan losses (2,185,274) (1,141,825) (5,865,030) (9,192,129) Total 111,705,797 5,199,694 2,911,856 119,817,347 Expected Credit Loss Allowances Expected credit loss allowance recognised in the period is affected by a range of factors as follows: · Transfers between Stage 1 and Stage 2 or 3 due to financial instruments experiencing significant increases (or decreases) of credit risk or becoming credit-impaired in the period, and the consequent "step up" (or "step down") between 12 months and Lifetime; · Additional allowances for new financial instruments recognized during the period, as well as releases for financial instruments de-recognized during the period, ; · Impact on the measurement of ECL of changes in PDs, EADs and LGDs in the period, resulting from the regular updating of model inputs; · Impact on the measurement of ECL as a result of changes in models and assumptions; · Discount unwind within ECL due to passage of time, as ECL is measured on a present value basis; · Foreign exchange retranslations for assets denominated in foreign currencies and other movements; and · Financial assets derecognised during the period and write-offs of allowances related to assets that were written off during the period. The following charts explain changes in the provision for credit risk between the beginning and end of the period due to the following factors: An analysis of changes in the gross carrying amount and the corresponding ECL allowance is, as follows: Assets Before Allowances ECL Allowance Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Balance at the beginning of the year 113,892,858 6,341,521 8,776,882 129,011,261 2,185,274 1,141,825 5,865,030 9,192,129 Transfers 1 to 2 (3,214,532) 3,214,532 — — (116,717) 1,082,821 — 966,104 1 to 3 (1,543,847) — 1,543,847 — (36,310) — 2,481,033 2,444,723 2 to 3 — (846,342) 846,342 — — (222,310) 742,127 519,817 2 to 1 817,989 (817,989) — — 33,836 (124,642) — (90,806) 3 to 2 — 36,687 (36,687) — — 10,485 (39,274) (28,789) 3 to 1 46,735 — (46,735) — 1,413 — (45,148) (43,735) Net changes of financial assets (15,379,218) 2,736,983 (53,260) (12,695,495) 832,860 1,226,241 (457,000) 1,602,101 Write-Offs (1,123,756) (1,151,327) (4,102,760) (6,377,843) (1,123,756) (1,151,327) (4,102,760) (6,377,843) Exchange Differences and Others 2,979,031 334,375 568,571 3,881,977 79,709 25,638 135,666 241,013 Gross carrying amount at December 31, 2020 96,475,260 9,848,440 7,496,200 113,819,900 1,856,309 1,988,731 4,579,674 8,424,714 Assets Before Allowances ECL Allowance Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Balance at the beginning of the year 148,088,044 15,181,940 8,764,377 172,034,361 3,011,796 2,400,090 4,926,073 10,337,959 Transfers 1 to 2 (1,328,535) 1,328,535 — — (83,582) 423,682 — 340,100 1 to 3 (6,848,389) — 6,848,389 — (126,062) — 4,692,322 4,566,260 2 to 3 — (1,760,766) 1,760,766 — — (296,040) 1,018,262 722,222 2 to 1 5,995,283 (5,995,283) — — 74,463 (458,568) — (384,105) 3 to 2 — 62,781 (62,781) — — 13,217 (43,191) (29,974) 3 to 1 218,823 — (218,823) — 21,122 — (153,805) (132,683) Net changes of financial assets (45,996,053) (2,869,752) (2,841,336) (51,707,141) (799,829) (974,665) 2,101,388 326,894 Write-Offs — — (6,846,644) (6,846,644) — — (6,846,644) (6,846,644) Exchange Differences and Others 13,761,898 394,064 1,372,938 15,528,900 87,366 34,109 170,625 292,100 Gross carrying amount at December 31, 2018 113,891,071 6,341,519 8,776,886 129,009,476 2,185,274 1,141,825 5,865,030 9,192,129 Collateral and other credit enhancements Collateral is an instrument pledged as security for repayment of a loan, to be forfeited in the event of default. The Entity accepts collateral as security before a potential breach on behalf of a debtor occurs. The Argentine Central Bank classifies these guarantees in three types: Preferred "A" (considered self-settleable), Preferred "B" (made up by mortgage or pledge loans) and remaining guarantees (mainly bank guarantees and fines). In virtue of the administration of collateral, the Group relies on a specific area devoted to the review of the legal compliance and suitable instrumentation of received collateral. In accordance with the type of collateral, the guarantors may be people or companies (in the case of mortgages, pledges, fines, guarantees and liquid funds) and international top level Financial Entities (for credit letters stand by). The Group monitors collateral held for financial assets considered to be credit-impaired as it becomes more likely that the Group will take possession of collateral to mitigate potential credit losses. Allowances Gross for loans Fair value of Credit Impaired loans exposure losses Book value collateral Overdrafts 302,868 152,172 150,696 81,482 Financial Lease 152,820 98,234 54,586 102,255 Documents 146,257 138,617 7,640 631 Mortgage loans 1,044,497 249,563 794,934 480,309 Personal loans 624,011 582,724 41,287 — Pledge loans 352,278 235,434 116,843 107,785 Credit cards 389,148 373,666 15,483 1,319 Other 4,484,321 2,749,264 1,735,057 1,450,733 Total 7,496,200 4,579,674 2,916,526 2,224,514 Write-off policy The Group writes off, in whole or in part, when it has exhausted all practical recovery efforts and has concluded there is no reasonable expectation of recovery. Indicators that there is no reasonable expectation of recovery include: (i) ceasing enforcement activity and (ii) where the Group´s recovery method is foreclosing on collateral and the value of the collateral is such that there is no reasonable expectation of recovering in full. The Group may write-off financial assets that are still subject to enforcement activity, The outstanding contractual amounts of such assets written off during the year ended 31 December, 2020 was 7,198,080. The Group still seeks to recover amounts it is legally owed in full, but which have been partially written off due to no reasonable expectation of recovery. 12.31.2020 12.31.2019 Balance at the beginning of the year 5,240,360 3,614,921 Additions 5,788,119 6,113,008 Disposals (1,229,014) (1,666,458) Cash colletion (550,119) (631,103) Portfolio sales (77,117) (61,979) Condonation (601,778) (973,376) Exchange differences and other movements (2,601,385) (2,821,111) Gross carrying amount 7,198,080 5,240,360 |
RISK MANAGEMENT POLICIES
RISK MANAGEMENT POLICIES | 12 Months Ended |
Dec. 31, 2020 | |
RISK MANAGEMENT POLICIES | |
RISK MANAGEMENT POLICIES | 27. RISK MANAGEMENT POLICIES Comprehensive Risk Management is a key discipline for financial institutions. The Group intends to create, through its subsidiaries, a solid and efficient organization in risk management, the framework for an optimal use of its capital and to identify business opportunities in the markets and geographic regions in which it operates, seeking the best risk-reward balance for its shareholders. The risk management framework is communicated to the entire organization and strives to strike a balance between a strong risk culture and being an innovative company, focused on its customers and recognized for its agile, easy and friendly operating style. The Company’s Board of Directors considers that its criteria and guidelines regarding risk management are a key part of its Corporate Governance. The risks to which the Group is exposed are inherent to the financial industry, such as credit, the market, interest rate, liquidity, operational risk, reputation and strategic risk. In addition, the Group is exposed to the risk of securitization, given its leadership role on this issue. Financial risk factors Credit risk The Integral Risk Committee approves credit risk strategies and policies submitted in accordance with recommendations provided by the Integral Risk Corporate Department, the Credit Corporate Department and commercial sectors and in compliance with regulations set by the Argentine Central Bank. The credit strategy and policy is aimed at the development of commercial opportunities within the framework and conditions of the Group´s business plan, while keeping suitable caution levels in face of the risk. Policies and procedures enable the definition of accurate aspects aimed at the deployment of the Group´s Strategy related to the administration of credit risk; among them, the Group´s criteria to grant loans, credit benefits and powers, types of products and the way in which the structure is organized, among other aspects. Likewise, the Group relies on an integral risk policy where aspects related to general key risk governance as well as specific manuals and procedures that include, among others, all relevant regulations issued by the Argentine Central Bank. The Group´s credit risk management policies are applied to corporate and individuals. To such ends, a customer segmentation has been defined for Corporate Banking and Personal and Business Banking. The Group focuses on supporting companies belonging to sectors with potential, and successful in their activity. Within the range of credit products offered for the business segment, the Group aims to develop and lead the factoring and leasing market, as well as to be a benchmark in foreign trade. Within Corporate Banking, we seek a solid proposal for medium and large companies' market, seeking to maintain proximity with clients through service centers, agreements with clients throughout their value chain, and providing agile responses through existing credit processes. Regarding Personal and Business Banking, in addition to payroll and senior citizens segments, special focus is placed on Entrepreneurs and SMEs, SMEs as well as the Banks´s Identité segment. In the case of CCF, the focus is consumer finance, fundamentally in granting personal loans, credit cards and car loans. The area of Capital Markets and Structuring targets the trust business segment; placement of assets in the capital market through financial trusts and debt securities, own and of third parties; and for its part, the area of Treasury and Finance has the Trading Desk within its scope. Among traded products are: interbank call, REPO transactions, corporate call, securities from public sector and monetary policy instruments of the Central Bank, acquisition of consumer portfolios, third-party financial trusts, negotiation of financial derivatives (futures, rate swaps, etc.), among others. The Group is willing to carry out a strategy that enable it to address its contractual commitments, both under normal market conditions and adverse situations. Therefore, the Group relies on scoring and rating models to estimate probability of default (PD) for the different client portfolios. As for risk appetite framework, the Group relies on cut-offs for each risk-based segment that express the maximum risk to be assumed in terms of probability of default. In addition to PD parameters, the Group relies on estimates of exposure at default (EAD) and loss given default (LGD) parameters with the purpose of estimating Group’s allowance for loan losses and the necessary economic capital to face unexpected losses that may arise due to credit risk. The Group is aimed at keeping a diversified and atomized portfolio, in order to minimize risk concentration. To such ends, loan originationand client portfolio profiles are adjusted to each different circumstance. To this end, the entity has an indicators dashboard linked to the appetite for credit and concentration risk. The evolution of the NPL, Coverage and Cost of Risk indicators is monitored in relation to target limits established according to risk appetite and the strategy determined in the entity's business plan. Likewise, there is a portfolio limits scheme that measures balance concentration by debtor or economic group, the concentration of the main debtors, concentration by value chain, economic activities, portfolio by risk level based on the facility risk rating. and the exposure in foreign currency both at a total level and by product type. Credit Risk Measurement Models The Entity relies on models aimed at estimating the distribution of potential credit losses in its credit portfolio, which depend on defaults by the counterparties (PD – Probability of Default), as well as the assumed exposure to such defaults (EAD –Exposure At Default) and the recoveries of each defaulted loan (LGD – Loss Given Default). Based on the aforementioned, the Group has developed a Risk-Adjusted Return on Capital (RAROC) model. Regarding CCF, it also has estimates of the aforementioned parameters related to credit risk and a monitoring model of the RAROC Measurement metric. The Group has deepened its work on the expected loss methodologies under IFRS 9, focusing on methodological improvements in the estimation of parameters (PD, EAD and LGD), aligning the definition of the parameters to the credit process. The forward looking model has been redesigned including more variables and openings. Likewise, effects resulting from the pandemic have been evaluated and incorporated into the expected loss calculation. Allowances for loan losses calculation Based on the results of the PD (probability of default), EAD (exposure at the time of default) and LGD (loss in the event of default) estimates, the associated statistical forecast is calculated. Allowances for loan losses calculation is based on models that analyzes the Group’s own portfolio information to estimate, in global terms, the average value of the loss distribution function over an annual term (expected credit loss). The expected credit loss is determined based on PD, EAD, and LGD loss factors. Economic Capital Calculation The economic capital for credit risk is the difference between the portfolio’s value at risk (according to the confidence level for individuals of 99.9% and for companies of 99%) and the expected credit losses. The Group relies on economic capital models for credit risk (one for individuals and another for companies). Such quantitative models include the exacerbation of capital by concentration risk and Securitization Risk. In the economic capital calculation models a one year holding period is used, except from factoring exposures where a six month holding period is used. Counterparty Risk Management The Group relies on a Counterparty’s Risk Map approved by the Credit Committee where the following limits are defined for each counterparty according to the Group’s risk appetite: credit exposure and settlement limits, foreign exchange settlement risk, securities settlement risk and Repo transactions settlement risk, among other. Regarding the economic capital for the counterparty’s risk, it is included in the Economic Capital Quantitative Model for Credit Risk. Impairment of Financial Instruments The Group tests for impairment the financial assets measured at amortized cost, debt instruments measured at fair value through other comprehensive income, finance lease and financial guarantee contracts and loan commitments granted that are not measured at fair value. As a rule, the expected credit loss is estimated as the difference between the contractual cash flows to be recovered and the expected cash flows discounted using the original effective interest rate. In the case of purchased or originated credit-impaired assets, this difference is discounted using the effective interest rate adjusted by credit rating. The movements in the allowance for loan losses as of December 31, 2020 are detailed in note 26. Write-Off The Group reduce the gross carrying amount of a financial asset when it has no reasonable expectations of recovering a financial asset in its entirety of a portion thereof. A write-off constitues a derecognition event. Maximum Credit Risk Exposure Financial Instruments to which the impairment requirements in IFRS 9 are applied: December 31, 2020 ECL Staging Stage 1 Stage 2 Stage 3 Loan Type 12-month ECL Lifetime ECL Lifetime ECL Total Overdrafts 18,228,303 610,850 146,257 Promissory Notes 12,407,922 793,555 2,359,458 15,560,935 Unsecured Corporate Loans 12,516,187 285,078 302,868 13,104,133 Mortgage Loans 7,894,984 2,118,357 1,044,497 11,057,838 Automobile and other secured loans 1,227,511 312,404 352,278 1,892,193 Personal Loans 19,046,521 1,452,586 624,011 21,123,118 Retail 15,535,247 1,425,146 510,209 17,470,602 Consumer Finance 3,511,274 27,440 113,802 3,652,516 Credit Card Loans 43,673,047 3,118,508 389,148 47,180,703 Retail 38,301,754 2,633,285 243,466 41,178,505 Consumer Finance 5,371,293 485,223 145,682 6,002,198 Receivables from Financial Leases 2,817,385 217,321 152,820 3,187,526 Foreign Trade Loans 1,585,023 1,901,861 13,044,920 Other Financings 3,759,131 746,038 163,301 4,668,470 Other Receivables from Financial Transactions 2,546,404 34,037 59,701 2,640,142 Total 133,675,431 11,273,757 7,496,200 152,445,388 December 31, 2019 ECL Staging Stage 1 Stage 2 Stage 3 Loan Type 12-month ECL Lifetime ECL Lifetime ECL Total Overdrafts 37,008,385 601,442 1,590,928 39,200,755 Promissory Notes 10,904,371 300,364 387,249 11,591,984 Unsecured Corporate Loans 13,579,312 494,932 1,045,787 15,120,031 Mortgage Loans 8,209,762 1,550,950 1,017,564 10,778,276 Automobile and other secured loans 1,088,637 354,852 217,339 1,660,828 Personal Loans 44,364,398 6,715,548 1,571,483 52,651,429 Personal and Business Banking 17,793,608 1,099,343 592,285 19,485,236 Consumer Finance 26,570,790 5,616,205 979,198 33,166,193 Credit Card Loans 42,284,160 1,241,422 742,864 44,268,446 Personal and Business Banking 36,630,601 1,051,965 38,052,998 Consumer Finance 5,653,559 189,457 372,432 6,215,448 Foreign Trade Loans 22,053,128 837,964 1,819,440 24,710,532 Other Financings 10,714,901 158,201 103,923 10,977,025 Other Receivables from Financial Transactions 2,511,243 22,471 62,543 2,596,257 Receivables from Financial Leases 3,836,879 250,933 250,565 4,338,377 Total 196,555,176 12,529,079 8,809,685 217,893,940 Financial Instruments to which the impairment requirements in IFRS 9 are not applied Financial assets measeured at fair value through profit or loss are not subject to impairment The maximum exposure to credit risk is the corresponding fair value. Market risk Group defines Market Risk as the risk resulting from deviations in the trading portfolio value as a result of market fluctuations during the period required for the settlement of portfolio positions. The Risk Department’s measurement, control and follow-up perimeter covers those operations where certain loss risk in the Group ´s shareholders equity value is assumed, as a result of changes in market factors. Such risk results from the variation in risk factors under evaluation (interest rate, exchange rate, market price of equity instruments and options), as well as liquidity risk in the different products and markets where the Group operates. According to its business strategy, Banco Supervielle is the component of the Group with the greatest exposure to this risk. On the other hand, Cordial Compañía Financiera has a minimum exposure to market risk and associated with liquidity management purposes. That is why market risk controls present a greater level of detail and emphasis on Banco Supervielle’s trading portfolio. With the purpose of measuring the risk of positions homogeneously and therefore, setting a limit and threshold structure to support management and control schemes, Banco Supervielle uses the VaR model (Value at Risk), which defines the maximum expected loss to be recorded in a financial asset portfolio in normal market conditions, within a certain period of time and at a pre-established confidence level. Indicators obtained from this enable the Group to identify a potential market risk and take preventive measures. Market risk management is focused on the trading portfolio managed by the Trading desk, although there is also a broader control including managed positions with liquidity management objectives. For this reason, in terms of the broader trading portfolio, the controls are limited to the exposure to the assumed risk, measured using the VaR methodology, in relation to the regulatory capital (RC). In addition, a control is carried out on the VaR by group of assets, thus limiting the risk that the Entity can assume in each group of assets considered in isolation. The objective is to incorporate an element of alert to credit events or break in the correlations between groups of assets, events that may escape the consideration of a diversified VaR. The controls over the Trading desk are more exhaustive. Approved strategies and policies are reflected in what is known internally as a unified Risk Map document, where detailed operations enabled by the Trading desk can be explained in detail. In the same document the entire framework of controls that translate the risk appetite with which the Entity is willing to operate is exposed. In this way, limitations are established on the open position in certain financial instruments, VaR limit on the diversified portfolio, maximum allowable loss amount before executing the stop loss policy and conditions that could lead to the execution of a stop strategy gain. The entire control scheme is complemented by action plans that must be implemented once a violation occurs within the limits established therein. The exposure to the Group's exchange rate risk at the end of the year by currency type is detailed below: Balances as of 12/31/2020 Balances as of 12/31/2019 Monetary Monetary Monetary Monetary Financial Financial Net Financial Financial Net Currency Assets Liabilities Derivatives Position Assets Liabilities Derivatives Position US Dollar 42,899,393 35,709,785 529 7,190,137 56,061,739 50,902,660 — 5,159,079 Euro 974,565 785,018 — 189,547 807,436 783,009 — 24,427 Others 293,182 6,208 — 286,974 199,362 — — 199,362 Total 44,167,140 36,501,011 529 7,666,658 57,068,537 51,685,669 — 5,382,868 Financial assets and liabilities are presented net of derivatives, which are disclosed separately. Derivative balances are shown at their Fair Value at the closing price of the respective currency. The table above includes only Monetary Assets and Liabilities, since investments in equity instruments and non-monetary instruments does not generate foreign exchange risk exposure. A sensitivity analysis was performed considering reasonably possible changes in foreign exchange rates in relation to the Group’s functional currency. The percentage of variation used in this analysis is the same the Group used in its Business Plan and Projections. 12/31/2020 12/31/2019 Currency Variation P/L Equity Variation P/L Equity US Dollar 40.20 % 2,687,853 2,687,853 31.9 % 270,549 270,549 (40.20) % (2,687,853) (2,687,853) (31.9) % (270,549) (270,549) Euro 40.20 % 75,960 75,960 31.9 % 7,793 7,793 (40.20) % (75,960) (75,960) (31.9) % (7,793) (7,793) Other 40.20 % 115,338 115,338 31.9 % 61,993 61,993 (40.20) % (115,338) (115,338) (31.9) % (61,993) (61,993) Total 40.20 % 2,879,151 2,879,151 31.9 % 340,335 340,335 (40.20) % (2,879,151) (2,879,151) (31.9) % (340,335) (340,335) Sensitivity Analysis It is important to note that within the daily report provided to the trading desk for the monitoring of the exposure to assumed risk, the Financial Risk Management makes a comparison between the profitability obtained and the implicit risk for each asset. When using a diversified VaR methodology, it is important to provide information related to the contribution that each asset in the portfolio makes to the aggregate VaR measurement, and fundamentally if this asset generates risk diversification or not. That is why, within the variables included in the daily report, the VaR component of each asset is included, thus allowing a sensitivity analysis on the impact of each asset on the total risk. With the aim of improving the assumed risk analysis through the use of alternative measurement metrics, the Group recognizes the change in market conditions on exposure to risk through an adjustment to the volatilities used in the VaR calculation. According to the methodology used, the returns of assets registered in more recent dates have a greater incidence in the calculation of volatilities. In parallel, the Entity performs a measurement and monitoring of the assumed risk through the application of an expected shortfall methodology, analyzing the universe of unexpected losses located in the distribution queue beyond the critical point indicated by VaR. Economic capital calculation Banco Supervielle adopts the diversified Parametric VaR methodology for the calculation of market risk economic capital, both at a consolidated and individual level. It should be noted that in the case of Cordial Compañía Financiera, according to the provisions established by the Argentine Central Bank, its Board of Directors has chosen to quantify its needs for economic capital by applying a simplified methodology. According to this methodology, the aggregate economic capital arises from the following expression: EC = (1,05 x MC) + max [0; ΔEVE – 15 % x bS)] Where, EC: economic capital according to profile’s risk (ICAAP). MC: Minimum capital requirement in accordance with Argentine Central Bank regulations. ΔEVE (Economic Value): measure of interest rate risk calculated according to the Standardized Framework bS (Basic Shareholders’ equity) : Tier 1 capital. Interest Rate Risk Interest Rate Risk is the risk derived from the likelihood that changes in the Group’s financial condition occur as a result of market interest rate fluctuations, having effect on its financial income and economic value. The following are such risk factors: ü Different terms maturity and interest rate re-adjustment dates for assets, liabilities and off balance sheet items. ü Forecast, evolution and volatility of local interest rates and foreign interest rates. ü The basis risk that results from the unsuitable correlation in the adjustment of assets and liabilities interest rates for instruments that contain similar revaluation features; The Group’s interest rate risk management model, includes the analysis of interest rates gaps. Such analysis enables the basic explanation of the financial statement structure as well as the detection of interest rate risk concentration along the different terms. Special attention focuses on the accumulated gap during the first ninety days, as it is the holding period used when evaluating exposure to interest rate risk in each of the entities and due to its relevance when evaluating actions that may modify the structural balance positioning. The interest rate risk management is aimed at keeping the Group’s exposure within those levels of risk appetite profile validated by the Board upon changes in the market interest rates. To such ends, the interest rate risk management relies on the monitoring of two metrics: ü MVE – VaR Approach : measures the difference between the economic values estimated given the interest rate market curve and said value estimated given the interest rate curve resulting from the simulation of different stress scenarios. The Group uses this approach to calculate the economic capital for this risk. ü NIM – EaR Approach : measures changes in expected accruals over a certain period of time (12 months) upon an interest rate curve shift resulting from a different stress situation simulation practices. During 2018, with the publication of Communication "A" 6397, the Argentine Central Bank presented the applicable guidelines for the treatment of interest rate risk in the investment portfolio. The regulation makes a distinction between the impact of fluctuations in interest rate levels on the underlying value of the entity’s assets, liabilities and off-balance sheet items (economic value or MVE), and the alterations that such movements in the interest rate may have on sensitive income and expenses, affecting net interest income (NII). This same criterion had already been adopted by Banco Supervielle, so that the new regulations implied a readaptation of the management model to the suggested measurement methodology, maintaining some criteria and incorporating others. As established by the regulator, both Banco Supervielle and Cordial Compañia Financiera must use the Standardized Framework described in point 5.4. of the Communication "A" 6397 for the measurement of the impact on the economic value of the entities (ΔEVE) of six proposed disturbance scenarios. These scenarios include parallel movements in the curves of market interest rates upwards or downwards, flattening or steepening of the slope of these curves, as well as an increase or decrease in short-term interest rates. A base curve of market interest rates is considered for each of the significant currencies in the financial statement of each entity. According to the applicable regulation, Banco Supervielle has to use an internal measurement system (SIM) for measurement based on results (ΔNIM). This requirement is not applicable to Cordial Compañía Financiera. It is important to highlight that Banco Supervielle, which has not been qualified by the Argentine Central Bank as having a local systemic importance (D-SIB), is not legally bound to have its own internal measurement system (SIM) for the measurement based on economic value (ΔEVE). Beyond the regulatory provisions, it is important to note that both Banco Supervielle and Cordial Comapñia Financiera have been working with internal measurement systems (SIM) to measure the impact of rate fluctuations, both on economic value (ΔEVE) and on results (ΔNIM). The development of these systems included the definition of assumptions for the determination of the maturity flow of different lines of assets and liabilities without defined maturity or with implicit or explicit options of behavior. During 2020 an important methodological change was implemented, since the Entity decided to align itself with the provisions of the Standardized Framework in relation to assets and liabilities with Units of Purchasing Power (UVA) adjustment and stopped considering them as susceptible to interest rate risk in the risk calculation with its internal measurement systems (SIM). Improvements were made to the dynamic rate GAP measurement tool, allowing various sensitivity exercises to be carried out in a year characterized by a changing context and numerous regulations that altered financial margins. Economic Capital Calculation As a first step to calculate economic capital, Banco Supervielle calculates its exposure to interest rate risk from the MVE-EaR (economic value) approach of its internal measurement system (SIM), using a holding period of three months (90 days) and a confidence level of 99%. This quantitative model includes the exacerbation of capital by securitization risk. The result obtained is compared with the worst result of the alterations proposed in the six scenarios proposed by the Standardized Framework, with the resulting economic capital being the worst of both measurements (SIM and Standardized Framework). In the case of Cordial Compañía Financiera, as mentioned above, the Entity’s Board of Directors has chosen to quantify its needs for economic capital by applying a simplified methodology. With regard to interest rate risk, the Group measures the impact of fluctuations in market interest rates on the economic value based on the application of the Standardized Framework. In the event that the worst ☐ EVE of the six scenarios proposed by the regulation exceeds 15% of the basic net worth (capital level one) of the Entity, the sum of the economic capital calculated according to the simplified methodology would be increased by said excess. The exposure to interest rate risk is detailed in the table below. It presents the residual values and average rate of the assets and liabilities, categorized by date of renegotiation of interest or expiration date, the lowest. Term in days Assets and Liabilities Up to 30 From 30 to 90 from 90 to 180 from 180 to 365 More than 365 Total To 12/31/2020 Total Financial Assets 94,212,108 23,283,810 21,884,220 13,991,605 76,333,380 229,705,123 Total Financial Liabilities (110,298,588) (23,704,722) (5,066,130) (1,500,505) (69,482,671) (210,052,616) Net Amount (16,086,480) (420,912) 16,818,090 12,491,100 6,850,709 19,652,507 Average rate Assets 33.76 % 37.13 % 37.10 % 44.08 % 22.70 % 31.37 % Average rate Liabilities 31.29 % 16.88 % 15.85 % 42.82 % 13.45 % 23.60 % Term in days Assets and Liabilities Up to 30 From 30 to 90 from 90 to 180 from 180 to 365 More than 365 Total To 12/31/2019 Total Financial Assets 57,417,639 20,427,549 15,594,538 16,684,376 69,002,031 179,126,133 Total Financial Liabilities (68,842,995) (18,271,575) (6,965,625) (9,086,825) (60,866,894) (164,033,914) Net Amount (11,425,356) 2,155,974 8,628,913 7,597,551 8,135,137 15,092,219 Average rate Assets 50.15 % 62.53 % 62.88 % 61.73 % 31.39 % 46.52 % Average rate Liabilities 40.67 % 36.72 % 28.94 % 34.96 % 25.25 % 33.70 % The table below shows the sensitivity to a reasonably possible additional variation in interest rates for the next year, taking into account the composition as of December 31, 2020. Variations in rates were determined considering the scenarios set by Communication "A" 6397 for the calculation of the Interest Rate Risk in the Investment Portfolio. 12/31/2020 12/31/2019 Increase / (decrease) Increase / (decrease) Concepto Additional variation in in the income Additional variation in in the income the interest rate statement the interest rate statement Decrease in the interest rate 4% ARS; 2% USD (433,698) 4% ARS; 2% USD (486,558) Increase in the interest rate 4% ARS; 2% USD 430,992 4% ARS; 2% USD 354,392 If the market interest rates for instruments denominated in pesos decreased by 4 percentage points and f 2 percentage points for those denominated in US dollars, net income for the year would decrease by 433,698 and 486,558 as of the end of December 31, 2020 and 2019 respectively. On the contrary, if the interest rates increased in equal measure, net income for the year would increase by 430,992 and 354,392 respectively. Liquidity Risk The Group defines Liquidity Risk as the risk of assuming additional financing expenses upon unexpected liquidity needs. Such risk results from the difference of sizes and maturities between the Group’s assets and liabilities. Such risks involve the following: ü Funding Liquidity Risk means the risk to obtain funds at normal market cost when needed, based on the market’s perception of the Group. ü Market Liquidity Risk means the risk resulting from the Group’s incapacity to offset an asset position at market price, as a consequence of the following two key factors: · Assets are not liquid enough, · Changes in the markets where those assets are traded. Liquidity and concentration indicators of funding sources are used to determine the tolerance to this risk, starting from the most restrictive definitions to the most comprehensive ones. The following are the main core metrics used for liquidity risk management: ü LCR (Liquidity Coverage Ratio) : measures the relation between high quality liquid assets and total net cash outflows over a 30‑day period. The Group estimates this indicator on a daily basis, having met during the year the minimum value established by law, as well as that established internally based on their risk appetite. ü Net Stable Funding Ratio (NSFR): measures the ability of the Group to fund its activities with sufficiently stable sources to mitigate the risk of future stress situations arising from its funding. The Group calculates this indicator on a daily basis, having complied with the minimum value required by the regulator and that that established internally based on its risk appetite. ü Coverage of Remunerated Accounts and Pre-Payable Term Deposits this indicator is aimed to reduce funding dependence of unstable sources in non-liquid scenarios. In addition, the Assets and Liabilities Committee performs a daily monitoring of some follow-up metrics . Such indicators are used to analyze the main components of LCR while assessing the Group’s liquidity condition and warning upon trend changes that may affect the guidelines set by the risk appetite policy. Additionally, within these monitoring indicators, Committee assess for the availability of liquid assets to respond to an eventual withdrawal of more volatile deposits, such us remunerated sight accounts and deposits of the public sector in foreign currency. During 2020 the local financial market operated with high levels of liquidity due to the impact of restrictions on mobility, the consequent drop in the level of economic activity and the strong monetary issue faced by the Central Bank of Argentina to cover the needs of assistance to the sectors affected by the COVID-19 pandemic. This strong initial growth of the monetary base had its correlation in the use of LELIQ and Pasive Repo by the monetary authority as an absorption mechanism. In line with the aforementioned, Banco Supervielle experienced strong growth in demand balances, both for retail and institutional clients. The latter, with their correlate in loans to the Central Bank of Argentina via LELIQ and / or Repo, counteracted the positive effect of growth in retail balances and put pressure on the LCR, which was effectively managed throughout the year, staying within comfort values established by the Board of Directors. Liquidity in dollars strengthened throughout the year. On the one hand, the strong drop in deposits that began in August 2019 gradually diminished until reaching a reversal and slightly positive monthly variations towards the end of 2020. This was combined with an active management of loan collections in dollars, which is reflected in a significant fall in balances on this line of the balance sheet. Economic capital calculation The Group relies on the following elements that ensure the suitable management of this type of risk: ü Broad liquidity indicators dashboard, to monitor liquidity levels. Each indicator relies on its relevant threshold and limit, which are monitored on a daily basis by the Risk Area (sending due warnings upon violation cases), on a byweekly basis by the Assets and Liabilities Committee (ALCO) and on a monthly basis by the Integral Risk Committee. Likewise, a weekly report is drawn up and sent to members of the Integral Risk Committee, ALCO and the Board. ü Indicators that measure the concentration of funding sources, establishing the Group’s risk appetite. ü Development and monitoring of new liquidity coverage and leverage indicators set by the Argentine Central Bank in compliance with Basle III route map. ü Different liquidity risk follow-up tools have been added, including a disaggregate assessment of contractual term mismatches and funding concentration reports, by counterparty, product and significant currency. The accuracy of the information required for such reports contributed to the improvement of our Risk Management Information System (MIS). ü The liquidity coverage ratio is used to assess the Group’s capacity to meet liquidity needs over a 30‑day period within a stress scenario described by the Argentine Central Bank. The follow-up of this indicator is carri |
INTERNATIONAL FINANCING PROGRAM
INTERNATIONAL FINANCING PROGRAMS | 12 Months Ended |
Dec. 31, 2020 | |
INTERNATIONAL FINANCING PROGRAMS | |
INTERNATIONAL FINANCING PROGRAMS | 28. INTERNATIONAL FINANCING PROGRAMS In December 2017, Banco Interamericano de Desarrollo (BID) granted Banco Supervielle S,A, a loan (tranche A) for USD 40,000,000, USD 35,000,000 of which are settled over a three-year term and the remaining USD 5,000,000 over a five-year term, In June 2018, the Bank was granted a loan (tranche B) for USD 93,500,000, USD 40,000,000 are settled over a year term and the remaining USD 53,500,000 are settled over ywo years and a half, In turn, in September 2019, the Entity was granted a senior non-guaranteed syndicated loan for USD 80,000,000 (eighty million US Dollars) at a three-year term and a Libor interest rate +3,40% by the FMO, the Dutch development bank, as organizer, and Proparco, a subsidiary of the French Development Agency, Such funds were immediately allocated among Small and Medium Size Companies Clients of our portfolio who run their businesses in regional exporting economies in different sectors, It is worth to be mentioned that such agreement is subject to the compliance of certain financial covenants, certain “do and do not do” conditions as well as certain reporting requirements, As of December 31, 2019, the Entity did not meet the non-performing loan ration nor the coverage, Therefore, on January 29, 2020, the Entity started the process to receive a waiver with BID, which was made effective on February 18, 2020, As a result of such waiver, BID waives its right to accelerate such debt resulting from the breach in non-performing loan ratios and coverage ratios over a period that started on October 1, 2019 and finished in December 31, 2019, Likewise, on April 16, 2020 new exemptions were requested thus extending the agreed terms until April 30, 2020, On August 11, 2020, a new amendment was agreed that extends the agreed deadlines from May 1, 2020 to December 31, 2020, As of December 31 and as of the date of issuance of these financial statements, the Bank was in compliance with the financial covenants of both loans. |
BUSINESS COMBINATIONS
BUSINESS COMBINATIONS | 12 Months Ended |
Dec. 31, 2020 | |
BUSINESS COMBINATIONS | |
BUSINESS COMBINATIONS | 29. BUSINESS COMBINATIONS - EASY CAMBIO S,A, On October 16, 2020, the Group acquired 100% of the capital stock of Easy Cambio S,A, for a total price of $13,7 millons, a company authorized by the Central Bank of the Argentine Republic as Exchange Agent, in order to expand the offer of financial services provided to individual clients throughout the country, The amounts recognized as of the date of acquisition for each main class of assets acquired and liabilities assumed are: Fair Value Cash and Due from Banks 6,474 Other Assets 1,240 Miscellaneous obligations (28) Net identifiable assets acquired 7,686 Consideration of the acquisition: - Amount paid net of expenses 14,978 Net cash flow used - investment activities 14,978 Goodwill 7,292 The goodwill determined is attributable to the synergies that exist between the Easy Cambio S,A, business, and that of the Group, If the acquisition had occurred on January 1, 2020, Grupo Supervielle's net result would have been 3,411,124, |
ASSETS AND LIABILITIES IN FOREI
ASSETS AND LIABILITIES IN FOREIGN CURRENCY | 12 Months Ended |
Dec. 31, 2020 | |
ASSETS AND LIABILITIES IN FOREIGN CURRENCY | |
ASSETS AND LIABILITIES IN FOREIGN CURRENCY | 30. ASSETS AND LIABILITIES IN FOREIGN CURRENCY At At 12/31/2020 (per currency) At Items 12/31/2020 Dollar Euro Real Others 12/31/2019 ASSETS Cash and Due from Banks 20,398,250 19,133,411 972,675 15,461 276,703 18,919,331 Government and corporate securities at fair value with changes in results 1,846,252 1,846,252 — — — 959,676 Derivatives 529 529 — — — — Other financial assets 1,133,994 1,133,884 110 — — 1,567,666 Loans and other financing 15,222,168 15,219,370 1,780 — 1,018 29,246,976 Other Debt Securities 4,800,665 4,800,665 — — — 88 Financial assets in guarantee 524,543 524,543 — — — 6,130,740 Other non-financial assets 240,739 240,739 — — — 244,060 TOTAL ASSETS 44,167,140 42,899,393 974,565 15,461 277,721 57,068,537 LIABILITIES Deposits 25,199,406 24,737,162 462,244 — — 31,770,757 Non-financial public sector 903,482 903,332 150 — — 2,956,100 Financial sector 2,057 2,057 — — — 12,337 Non-financial private sector and foreign residents 24,293,867 23,831,773 462,094 — — 28,802,321 Liabilities at fair value with changes in results 0 — — — — 0 Other financial liabilities 2,378,133 2,049,159 322,767 13 6,194 5,570,567 Financing received from the Argentine Central Bank and other financial entities 5,200,132 5,200,132 — — — 10,993,994 2,202,858 2,202,858 — — — — Subordinated negotiable obligations 1,140,468 1,140,468 — — — 2,886,028 Other non-financial liabilities 380,014 380,006 7 — 1 464,323 TOTAL LIABILITIES 36,501,011 35,709,785 785,018 13 6,195 51,685,670 NET POSITION 7,666,129 7,189,608 189,547 15,448 271,526 5,382,867 |
CURRENT_NON-CURRENT DISTINCTION
CURRENT/NON-CURRENT DISTINCTION | 12 Months Ended |
Dec. 31, 2020 | |
CURRENT/NON-CURRENT DISTINCTION | |
CURRENT/NON-CURRENT DISTINCTION | 31. CURRENT/NON-CURRENT DISTINCTION The group has adopted the presentation of all assets and liabilities in order of liquidity due to this presentation provides information that is reliable and more relevant, As of December 31, 2020 and 2019, the amount expected to be recovered or settled after more than twelve months for each asset and liability line item is as follows: 12/31/2020 12/31/2019 No more than No more than 12 months More than 12 12 months More than 12 after the months after after the months after reporting the reporting reporting the reporting ASSETS period period Total period period Total Cash and due from banks 36,674,869 — 36,674,869 35,945,335 — 35,945,335 Cash 12,792,522 — 12,792,522 11,913,814 — 11,913,814 Argentine Central Bank 19,623,684 — 19,623,684 21,683,569 — 21,683,569 Other local financial institutions 4,106,336 — 4,106,336 2,307,232 — 2,307,232 Others 152,327 — 152,327 40,720 — 40,720 Debt Securities at fair value through profit or loss 9,871,903 — 9,871,903 773,961 — 773,961 Derivatives 143,944 — 143,944 350,680 — 350,680 Reverse Repo transactions 22,354,735 — 22,354,735 — — — Other financial assets 4,285,221 — 4,285,221 2,854,686 — 2,854,686 Loans and other financing 75,152,213 30,242,973 105,395,186 84,171,764 35,645,583 119,817,347 To the non-financial public sector 12,632 10,898 23,530 9,557 29,750 39,307 To the financial sector 12,062 0 12,062 44,746 43,095 87,841 To the Non-Financial Private Sector and Foreign residents 75,127,519 30,232,075 105,359,594 84,117,461 35,572,738 119,690,199 Other debt securities 28,836,567 12,023,408 40,859,975 13,759,182 479,158 14,238,340 Financial assets in guarantee 4,904,935 — 4,904,935 7,261,336 — 7,261,336 Current income tax assets — — — 139,487 — 139,487 Inventories 70,964 — 70,964 60,521 — 60,521 Investments in equity instruments 19,954 96,374 116,328 — 19,848 19,848 Property, plant and equipment — 7,103,638 7,103,638 — 5,448,454 5,448,454 Investment Property — 5,997,945 5,997,945 — 5,520,143 5,520,143 Intangible assets — 6,782,538 6,782,538 — 5,919,425 5,919,425 Deferred income tax assets 451,540 2,864,345 3,315,885 211,921 2,063,254 2,275,175 Other non-financial assets 717,343 635,537 1,352,880 1,027,614 767,863 1,795,477 TOTAL ASSETS 183,484,188 65,746,758 249,230,946 146,556,487 55,863,728 202,420,215 12/31/2020 12/31/2019 No more than No more than 12 months More than 12 12 months More than 12 after the months after after the months after reporting the reporting reporting the reporting LIABILITIES period period Total period period Total Deposits 178,641,218 376 178,641,594 121,174,622 1,633 121,176,255 Non-financial public sector 7,911,255 — 7,911,255 7,447,131 — 7,447,131 Financial sector 57,416 — 57,416 38,253 — 38,253 Non-financial private sector and foreign residents 170,672,547 376 170,672,923 113,689,238 1,633 113,690,871 Liabilities at fair value through profit or loss 2,002,005 — 2,002,005 258,060 — 258,060 Derivatives 1,995 — 1,995 0 — — Repo Transactions — — — 435,401 — 435,401 Other financial liabilities 6,814,747 714,142 7,528,889 11,646,963 763,021 12,409,984 Financing received from the Argentine Central Bank and other financial institutions 5,522,424 329,868 5,852,292 11,827,975 448,635 12,276,610 Unsubordinated negotiable Obligations 3,155,866 1,070,882 4,226,748 5,830,502 2,455,661 8,286,163 Current income tax liability 1,288,267 — 1,288,267 — — — Subordinated negotiable obligations 1,140,469 — 1,140,469 1,790,228 1,095,800 2,886,028 Provisions 42,181 638,911 681,092 29,570 892,126 921,696 Deferred income tax liability 42,005 — 42,005 689,268 — 689,268 Other non-financial liabilities 10,325,372 1,820,730 12,146,102 8,886,616 2,289,048 11,175,664 TOTAL LIABILITIES 208,976,549 4,574,909 213,551,458 162,569,205 7,945,924 170,515,129 |
OFFSETTING OF FINANCIAL ASSET A
OFFSETTING OF FINANCIAL ASSET AND LIABILITIES | 12 Months Ended |
Dec. 31, 2020 | |
OFFSETTING OF FINANCIAL ASSET AND LIABILITIES | |
OFFSETTING OF FINANCIAL ASSET AND LIABILITIES | 32. OFFSETTING OF FINANCIAL ASSET AND LIABILITIES A financial asset and a financial liability shall be offset and the net amount presented in the statement of financial position when, and only when, the Group fulfill with paragraph 42 of IAS 32, and currently has a legally enforceable right to set off the recognized amounts; and intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously, In addition, the Group has master netting arrangement that not satisfies the offsetting criteria but creates a right of set-off that becomes enforceable and affects the realization or settlement of individual financial assets and financial liabilities only following a specified event of default or in other circumstances not expected to arise in the normal course of business, As of December 31, 2020 and 2019, the amount of assets and liabilities subject to a master netting arrangement not offset is as follows: Net in Financial Amounts subject to a master Gross Amount Statements netting arrangement not offset 12/31/2020 amount (a) offset (b) (c) = (a) – (b) Financial asset / (Financial liability) Collateral Net amount Credit cards transactions — — — (3,143,567) 487,207 (2,656,360) Derivatives instruments 103,093 40,851 143,944 — — — Total 103,093 40,851 143,944 (3,143,567) 487,207 (2,656,360) Net in Financial Amounts subject to a master Gross Amount Statements netting arrangement not offset 12/31/2019 amount (a) offset (b) (c) = (a) – (b) Financial asset / (Financial liability) Collateral Net amount Credit cards transactions — — — (3,115,913) 827,175 (2,288,738) Derivatives instruments 423,353 (72,673) 350,680 — — — Total 423,353 (72,673) 350,680 (3,115,913) 827,175 (2,288,738) |
MINIMUM CAPITAL REQUIREMENTS
MINIMUM CAPITAL REQUIREMENTS | 12 Months Ended |
Dec. 31, 2020 | |
MINIMUM CAPITAL REQUIREMENTS | |
MINIMUM CAPITAL REQUIREMENTS | 33. MINIMUM CAPITAL REQUIREMENTS The Central Bank requires financial institutions to maintain minimum capital amounts measured as of each month's closing, The minimum capital is defined as the greater of (i) the basic minimum capital requirement, which is explained below, or (ii) the sum of the credit risk, operational risk and market risk, Financial institutions (including their domestic Argentine and international branches) must comply with the minimum capital requirements both on an individual and a consolidated basis, The following table sets forth information regarding excess capital and selected capital and liquidity ratios of the Bank, consolidated with CCF: As stated above under "Presentation of Financial and Other Information", we have prepared our audited consolidated financial statements for 2019, 2018 and 2017 under IFRS, Minimum capital requirement has been prepared in accordance with the rules of the Argentine Central Bank, which is not comparable to data prepared under IFRS, Year ended December 31,(2) 2020 2019 2018 (in thousands of Pesos except percentages and ratios) Calculation of excess capital: Allocated to assets at risk 9,047,140 7,164,842 6,090,341 Allocated to Bank premises and equipment, intangible assets and equity investment assets 1,350,035 826,133 370,233 Market risk 551,765 251,739 301,724 Interest rate risk — — — Public sector and securities in investment account, 27,651 11,472 96,882 Operational risk 3,233,793 2,349,952 1,486,516 Required minimum capital under Central Bank rules 14,210,384 10,604,138 8,345,696 Basic net worth 30,242,263 16,991,091 11,847,865 Complementary net worth 1,090,865 1,033,734 1,163,939 Deductions (7,028,227) (2,999,716) (867,798) Total capital under Central Bank rules 24,304,901 15,025,109 12,144,006 Excess capital 10,094,517 4,420,971 3,798,310 Selected capital and liquidity ratios: Regulatory capital/risk weighted assets (1) 19.29 % 11.60 % 11.90 % Average shareholders’ equity as a percentage of average total assets 11.16 % 10.40 % 9.90 % Total liabilities as a multiple of total shareholders’ equity 7.5x 7.1x 9.4x Cash as a percentage of total deposits 20.31 % 28.20 % 35.10 % Tier 1 Capital / Risk weighted assets 13.35 % 10.80 % 10.80 % (1) Risk Weighted Assets includes operational risk weighted assets, market risk weighted assets, and credit risk weighted assets, Operational risk weighted assets and market risk weighted assets are calculated by multiplying their respective required minimum capital under Central Bank rules by 12,5, Credit Risk Weighted Assets is calculated by applying the respective credit risk weights to our assets, following Central Bank rules, (2) Nominal values without inflation adjustment, |
IMPACT OF COVID-19 ON GROUP`S O
IMPACT OF COVID-19 ON GROUP`S OPERATIONS | 12 Months Ended |
Dec. 31, 2020 | |
IMPACT OF COVID-19 ON GROUP`S OPERATIONS | |
IMPACT OF COVID-19 ON GROUP`S OPERATIONS | 34. IMPACT OF COVID-19 ON GROUP`S OPERATIONS The Group operates in a complex economic context which main variables have been featured by strong volatility at a national and international level, The pandemic outbreak in March 2020 produced by Covid-19 has had significant consequences globally, most countries implemented a series of unprecedented restrictions, The different sanitary restricting measures produced, to a greater or lesser extent, an almost immediate impact on economies which witnessed the quick fall of production and activity indicators, Accordingly, most governments implemented fiscal aid packages to sustain part of the population's income and reduce the risk of breaches in payment chains; thus, avoiding a financial and economic crisis as well as companies´ bankruptcies, Argentina was not the exception and the Government took action in the wake of the pandemic, The Argentine economy was in a recessive process and the pandemic outbreak in March 2020 turned the scenario even more complex, The country is expected to close 2020 with activity fall, The following are the main local indicators: · GDP estimated fall (EMAE) as of December 2020 amounted to a 10,0%, · Accrued inflation between January 1, 2020 and December 30, 2020 amounted to a 36,1% (Consumer Price Index - CPI), · Between January 1, 2020 and December 30, 2020, the peso recorded a 40% depreciation against the USD, according to the Exchange rate released by Banco de la Nación Argentina, · The monetary authority implemented additional Exchange restrictions which, in turn, affected the foreign currency value in existing alternative markets for certain Exchange operations restricted in the official market, These measures, aimed at restricting the access to the exchange market with the purpose of containing the demand of dollars, entail the Argentine Central Bank´s prior authorization request for certain operations; thus, the following operations impact for the society: · Payment of dividends and earnings to non-residents · Payment of financial loans granted to non-residents: those companies that register scheduled capital maturities between 10/15/2020 and 03/31/2021 shall submit a capital refinancing program of at least the 60%, with new external indebtedness and an average life of two years and shall be allowed to acquire only the equivalent to the 40% of agreed-upon capital commitments · Payment of debt securities issuance with public registration · Payment of indebtedness among residents in foreign currency Additionally, the exchange regime mandated the registration and settlement of funds resulting from the following operations and concepts in local currency: · Exports of goods and services · Collection of prefinancings, advances and post-financing of exports of goods · Exports of services · Disposal of non-produced non-financial assets · Disposal of external assets Such exchange restrictions, or those to be issued, might affect the Group's capacity to access the Mercado Único y Libre de Cambios (MULC) for the acquisition of necessary foreign currency to address financial obligations, Assets and liabilities in foreign currency as of December 30, 2020 have been estimated in accordance with MULC´s quotations in place, Likewise, in October 2020, the Government launched a set of measures aimed at contributing with the development of exportable goods and promoting the local market and construction industry, With the purpose of mitigating the economic crisis, the Argentine Central Bank issued the following set of pre-emptive measures: · Communication “A” 6937 reduced the restriction over the maximum position in liquidity bills of the Argentine Central Bank (LELIQ) with the purpose of making liquidity available and encouraging credit line provisions for Small and Medium Size Companies at a preferential rate (Not exceeding 24% annually), Communication “A” 7054 modified the standards on Minimum Cash” due to the authorization of financing lines at a 24% subsidized rate, which includes a special tranche for investments in national capital goods and another tranche with minimum requirements for companies that have not had access to banking loans. As from July 1, 2020, “Medium and Small Size Clients” are included in the item of “Decrease of minimum cash demand in average in pesos” provided such funds are allocated in the acquisition of machinery and equipment produced for national Small and Medium Size companies, among other modifications, As of the date of these financial statements issuance, loans of 24% rates and 0% rates have been granted for 10,7 billion and 819 million respectively, As from October 16, 2020, through Communication “A” 7140, regulations on “Financing line for productive investments of Small and Medium Size companies were enforced, · Communications “A” 6942 and “A” 6949, determined the postponement of the maturity of loans granted by local financial institutions that would become effective on March 20 and April 12, and cancelled any punitive interest over unpaid balances in loans granted by financial entities, Communication “A” 7044 and “7107” extended maturities for loans granted by local financial entities until December 31, 2020 and unpaid installments are deferred until such loan’s life termination, Through Communication “A” 7181 it was extended until March 31, 2021, · Communication "A" 6939 suspended, until June 30, 2020, the distribution of dividends for financial entities, Such measure was extended through Communication "A" 7035 until December 31, 2020, Through Communication "A" 7181 it was extended until March 31, 2021, · Communication "A" 6945 established that, until June 30, 2020, any operation carried out through ATMs shall not be subject to any charge or commission, Communication "A" 7107 extended such term until December 31, 2020, Through Communication "A" 7181 it was extended until March 31, 2021, · Communications "A" 6964 and 7095 automatically refinanced unpaid balances of credit card financing to be registered between April 1, 2020 and April 30, 2020 and between September 1, 2020 and September 30, 2020 respectively, Such balances have been refinanced over a year term with three-month grace period in 9 monthly equal and consecutive installments, Likewise, pursuant to Communication "A" 6993, the Argentine Central Bank established a zero-interest-rate financing policy, applicable only to eligible clients to be defined by the Federal Administration of Public Revenues (AFIP) in the future, Additionally, through Communication "A" 7082 opened the possibility of granting "Zero Culture Rate Loans" at 24 months under a 12-month grace period, Communication "A" 7111 extended delinquency days for 1, 2, and 3 categories over a 60-day term, Such measure is applicable until December 31, 2020, Through Communication "A" 7181 it was extended until March 31, 2021, · Decree 312/2020, issued by the Argentine Central Bank, suspended the closing of bank accounts, Decree 544/2020, issued on June 19, 2020, extends until December 31, 2020 the suspension of the obligation of closing bank accounts and the application of disqualification pursuant to Article 1° of Law N° 25,730, as well as the application of fines. · Communication “A” 6980 established that non-adjustable term deposits under ARS 1 million made up by individuals as from April 20, 2020, will entail a minimum rate of 70% of the LELIQ average auction, Communication “A” 7018 extended the scope of such measures over all term deposits regardless of their minimum amount, Later, Communication “A”7027 increased the minimum rate equivalent to 79% LELIQ average auction, And, as from August 1, 2020, an additional increase from such 79% to an 87% was set for term deposits of individuals exceeding the ARS 1 million, The volatile and uncertain context remains as of the issuance of these financial statements, The Group's Board of Directors monitors the evolution of variables that may affect its business; thus, defining the course of action and identifying any potential impact on its equity and financial situation, The Group's financial statements must be read in virtue of said circumstances, |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 12 Months Ended |
Dec. 31, 2020 | |
SUBSEQUENT EVENTS | |
SUBSEQUENT EVENTS | 35. On April 27, 2021, the Ordinary General Shareholders' Meeting approved the following distribution of the results of the 2020 fiscal year, which had shown a profit of $ 3,412,111.: * Legal Reserve: 352,343 * Reserve for future dividends: 341,000 * Other reserve: 2,718,768 In accordance with the provisions of General Resolution No. 777/18 of the Argentine Securities Commission, the distribution of profits must be treated in the currency of the date of the shareholders’ meeting by using the price index corresponding to the month prior to the meeting. Therefore, the shareholders’ meeting approved a dividend reserve for an amount of Ps.385.2 million corresponding to the Ps.341 million included in the board of directors proposal. |
ACCOUNTING STANDARDS AND BASI_2
ACCOUNTING STANDARDS AND BASIS OF PREPARATION (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | |
Basis of preparation | These Consolidated Financial Statements have been prepared in accordance with IFRS as adopted by the IASB. The preparation of Financial Statements at a certain date requires Management to make estimations and evaluations affecting the amount of assets and liabilities recorded and contingent assets and liabilities disclosed at such date, as well as income and expenses recorded during the year. Actual results might differ from the estimates and evaluations made at the date of preparation of these Consolidated Financial Statements. The most significant judgments made by Management in applying the Group’s accounting policies and the major estimations and significant judgments are described in Note 2. These consolidated financial statements as of December 31, 2020, were approved by resolution of the Board of Directors' meeting held on April 30, 2021. |
Going concern | The consolidated financial statements as of December 31, 2020, 2019 and 2018 have been prepared on a going concern basis as there is a reasonable expectation that the Group will continue its operational activities in the foreseeable future (and in any event with a time horizon of more than twelve months from the end of the reporting period). |
Measuring Unit - IAS 29 (Financial reporting in hyperinflationary economies) | The Consolidated Financial Statements of the Entity are expressed in Argentine pesos which is the functional currency. IAS 29 establishes the conditions under which an entity shall restate its financial statements if it is located in an economic environment considered hyperinflationary. This Standard requires that the financial statements of an entity that reports in the currency of a highly inflationary economy shall be stated in terms of the measuring unit current at the closing date of the latest reporting period, regardless of whether they are based on a historical cost approach or a current cost approach. To this end, in general terms, the inflation rate must be computed in the non-monetary items as from the acquisition date or the revaluation date, as applicable. These requirements also comprise the comparative information of the financial statements. To determine the existence of a highly inflationary economy under the terms of IAS 29, the standard details a series of factors to consider, including a cumulative inflation rate over three years that is close to or exceeds 100%. It is important to highlight that the three-year accumulated inflation rate as of December 31, 2020 reached 209.2%. On the other hand, the macroeconomic events that have taken place in the country during the year show that the country is complying with the qualitative factors provided for in IAS 29 to consider Argentina as a highly inflationary economy for accounting purposes. All this, consequently, originates the need to apply the restatement for inflation of the financial statements in the terms of IAS 29 for the year ended December 31, 2020. The Group determined to use the Internal Wholesale Price Index (IWPI) to restate balances and transactions until the year 2016, for the months of November and December 2015 the average variation of the Consumer Price Index (CPI) of the City of Buenos Aires was used, due to the fact that during those two months there were no IWPI measurements at national level. Then, from January 2017 omwards, the Group used the National Consumer Price Index (National CPI). The tables below show the evolution of these indexes in the last three years and as of December 31, 2020 according to official statistics (INDEC): As of December 31, 2018 2019 2020 Variation in Prices Annual 47.6 % 53.8 % 36.1 % Accumulated 3 years 148.0 % 183.4 % 209.2 % As a consequence of the aforementioned, these Consolidated Financial Statements as of December 31, 2020 were restated in accordance with the provisions of IAS 29. Restatement of the Financial Position The Group restated all the non-monetary items in order to reflect the impact of inflation in terms of the measuring unit current as of December 31, 2020. Consequently, the main items restated were Property, Plant and Equipment, Intangible assets, Goodwill, Inventories and Equity. Each item must be restated since the date of the initial recognition in the Group's accounts or since the date of the last revaluation. Monetary items have not been restated because they are stated in terms of the measuring unit current as of December 31, 2020. Comparative figures must also be presented in the measuring unit current as of December 31, 2020. Therefore, comparative figures for the previous reporting periods have been restated by applying a general price index, so that the resulting comparative financial statements are presented in terms of the current unit of measurement as of the closing date of the reporting period. Restatement of the Income Statement and the Statement of Cash Flows In the Income Statement, items shall be restated from the dates when the items of income and expense were originally recorded. To this end, the Group applied the variations in a general price index. The effect of inflation on the monetary position is included in the Income Statement under Results from exposure to changes in the purchasing power of money. The items of the Statement of Cash Flows must also be restated in terms of the measuring unit current at the closing date of the Statement of Financial Position. IAS 29 para 33 states that all items in the statement of cash flows are expressed in terms of the measuring unit current at the end of the reporting period. The loss arising from the restatement has an impact on the Income Statement and must be eliminated from the Statement of Cash Flows because it is not considered cash or cash equivalent. Restatement of the Statement of Changes in Shareholder’s Equity All components of the Statement of Changes in Shareholder’s Equity, except reserves and retained earnings, must be restated from the dates on which the items were contributed or otherwise arose. |
New Standards and Interpretations issued by the IASB adopted by the Group | (a) On October 22, 2018, IASB released changes, which include the definition of business with the purpose of helping entities determine whether a transaction must be recorded as a combination of business or the acquisition of an asset. Such changes: (i) (ii) (iii) (iv) (v) Entities need to apply changes in transactions which acquisitions date as from the beginning of the first annual period over which it has been informed as of January 1, 2020. The amendment did not have any impact in the Group´s consolidated financial statements. (b) On 31 October 2018, the IASB issued amendments to the definition of material in IAS 1 and IAS 8. The amendments to IAS 1, 'Presentation of financial statements', and IAS 8, 'Accounting policies, changes in accounting estimates and errors', and consequential amendments to other IFRSs: i) use a consistent definition of materiality throughout IFRSs and the Conceptual Framework for Financial Reporting; ii) clarify the explanation of the definition of material; and iii) incorporate some of the guidance in IAS 1 about immaterial information. The amended definition is: "Information is material if omitting, misstating or obscuring it could reasonably be expected to influence decisions that the primary users of general purpose financial statements make on the basis of those financial statements, which provide financial information about a specific reporting entity." The amendment clarifies that the reference to obscuring information addresses situations in which the effect is similar to omitting or misstating that information. It also states that an entity assesses materiality in the context of the financial statements as a whole. The amendment also clarifies the meaning of 'primary users of general purpose financial statements' to whom those financial statements are directed, by defining them as 'existing and potential investors, lenders and other creditors' that must rely on general purpose financial statements for much of the financial information they need. Entities need to apply these changes for annual periods beginning on or after 1 January 2020. The amendment did not have a significant effect in the Group´s consolidated financial statements. (c) The IASB has revised its Conceptual Framework. This will not result in any immediate change to IFRS, but the Board and Interpretations Committee will use the revised Framework in setting future standards. Preparers might also use the Framework to assist them in developing accounting policies where an issue is not addressed by an IFRS The amendment is effective for annual periods beginning on or after 1 January 2020 for preparers that develop an accounting policy based on the Framework. The Group considers that such changes have no significant effect in its consolidated financial statements. |
New Standards and Interpretations issued by the IASB not in force | (a) IASB carried out changes specifically on IFRS 10 “Consolidated Financial Entities” and IAS 28 “Investments in associates and joint ventures”. Such changes clarify the accounting of sales or contribution of assets between the investor and its associates and joint ventures and confirm that the accounting treatment depends on whether non-monetary assets sold or contributed to the associate or joint venture account for a “business” (as defined in IFRS 3). When non-monetary assets account for a business, the investor will recognize earnings or losses of the sale or contribution of assets. If assets do not account for a business, earnings or losses are recognized by the investor only up to the amount recognized by the investor in the associate or joint venture. These changes are applied with retroactive effect. IASB has decided to delay the application date for this modification until the research project over the interest method is concluded. The Group is evaluating the impact of the application of this new standard. (b) In May 18, 2017, the IASB issued IFRS 17 “Insurance contracts” as replacement for IFRS 4. It requires a current measurement model where estimates are re-measured each reporting period. Contracts are measured using the building blocks of discounted probability-weighted cash flows, an explicit risk adjustment, and a contractual service margin representing the unearned profit of the contract which is recognized as revenue over the coverage period. This standard is effective for fiscal years beginning on or after January 1, 2023. The Group is evaluating the impact of the adoption of this new standard. (c) The IASB has issued amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 that address issues that arise during the reform of an interest rate benchmark, including the replacement of one benchmark with an alternative one. The most important changes are related to the accounting of financial instruments at amortized cost. For instruments to which the amortised cost measurement applies, the amendments require entities, as a practical expedient, to account for a change in the basis for determining the contractual cash flows as a result of IBOR reform by updating the effective interest rate using the guidance in paragraph B5.4.5 of IFRS 9. As a result, no immediate gain or loss is recognised. This practical expedient applies only to such a change and only to the extent it is necessary as a direct consequence of IBOR reform, and the new basis is economically equivalent to the previous basis. IFRS 16 was also amended to require lessees to use a similar practical expedient when accounting for lease modifications that change the basis for determining future lease payments as a result of IBOR reform (for example, where lease payments are indexed to an IBOR rate).Such changes will become effective as from January 1, 2021. The Group is assessing the impact of the amendments. (d) Rent concessions have been, or are expected to be, provided to lessees as a result of the COVID-19 pandemic. Such concessions might take a variety of forms, including payment holidays and deferral of lease payments for a period of time, sometimes followed by increased rent payments in future periods. IFRS 16 contains requirements that apply to such rent concessions. The IASB has noted, however, that applying those requirements to a potentially large volume of rent concessions related to COVID-19 could be complex – particularly in the light of the many other challenges that stakeholders face during the pandemic. As a result, the IASB has provided lessees (but not lessors) with relief in the form of an optional exemption from assessing whether a rent concession related to COVID-19 is a lease modification. Lessees can elect to account for rent concessions in the same way as they would if they were not lease modifications. In many cases, this will result in accounting for the concession as a variable lease payment.The practical expedient only applies to rent concessions occurring as a direct consequence of the COVID-19 pandemic. Lessees that apply the exemption will need to disclose that fact, as well as the amount recognised in profit or loss arising from COVID-19-related rent concessions. If a lessee chooses to apply the practical expedient to a lease, it would apply the practical expedient consistently to all lease contracts with similar characteristics and in similar circumstances. The amendment is to be applied retrospectively in accordance with IAS 8, but lessees are not required to restate prior period figures or to provide the disclosure under paragraph 28(f) of IAS 8. The amendments are mandatory for annual reporting periods beginning on or after 1 June 2020. Earlier application is permitted. The Group is assessing the impact of the amendments. (e) Fees included in the 10% test for derecognition of financial liabilities The amendment to IFRS 9 addresses which fees should be included in the 10% test for derecognition of financial liabilities. Costs or fees could be paid to either third parties or the lender. Under the amendment, costs or fees paid to third parties will not be included in the 10% test. Illustrative examples accompanying IFRS 16, 'Leases' The Board has amended Illustrative Example 13 that accompanies IFRS 16 to remove the illustration of payments from the lessor relating to leasehold improvements. The reason for the amendment is to remove any potential confusion about the treatment of lease incentives. Subsidiary as a first-time adopter IFRS 1 allows an exemption if a subsidiary adopts IFRS at a later date than its parent. The subsidiary can measure its assets and liabilities at the carrying amounts that would be included in its parent's consolidated financial statements, based on the parent's date of transition to IFRS, if no adjustments were made for consolidation procedures and for the effects of the business combination in which the parent acquired the subsidiary. The Board has amended IFRS 1 to allow entities that have taken this IFRS 1 exemption to also measure cumulative translation differences using the amounts reported by the parent, based on the parent's date of transition to IFRS. The amendment to IFRS 1 extends the above exemption to cumulative translation differences, in order to reduce costs for first-time adopters. This amendment will also apply to associates and joint ventures that have taken the same IFRS 1 exemption. Taxation in fair value measurements The Board has removed the requirement for entities to exclude cash flows for taxation when measuring fair value under IAS 41, 'Agriculture'. This amendment is intended to align with the requirement in the standard to discount cash flows on a post-tax basis. Effective date All of the amendments are effective 1 January 2022. Earlier application is permitted The Group is assessing the impact of the amedments. (f) The IASB amended IAS 1, 'Presentation of Financial Statements', to require companies to disclose their material accounting policy information rather than their significant accounting policies. The amendment also clarifies that accounting policy information is expected to be material if, without it, the users of the financial statements would be unable to understand other material information in the financial statements. their significant accounting policies. To support this amendment, the Board also amended IFRS Practice Statement 2, 'Making Materiality Judgements', to provide guidance on how to apply the concept of materiality to accounting policy disclosures. The amendment to IAS 8, 'Accounting Policies, Changes in Accounting Estimates and Errors', clarifies how companies should distinguish changes in accounting policies from changes in accounting estimates. The distinction is important, because changes in accounting estimates are applied prospectively to future transactions and other future events, but changes in accounting policies are generally applied retrospectively to past transactions and other past events as well as the current period. These amendments should be applied for annual periods beginning on or after 1 January 2023. Earlier application is permitted. The amendments should be applied prospectively. The Group is assessing the impact of the amendments. |
Consolidation | A subsidiary is an entity, including structured entities, over which the Group has control. The Group controls an entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. The subsidiaries are consolidated from the date on which control is transferred to the Group. They are deconsolidated from the date that control ceases. The following chart details the subsidiaries included in the consolidation process: Percentage of direct or indirect investment in capital stock Company Main Activity 12/31/2020 12/31/2019 12/31/2018 Banco Supervielle S.A. Commercial Bank 99.90 % (1) 99.90 % (1) 99.89 % (1) Cordial Compañía Financiera S.A. Financial Company 99.90 % 99.90 % 99.90 % Tarjeta Automática S.A. Credit Card 99.99 % 99.99 % 99.99 % Supervielle Asset Asset Management 100.00 % 100.00 % 100.00 % Sofital S.A.F. e I.I. Real State 100.00 % 100.00 % 100.00 % Espacio Cordial de Servicios S.A. Retail Services 100.00 % 100.00 % 100.00 % Supervielle Seguros S.A. Insurance 100.00 % 100.00 % 100.00 % Micro Lending S.A.U. Financial Company 100.00 % 100.00 % 100.00 % InvertirOnline S.A.U. Financial Broker 100.00 % 100.00 % 100.00 % InvertirOnline.Com Argentina S.A.U. Representations 100.00 % 100.00 % 100.00 % Supervielle Productores Asesores de Seguros S.A. Insurance Broker 100.00 % 100.00 % — Bolsillo Digital S.A.U. Fintech 100.00 % 100.00 % — Futuros del Sur S.A. Financial Broker 100.00 % 100.00 % — Easy Cambio S.A. Financial Company 100.00 % — — (1) Financial Statements of controlled companies are for the same period of the Group´s Financial Statements. Intercompany transactions, balances and unrealized gains on transactions between group companies are eliminated. Unrealized losses are also eliminated unless the transaction provides evidence of an impairment of the transferred asset. Accounting policies of subsidiaries have been changed where necessary to ensure consistency with the policies adopted by the Group. Non-controlling interests in the results and equity of subsidiaries are shown separately in the consolidated statement of income, statement of comprehensive income, statement of changes in shareholder’s equity and statement of financial position, respectively. Easy Cambio S.A. was consolidated from the acquisition date (See Note 29). The acquisition method of accounting is used to account for business combinations by the Group. The consideration transferred for the acquisition of a subsidiary comprises the fair value of the assets transferred, the liabilities incurred to the former owners of the acquired business, the equity interests issued by the Group, the fair value of any asset or liability resulting from a contingent consideration arrangement and the fair value of any pre-existing equity interest in the subsidiary. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at their fair values at the acquisition date. The Group recognizes any non-controlling interest in the acquired entity on an acquisition-by-acquisition basis either at fair value or at the non-controlling interest’s proportionate share of the acquired entity’s net assets. Acquisition-related costs are expensed as incurred. The excess of the consideration transferred, the amount of any non-controlling interest in the acquired entity and the acquisition-date fair value of any previous equity interest in the acquired entity over the fair value of the net identifiable assets acquired is recorded as goodwill. If those amounts are less than the fair value of the net identifiable assets of the business acquired, the difference is recognized directly in the Consolidated Income Statement as a “bargain purchase”. |
Consolidated Structured Entities | The Group have securitized certain financial instruments, mainly consumer loans, through financial trusts that issue debt securities and participation certificates. The structured entity in which the Group was the trustor as of December 31, 2020 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Amount Type Amount Micro Lending S.A.U. III 06/08/2011 10/12/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 09/01/2011 06/29/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 The structured entity in which the Group was the trustor as of December 31, 2019 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Cantidad Tipo Cantidad Banco Supervielle S.A. Serie 97 27/03/2018 20/03/2020 $ 750,000 VDF TV A VN$712,500 CP VN$37,500 Cordial Compañía Financiera S.A. 20 08/04/2019 15/01/2022 $ 600,000 VDF VN$480,000 CP VN$120,000 Cordial Compañía Financiera S.A. 21 24/06/2019 15/06/2022 $ 1,000,000 VDF VN$780,000 CP VN$220,000 Cordial Compañía Financiera S.A. 22 13/11/2019 15/01/2021 $ 571,560 VDF VN$469,260 CP VN$102,300 Micro Lending S.A.U. III 08/06/2011 12/10/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 01/09/2011 29/06/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 Micro Lending S.A.U. XVIII 01/12/2017 15/10/2022 $ 119,335 VDF TV A VDF TV B VN $89,501 CP VN$22,543 The Group controls a structured entity when the Group is exposed to, or has rights to, variable returns from its involvement with the entity and has the ability to affect those returns through its power to direct the activities of the entity. Structured entities are consolidated from the date on which the control is transferred to the Group. They are deconsolidated from the date that control ceases. As for financial trusts, the Group has evaluated the following: · The purpose and design of the trust · Identification of relevant activities of the trust · Decision-making process on these activities · If the Group has the power to direct the relevant activities of the trust · If the Group is exposed to, or has rights to, variable returns from its involvement with the trust · If the Group has ability to affect those returns through its power over the trust In accordance with the aforementioned, the Group controls such financial trusts and, therefore, such structured entities have been consolidated. The following chart details the assets and liabilities of Structured Entities that have been consolidated by the Group as of December 31, 2020 and 2019: 12/31/2020(i) 12/31/2019 Assets Loans — 2,170,985 Financial assets — 148,174 Other assets — 397,110 Total Assets — 2,716,269 Liabilities Financial liabilities — 1,939,295 Other liabilities — 56,675 Total Liabilities — 1,995,970 (i) |
Transactions with non-controlling interest | The Group treats transactions with non-controlling interests that do not result in a loss of control as transactions with equity owners of the Group. A change in ownership interest results in an adjustment between the carrying amounts of the controlling and non-controlling interests to reflect their relative interests in the subsidiary. Any difference between the amount of the adjustment to non-controlling interests and any consideration paid or received is recognized in a separate reserve within equity attributable to owners of the Group. |
Segment Reporting | An operating segment is defined as a component of an entity or a Group that engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity), and whose financial information is evaluated on a regular basis by the chief operating decision maker. Operating segments are reported in a manner consistent with the internal reporting provided to: (i) Key personnel of the senior management who account for the main authority in operating decision-making processes and is responsible for allocating resources and assessing the performance of operating segments; and (ii) The Board, who is in charge of making strategic decisions of the Group. |
Foreign currency translation | (a) Functional and presentation currency Figures included in the Consolidated Financial Statements of each of the Group’s entities are measured using the functional currency, that is, the currency of the primary economic environment in which the entity operates. Consolidated Financial Statements are presented in Argentine pesos, which is the functional and presentation currency of the Group. (b) Transactions and balances Transactions in foreign currency are translated into the functional currency using the exchange rates published by the Argentine Central Bank at the dates of the transactions. Gains and losses in foreign currency resulting from the settlement of such transactions and from the translation of monetary assets and liabilities denominated in foreign currency at year end exchange rates, are recognized in the income statement, under "Exchange rate differences on gold and foreign currency", except when such items are deferred in the shareholders' equity for transactions classified as cash flow hedges, when applicable. As of December 31, 2020 and 2019, the balances in US dollars were converted at the reference exchange rate determined by the Argentine Central Bank. In the case of foreign currencies other than US dollars, they have been converted to this currency using the rexchange rates derived from repo transactions reported by the Argentine Central Bank. |
Cash and due from banks | Cash and due from Banks includes available cash and unrestricted deposits held in Banks, which are short-term liquid instruments and have original maturities of less than three months. Assets disclosed under cash and due from Banks are measured at amortized cost which is close to its fair value. Cash and Cash equivalents include cash and highly liquid short-term securities with an original maturity of less than three-months according to the following detail: Item 12/31/2020 12/31/2019 12/31/2018 Cash and due from banks 36,674,869 35,945,335 70,551,283 Debt securities at fair value through profit or loss 1,868,604 773,961 26,458,009 Money Market Funds(*) 923,053 1,313,597 1,372,931 Cash and cash equivalents 39,466,526 38,032,893 98,382,223 (*) Included within the "other financial assets" line in the statement of financial position The Group invests in money market funds (MMF) whose investments qualify individually as cash and cash equivalents. An MMF is an open-ended mutual fund that invests in short-term debt instruments (typically one day to one year) such as treasury bills, certificates of deposit, bonds, government gilts and commercial papers. These MMF have to comply with strict fund policies such as: · Controls ensuring constant net asset value or linear performance to limit volatility supported by actual performance; · Returns benchmarked to short-term money market interest rates; · Investment in high-quality instruments with high liquidity and a maximum weighted average maturity of a few weeks; and · Highly diversified portfolio. Reconciliation between balances as appearing on the Statement of Financial Position and the items in the Statement of Cash Flow: Items 12/31/2020 12/31/2019 12/31/2018 Cash and due from Banks As per Statement of Financial Position 36,674,869 35,945,335 70,551,283 As per the Statement of Cash Flows 36,674,869 35,945,335 70,551,283 Debt securities at fair value through profit or loss As per Statement of Financial Position 9,871,903 773,961 31,649,050 Securities not considered as cash equivalents (8,003,299) — (5,191,041) As per the Statement of Cash Flows 1,868,604 773,961 26,458,009 Money Market Funds As per Statement of Financial Position – Other financial assets 4,285,221 2,854,686 3,556,206 Other financial assets not considered as cash equivalents (3,362,168) (1,541,089) (2,183,275) As per the Statement of Cash Flow 923,053 1,313,597 1,372,931 Reconciliation of liabilities from financing activities at December 31, 2020, 2019 and 2018 is as follows: Cash Flows Other non-cash Items 12/31/2019 Inflows Outflows movements 12/31/2020 Unsubordinated debt securities 8,286,163 2,653,805 (6,785,701) 72,481 4,226,748 Subordinated debt securities 2,886,028 — (1,774,264) 28,705 1,140,469 Financing received from the Argentine Central Bank and other financial institutions 12,276,610 14,873,400 (21,297,718) — 5,852,292 Lease Liabilities 1,288,420 — (1,366,164) 1,259,442 1,181,698 Total 24,737,221 17,527,205 (31,223,847) 1,360,628 12,401,207 Cash Flows Other non-cash Items 12/31/2018 Inflows Outflows movements 12/31/2019 Unsubordinated debt securities 19,491,854 11,452,532 (23,641,629) 983,406 8,286,163 Subordinated debt securities 2,898,105 — (1,147,619) 1,135,542 2,886,028 Financing received from the Argentine Central Bank and other financial institutions 16,823,037 150,529,472 (155,072,118) (3,781) 12,276,610 Lease Liabilities — — (1,703,937) 2,992,357 1,288,420 Total 39,212,996 161,982,004 (181,565,303) 5,107,524 24,737,221 Cash Flows Other non-cash Items 12/31/2017 Inflows Outflows movements 12/31/2018 Unsubordinated debt securities 26,558,104 6,429,136 (11,619,542) (1,875,844) 19,491,854 Subordinated debt securities 2,120,799 — (19,976) 797,282 2,898,105 Financing received from the Argentine Central Bank and other financial institutions 10,902,349 109,529,169 (105,180,217) 1,571,736 16,823,037 Total 39,581,252 115,958,305 (116,819,735) 493,174 39,212,996 |
Financial Instruments | Initial Recognition and measurement Financial assets and financial liabilities are recognized when the entity becomes a party to the contractual provisions of the instrument. Purchases and sales of financial assets are recognized on trade-date, the date on which the Group commits to purchase or sell the asset. At initial recognition, the Group measures a financial asset or liability at its fair value plus or minus, in the case of a financial asset or financial liability not at fair value through profit or loss, transaction costs that are incremental and directly attributable to the acquisition or issue of the financial asset or financial liability, such as fees and commissions. Transaction costs of financial assets and financial liabilities carried at fair value through profit or loss are expensed in profit or loss. Immediately after initial recognition, an expected credit loss allowance (ECL) is recognized for financial assets measured at amortized cost and investments in debt instruments measured at fair value through other comprehensive income, as described in note 1.12, which results in an impariment loss being recognized in profit or loss when an asset is newly originated. When the fair value of financial assets and liabilities differs from the transaction price on initial recognition, the Group recognizes the difference as follows: · When the fair value is evidenced by a quoted price in an active market for an identical asset or liability or based on a valuation technique that only uses data from observable markets, the difference is recognized as a gain or loss. · In all other cases, the difference is deferred and the timing of recognition of deferred day one profit or loss is determined individually. It is either amortized over the life of the instrument until its fair value can be determined using market observable inputs, or realized through settlement. Financial Assets a – Debt Instruments Debt instruments are those instruments that meet the definition of a financial liability from the issuer’s perspective, such as loans, government and corporate bonds and, accounts receivables purchased from clients in non-recourse factoring transactions. Classification Pursuant to IFRS 9, the Entity classifies financial assets depending on whether these are subsequently measured at amortized cost, fair value through other comprehensive income or fair value through profit or loss, on the basis of: a) the Group’s business model for managing financial assets, and; b) the cash-flows characteristics of the financial asset Business Model The business model reflects how the Group manages a group of financial assets in order to generate cash flows. That is, whether the Group’s objective is solely to collect the contractual cash flows from the assets (measured at amortized cost) or is to collect both the contractual cash flows and cash flows arising from the sale of assets (measured at fair value through other comprehensive income). If neither of these is applicable, then the financial assets are classified as part of other business model and measured at fair value through profit or loss. The business model of the Group does not depend on the management’s intentions for an individual instrument. Consequently, such business model is not assessed instrument by instrument, but at a higher aggregated level. The Group reclassifies an instrument when and only when its business model for managing those assets has changed. Therefore, this business model is not evaluated instrument by instrument, but at a higher level of aggregated portfolios and is based on observable factors such as: · How the business model’s return is evaluated and how financial assets held in that business model are evaluated and reported to the Group’s key personnel. · The risks affecting the business model’s return (and financial assets held in that business model) and, particularly, the way these risks are managed. · How the Group’s key personnel is compensated (for instance, if salaries are based on the fair value of the assets managed or on contractual cash flows collected) · The expected frequency, the value, moment and reasons of sales are also important aspects. The evaluation of the business model is based on reasonably expected scenarios, irrespective of worst-case or stress case scenarios. If after the initial recognition cash flows are realized in a different manner from the original expectations, the Group will not change the classification of the remaining financial assets held in that business model, but it will consider such information for evaluating recent purchases or originations. An instrument’s reclassification is only made when, and only when, an entity changes its business model for managing financial assets Contractual Cash Flow Characteristics Where the business model is to hold assets to collect contractual cash flows or to collect contractual cash flows and sell, the Group assesses whether the financial instruments’ cash flows represent solely payments of principal and interest. Where the contractual terms introduce exposure to risk or volatility that are inconsistent with a basic lending arrangement, the related financial asset shall be classified and measured at fair value through profit or loss. Based on the aforementioned, there are three different categories of Financial Assets: i) Financial assets at amortized cost. Financial assets shall be measured at amortized cost if both of the following conditions are met: (a) the financial asset is held for collection of contractual cash flows, and (b) the assets’s cash flows represent solely payments of principal and interest. The amortized cost is the amount at which it is measured at initial recognition minus the principal repayments, plus or minus the cumulative amortization using the effective interest method of any difference between that initial amount and the maturity amount and, for financial assets, adjusted for any loss allowance. ii) Financial assets at fair value through other comprehensive income: Financial assets shall be measured at fair value through other comprehensive income when: (a) the financial asset is held for collection of contractual cash flows and for selling financial assets and (b) the asset’s cash flows represent solely payments of principal and interest. These instruments shall be initially recognized at fair value plus or minus transaction costs that are incremental and directly attributable to the acquisition or issue of the instrument, and subsequently measured at fair value through other comprehensive income. Gains and losses arising out of changes in fair value shall be included in other comprehensive income within a separate component of equity. Impairment gains or losses or reversal, interest revenue and foreign exchange gains and losses on the instrument’s amortized cost are recognized in profit or loss. At the time of sale or disposal, the cumulative gain or loss previously recognized in other comprehensive income is reclassified from equity to the income statement. Interest income from these financial assets is determined using the effective interest rate method. iii) Financial assets at fair value through profit or loss: Financial assets at fair value through profit or loss comprise: · Instruments held for trading · Instruments specifically designated at fair value through profit or loss · Instruments with contractual cash-flows that do not represent solely payments of principal and interest These financial instruments are initially recognized at fair value and any change in fair value measurement is charged to the income statement. The Group classifies a financial instrument as held for trading if such instrument is acquired or incurred for the main purpose of selling or repurchasing it in the short term, or it is part of a portfolio of financial instruments which are managed together and for which there is evidence of short-term profits or if it is a derivative financial instrument not designated as a hedging instrument. Derivatives and trading securities are classified as held for trading and are measured at fair value. b – Equity Instruments Equity instruments are instruments that do not contain a contractual obligation to pay and that evidence a residual interest in the issuer’s net assets. Such instruments are measured at fair value through profit and loss, except where the Group’s management has elected, at initial recognition, to irrevocably designate an equity investment at fair value through other comprehensive income. This option is available when instruments are not held for trading. The gains or losses of these instruments are recognized in other comprehensive income and are not subsequently reclassified to profit or loss, including on disposal. Dividends that result from such instrument will be charged to income when the Group’s right to receive payments is established. Derecognition of Financial Assets The Group derecognizes financial assets only when any of the following conditions are met: 1. The rights on the financial asset cash flows have expired; or 2. The financial asset is transferred pursuant to the requirements in 3.2.4 of IFRS 9. The Group derecognizes financial assets that have been transferred only when the following characteristics are met: 1. The contractual rights to receive the cashflows from the assets have expired or when they have been transferred and the Group transfers substantially all the risks and rewards of ownership. 2. The Entity retains the contractual rights to receive cash flows from assets but assumes a contractual obligation to pay those cash flows to oher entities and transfers subtantially all of the risks and rewards. These transactions result in derecognition if the Group: a. Has no obligation to make payments unless it collects amounts from the assets; b. Is prohibited from selling or pledging the financial assets; c. Has an obligation to remit any cash it collects from the assets without material delay. Write Off of Financial Assets The Group reduces the gross carrying amount of a financial asset when it has no reasonable expectations of recovering a financial asset in its entirety of a portion thereof. A write-off constitues a derecognition event. Financial Liabilities Classification The Group classifies its financial liabilities as subsequently measured at amortized cost using the effective rate method, except for: · Financial liabilities at fair value through profit or loss. · Financial liabilities arising from the transfer of financial assets which did not qualify for derecognition. · Financial guarantee contracts and loan commitments. Financial Liabilities valued at fair value through profit or loss : At initial recognition, the Group can designate a liability at fair value through profit or loss if it reflects more appropriately the financial information because: · The Group eliminates or substantially reduces an accounting mismatch in measurement or recognition inconsistency; or · if financial assets and financial liabilities are managed and their performances assessed on a fair value basis according to an investment strategy or a documented risk management; or · if a host contract contains one or more embedded derivatives and the Group has opted for designating the entire contract at fair value through profit or loss. Financial guarantee contract : A guarantee contract is a contract which requires the issuer to make specified payments to reimburse the holder for a loss it incurs because a specified debtor fails to make payments when due, in accordance with the terms of a debt instrument. Financial guarantee contracts and loan commitments are initially measured at fair value and subsequently measured at the higher of the amount of the loss allowance and the unaccrued premium at year end. Derecognition of financial liabilities The Entity derecognizes financial liabilities when they are extinguished; this is, when the obligation specified in the contract is discharged, cancelled or expires. When an existing financial liability is exchanged by another of the same borrower under significantly different conditions, or the conditions are significantly modified, such exchange or modification is treated as a derecognition of the original liability and a new liability is recognized, the difference between the value in books of the initial financial liability and the consideration paid is recognized in the Consolidated Income Statement. When the renegotiation conditions are not significantly different, or the conditions are not significantly modified, the flows of the modified financial liabilities are discounted at the rate of the original contract. |
Derivatives | Derivatives are initially recognized at their fair value on the date on which the derivative contract is entered into and are subsequently remeasured at fair value. All derivative instruments are recognised as assets when their fair value is positive, and as liabilities when their fair value is negative. Any change in the fair value of derivative instruments is included in the income statement. The Group has not applied hedge accounting in these consolidated financial statements. |
Repo Transactions | Reverse Repo Transactions According to the derecognition principles set out in IFRS 9, these transactions are treated as secured loans since the risk has not been transferred to the counterparty. Loans granted in the form of reverse repo agreements are accounted for under "Repo Transactions", classified by counterparty and also by the type of assets received as collateral. At the end of each month, accrued interest income is charged under "Repo Transactions" with its corresponding offsetting entry in "Interest Income." The assets received and sold by the Group are derecognized at the end of the repo transaction, and an in-kind liability is recorded to reflect the obligation to deliver the security disposed of. Repo Transactions Loans granted in the form of repo transactions are accounted for under "Repo Transactions", classified by counterparty and also by the type of asset pledged as collateral. In these transactions, when the recipient of the underlying asset becomes entitled to sell it or pledge it as collateral, it is reclassified to "Financial assets pledged as collateral". At the end of each month, these assets are measured according to the category they had before they were subject to the repo transaction, and results are charged against the applicable accounts, depending on the type of asset. At the end of each month, accrued interest expense is charged under "Repo Transactions" with its corresponding offsetting entry in "Interest-Expenses". |
Impairment of financial assets | =400, Segment Open Market >=700 y Segment Senior Citizens >=610 Rest: Segment plan sueldo (payrroll customers) >=500, Segment Open Market >=700 y Segmento Senior Citizens >=610
Corporate Banking
·
Portfolios between 31 and 90 days past due
·
Maximum Argentine Central Bank a situation equal to 2
·
Credit Ratings C (Probability of default higher than 30%)
·
Its rating deteriorated by more than two notes from its credit approval rating.
·
Entrepreneurs portfolio affected by the Sectorial Analysis (explained below).
Consumer Finance:
·
Portfolios between 31 and 90 days past due.
·
Entrepreneurs portfolio affected by the Sectorial Analysis (explained below).
Sectoral Analysis – Covid-19 Risk
In virtue of the fact that internal impairment models do not reflect properly Covid-19 impact on the local and global industries situation (See Note 13) as historical information is utilized, a sectoral analysis has been included as additional definition of the significant risk increase.
In such analysis, companies' default risk is evaluated according to the type of industry and the impact such companies have suffered in face of the current economic situation, while taking into account their features, seasonal nature, etc.
Finally, the different industries are classified into four types of risk. They are:
·
Low risk
·
Medium risk
·
High risk
·
Very high risk
This additional definition of a significant increase in credit risk has been applied for the SME and E&P segments, for the very high and high risk activities (only for the Single Firm portfolio):
Very high risk
High risk
Construction
Machinery & equipment
Tourism & Gastronomy
Iron and steel industry
Real estate
Home appliances
Entertainmet
Sports
Passenger transport
Textile
Professional services
The Group has considered that non collaterallized facilities of clients within the high risk activities are considered to have experienced a significant increase in credit risk, whereas all facilities of clients within the very high risk activities are considered to have experienced a significant increase of credit risk.
The impairment model in IFRS 9 applies to financial assets measured at amortized cost, debt instruments at fair value through other comprehensive income, lease receivables and loan commitments and financial guarantees that are not measured at fair value.
1.11.3
Expected losses are estimated both in a collective and individual basis.
The Group´s individual estimation is aimed at calculating expected losses for significantly impaired loans. In these cases, the amount of credit losses is calculated as the difference between expected cash flows discounted at the effective interest rate of the operation and the carrying value of the instrument.
For expected credit loss provisions modelled on a collective basis, the Group has developed internal models. The grouping of exposures is performed on the basis of shared characteristics, such that risk exposures within group are homogeneous. In performing the grouping there must be sufficient information for the group to be statistically reliable .
The Group has identified three groupings: Personal and Business Banking, Corporate Banking and Consumer Finance, amongst these three segments the Group estimates parameters in a more granular way based on the shared risk characteristics
Credit risk features may consider the following factors, among others:
Group
Parameter
Grouping
Personal and Business Banking
Probability of Default (PD)
Personal loans (1)
Credit card loans (1)
Mortgage loans
Refinancing
Other financings
Loss Given Default (LGD)
Personal loans
Credit card loans
Overdrafts
Mortgage loans
Refinancing
Other financings
Corporate Banking
Probability of Default (PD) (2)
Small companies
Medium companies
Big companies
Financial Area
Secured loans
Unsecured loans
Consumer Finance
Probability of Default
Credit cards loans
Refinancing
Cash loans
Cash consumptions and directed loans
CCF Automobile Loans
Tarjeta Automatica Personal loans
Loss Given Default
Credit cards
Personal loans
Refinancing
CCF Automobile Loans
(1)
For credit cards and personal loans, the Group includes an additional layer of analysis: senior citizens, high income, open market, high income payroll, non- high income open market, non-high income payroll, Personal and Business Banking, former senior cityzens and former payroll
(2)
Probability of default within Corporate Banking is calculated by grouping clients based on the client size for Stage 1 facilities. For Stage 2 and Stage 3, Probability of default is calculated including all segments of Corporate Banking due to the lack of materiality to form a larger group.
The credit risk characteristics used to group the instruments are, among others: type of instrument, debtor's sector of activity, geographical area of activity, type of guarantee, aging of past due balances and any other factor relevant to estimating the future cash flows.
Grouping of financial instruments is monitored and reviewed on a regular basis by the Credit Risk and Stress Test Area.
1.11.4
The Group considers that a financial instrument is in default when such instrument entails one or more of the following criteria:
Personal and Business Banking
·
Financial instruments delinquent more than 90 days past due.
Corporate Banking
·
Financial instruments delinquent more than 90 days in past due.
·
Financial instruments with B.C.R.A. situation greater than or equal to 3.
·
Rating C or D.
Consumer Finance
·
Financial instruments more than 90 days past due.
These criteria are applied in a consistent manner to all financial instruments and are aligned with the internal definition of defaultused for the administration of credit risk. Likewise, such definition is consistently applied to define PD ("Probability of Default"), Exposure at Default ("EAD") and Loss Given Default ( "LGD").
1.11.5
ECL is measured on a 12-month or lifetime basis, depending on whether a significant increase in credit risk has been recorded since initial recognition or whether an asset is considered to be credit-impaired. ECL are the discounted product of the Probability of Default ("PD"), Exposure at default ("EAD") and Loss Given Default ("LGD"), defined as follows:
·
The PD represents the likelihood of a borrower defaulting on its financial obligation (pursuant to the "Definition of default and credit impaired" set forth in Note 1.11.4), either over the next 12 months or over the remaining lifetime (lifetime PD) of the obligation.
·
EAD is based on the amounts the Group expects to be owed at the time of default, over the next 12 months (12 months EAD) or the remaining lifetime (lifetime EAD). For example, for a revolving commitment, the Group includes the current drawn balance plus any further amount that is expected to be drawn up to the current contractual limit by the time of default, should it occur.
·
LGD represents the Group´s expectation of the extent of loss on a defaulted exposure. LGD varies by type of counterparty, seniority of claim, availability of collateral or other type of credit support. LGD is expressed as a percentage per unit of exposure at the time of default LGD is calculated on a 12-month or lifetime basis, where 12 month LGD is the percentage of loss expected to be made if the default occurs in the next 12 months and lifetime LGD is the percentage of loss expected to be made if the default occurs over the remaining expected lifetime of the loan.
ECL is determined by projecting PD, LGD and EAD for each future month and each individual exposure or collective segment. These three components are multiplied and adjusted for the likelihood of survival (that is, the exposure has not been prepaid or defaulted in an earlier month). This effectively calculates an ECL for each future month, which is then discounted back to the reporting date and summed. The discount rate used inthe ECL calculation is the original effective interest rate or an approximation thereof.
The Entity based its calculation of the ECL parameters on internal modelsthat were adapted in order to be compliant with IFRS 9.
The Group includes forward-looking information in its definition of PD, EAD and LGD. See Note 1.11.6 for the explanation of forward-looking information and its consideration in the calculation of ECL.
1.11.6
The evaluation of significant increase in credit risk and the calculation of ECL includes forward-looking information. The Group has performed historical analysis and identified key economic variables that impact credit risk and expected credit losses for each portfolio.
Forecasts of these economic variables ("base economic scenario") are provided on a six-month basis by the Research team of the Group and provide the best estimate view of the economy over the the next 12 months. The impact of these economic variables on PD and LGD has been determined by performing statistical regression analysis to understand the impact changes in these variables have had historically on default rates and LGD components.
In addition to the base economic scenario, the Research team of the Group also provides two potential scenarios together with scenario weightings. The number of other scenarios is set based on the analysis of each major product type to ensure non linearities are captured.. The number of scenarios and their attributes are reassessed on a six-month basis, unless a change in the macroeconomic scenes requires a sooner reassessment.
As of January 1, 2020 and as of December 31, 2020, as for its portfolios, the Group concluded that three scenarios have properly captured non-linearities. Scenario weightings are determined by a combination of statistical analysis andexpert judgement analysis, taking into account a range of possible outcomes each chosen scenario is representative of. The assessment of significant increases in credit risk is performed using lifetime PD under each of the base and the other scenarios, multiplied by the associated scenario weighting, along with qualitative and backstop indicators (See Note 1.11.2). This determines if the financial instrument is in Stage 1, Stage 2 or Stage 3 and, hence, whether 12-month or Lifetime ECL should be recorded. As with any economic forecast, projections and probabilities of occurrence are subject to a high degree of uncertainty, and therefore actual results may be significantly different to those projected. The Group considers these forecasts to represent its best estimate of the possible outcomes and has analyzed the non-linearities and asymmetries within the different portfolios of the Group to establish that the chosen scenarios are appropriately representative of the range of possible scenarios.
The most significant assumptions used to calculate ECL as of December 31, 2020 are as follows:
Parameter
Industry / Segment
Macroeconomic Indicator
Scenario 1
Scenario 2
Scenario 3
Open Market
Inflation Rate
46.8
%
41.3
%
52.4
%
Private Sector Wage
50.7
%
55.7
%
45.6
%
Personal and Business
Income Payroll
Quantity of Private Sector Employment
5,924
5,928
5,921
Private Sector Real Wage
2.7
%
10.2
%
(4.5)
%
Senior Citizens
Inflation Rate
46.8
%
41.3
%
52.4
%
Probability of Default
Monthly Economic Activity Estimator
138
140
136
Corporate
All
Interest Rate
(4.6)
%
(3.8)
%
(5.5)
%
Monthly Economic Activity Estimator
138
140
136
CCF
Private Sector Wage
50.7
%
55.7
%
45.6
%
Consumer Finance
Monthly Economic Activity Estimator
138
140
136
CCF Automobile secured
Private Sector Wage
50.7
%
55.7
%
45.6
%
Inflation Rate
46.8
%
41.3
%
52.4
%
Supervielle Bank
All
Private Sector Wage
50.7
%
55.7
%
45.6
%
Loss Given Default
CCF
Private Sector Wage
50.7
%
55.7
%
45.6
%
Consumer Finance
CCF Automobile secured
Private Sector Loans
64.1
%
70.5
%
57.7
%
Private Sector Wage
50.7
%
55.7
%
45.6
%
The following are weightings assigned to each scenario as of December 31, 2020:
Scenario 1
80
%
Scenario 2
10
%
Scenario 3
10
%
Sensitivity analysis
The chart below includes changes in ECL as of December 31, 2020 that would result from reasonably potential changes in the following parameters:
December 31, 2020
Reported ECL Allowance
8,424,714
Gross carrying amount
113,819,900
Reported Loss rate
7.40
%
ECL amount by scenarios
Favorable scenario
6,927,295
Unfavorable scenario
8,142,498
Loss Rate by scenarios
Favorable scenario
6.09
%
Unfavorable scenario
7.15
%" id="sjs-B18">The Group assesses on a forward-looking basis the expected credit losses (“ECL”) associated to its financial assets measured at amortized cost, debt instruments measured at fair value through other comprehensive income, loan commitments and financial guarantee contracts that are not measured at fair value. The impairment for expected credit losses is recorded with a charge to the consolidated income statement for the period in which the impairment arises. In the event of occurrence, the recoveries of previously recognized impairment losses are recorded in the consolidated income statement for the period in which the impairment no longer exists or is reduced. In the case of assets measured at fair value through other comprehensive income, the changes in the fair value due to expected credit losses are charged in the consolidated income statement of the year where the change happened, other movements in the fair value of the instrument are reflected in other comprehensive income. As a rule, the expected credit loss is estimated as the difference between the contractual cash flows to be recovered and the expected cash flows discounted using the original effective interest rate. In the case of purchased or originated credit-impaired assets, this difference is discounted using the effective interest rate adjusted by credit rating. Depending on the classification of financial instruments, which is mentioned in the following sections, the expected credit losses may be over 12 months or during the life of the financial instrument: · 12‑month expected credit losses: arising from the potential default events, as defined in the following sections that are estimated to be likely to occur within the 12 months following the reporting date. These losses will be associated with financial assets classified in Stage 1. · Lifetime Expected credit losses are those arising from the potential default events that are likely to occur throughout the life of the financial instruments. These losses are associated with financial assets classified in Stage 2 or Stage 3. With the purpose of estimating the expected life of the financial instrument all the contractual terms are taken into account (e.g. duration, purchase options, etc.), for most financial instruments the contractual period (including extension options) is the maximum period considered to measure expected credit losses. In the case of revolving credit facilities (e.g.: credit cards), the expected life is estimated through quantitative analyses to determine the period during which the entity is exposed to credit risk, taking into account the effectiveness of management procedures that mitigate such exposure (e.g. the ability to unilaterally cancel such financial instruments, etc.). 1.11.1 Financial instruments presentation For the purposes of estimating ECL, and in accordance with its internal policies, the Group classifies its financial instruments (financial assets, loan commitments and guarantees) measured at amortized cost or fair value through other comprehensive income in one of the following categories: · Normal Risk ("Stage 1"): includes all instruments that have not experienced a significant increase in credit risk since initial recognition and is not purchased or originated credit impaired. · Normal risk under watchlist ("Stage 2"): includes all instruments that, have experienced significant increases in credit risk since initial recognition but are not yet deemed credit-impaired. · Doubtful Risk ("Stage 3"): includes financial instruments, overdue or not, which are considered to be credit impaired. Likewise, loan commitmennts or financial guarantees whose payment is probable and their recovery doubtful are considered to be in Stage 3. The following chart summarizes the impairment requirements pursuant to IFRS 9 (for financial assets that are not purchased or originated credit-impaired): Changes in the credit quality since initial recognition Stage 1 Stage 2 Stage 3 (initial recognition) (significant increase of credit risk since initial recognition) (Impaired credit) 12 months ECL Lifetime ECL The following describes the Group´s judgements and assumptions for ECL measurement: 1.11.2 Significant increase in credit risk The Group considers a financial instrument to have experienced a significant increase in credit risk when any of the following conditions exist: Personal and Business Banking · Portfolios between 31 and 90 days past due · The credit origination score has deteriorated by more than 30% with respect to the current performance score · Score of behavior less than cut off (1) · Loans and credit cards refinanced under Decree No. 260/2020 Coronavirus (COVID-19) (see Note 34) that were impaired at the time of refinancing. Or, loans that were not impaired at the time of refinancing, but deferred more than 5 installments. · Entrepreneurs portfolio affected by the Sectorial Analysis (explained below). (1) Renta Higher income: Segment plan sueldo (payrroll customers) >=400, Segment Open Market >=700 y Segment Senior Citizens >=610 Rest: Segment plan sueldo (payrroll customers) >=500, Segment Open Market >=700 y Segmento Senior Citizens >=610 Corporate Banking · Portfolios between 31 and 90 days past due · Maximum Argentine Central Bank a situation equal to 2 · Credit Ratings C (Probability of default higher than 30%) · Its rating deteriorated by more than two notes from its credit approval rating. · Entrepreneurs portfolio affected by the Sectorial Analysis (explained below). Consumer Finance: · Portfolios between 31 and 90 days past due. · Entrepreneurs portfolio affected by the Sectorial Analysis (explained below). Sectoral Analysis – Covid-19 Risk In virtue of the fact that internal impairment models do not reflect properly Covid-19 impact on the local and global industries situation (See Note 13) as historical information is utilized, a sectoral analysis has been included as additional definition of the significant risk increase. In such analysis, companies' default risk is evaluated according to the type of industry and the impact such companies have suffered in face of the current economic situation, while taking into account their features, seasonal nature, etc. Finally, the different industries are classified into four types of risk. They are: · Low risk · Medium risk · High risk · Very high risk This additional definition of a significant increase in credit risk has been applied for the SME and E&P segments, for the very high and high risk activities (only for the Single Firm portfolio): Very high risk High risk Construction Machinery & equipment Tourism & Gastronomy Iron and steel industry Real estate Home appliances Entertainmet Sports Passenger transport Textile Professional services The Group has considered that non collaterallized facilities of clients within the high risk activities are considered to have experienced a significant increase in credit risk, whereas all facilities of clients within the very high risk activities are considered to have experienced a significant increase of credit risk. The impairment model in IFRS 9 applies to financial assets measured at amortized cost, debt instruments at fair value through other comprehensive income, lease receivables and loan commitments and financial guarantees that are not measured at fair value. 1.11.3 Expected losses are estimated both in a collective and individual basis. The Group´s individual estimation is aimed at calculating expected losses for significantly impaired loans. In these cases, the amount of credit losses is calculated as the difference between expected cash flows discounted at the effective interest rate of the operation and the carrying value of the instrument. For expected credit loss provisions modelled on a collective basis, the Group has developed internal models. The grouping of exposures is performed on the basis of shared characteristics, such that risk exposures within group are homogeneous. In performing the grouping there must be sufficient information for the group to be statistically reliable . The Group has identified three groupings: Personal and Business Banking, Corporate Banking and Consumer Finance, amongst these three segments the Group estimates parameters in a more granular way based on the shared risk characteristics Credit risk features may consider the following factors, among others: Group Parameter Grouping Personal and Business Banking Probability of Default (PD) Personal loans (1) Credit card loans (1) Mortgage loans Refinancing Other financings Loss Given Default (LGD) Personal loans Credit card loans Overdrafts Mortgage loans Refinancing Other financings Corporate Banking Probability of Default (PD) (2) Small companies Medium companies Big companies Financial Area Secured loans Unsecured loans Consumer Finance Probability of Default Credit cards loans Refinancing Cash loans Cash consumptions and directed loans CCF Automobile Loans Tarjeta Automatica Personal loans Loss Given Default Credit cards Personal loans Refinancing CCF Automobile Loans (1) For credit cards and personal loans, the Group includes an additional layer of analysis: senior citizens, high income, open market, high income payroll, non- high income open market, non-high income payroll, Personal and Business Banking, former senior cityzens and former payroll (2) Probability of default within Corporate Banking is calculated by grouping clients based on the client size for Stage 1 facilities. For Stage 2 and Stage 3, Probability of default is calculated including all segments of Corporate Banking due to the lack of materiality to form a larger group. The credit risk characteristics used to group the instruments are, among others: type of instrument, debtor's sector of activity, geographical area of activity, type of guarantee, aging of past due balances and any other factor relevant to estimating the future cash flows. Grouping of financial instruments is monitored and reviewed on a regular basis by the Credit Risk and Stress Test Area. 1.11.4 The Group considers that a financial instrument is in default when such instrument entails one or more of the following criteria: Personal and Business Banking · Financial instruments delinquent more than 90 days past due. Corporate Banking · Financial instruments delinquent more than 90 days in past due. · Financial instruments with B.C.R.A. situation greater than or equal to 3. · Rating C or D. Consumer Finance · Financial instruments more than 90 days past due. These criteria are applied in a consistent manner to all financial instruments and are aligned with the internal definition of defaultused for the administration of credit risk. Likewise, such definition is consistently applied to define PD ("Probability of Default"), Exposure at Default ("EAD") and Loss Given Default ( "LGD"). 1.11.5 ECL is measured on a 12-month or lifetime basis, depending on whether a significant increase in credit risk has been recorded since initial recognition or whether an asset is considered to be credit-impaired. ECL are the discounted product of the Probability of Default ("PD"), Exposure at default ("EAD") and Loss Given Default ("LGD"), defined as follows: · The PD represents the likelihood of a borrower defaulting on its financial obligation (pursuant to the "Definition of default and credit impaired" set forth in Note 1.11.4), either over the next 12 months or over the remaining lifetime (lifetime PD) of the obligation. · EAD is based on the amounts the Group expects to be owed at the time of default, over the next 12 months (12 months EAD) or the remaining lifetime (lifetime EAD). For example, for a revolving commitment, the Group includes the current drawn balance plus any further amount that is expected to be drawn up to the current contractual limit by the time of default, should it occur. · LGD represents the Group´s expectation of the extent of loss on a defaulted exposure. LGD varies by type of counterparty, seniority of claim, availability of collateral or other type of credit support. LGD is expressed as a percentage per unit of exposure at the time of default LGD is calculated on a 12-month or lifetime basis, where 12 month LGD is the percentage of loss expected to be made if the default occurs in the next 12 months and lifetime LGD is the percentage of loss expected to be made if the default occurs over the remaining expected lifetime of the loan. ECL is determined by projecting PD, LGD and EAD for each future month and each individual exposure or collective segment. These three components are multiplied and adjusted for the likelihood of survival (that is, the exposure has not been prepaid or defaulted in an earlier month). This effectively calculates an ECL for each future month, which is then discounted back to the reporting date and summed. The discount rate used inthe ECL calculation is the original effective interest rate or an approximation thereof. The Entity based its calculation of the ECL parameters on internal modelsthat were adapted in order to be compliant with IFRS 9. The Group includes forward-looking information in its definition of PD, EAD and LGD. See Note 1.11.6 for the explanation of forward-looking information and its consideration in the calculation of ECL. 1.11.6 The evaluation of significant increase in credit risk and the calculation of ECL includes forward-looking information. The Group has performed historical analysis and identified key economic variables that impact credit risk and expected credit losses for each portfolio. Forecasts of these economic variables ("base economic scenario") are provided on a six-month basis by the Research team of the Group and provide the best estimate view of the economy over the the next 12 months. The impact of these economic variables on PD and LGD has been determined by performing statistical regression analysis to understand the impact changes in these variables have had historically on default rates and LGD components. In addition to the base economic scenario, the Research team of the Group also provides two potential scenarios together with scenario weightings. The number of other scenarios is set based on the analysis of each major product type to ensure non linearities are captured.. The number of scenarios and their attributes are reassessed on a six-month basis, unless a change in the macroeconomic scenes requires a sooner reassessment. As of January 1, 2020 and as of December 31, 2020, as for its portfolios, the Group concluded that three scenarios have properly captured non-linearities. Scenario weightings are determined by a combination of statistical analysis andexpert judgement analysis, taking into account a range of possible outcomes each chosen scenario is representative of. The assessment of significant increases in credit risk is performed using lifetime PD under each of the base and the other scenarios, multiplied by the associated scenario weighting, along with qualitative and backstop indicators (See Note 1.11.2). This determines if the financial instrument is in Stage 1, Stage 2 or Stage 3 and, hence, whether 12-month or Lifetime ECL should be recorded. As with any economic forecast, projections and probabilities of occurrence are subject to a high degree of uncertainty, and therefore actual results may be significantly different to those projected. The Group considers these forecasts to represent its best estimate of the possible outcomes and has analyzed the non-linearities and asymmetries within the different portfolios of the Group to establish that the chosen scenarios are appropriately representative of the range of possible scenarios. The most significant assumptions used to calculate ECL as of December 31, 2020 are as follows: Parameter Industry / Segment Macroeconomic Indicator Scenario 1 Scenario 2 Scenario 3 Open Market Inflation Rate 46.8 % 41.3 % 52.4 % Private Sector Wage 50.7 % 55.7 % 45.6 % Personal and Business Income Payroll Quantity of Private Sector Employment 5,924 5,928 5,921 Private Sector Real Wage 2.7 % 10.2 % (4.5) % Senior Citizens Inflation Rate 46.8 % 41.3 % 52.4 % Probability of Default Monthly Economic Activity Estimator 138 140 136 Corporate All Interest Rate (4.6) % (3.8) % (5.5) % Monthly Economic Activity Estimator 138 140 136 CCF Private Sector Wage 50.7 % 55.7 % 45.6 % Consumer Finance Monthly Economic Activity Estimator 138 140 136 CCF Automobile secured Private Sector Wage 50.7 % 55.7 % 45.6 % Inflation Rate 46.8 % 41.3 % 52.4 % Supervielle Bank All Private Sector Wage 50.7 % 55.7 % 45.6 % Loss Given Default CCF Private Sector Wage 50.7 % 55.7 % 45.6 % Consumer Finance CCF Automobile secured Private Sector Loans 64.1 % 70.5 % 57.7 % Private Sector Wage 50.7 % 55.7 % 45.6 % The following are weightings assigned to each scenario as of December 31, 2020: Scenario 1 80 % Scenario 2 10 % Scenario 3 10 % Sensitivity analysis The chart below includes changes in ECL as of December 31, 2020 that would result from reasonably potential changes in the following parameters: December 31, 2020 Reported ECL Allowance 8,424,714 Gross carrying amount 113,819,900 Reported Loss rate 7.40 % ECL amount by scenarios Favorable scenario 6,927,295 Unfavorable scenario 8,142,498 Loss Rate by scenarios Favorable scenario 6.09 % Unfavorable scenario 7.15 % |
Leases | The group as lessor: Operating leases Leases where the lessor retains a substantial portion of the risks and rewards of ownership are classified as operating leases. Payments made under operating leases (net of lease incentives) are recognized in profit or loss on a straight-line basis over the term of the lease. In addition, the Group recognizes the associated costs such as amortization and expenses. The historical cost includes expenditures that are directly attributable to the acquisition of these items and those expenses are charged to profit or loss during the lease term. The depreciation applied to the leased underlying assets is consistent with the one applied to similar assets’ group. In addition, the Group utilizes the criteria described in Note 1.18 to determine whether there is objective evidence that an impairment loss has occurred. Finance leases Finance leases are measured at the present value of the future lease payments using a discount rate determined at inception. The difference between the gross receivable and the present value represents unearned financial income and is recognized during the lease term using the net investment method, which reflects a constant periodic rate of return. Incremental costs directly attributable to negotiating and arranging the lease are included in the initial measurement of the lease and reduce the amount of income recognized during the lease term. The Group utilizes the criteria described in Note 1.11 to determine whether there is objective evidence that an impairment loss has occurred, as for loans carried at amortized cost. The group as lessee: Accounting policy for leases in which the Group acts as a lessee is disclosed in Note 7. |
Property, plant and equipment | Property, plant and equipment is measured at historical cost less depreciation, except for land and buildings, where the Group adopted the revaluation model. The historical cost includes expenditure that is directly attributable to the acquisition or building of these items. The subsequent costs are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Group, and the cost of the item can be measured reliably. The carrying amount of an asset is derecognized when replaced. Repairs and maintenance expenses are charged to profit or loss when they are incurred. Depreciation is calculated using the straight-line method, applying annual rates sufficient to extinguish the values of assets at the end of their estimated useful lives. In those cases in which an asset includes significant components with different useful lives, such components are recognized and depreciated as separate items. The following chart presents the useful life for each item included in property, plant and equipment: Property, plant and equipment Estimated useful life Buildings 50 Years Furniture 10 Years Machines and equipment 5 Years Vehicles 5 Years Others 5 Years The asset’s residual values and useful lives are reviewed and adjusted if appropriate, at the end of each reporting period. An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its estimated recoverable amount. Increases in the carrying amounts arising on revaluation of land and buildings are recognized in other comprehensive income. Decreases that reverse previous increases of the same asset are first recognized in other comprehensive income to the extent of the remaining surplus attributable to the asset. All other decreases are charged to profit or loss. Gains and losses on disposals are determined by comparing proceeds with carrying amount. |
Investment properties | Investment properties are composed of buildings held for obtaining a rent or for capital appreciation or both, but is never occupied by the Group. Investment properties are measured at its fair value, and any gain or loss arising from a change in the fair value is recognized in profit or loss. Investment properties are never depreciated. The fair value is determined using sales comparison approach prepared by the Group's management considering a report of an independent valuation expert. Investment properties under the cost approach reflect the amount that would be required to replace the service capacity of the asset. They were valued at acquisition or construction cost, net of accumulated depreciation and / or accumulated depreciation losses. The cost includes expenses that are directly attributable to the acquisition or construction of these items. Movements in investment properties for the year ended December 31, 2020 and 2019 were as follows: 12/31/2020 13/31/2019 Income derived from rents (rents charged) 9,719 14,998 Direct operating expenses of properties that generated income derived from rents (6,637) (13,168) Fair value remeasurement (92,457) (173,076) The net result generated by the investment property as of December 31, 2020 and 2019 amounts to a loss of 89,375 and an income of 171,246 respectively, and is recognized under "Other operating income", "Administrative expenses" and "Other operating expenses". in the consolidated comprehensive income statement. Gain and losses on disposals are determined by comparing proceeds with the carrying amount. |
Inventories | Inventories are valued at the lower of cost and net realizable value. Cost includes the acquisition costs (net of discounts, rebates and similar), as well as other costs that have been incurred to bring the inventories to their current location and conditions to be commercialized. The net realizable value is the estimated selling price in the ordinary course of business less the estimated costs of sale. The inventories’ net realizable values are reviewed and adjusted if carrying amount is greater than its net realizable value at the end of each reporting period. The Group establishes an allowance for obsolete inventory and low turnover rate products at the end of each year. |
Intangible Assets | (a) Goodwill Goodwill resulting from the acquisition of subsidiaries, associates or joint ventures account for the excess of the: i) consideration transferred, valued at fair value as of acquisition date ii) amount of any non-controlling interest in the acquired entity; and iii) acquisition-date fair value of any previous equity interest in the acquired entity iv) over the fair value of the net identifiable assets acquired. Goodwill is included in the intangible assets item in the consolidated financial statement. Goodwill is not subject to amortization, but it is annually tested for impairment. Impairment losses are not reverted once recorded. Gains and losses on the disposal of an entity include the carrying amount of goodwill relating to the entity sold. Goodwill is allocated to cash-generating units for the purpose of impairment testing. Goodwill impairment is recognized when the carrying amount exceeds its recoverable amount which derives from the fair value of the cash-generating unit. The fair value of the reporting unit is estimated using discounted cash flows techniques. (b) Trademarks and licenses Trademarks and licenses acquired separately are initially valued at historical cost, while those acquired through a business combination are recognized at their estimated fair value at the acquisition date.. Intangible assets with a finite useful life are subsequently carried at cost less accumulated depreciation and / impairment losses, if any. These assets are tested for impairment annually or more frequently if events or changes in circumstances indicate that it might be impaired. Trademarks acquired by the Group have been classified as intangible assets with an indefinite useful life. The main factors considered for this classification include the years in which they have been in service and their recognition among industry customers. Intangible assets with an indefinite useful life are those that arise from contracts or other legal rights that can be renewed without a significant cost and for which, based on an analysis of all the relevant factors, there is no foreseeable limit of the period over which the asset is expected to generate net cash flows for the Group. These intangible assets are not amortized, but are tested for impairment annually or more frequently if events or changes in circumstances indicate that they might be impaired, either individually or at the level of the cash generating unit. The categorization of the indefinite useful life is reviewed annually to confirm if it is still applicable. (c) Software Costs related to software maintenance are recognized as an expense as incurred. Development, acquisition or implementation costs which are directly attributable to the design and testing of identifiable and unique software products controlled by the Group are recognized as intangible assets when the following criteria are met:. · it is technically feasible to complete the software so that it will be available for use · management intends to complete the software and use or sell it · there is an ability to use or sell the software · it can be demonstrated how the software will generate probable future economic benefits · adequate technical, financial and other resources to complete the development and to use or sell the software are available, and · the expenditure attributable to the software during its development can be reliably measured. These intangible assets are amortized on a straight-line basis during their estimated useful life, over a term not exceeding five years. |
Assets held for sale | The assets, or groups of assets, with some directly associated liabilities, classified as held for sale in accordance with the provisions of IFRS 5 "Non-current assets held for sale and discontinued operations" will be disclosed separately from the rest of assets and liabilities. An asset may be classified as held for sale if its carrying amount will be recovered primarily through a sale transaction, rather than through its continued use, and a sale is considered highly probable. To apply the above classification, an asset must meet the following conditions: · It must be available for immediate sale in its current conditions; · Management must be committed to a plan to sell the asset and have started an active program to locate a buyer and complete the plan; the asset must be actively marketed for sale at a reasonable price, in relation to its current fair value; · the sale must be expected to be completed within 12 months from the reclassification date; · it is unlikely that the plan will be significantly changed or withdrawn. The assets, or groups of assets, possibly with some directly associated liabilities, classified as held for sale in accordance with the provisions of IFRS 5 "Non-current assets held for sale and discontinued operations", are measured at the lower of their carrying amount and fair value less costs to sell. The Group will not depreciate the asset while classified as held for sale. The balances of financial instruments, deferred taxes and investment properties classified as held for sale are not subject to the valuation methods detailed above. |
Impairment of non-financial assets | Assets with an indefinite useful life are not subject to amortization but are tested annually for impairment or more frequently if events or changes in circumstances indicate that they might be impaired. Other assets are tested for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable or, at least, on an annual basis. Impairment losses are recognized when the carrying amount exceeds its recoverable amount. The recoverable amount of an asset is the higher of an asset’s fair value less costs of disposal and value in use. For purposes of assessing impairment, assets are grouped at the lowest level for which there are separately identifiable cash inflows which are largely independent of the cash inflows from other assets or group of assets (cash-generating units). Non-financial assets other than goodwill that suffered an impairment are reviewed for possible reversal of the impairment at the end of each reporting period. |
Trust Assets | Assets held by the Group in its Trustee role, are not included in the Consolidated Financial Statements. Commissions and fees earned from trust activities are included in Service fee income. |
Offsetting | Financial assets and liabilities are offset and the net amount reported in the consolidated financial statement where the Group has a legally enforceable right to offset the recognized amounts and there is an intention to settle on a net basis or realize the assets and settle the liability simultaneously. |
Financing received from the Argentine Central Bank and other Financial Institutions | The amounts owed to other financial institutions are recorded at the time the bank disburses the proceeds to the Group. Non-derivative financial liabilities are measured at amortized cost. |
Provisions / Contingencies | A provision will be recognized when: · an entity has a present obligation (legal or implicit) as a result of past event; · it is probable that an outflow of resources embodying future economic benefits will be required to settle the obligation; and · the amount can be reliably estimated. An Entity will be deemed to have an implicit obligation where (a) the Group has assumed certain responsibilities as a consequence of past practices or public policies and (b) as a result, the Group has created an expectation that it will discharge those responsibilities The Group recognizes the following provisions: For labor, civil and commercial lawsuits: provisions are calculated based on lawyers’ reports about the status of the proceedings and the estimate about the potential losses to be afforded by the Group, as well as on the basis of past experience in this type of claims. For miscellaneous risks: These provisions are set up to address contingencies that may trigger obligations for the Group. In estimating the provision amounts, the Group evaluates the likelihood of occurrence taking into consideration the opinion of its legal and professional advisors. Other contingent liabilities are: i) possible obligations that arise from past events and whose existence will be confirmed only by the occurrence or non-occurrence of uncertain future events not wholly within the control of the Group; or ii) present obligations that arise from past events but it is not probable that an outflow of resources will be required to its settlement; or whose amount cannot be measured with sufficient reliability. Other contingent liabilities are not recognized. Contingent liabilities, whose possibility of any outflow in settlement is remote, are not disclosed unless they involve guarantees, in which case the nature of the guarantee is disclosed. The Group does not account for positive contingencies, other than those arising from deferred taxes and those contingencies whose occurrence is virtually certain. As of the date of these consolidated financial statements, the Group’s management believes there are no elements leading to determine the existence of contingencies that might be materialized and have a negative impact on these consolidated financial statements other than those disclosed in Note 17. |
Other non-financial liabilities | Non-financial accounts payable are accrued when the counterparty has fulfilled its contractual obligations and are measured at amortized cost. |
Employee benefits | The Group’s short-term obligations includes liabilities for wages and salaries, including annual leave, that are expected to be settled wholly within 12 months after the end of the period in which the employees render the related service are recognised in respect of employees’ services up to the end of the reporting period and are measured at the amounts expected to be paid when the liabilities are settled. The liabilities are presented as Other Non-Financial Liabilities in the Consolidated Financial Position. During 2018, the Group had in place a retirement plan based on incentives for members of senior management and the Board of Directors, who will be entitled to receive cash payments over time if certain performance objectives are met. This retirement plan was ceased in 2019. In addition, provisions related to pre-retirement plans and seniority awards benefits are recognized. Liabilities related to this plan are not expected to be settled wholly within 12 months after the end of the period in which the employees render the related service. These obligations are therefore measured as the present value of expected future payments to be made in respect of services provided by employees up to the end of the reporting period, using the projected unit credit method. Consideration is given to expected future wage and salary levels, experience of employee departures and periods of service. Expected future payments are discounted using market yields at the end of the reporting period of high-quality corporate bonds with terms and currencies that match, as closely as possible, the estimated future cash outflows. Remeasurements as a result of experience adjustments and changes in actuarial assumptions are recognised in profit or loss. These provisions are measured at the present value of the disbursements that are expected to be required to settle the obligation using a pre-tax interest rate that reflects prevailing market conditions the time value of money and the specific risks for that obligation. Termination benefits are payable when employment is terminated by the Group before the normal retirement date, or when an employee accepts voluntary redundancy in exchange for these benefits. The group recognises termination benefits at the earlier of the following dates: (a) when the group can no longer withdraw the offer of those benefits; and (b) when the entity recognises costs for a restructuring that is within the scope of IAS 37 and involves the payment of terminations benefits. In the case of an offer made to encourage voluntary redundancy, the termination benefits are measured based on the number of employees expected to accept the offer. Benefits falling due more than 12 months after the end of the reporting period are discounted to present value |
Debt Securities | Subordinated and unsubordinated Debt Securitiesissued by the Group are measured at amortized cost. Where the group buys back its own negotiable obligations, such obligations will be derecognized from the Consolidated Financial Statements and the difference between the residual value of the financial liability and the amount paid will be recognized as financial income or expenses. |
Assets and liabilities derived from insurance contracts | The Group applies IFRS 4 “Insurance Contracts” in order to recognize and measure the assets and liabilities derived from insurance contracts. Assets derived from insurance contracts An insurance contract is a contract under which the Group (the insurer) accepts significant insurance risk from another party (the policyholder) by agreeing to compensate the policyholder if a specified uncertain future event (the insured event) adversely affects the policyholder. Once a contract has been classified as an insurance contract, it remains an insurance contract for the rest of its term, even if the insurance risk is significantly reduced during this period, unless all rights and obligations are extinguished or expired. The insurance contracts offered by the Group include property insurance that covers combined family insurance, theft and similar risks, property damage, personal accidents, among other risks. They also include temporary life insurance contracts. Total premiums are recognized on the date of issuance of the policy as an account receivable. At the same time, a reserve for unearned premiums representing premiums for risks that have not yet expired is recorded as a liability. Unearned premiums are recognized as income during the contract period, which is also the coverage and risk period. The book value of insurance accounts receivable is reviewed for impairment whenever events or circumstances indicate that the book value may not be recoverable. The impairment loss is recorded in the income statement. Liabilities derived from insurance contracts Debt with insured The insurance claims reserves represent debts with insured people for claims reported to the company and an estimate of the claims that have already been incurred but that have not yet been reported to the company (IBNR). The reported claims are adjusted on the basis of technical reports received from independent appraisers. Debts with reinsurers and co-insurers The Group mitigates the risk for some of its insurance businesses through co-insurance or reinsurance contracts in other companies. In the case of co-insurance, the Group associates with another company to cover a risk assuming only a percentage of it and also the premium. In reinsurance, the risk is transferred to another insurance company both proportionally (as a percentage of the risk) and not proportionally (excess loss is covered above a certain limit). The reinsurance agreements assigned do not exempt the Group from its obligations to the insured. Coinsurance and reinsurance liabilities represent balances owed under the same conditions and the amounts payable are estimated in a manner consistent with the contract that gave rise to them. Debts with producers They represent liabilities with insurance agents originated in the commissions for the insurance operations that they originate for the Group companies. The balances of the current accounts with these entities are also included. Technical commitments The current risk reserve regularizes the premiums to be collected based on the incurred but not reported risks. |
Capital Stock and Capital Adjustments | Accounts included in this item are expressed in terms of the measuring unit current as of December 31, 2020 as described in Note 1.1.2, except from the item “Capital Stock”, which has been held at nominal value. Common shares are recognized in shareholders´ equity and carried at nominal value. When any subsidiary of the Group buys shares of the Group (treasury stock), the effective payment, including any cost directly attributable to the transaction (net of taxes), is deducted from shareholders´ equity until the shares are either canceled or disposed. |
Reserves and Dividend distribution | Pursuant to provisions set by the Argentine Corporations law, the Group and its subsidiaries, other than Banco Supervielle and Cordial Compañía Financiera, are required to appropriate 5% of the net income for the fiscal year to the legal reserve until such reserve is equal to 20% of Capital stock, plus the balance of the Capital Adjustment account. As concerns Banco Supervielle and Cordial Compañía Financiera, according to the regulations set forth by the Argentine Central Bank, 20% of net income for the fiscal year, net of previous years’ adjustments, if any, is required to be appropriated to the legal reserve. Notwithstanding the aforementioned, in appropriating amounts to other reserves, Financial Institutions are required to comply with the provisions laid down by the Argentine Central Bank in the revised text on distribution of dividends described in Note 25. The distribution of dividends to the Group’s shareholders is recognized as a liability in the consolidated financial statements for the fiscal year in which dividends are approved by the Group’s Shareholders. |
Revenue Recognition | Financial income and expense is recognized in respect of all debt instruments in accordance with the effective interest rate method, pursuant to which all gains and losses which are an integral part of the transaction effective interest rate are deferred. Gains or losses included in the effective interest rate embrace disbursements or receipts relating to the creation or acquisition of a financial asset or liability, such as preparation and processing of the documents required to consummate the transactions, and payments received for the extension of credit arrangements. Fees and commissions earned by the Group on the origination of syndicated loans are not part of the product effective interest rate, and are recognized in the income statement at the time the service is delivered. Commissions and fees earned by the Group on negotiations in third parties’ transactions are not part of the effective interest rate either, and are recognized at the time the transactions are executed. The Group's income from services is recognized in the income statement as performance obligations are fulfilled, part of the consideration received is allocated to the customer loyalty programs described below. Consideration is allocated based on the relative standalone selling prices for services rendered and points granted. Below is a summary of the main commissions earned by the Bank: Commission Frecuency of revenue recognition Account maintenance Monthly Safe deposit boxes Semi-annual Issuing Bank Event driven Credit Card renewal Annual Check management Event driven Customer loyalty programs The Group offers reward programs that allow its cardholders to earn points that can be redeemed for a broad range of rewards, including goods and travels among others. This constitutes a performance obligation. The Group establishes a liability based on the fair value of the points issued that are expected to be exchanged by customers. Points to be redeemed are estimated based on the historical redemption behavior of each program. The liability is reduced and the revenue is recognized as performance obligations relating to the points are satisfied, which normally is when the points are exchanged by customers or at their due dates. |
Income tax | Income Tax Income tax expense for the year includes current and deferred tax. Income tax is recognized in the consolidated statements of income, except for items required to be recognized directly in other comprehensive income. In this case, the income tax liability related to such items is also recognized in such statement. Current income tax expense is calculated on the basis of the tax laws enacted or substantially enacted as of the date of the Statement of Financial Position in the countries where the Company and its subsidiaries operate and generate taxable income. The Group periodically assesses the position assumed in tax returns in connection with circumstances in which the tax regulation is subject to interpretation. The Group sets up provisions in respect of the amounts expected to be required to pay to the tax authorities. Deferred income tax is recognized, using the deferred tax liability method, on temporary differences arising from the carrying amount of assets and liabilities and their tax base. However, the deferred tax arising from the initial recognition of an asset or liability in a transaction other than a business combination which, at the time of the transaction does not affect income or loss for accounting or tax purposes, is not recorded. Deferred income tax is determined using tax rates (and laws) enacted as of the date of the Financial Statements and that are expected to be applicable when the deferred tax assets are realized or the deferred tax liabilities are settled. Deferred income tax assets are recognized only to the extent future tax benefits are likely to arise against which the temporary differences can be offset. The Group recognizes a deferred tax liability for taxable temporary differences related to investments in subsidiaries and affiliates, except that the following two conditions are met: · the Group controls the timing on which temporary differences will be reversed; and · such temporary differences are not likely to be reversed in the foreseeable future. Deferred income tax assets and liabilities are offset when a legal right exists to offset current tax assets against current tax liabilities and to the extent such balances are related to the same tax authority of the Group or its subsidiaries, where tax balances are intended to be, and may be, settled on a net basis.. |
Earnings per share | Basic earnings per share are calculated by dividing net income attributable to the Group’s shareholders by the weighted average number of common shares outstanding during the year. Diluted earnings per share are calculated by dividing the net income for the year by the weighted average number of common shares issued and dilutive potential common shares at year end. Since the Company has no dilutive potential common shares outstanding, there are no dilutive earnings per share amounts. |
ACCOUNTING STANDARDS AND BASI_3
ACCOUNTING STANDARDS AND BASIS OF PREPARATION (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | |
Summary of Effects of Variation in Prices of Price Index | The tables below show the evolution of these indexes in the last three years and as of December 31, 2020 according to official statistics (INDEC): As of December 31, 2018 2019 2020 Variation in Prices Annual 47.6 % 53.8 % 36.1 % Accumulated 3 years 148.0 % 183.4 % 209.2 % |
Summary of Subsidiaries Included in Consolidation Process | The following chart details the subsidiaries included in the consolidation process: Percentage of direct or indirect investment in capital stock Company Main Activity 12/31/2020 12/31/2019 12/31/2018 Banco Supervielle S.A. Commercial Bank 99.90 % (1) 99.90 % (1) 99.89 % (1) Cordial Compañía Financiera S.A. Financial Company 99.90 % 99.90 % 99.90 % Tarjeta Automática S.A. Credit Card 99.99 % 99.99 % 99.99 % Supervielle Asset Asset Management 100.00 % 100.00 % 100.00 % Sofital S.A.F. e I.I. Real State 100.00 % 100.00 % 100.00 % Espacio Cordial de Servicios S.A. Retail Services 100.00 % 100.00 % 100.00 % Supervielle Seguros S.A. Insurance 100.00 % 100.00 % 100.00 % Micro Lending S.A.U. Financial Company 100.00 % 100.00 % 100.00 % InvertirOnline S.A.U. Financial Broker 100.00 % 100.00 % 100.00 % InvertirOnline.Com Argentina S.A.U. Representations 100.00 % 100.00 % 100.00 % Supervielle Productores Asesores de Seguros S.A. Insurance Broker 100.00 % 100.00 % — Bolsillo Digital S.A.U. Fintech 100.00 % 100.00 % — Futuros del Sur S.A. Financial Broker 100.00 % 100.00 % — Easy Cambio S.A. Financial Company 100.00 % — — (1) |
Summary of Assets and Liabilities of Structured Entities | The following chart details the assets and liabilities of Structured Entities that have been consolidated by the Group as of December 31, 2020 and 2019: 12/31/2020(i) 12/31/2019 Assets Loans — 2,170,985 Financial assets — 148,174 Other assets — 397,110 Total Assets — 2,716,269 Liabilities Financial liabilities — 1,939,295 Other liabilities — 56,675 Total Liabilities — 1,995,970 (i) |
Summary of Cash and Cash Equivalents Include Cash and Highly Liquid Short-term Securities Maturities | Item 12/31/2020 12/31/2019 12/31/2018 Cash and due from banks 36,674,869 35,945,335 70,551,283 Debt securities at fair value through profit or loss 1,868,604 773,961 26,458,009 Money Market Funds(*) 923,053 1,313,597 1,372,931 Cash and cash equivalents 39,466,526 38,032,893 98,382,223 (*) Included within the "other financial assets" line in the statement of financial position |
Summary of Reconciliation Between Balances on Statement of Financial Position and Statement of Cash Flow | Items 12/31/2020 12/31/2019 12/31/2018 Cash and due from Banks As per Statement of Financial Position 36,674,869 35,945,335 70,551,283 As per the Statement of Cash Flows 36,674,869 35,945,335 70,551,283 Debt securities at fair value through profit or loss As per Statement of Financial Position 9,871,903 773,961 31,649,050 Securities not considered as cash equivalents (8,003,299) — (5,191,041) As per the Statement of Cash Flows 1,868,604 773,961 26,458,009 Money Market Funds As per Statement of Financial Position – Other financial assets 4,285,221 2,854,686 3,556,206 Other financial assets not considered as cash equivalents (3,362,168) (1,541,089) (2,183,275) As per the Statement of Cash Flow 923,053 1,313,597 1,372,931 |
Summary of reconciliation of financing activities | Reconciliation of liabilities from financing activities at December 31, 2020, 2019 and 2018 is as follows: Cash Flows Other non-cash Items 12/31/2019 Inflows Outflows movements 12/31/2020 Unsubordinated debt securities 8,286,163 2,653,805 (6,785,701) 72,481 4,226,748 Subordinated debt securities 2,886,028 — (1,774,264) 28,705 1,140,469 Financing received from the Argentine Central Bank and other financial institutions 12,276,610 14,873,400 (21,297,718) — 5,852,292 Lease Liabilities 1,288,420 — (1,366,164) 1,259,442 1,181,698 Total 24,737,221 17,527,205 (31,223,847) 1,360,628 12,401,207 Cash Flows Other non-cash Items 12/31/2018 Inflows Outflows movements 12/31/2019 Unsubordinated debt securities 19,491,854 11,452,532 (23,641,629) 983,406 8,286,163 Subordinated debt securities 2,898,105 — (1,147,619) 1,135,542 2,886,028 Financing received from the Argentine Central Bank and other financial institutions 16,823,037 150,529,472 (155,072,118) (3,781) 12,276,610 Lease Liabilities — — (1,703,937) 2,992,357 1,288,420 Total 39,212,996 161,982,004 (181,565,303) 5,107,524 24,737,221 Cash Flows Other non-cash Items 12/31/2017 Inflows Outflows movements 12/31/2018 Unsubordinated debt securities 26,558,104 6,429,136 (11,619,542) (1,875,844) 19,491,854 Subordinated debt securities 2,120,799 — (19,976) 797,282 2,898,105 Financing received from the Argentine Central Bank and other financial institutions 10,902,349 109,529,169 (105,180,217) 1,571,736 16,823,037 Total 39,581,252 115,958,305 (116,819,735) 493,174 39,212,996 |
Summary of groupings by shared risk characteristics | Group Parameter Grouping Personal and Business Banking Probability of Default (PD) Personal loans (1) Credit card loans (1) Mortgage loans Refinancing Other financings Loss Given Default (LGD) Personal loans Credit card loans Overdrafts Mortgage loans Refinancing Other financings Corporate Banking Probability of Default (PD) (2) Small companies Medium companies Big companies Financial Area Secured loans Unsecured loans Consumer Finance Probability of Default Credit cards loans Refinancing Cash loans Cash consumptions and directed loans CCF Automobile Loans Tarjeta Automatica Personal loans Loss Given Default Credit cards Personal loans Refinancing CCF Automobile Loans (1) For credit cards and personal loans, the Group includes an additional layer of analysis: senior citizens, high income, open market, high income payroll, non- high income open market, non-high income payroll, Personal and Business Banking, former senior cityzens and former payroll (2) Probability of default within Corporate Banking is calculated by grouping clients based on the client size for Stage 1 facilities. For Stage 2 and Stage 3, Probability of default is calculated including all segments of Corporate Banking due to the lack of materiality to form a larger group. |
Summary of Projected Evolution for Next Year of Main Macroeconomic Indicators | Parameter Industry / Segment Macroeconomic Indicator Scenario 1 Scenario 2 Scenario 3 Open Market Inflation Rate 46.8 % 41.3 % 52.4 % Private Sector Wage 50.7 % 55.7 % 45.6 % Personal and Business Income Payroll Quantity of Private Sector Employment 5,924 5,928 5,921 Private Sector Real Wage 2.7 % 10.2 % (4.5) % Senior Citizens Inflation Rate 46.8 % 41.3 % 52.4 % Probability of Default Monthly Economic Activity Estimator 138 140 136 Corporate All Interest Rate (4.6) % (3.8) % (5.5) % Monthly Economic Activity Estimator 138 140 136 CCF Private Sector Wage 50.7 % 55.7 % 45.6 % Consumer Finance Monthly Economic Activity Estimator 138 140 136 CCF Automobile secured Private Sector Wage 50.7 % 55.7 % 45.6 % Inflation Rate 46.8 % 41.3 % 52.4 % Supervielle Bank All Private Sector Wage 50.7 % 55.7 % 45.6 % Loss Given Default CCF Private Sector Wage 50.7 % 55.7 % 45.6 % Consumer Finance CCF Automobile secured Private Sector Loans 64.1 % 70.5 % 57.7 % Private Sector Wage 50.7 % 55.7 % 45.6 % |
Summary of Scenario Probabilities | Scenario 1 80 % Scenario 2 10 % Scenario 3 10 % |
Summary of ECL Allowance Sensitivity to Future Macro economic Conditions | December 31, 2020 Reported ECL Allowance 8,424,714 Gross carrying amount 113,819,900 Reported Loss rate 7.40 % ECL amount by scenarios Favorable scenario 6,927,295 Unfavorable scenario 8,142,498 Loss Rate by scenarios Favorable scenario 6.09 % Unfavorable scenario 7.15 % |
Summary of Useful Life of Property, Plant and Equipment | Property, plant and equipment Estimated useful life Buildings 50 Years Furniture 10 Years Machines and equipment 5 Years Vehicles 5 Years Others 5 Years |
Summary of the main commissions earned | Commission Frecuency of revenue recognition Account maintenance Monthly Safe deposit boxes Semi-annual Issuing Bank Event driven Credit Card renewal Annual Check management Event driven |
Summary of Financial Trust | The structured entity in which the Group was the trustor as of December 31, 2020 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Amount Type Amount Micro Lending S.A.U. III 06/08/2011 10/12/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 09/01/2011 06/29/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 The structured entity in which the Group was the trustor as of December 31, 2019 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Cantidad Tipo Cantidad Banco Supervielle S.A. Serie 97 27/03/2018 20/03/2020 $ 750,000 VDF TV A VN$712,500 CP VN$37,500 Cordial Compañía Financiera S.A. 20 08/04/2019 15/01/2022 $ 600,000 VDF VN$480,000 CP VN$120,000 Cordial Compañía Financiera S.A. 21 24/06/2019 15/06/2022 $ 1,000,000 VDF VN$780,000 CP VN$220,000 Cordial Compañía Financiera S.A. 22 13/11/2019 15/01/2021 $ 571,560 VDF VN$469,260 CP VN$102,300 Micro Lending S.A.U. III 08/06/2011 12/10/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 01/09/2011 29/06/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 Micro Lending S.A.U. XVIII 01/12/2017 15/10/2022 $ 119,335 VDF TV A VDF TV B VN $89,501 CP VN$22,543 |
Summary of significant increase in risk | This additional definition of a significant increase in credit risk has been applied for the SME and E&P segments, for the very high and high risk activities (only for the Single Firm portfolio): Very high risk High risk Construction Machinery & equipment Tourism & Gastronomy Iron and steel industry Real estate Home appliances Entertainmet Sports Passenger transport Textile Professional services |
Summary of impairment requirements on financial assets | Changes in the credit quality since initial recognition Stage 1 Stage 2 Stage 3 (initial recognition) (significant increase of credit risk since initial recognition) (Impaired credit) 12 months ECL Lifetime ECL |
Summary of movement in investment properties | 12/31/2020 13/31/2019 Income derived from rents (rents charged) 9,719 14,998 Direct operating expenses of properties that generated income derived from rents (6,637) (13,168) Fair value remeasurement (92,457) (173,076) |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
SEGMENT REPORTING | |
Summary of segment information | Personal and Asset Business Corporate Bank Consumer Management and Total as of Asset by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2020 Cash and due from banks 12,345,695 533,466 23,288,859 238,350 2,176 399,895 (133,572) 36,674,869 Debt securities at fair value through profit or loss — — 8,827,214 1,034,836 — 9,853 — 9,871,903 Loans and other financing 52,474,545 42,240,034 5,823,189 6,808,494 592,067 49,403 (2,592,546) 105,395,186 Other Assets 8,569,274 8,324,469 58,840,094 3,063,890 1,254,830 1,080,197 16,156,234 97,288,988 Total Assets 73,389,514 51,097,969 96,779,356 11,145,570 1,849,073 1,539,348 13,430,116 249,230,946 Personal and Asset Businesses Corporate Bank Consumer Management and Total as of Liabilities by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2020 Deposits 93,834,062 16,184,803 65,197,484 3,561,745 — — (136,500) 178,641,594 Financing received from the Argentine Central Bank and others 15,011 — 5,794,778 2,529,652 — 48,169 (2,535,318) 5,852,292 Debt Securities 23,896 12,588 4,190,264 — — — — 4,226,748 Other liabilities 7,481,326 2,073,534 5,859,467 2,016,065 857,130 579,256 5,964,046 24,830,824 Total Liabilities 101,354,295 18,270,925 81,041,993 8,107,462 857,130 627,425 3,292,228 213,551,458 Personal and Asset For the year Business Corporate Bank Consumer Management and ended Result by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2020 Interests income 22,032,597 12,981,215 25,591,006 4,433,064 — 42,406 (380,408) 64,699,880 Interest Expense (8,181,916) (1,073,707) (18,395,101) (1,367,357) — (26,587) 466,280 (28,578,388) Distribution of results by the Treasury 3,409,620 (6,389,960) 2,980,340 — — — — — Net interest income 17,260,301 5,517,548 10,176,245 3,065,707 — 15,819 85,872 36,121,492 Net income from financial instruments at fair value through profit or loss — — 2,315,048 143,465 353,513 162,716 340,840 3,315,582 Result from derecognition of assets measured at amortized cost — — 688,793 — — — (31,774) 657,019 Exchange rate differences on gold and foreign currency 379,276 52,605 423,261 37,771 (98) 73,159 98,571 1,064,545 NIFFI And Exchange Rate Differences 379,276 52,605 3,427,102 181,236 353,415 235,875 407,637 5,037,146 Net Financial Income 17,639,577 5,570,153 13,603,347 3,246,943 353,415 251,694 493,509 41,158,638 Services Fee Income 7,464,407 672,282 59,634 2,133,202 — 1,584,304 (420,005) 11,493,824 Services Fee Expenses (2,453,402) (192,364) (59,759) (762,313) — (50,754) (29,677) (3,548,269) Income from insurance activities — — — — 1,454,204 — 217,251 1,671,455 Net Service Fee Income 5,011,005 479,918 (125) 1,370,889 1,454,204 1,533,550 (232,431) 9,617,010 Subtotal 22,650,582 6,050,071 13,603,222 4,617,832 1,807,619 1,785,244 261,078 50,775,648 Result from exposure to changes in the purchasing power of money (1,078,519) (1,274,193) (269,124) (887,134) (381,065) (253,338) (146,955) (4,290,328) Other operating income 1,531,510 1,518,644 253,278 364,527 10,498 233,704 (132,710) 3,779,451 Loan loss provisions (4,365,418) (3,370,120) (4,097) (886,996) — 11,571 — (8,615,060) Net operating income 18,738,155 2,924,402 13,583,279 3,208,229 1,437,052 1,777,181 (18,587) 41,649,711 Personnel expenses (13,284,682) (1,271,081) (930,606) (1,713,808) (317,809) (540,802) (118,078) (18,176,866) Administrative expenses (7,431,135) (508,923) (462,356) (1,463,065) (264,086) (458,159) 269,167 (10,318,557) Depreciations and impairment of non-financial assets (1,924,361) (144,156) (108,498) (135,823) (20,761) (10,497) (62,932) (2,407,028) Other operating expenses (3,834,606) (1,255,478) (736,566) (602,415) (1,826) (103,867) (40,021) (6,574,779) Operating income (7,736,629) (255,236) 11,345,253 (706,882) 832,570 663,856 29,549 4,172,481 Income from associates and joint ventures — — — 6,456 — — (6,456) — Result before taxes (7,736,629) (255,236) 11,345,253 (700,426) 832,570 663,856 23,093 4,172,481 Income tax 1,380,576 75,324 (2,219,977) 122,886 (294,523) (262,820) 526,827 (671,707) Net income (6,356,053) (179,912) 9,125,276 (577,540) 538,047 401,036 549,920 3,500,774 Net income for the year attributable to owners of the parent company (6,356,053) (179,912) 9,125,276 (577,540) 538,047 401,036 549,028 3,499,882 Net loss for the year attributable to non-controlling interest — — — — — — 892 892 Other comprehensive income 220,150 115,969 479,208 — — — (11,634) 803,693 Other comprehensive income attributable to owners of the parent company 220,150 115,969 479,208 — — — (12,413) 802,914 Other comprehensive loss attributable to non-controlling interest — — — — — — 779 779 Comprehensive income for the year (6,135,903) (63,943) 9,604,484 (577,540) 538,047 401,036 538,286 4,304,467 Comprehensive income attributable to owners of the parent company (6,135,903) (63,943) 9,604,484 (577,540) 538,047 401,036 536,615 4,302,796 Comprehensive loss attributable to non-controlling interest — — — — — — 1,671 1,671 Personal and Asset Business Corporate Bank Consumer Management and Total as of Asset by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2019 Cash and due from banks 10,471,392 1,392,602 22,967,633 437,209 4,608 3,295,926 (2,624,035) 35,945,335 Debt securities at fair value through profit or loss — — 425,175 126,287 — 222,499 — 773,961 Loans and other financing 56,863,126 52,299,847 5,064,985 6,857,365 618,048 41,858 (1,927,882) 119,817,347 Other Assets 3,216,481 1,600,424 24,308,991 4,050,457 1,485,761 733,256 10,488,202 45,883,572 Total Assets 70,550,999 55,292,873 52,766,784 11,471,318 2,108,417 4,293,539 5,936,285 202,420,215 Personal and Asset Businesses Corporate Bank Consumer Management and Total as of Liabilities by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2019 Deposits 86,332,384 14,481,577 21,342,195 2,224,661 — — (3,204,562) 121,176,255 Financing received from the Argentine Central Bank and others 17,161 — 12,250,927 1,293,014 — 62,652 (1,347,144) 12,276,610 Debt Securities 147,721 104,240 8,013,021 — — 21,181 — 8,286,163 Other liabilities 6,347,903 1,876,158 5,926,868 4,348,891 1,031,927 3,517,477 5,726,877 28,776,101 Total Liabilities 92,845,169 16,461,975 47,533,011 7,866,566 1,031,927 3,601,310 1,175,171 170,515,129 Personal and Asset For the year Business Corporate Bank Consumer Management and ended Result by segments Banking Banking Treasury Finance Insurance Other Services Adjustments 12.31.2019 Interests income 30,299,712 19,478,944 6,132,453 6,834,394 — 303,685 (2,065,563) 60,983,625 Interest Expense (11,995,094) (4,676,394) (28,791,267) (4,274,907) — (182,092) 2,388,377 (47,531,377) Distribution of results by Treasury 6,447,537 (9,131,377) 2,683,840 — — — — — Net interest income 24,752,155 5,671,173 (19,974,974) 2,559,487 — 121,593 322,814 13,452,248 Net income from financial instruments at fair value through profit or loss 13,964 — 27,334,575 331,348 526,305 132,899 197,291 28,536,382 Exchange rate differences on gold and foreign currency 2,601,295 281,750 (3,381,111) 11,166 1,679 29,577 14,453 (441,191) NIFFI And Exchange Rate Differences 2,615,259 281,750 23,953,464 342,514 527,984 162,476 211,744 28,095,191 Net Financial Income 27,367,414 5,952,923 3,978,490 2,902,001 527,984 284,069 534,558 41,547,439 Services Fee Income 7,153,209 1,532,939 50,267 2,433,057 — 868,490 (330,406) 11,707,556 Services Fee Expenses (1,979,198) (166,561) (66,517) (889,658) — (41,409) 88,389 (3,054,954) Income from insurance activities — — — — 1,627,670 — 269,253 1,896,923 Net Service Fee Income 5,174,011 1,366,378 (16,250) 1,543,399 1,627,670 827,081 27,236 10,549,525 Subtotal 32,541,425 7,319,301 3,962,240 4,445,400 2,155,654 1,111,150 561,794 52,096,964 Result from exposure to changes in the purchasing power of money (2,439,672) (2,243,877) (535,746) (1,141,796) (1,204,601) (475,643) 744,792 (7,296,543) Other operating income 1,665,517 860,383 467,542 568,593 10,190 212,318 (33,506) 3,751,037 Loan loss provisions (4,555,505) (4,302,282) 33,553 (1,760,136) — 51,352 — (10,533,018) Net operating income 27,211,765 1,633,525 3,927,589 2,112,061 961,243 899,177 1,273,080 38,018,440 Personnel expenses (14,363,518) (1,412,159) (886,187) (1,740,329) (255,296) (414,832) (211,025) (19,283,346) Administrative expenses (7,109,852) (464,220) (421,634) (1,592,780) (359,381) (360,971) (1,828) (10,310,666) Depreciations and impairment of non-financial assets (1,891,160) (247,501) (97,492) (136,548) (12,751) (9,014) (76,038) (2,470,504) Other operating expenses (4,635,433) (2,306,728) (693,363) (865,702) (1,673) (135,505) (17,811) (8,656,215) Operating income (788,198) (2,797,083) 1,828,913 (2,223,298) 332,142 (21,145) 966,378 (2,702,291) Income from associates and joint ventures — — — 4,570 — — (4,570) — Result before taxes (788,198) (2,797,083) 1,828,913 (2,218,728) 332,142 (21,145) 961,808 (2,702,291) Income tax 7,210 8,894 24,010 736,962 (301,677) (117,294) (587,768) (229,663) Net income (780,988) (2,788,189) 1,852,923 (1,481,766) 30,465 (138,439) 374,040 (2,931,954) Net income for the year attributable to owners of the parent company (780,988) (2,788,189) 1,852,923 (1,481,766) 30,465 (138,439) 376,793 (2,929,201) Net loss for the year attributable to non-controlling interest — — — — — — (2,753) (2,753) Other comprehensive income (50,447) (35,598) (89,847) — 110,770 — (1) (65,123) Other comprehensive income attributable to owners of the parent company (50,447) (35,598) (89,847) — 110,770 — 182 (64,940) Other comprehensive income attributable to non-controlling interest — — — — — — (183) (183) Comprehensive income for the year (831,435) (2,823,787) 1,763,076 (1,481,766) 141,235 (138,439) 374,039 (2,997,077) Comprehensive income attributable to owners of the parent company (831,435) (2,823,787) 1,763,076 (1,481,766) 141,235 (138,439) 376,975 (2,994,141) Comprehensive loss attributable to non-controlling interest — — — — — — (2,936) (2,936) |
INCOME TAX (Tables)
INCOME TAX (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
INCOME TAX | |
Summary of reconciliation of statutory income tax rate | 12/31/2020 12/31/2019 12/31/2018 Current income tax (2,700,633) (562,210) (1,009,829) Income tax – deferred method 2,028,926 332,547 (1,107,259) Income tax allotted in the Income Statement (671,707) (229,663) (2,117,088) Income tax allotted in Other comprehensive income (340,954) 10,504 (167,510) Total Income Tax Charge (1,012,661) (219,159) (2,284,598) |
Summary of reconciliation between the tax charge to income result from applying current tax rate | 12/31/2020 12/31/2019 12/31/2018 Income before taxes 4,172,481 (2,702,291) (4,284,402) Tax rate 30 % 30 % 30 % Income for the year at tax rate (1,251,744) 810,687 1,285,321 Permanent differences at tax rate: Tax inflation adjustment 14,441 228,247 (3,836,719) Deductible investments 5,305 77,894 440,450 Others 560,291 (1,346,491) (6,140) Income tax (671,707) (229,663) (2,117,088) |
Summary of net position of deferred tax | 12/31/2020 12/31/2019 Deferred tax assets 3,315,885 2,275,175 Deferred tax liability (42,005) (689,268) Net assets by deferred tax 3,273,880 1,585,907 Deferred taxes to be recovered in more than 12 months 1,687,447 2,063,254 Deferred taxes to be recovered in 12 months 1,628,438 211,921 Subtotal – Deferred tax assets 3,315,885 2,275,175 Deferred taxes to be paid in more than 12 months (65,140) — Deferred taxes to be paid in 12 months 23,135 (689,268) Subtotal – Deferred tax liabilities (42,005) (689,268) Total Net Assets by deferred Tax 3,273,880 1,585,907 |
Summary of deferred tax assets / (liabilities) | (Charge)/Credit Balance at to Income/OCI Balance at 12/31/2019 (*) 12/31/2020 Intangible assets (955,680) (20,331) (976,011) Retirement plans 114,991 849 115,840 Loan Loss Reserves 1,253,696 924,017 2,177,713 Property, plant and equipment (1,235,317) 57,792 (1,177,525) Foreign Currency (83,709) 40,831 (42,878) Tax Loss Carry Forward 224,665 — 224,665 Inflation adjustment credit 2,032,364 490,706 2,523,070 Provisions 266,923 (125,743) 141,180 Others (32,026) 319,852 287,826 Total 1,585,907 1,687,973 3,273,880 (*)include ($340,954) that was recorded in OCI. Balance at (Charge)/Credit Balance at 12/31/2018 to Income 12/31/2019 Intangible assets (523,741) (431,939) (955,680) Retirement plans 120,441 (5,450) 114,991 Loan Loss Reserves 2,191,203 (937,507) 1,253,696 Property, plant and equipment (704,615) (530,702) (1,235,317) Foreign Currency (171,598) 87,889 (83,709) Tax Loss Carry Forward 336,380 (111,715) 224,665 Inflation adjustment credit — 2,032,364 2,032,364 Provisions — 266,923 266,923 Others 5,289 (37,315) (32,026) Total 1,253,359 332,548 1,585,907 |
FINANCIAL INSTRUMENTS (Tables)
FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
FINANCIAL INSTRUMENTS | |
Summary of financial instruments held by the Group | Fair value Fair value through through Financial Instruments as of 12/31/2020 profit or loss Amortized Cost OCI Total Assets - Cash and due from banks — 36,674,869 — 36,674,869 - Debt securities at fair value through profit or loss 9,871,903 — — 9,871,903 - Derivatives 143,944 — — 143,944 - Reverse Repo transactions — 22,354,735 — 22,354,735 - Other financial assets 3,407,891 877,330 — 4,285,221 - Loans and other financing — 105,395,186 — 105,395,186 - Other debt securities — 6,325,194 34,534,781 40,859,975 - Financial assets pledged as collateral 4,687,488 217,447 — 4,904,935 - Investments in Equity Instruments 87,131 — 29,197 116,328 Total Assets 18,198,357 171,844,761 34,563,978 224,607,096 Liabilities - Deposits — 178,641,594 — 178,641,594 - Liabilities at fair value through profit or loss 2,002,005 — — 2,002,005 - Derivates 1,995 — — 1,995 - Other financial liabilities 7,326,629 202,260 — 7,528,889 - Financing received from the Argentine Central Bank and other financial institutions — 5,852,292 — 5,852,292 - Unsubordinated debt securities — 4,226,748 — 4,226,748 - Subordinated debt securities — 1,140,469 — 1,140,469 Total Liabilities 9,330,629 190,063,363 — 199,393,992 Fair value Fair value through through Financial Instruments as of 12/31/2019 profit or loss Amortized Cost OCI Total Assets - Cash and due from banks — 35,945,335 — 35,945,335 - Debt securities at fair value through profit or loss 773,961 — — 773,961 - Derivatives 350,680 — — 350,680 - Other financial assets 1,499,631 1,355,055 — 2,854,686 - Loans and other financing — 119,817,347 — 119,817,347 - Other debt securities — 4,475,465 9,762,875 14,238,340 - Financial assets pledged as collateral 6,704,298 557,038 — 7,261,336 - Investments in Equity Instruments 7,891 — 11,957 19,848 Total Assets 9,336,461 162,150,240 9,774,832 181,261,533 Liabilities - Deposits — 121,176,255 — 121,176,255 - Liabilities at fair value through profit or loss 258,060 — — 258,060 - Repo transactions — 435,401 — 435,401 - Other financial liabilities 8,163,994 4,245,990 — 12,409,984 - Financing received from the Argentine Central Bank and other financial institutions — 12,276,610 — 12,276,610 - Unsubordinated debt securities — 8,286,163 — 8,286,163 - Subordinated debt securities — 2,886,028 — 2,886,028 Total Liabilities 8,422,054 149,306,447 — 157,728,501 |
FAIR VALUES (Tables)
FAIR VALUES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
FAIR VALUES | |
Summary of fair values of financial assets and financial liabilities | Financial Instruments as of 12/31/2020 FV level 1 FV level 2 FV level 3 Total Assets - Cash and due from banks — — — — - Debt securities at fair value through profit or loss 9,632,732 239,171 — 9,871,903 - Derivatives 143,944 — — 143,944 - Other financial assets 3,407,891 — — 3,407,891 - Other debt securities 6,353,196 28,181,585 — 34,534,781 - Financial assets pledged as collateral 4,687,488 — — 4,687,488 - Investments in Equity Instruments 87,131 29,197 — 116,328 Total Assets 24,312,382 28,449,953 — 52,762,335 Liabilities - Liabilities at fair value through profit or loss 2,002,005 — — 2,002,005 - Derivatives 1,995 — — 1,995 - Other financial liabilities 7,326,629 — — 7,326,629 Total Liabilities 9,330,629 — — 9,330,629 Financial Instruments as of 12/31/2019 FV level 1 FV level 2 FV level 3 Total Assets - Cash and due from banks — — — — - Debt securities at fair value through profit or loss 768,963 — 4,998 773,961 - Derivatives 350,680 — — 350,680 - Other financial assets 1,499,631 — — 1,499,631 - Other debt securities 9,762,875 — — 9,762,875 - Financial assets pledged as collateral 6,704,298 — — 6,704,298 - Investments in Equity Instruments 7,891 11,957 — 19,848 Total Assets 19,094,338 11,957 4,998 19,111,293 Liabilities - Liabilities at fair value through profit or loss 258,060 — — 258,060 - Other financial liabilities 8,163,994 — — 8,163,994 Total Liabilities 8,422,054 — — 8,422,054 |
Summary of reconciliation of the financial instruments | FV level 3 12/31/2019 Transfers Additions Disposals P/L 12/31/2020 Assets - Debt securities at fair value through profit or loss 4,998 — — 4,998 — — |
Summary of difference between carrying amount and fair value of assets and liabilities | Other Financial Instruments as of 12/31/2020 Book value Fair value FV Level 1 FV Level 2 FV Level 3 Financial Assets -Cash and due from Banks 36,674,869 36,674,869 36,674,869 — — -Other financial assets 877,330 877,330 877,330 — — -Loans and other financing 105,395,186 112,402,330 — — 112,402,330 -Reverse Repo transactions 22,354,735 22,354,735 22,354,735 — — - Other Debt Securities 6,325,194 6,325,194 6,325,194 — — -Financial assets in guarantee 217,447 217,447 217,447 — — 171,844,761 178,851,905 66,449,575 — 112,402,330 Financial Liabilities -Deposits 178,641,594 179,320,910 — — 179,320,910 -Other financial liabilities 202,260 202,260 202,260 — — -Financing received from the BCRA and other financial institutions 5,852,292 5,607,896 — — 5,607,896 - Unsubordinated Negotiable obligations 4,226,748 4,226,748 4,226,748 — — - Subordinated Negotiable Obligations 1,140,469 1,192,293 1,192,293 — — 190,063,363 190,550,107 5,621,301 — 184,928,806 Other Financial Instruments as of 12/31/2019 Book value Fair value FV Level 1 FV Level 2 FV Level 3 Financial Assets -Cash and due from Banks 35,945,335 35,904,615 35,904,615 — — -Other financial assets 1,355,055 1,355,055 1,355,055 — — -Loans and other financing 119,817,347 124,755,831 — — 124,755,831 - Other Debt Securities 4,475,465 4,588,171 4,588,171 — — -Financial assets in guarantee 557,038 557,038 557,038 — — 162,150,240 167,160,710 42,404,879 — 124,755,831 Financial Liabilities -Deposits 121,176,255 121,178,488 — — 121,178,488 -Repo transactions 435,401 435,401 435,401 — — -Other financial liabilities 4,245,990 4,321,690 4,321,690 — — -Financing received from the BCRA and other financial institutions 12,276,610 11,950,528 — — 11,950,528 - Unsubordinated Negotiable obligations 8,286,163 8,286,163 8,286,163 — — - Subordinated Negotiable Obligations 2,886,028 3,223,964 3,223,964 — — 149,306,447 149,396,234 16,267,218 — 133,129,016 |
Summary of equity instruments measured at fair value with changes in profit or loss | 12/31/2020 12/31/2019 Grupo Financiero Galicia S.A. 74,881 7,891 Pampa Holding S.A 8,286 — Loma Negra S.A. 3,179 — Others 785 — Total 87,131 7,891 |
Summary of equity instruments measured at fair value with changes in other comprehensive income | FV at Loss FV at Detail 12/31/2019 through OCI Additions 12/31/2020 MAE 6,276 (1,666) — 4,610 SEDESA 2,197 (583) — 1,614 COELSA 1,251 (332) — 919 PROVINCANJE 371 (100) — 271 CUYO AVAL SGR 1,428 8 — 1,436 ARGENCONTROL 170 (45) — 125 LOS GROBO SGR 95 (22) — 73 IEBA SA 83 (22) — 61 MODO — (25,089) 45,043 19,954 Others 86 48 — 134 Total 11,957 (27,803) 45,043 29,197 FV at Income FV at Detail 12/31/2018 through OCI 12/31/2019 MAE 9,655 (3,379) 6,276 SEDESA 3,380 (1,183) 2,197 COELSA 1,925 (674) 1,251 PROVINCANJE 568 (197) 371 CUYO AVAL SGR 1,883 (455) 1,428 ARGENCONTROL 263 (93) 170 LOS GROBO SGR 437 (342) 95 IEBA SA 127 (44) 83 Others 194 (108) 86 Total 18,432 (6,475) 11,957 |
FINANCE LEASES (Tables)
FINANCE LEASES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
FINANCE LEASES | |
Summary of carrying amount in the financial position | 12/31/2020 12/31/2019 Right-of-use asset Land and buildings 2,146,928 2,047,260 Lease liability Current 660,694 637,106 Non-current 521,004 651,313 Total 1,181,698 1,288,419 |
Summary of amounts charged in the income statement | Items 12/31/2020 Right-of-use assets – Depreciation 780,397 Interest expenses on lease liabilities (Other operating expenses) 207,035 |
Summary of breakdown of financial lease receivables | Financial Lease Receivables 12/31/2020 12/31/2019 Up to 1 year 1,982,763 2,427,531 More than a year up to two years 1,099,924 1,589,098 From two to three years 634,899 906,156 From three to five years 355,885 574,490 More than five years 14,429 27,744 Total 4,087,900 5,525,019 Unearned financial income (1,196,789) (1,186,642) Net investment in the lease 2,891,111 4,338,377 |
Summary of breakdown of operating lease receivables | Operating Lease Receivables 12/31/2019 12/31/2018 Up to 1 year 16,067 22,744 More than a year up to two years 13,766 21,418 From two to three years 9,202 18,438 From three to five years — 12,528 Total 39,035 75,128 |
TRANSFER OF FINANCIAL ASSETS (T
TRANSFER OF FINANCIAL ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
TRANSFER OF FINANCIAL ASSETS | |
Summary of the financial asssets transferred by the Group | 12/31/2020 12/31/2019 Securitized Personal Loans Asset — 2,197,444 Liabilities — 1,156,889 Transfers of receivables with recourse Asset — 41,116 Liabilities — — |
REPO AND REVERSE REPO TRANSAC_2
REPO AND REVERSE REPO TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
REPO AND REVERSE REPO TRANSACTIONS | |
Summary of residual values of assets | The residual values of assets transferred under repo and reverse repo transactions as of December 31, 2020 and 2019 are detailed below: Repo Transactions: Book Value December 31, 2020 — December 31, 2019 435,401 Reverse Repo Transactions: Book Value December 31, 2020 22,354,735 December 31, 2019 — |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
DERIVATIVE FINANCIAL INSTRUMENTS | |
Summary of operation related to derivatives | 12/31/2020 12/31/2019 Amounts receivable for spot and forward transactions pending settlement 143,944 350,680 Amounts payable for spot and forward transactions pending settlement — — 143,944 350,680 |
Summary of notional value of options and outstanding forward and futures contracts | 12/31/2020 12/31/2019 Forward sales of foreign exchange without delivery of underlying assets 3,189,269 446,195 Forward purchases of foreign exchange without delivery of underlying assets 1,647,980 579,188 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
EARNINGS PER SHARE | |
Summary of earnings per share | 12/31/2020 12/31/2019 12/31/2018 Income attributable to shareholders of the group 3,499,882 (2,929,201) (6,341,497) Weighted average of ordinary shares (thousands) 456,722 456,722 456,722 Income per share 7.66 (6.41) (13.88) |
SPECIAL TERMINATION ARRANGEME_2
SPECIAL TERMINATION ARRANGEMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
SPECIAL TERMINATION ARRANGEMENTS | |
Summary of evolution during each period | 12/31/2020 12/31/2019 Balances at the beginning 1,289,981 829,507 Charged to profit or loss 140,695 718,688 Benefits paid to participants (284,160) (258,214) Balances at closing 1,146,516 1,289,981 |
PROPERTY, PLANT AND EQUIPMENT (
PROPERTY, PLANT AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
PROPERTY, PLANT AND EQUIPMENT | |
Summary of Property, Plant and Equipment | Gross carrying amount Depreciation At the Net beginning Additions by At the At the Additions by carrying of the Useful business end of beginning business Of the Other At the end amount Item year Life Revaluation Additions combinations Disposals the year of the year Disposals combinations Year Movements of the year 12/31/2020 Cost model Furniture and facilities 1,373,239 10 — 77,415 — (30,084) 1,420,570 (949,089) (85,526) — (100,150) — (1,134,765) 285,805 Machinery and equipment 4,296,555 5 — 1,326,532 — (436,367) 5,186,720 (3,822,034) (238,037) — (308,075) — (4,368,146) 818,574 Vehicles 235,652 5 — 72,255 — (47,045) 260,862 (101,041) 25,273 — (44,344) — (120,112) 140,750 Right of use assets 2,047,260 — — 803,901 — (704,233) 2,146,928 (771,302) 604,923 — (780,397) — (946,776) 1,200,152 Construction in progress 653,718 — — 152,146 — (167,470) 638,394 — — — — — — 638,394 Revaluation model Land and Buildings 2,600,111 50 818,447 786,020 — (1,846) 4,202,732 (114,615) 2,489 — (70,643) — (182,769) 4,019,963 Total 11,206,535 — 818,447 3,218,269 — (1,387,045) 13,856,206 (5,758,081) 309,122 — (1,303,609) — (6,752,568) 7,103,638 Gross carrying amount Depreciation At the Net beginning Additions by At the At the Additions by carrying of the Useful business end of beginning business Of the Other At the end amount Item year Life Revaluation Additions combinations Disposals the year of the year Disposals combinations Year Movements of the year 12/31/2019 Cost model Furniture and facilities 1,373,239 10 — — — — 1,373,239 (944,414) — — (4,675) — (949,089) 424,150 Machinery and equipment 4,226,071 5 — 261,872 — (191,388) 4,296,555 (3,398,030) 425,780 — (849,784) — (3,822,034) 474,521 Vehicles 236,589 5 — 47,385 — (48,322) 235,652 (80,055) 21,317 — (42,303) — (101,041) 134,611 Right of use assets — 6 — 2,047,260 — — 2,047,260 — 877 — (772,179) — (771,302) 1,275,958 Construction in progress 746,082 — — 154,345 — (246,709) 653,718 — — — — — — 653,718 Revaluation model Land and Buildings 2,537,146 50 (84,516) 147,606 — (125) 2,600,111 (123,271) 40,558 — (31,902) — (114,615) 2,485,496 Total 9,119,127 — (84,516) 2,658,468 — (486,544) 11,206,535 (4,545,770) 488,532 — (1,700,843) — (5,758,081) 5,448,454 |
Summary of Revaluation of Property Plant and Equipment | Residual Value according to Revaluation Revalued the cost Class date amount model Difference Land and buildings 12/31/2020 4,019,963 3,201,516 818,447 Land and buildings 12/31/2019 2,485,496 2,570,012 (84,516) |
INVESTMENT PROPERTIES (Tables)
INVESTMENT PROPERTIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
INVESTMENT PROPERTIES | |
Summary of movement in investment properties | The movements in investment properties for the years ended December 31, 2020 and 2019 were as follows: At the P/L for Beginning Total useful changes As of Item of the year life in the FV Additions Disposals 12/31/2020 Measurement at fair value Rented properties 5,520,143 50 (92,457) 1,447,123 (876,864) 5,997,945 TOTAL INVESTMENT PROPERTIES 5,520,143 — (92,457) 1,447,123 (876,864) 5,997,945 At the P/L for Beginning Total useful changes As of Item of the year life in the FV Additions Disposals 12/31/2019 Measurement at fair value Rented properties 865,687 50 (173,076) 4,834,792 (7,260) 5,520,143 TOTAL INVESTMENT PROPERTIES 865,687 — (173,076) 4,834,792 (7,260) 5,520,143 |
INTANGIBLE ASSETS (Tables)
INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
INTANGIBLE ASSETS | |
Summary of intangible assets | Gross carrying amount Depreciation At the Additions At the At the At the Net carrying beginning by business End of the beginning By business End of the amount at Item of the year Additions combinations Disposals year of the year Disposals combinations Of the year year 12/31/2020 Measurement at cost Goodwill 3,632,645 7,292 — — 3,639,937 — — — — — 3,639,937 Brands 199,999 — — — 199,999 — — — — — 199,999 Other intangible assets(*) 3,913,880 1,739,447 — (14,279) 5,639,048 (1,827,099) (71) — (869,276) (2,696,446) 2,942,602 TOTAL 7,746,524 1,746,739 — (14,279) 9,478,984 (1,827,099) (71) — (869,276) (2,696,446) 6,782,538 Gross carrying amount Depreciation At the Additions At the At the At the Net carrying beginning by business End of the beginning By business End of the amount at Item of the year Additions combinations Disposals year of the year Disposals combinations Of the year year 12/31/2019 Measurement at cost Goodwill 3,613,818 18,827 — — 3,632,645 — — — — — 3,632,645 Brands 199,999 — — — 199,999 — — — — — 199,999 Other intangible assets (*) 3,033,287 886,405 — (5,812) 3,913,880 (1,203,185) 164 — (624,078) (1,827,099) 2,086,781 TOTAL 6,847,104 905,232 — (5,812) 7,746,524 (1,203,185) 164 — (624,078) (1,827,099) 5,919,425 (*)mainly include systems and programs. |
Summary of goodwill by cash generating units | 12/31/2020 12/31/2019 Supervielle Seguros S.A. 9,686 9,686 Cordial Compañía Financiera S.A. 243,971 243,971 Banco Regional de Cuyo S.A. 50,784 50,784 InvertirOnline S.A.U. / InvertirOnline.Com Argentina S.A.U. 1,846,042 1,846,042 Micro Lending S.A.U. 1,453,519 1,453,519 Others 35,935 28,643 TOTAL 3,639,937 3,632,645 |
Summary of assumptions used in goodwill impairment test | Real Forecast Forecast Forecast Forecast Forecast 2020 2021 2022 2023 2024 2025 Inflation (end of period) 35.6 % 46.8 % 29.2 % 19.6 % 18.0 % 18.0 % Inflation (average) 44.6 % 41.1 % 37.7 % 24.3 % 18.7 % 18.0 % Cost of funding (average) 31.3 % 40.0 % 26.8 % 21.5 % 18.8 % 18.8 % Loan’s interest rate (average) 59.4 % 40.0 % 18.4 % 18.2 % 17.5 % 17.1 % |
COMPOSITION OF THE MAIN ITEMS_2
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |
Summary of debt securities at fair value through profit or loss | 12/31/2020 12/31/2019 Government securities 8,864,640 768,967 Corporate securities 401,671 4,994 Securities issued by the BCRA 605,592 — 9,871,903 773,961 |
Summary of other financial assets | 12/31/2020 12/31/2019 Participation Certificates in Financial Trusts 40,855 41,648 Investments in Asset Management and Other Services 1,528,987 1,178,803 Other investments 535,684 81,151 Receivable from spot sales pending settlement 1,077,649 188,679 Several debtors 833,604 848,251 Miscellaneous debtors for credit card operations 203,811 516,154 Miscellaneous debtors for collections 64,631 — 4,285,221 2,854,686 |
Summary of other debt securities | 12/31/2020 12/31/2019 Government securities 12,674,746 14,226,009 Securities issued by the BCRA 28,181,585 — Others 3,644 12,331 40,859,975 14,238,340 |
Summary of financial assets in guarantee | 12/31/2020 12/31/2019 Special guarantees accounts in the Argentine Central Bank 3,710,757 2,887,177 Deposits in guarantee 1,194,178 4,374,159 4,904,935 7,261,336 |
Summary of inventories | 12/31/2020 12/31/2019 Electronics 56,282 29,614 Home and Health care 16,110 10,529 Tools and Workshop Equipment 259 22,121 Obsolescence Reserve (1,687) (1,743) 70,964 60,521 |
Summary of non-financial assets | 12/31/2020 12/31/2019 Other Miscellaneous assets 603,701 1,164,863 Loans to employees 235,259 359,305 Payments in advance 321,958 18,474 Other non-financial assets 16,367 — Retirement Plan 143,252 205,805 Works of art and collector's pieces 32,343 47,030 |
Summary of deposits | 12/31/2020 12/31/2019 Non-financial sector 7,911,255 7,447,131 Financial sector 57,416 38,253 Current accounts 16,891,003 14,819,309 Savings accounts 102,845,465 54,445,823 Time deposits and investments accounts 46,113,056 40,457,410 Others 4,823,399 3,968,329 178,641,594 121,176,255 |
Summary of liabilities at fair value through profit or loss | 12/31/2020 12/31/2019 Liabilities for transactions in local currency 2,002,005 258,060 2,002,005 258,060 |
Summary of other financial liabilities | 12/31/2020 12/31/2019 Amounts payable for spot transactions pending settlement 1,362,541 2,986,677 Collections and other operations on behalf of third parties 4,951,341 7,112,817 Fees accrued to pay 5,423 366 Financial guarantee contracts 19,832 20,786 Liabilities associated with the transfer of financial assets not derecognized — 970,923 Lease liability 1,181,698 1,288,419 Others 8,054 29,996 |
Summary of financing received from the Argentine Central Bank and other financial institutions | 12/31/2020 12/31/2019 Financing received from local financial institutions 645,206 1,278,545 Financing received from international institutions 5,207,086 10,998,065 5,852,292 12,276,610 |
Summary of provisions | 12/31/2020 12/31/2019 Legal issues 32,557 44,993 Labor lawsuits 29,552 38,151 Tax 113,303 106,029 Eventual commitments 8,634 499 Judicial Deposits 22,303 21,465 Restructuring Provision — 680,703 Unused Balances Credit Cards 206,812 — Charges to be paid to National Social Security Administration 225,387 — Others 42,544 29,856 681,092 921,696 |
Summary of other non-financial liabilities | 12/31/2019 12/31/2018 Payroll and social securities 5,500,933 5,401,884 Sundry creditors 3,660,784 3,209,713 Revenue from contracts with customers (1) 188,665 262,069 Tax payable 1,802,458 1,900,826 Social security payment orders pending settlement 894,809 297,448 Other 98,453 103,724 12,146,102 11,175,664 |
Summary of estimated use of liability | Maturity Up to 12 Up to 24 More than Item months months 24 months Total Revenue from contracts with customers 88,352 46,692 53,621 188,665 |
Summary of interest income | 12/31/2020 12/31/2019 12/31/2018 Interest on overdrafts 2,678,469 6,217,172 6,807,778 Interest on promissory notes 6,226,382 8,002,944 8,539,122 Interest on personal loans 14,173,544 17,584,460 22,887,135 Interest on corporate unsecured loans 5,981,812 8,360,682 6,322,241 Interest on credit card loans 3,818,628 6,555,201 7,147,137 Interest on mortgage loans 3,994,607 5,148,348 4,123,314 Interest on automobile and other secured loan 738,403 943,454 1,030,844 Interest on foreign trade loans 1,453,129 2,356,094 2,448,435 Interest on financial leases 704,408 1,537,851 1,929,148 Interest on public and private securities measured at amortized cost 20,524,157 — — Others 4,406,341 4,277,419 2,465,076 Total 64,699,880 60,983,625 63,700,230 |
Summary of interests expenses | 12/31/2020 12/31/2019 12/31/2018 Interest on current accounts deposits 6,325,123 8,182,612 10,742,108 Interest on time deposits 19,574,998 27,030,921 13,602,675 Interest on other financial liabilities 2,285,959 10,472,760 9,933,537 Interest from financing from financial sector 100,834 373,163 1,548,673 Others 291,474 1,471,921 641,517 Total 28,578,388 47,531,377 36,468,510 |
Summary of net income from financial instruments at fair value through profit or loss | 12/31/2020 12/31/2019 12/31/2018 Income from corporate and government securities 2,999,989 2,086,183 3,828,698 Income from securities issued by the Argentine Central Bank 135,491 25,478,678 12,934,407 Derivatives 180,102 971,521 (3,547,400) Total 3,315,582 28,536,382 13,215,705 |
Summary of service fee income | 12/31/2020 12/31/2019 12/31/2018 Commissions from deposits accounts 4,627,421 4,777,932 4,626,945 Commissions from credit and debit cards 3,413,407 3,944,787 4,576,075 Commissions from loans operations 164,852 401,370 819,244 Others Commissions 3,131,296 — — Others 156,848 2,583,467 2,391,996 Total 11,493,824 11,707,556 12,414,260 |
Summary of service fee expenses | 12/31/2020 12/31/2019 12/31/2018 Commissions paid 3,469,846 2,955,840 2,858,035 Export and foreign currency operations 78,423 99,114 112,035 Total 3,548,269 3,054,954 2,970,070 |
Summary of income from insurance activities | 12/31/2019 12/31/2019 12/31/2018 Accrued premiums 2,300,856 2,978,764 3,081,828 Accrued losses (308,798) (471,071) (695,386) Production expenses (320,603) (610,770) (609,097) Total 1,671,455 1,896,923 1,777,345 |
Summary of other operating incomes | 12/31/2020 12/31/2019 12/31/2018 Loans recovered and allowances reversed 572,480 678,796 665,561 Insurance commissions 51,525 92,966 831,740 Rental from safety boxes 340,303 390,561 501,124 Commissions from trust services 9,638 35,778 15,958 Returns of risk funds 1,215,745 235,093 587,419 Commissions from financial guarantees - 854,752 985,595 Default interests 212,927 573,061 505,679 Sale of fixed assets 133,983 - - Others 1,242,850 890,030 1,087,256 Total 3,779,451 3,751,037 5,180,332 |
Summary of personnel expenses | 12/31/2020 12/31/2019 12/31/2018 Payroll and social securities 16,682,917 16,902,763 13,627,260 Others expenses 1,493,949 2,380,583 4,757,573 Total 18,176,866 19,283,346 18,384,833 |
Summary of administration expenses | 12/31/2020 12/31/2019 12/31/2018 Directors´ and statutory auditors’fees 341,532 382,328 342,430 Professional fees 3,043,958 1,385,391 3,459,708 Advertising and publicity 688,705 737,956 862,200 Taxes 1,857,970 2,000,527 2,244,207 Maintenance, security and services 2,823,341 2,351,755 1,152,917 Rent 72,050 70,446 973,551 Others 1,491,001 3,382,263 2,694,038 Total 10,318,557 10,310,666 11,729,051 |
Summary of depreciation and impairment of non-financial assets | 12/31/2020 12/31/2019 12/31/2018 Depreciation of property, plant and equipment 523,212 928,664 439,094 Depreciation of other non-financial assets 234,143 145,583 154,856 Depreciation of intangible assets 869,276 624,078 311,013 Depreciation of right-of-use assets 780,397 772,179 — Impairment of other-non financial assets — — 582 Total 2,407,028 2,470,504 905,545 |
Summary of other operating expenses | 12/31/2020 12/31/2019 12/31/2018 Promotions related with credit cards 525,355 695,109 886,298 Turnover tax 3,950,539 5,104,595 5,869,614 Fair value on initial recognition of loans 195,459 273,505 809,049 Contributions made to deposit insurance system 289,814 332,127 323,838 Others 1,613,612 2,250,879 1,141,625 Total 6,574,779 8,656,215 9,030,424 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
COMMITMENTS AND CONTINGENCIES | |
Summary of provision | 12/31/2020 12/31/2019 12/31/2018 Legal issues 32,557 44,993 64,226 Labor lawsuits 29,552 38,151 35,929 Tax 113,303 106,029 27,759 Unused Balances Credit Cards 206,812 — — Deceased ANSES 225,387 — — Judicial Deposits 22,303 21,465 20,553 Eventual commitments 8,634 499 2,505 Restructuring Provision — 680,703 — Others 42,544 29,856 31,052 Total 681,092 921,696 182,024 |
RELATED PARTY TRANSACTIONS (Tab
RELATED PARTY TRANSACTIONS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
RELATED PARTY TRANSACTIONS | |
Summary of Aggregate Amounts to Related Parties | As of As of December 31, 2020 December 31, 2019 Aggregate total financial exposure 242,271 1,311,056 Number of recipient related parties 80 95 (a) Individuals 71 86 (b) Companies 9 10 Average total financial exposure 3,028 18,729 Single largest exposure 933,426 1,120,671 |
INSURANCE (Tables)
INSURANCE (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
INSURANCE | |
Summary of assets and liabilities related to insurance activities | 12/31/2020 12/31/2019 Assets related to insurance contracts (Loans and other financing) Receivables premius 590,044 618,048 Commissions receivables 2,023 — Total 592,067 618,048 Liabilities related to insurance contracts (Other non-financial liabilities) Debt with insured 136,124 185,380 Debt with reinsurers 11,731 55,239 Debt with co-insurers — 2,317 Debt with producers 183,809 204,734 Technical commitments 221,719 236,877 Outstanding claims paid by re-insurance companies (regularizer) (9,059) (655) Total 544,324 683,892 Debt with insured Property insurance Direct administrative insurance 18,158 15,305 Direct insurance in mediation 25 1,089 Claims settled to pay 293 1,199 Claims occurred and not reported - IBNR 9,794 20,093 Life insurance Direct administrative insurance 64,506 56,181 Direct insurance in judgments 1,418 1,688 Direct insurance in mediation 886 2,501 Claims settled to pay 19,164 27,525 Claims occurred and not reported - IBNR 21,880 59,799 Total 136,124 185,380 Debt with producers Producers currenct account 39,274 38,456 Commisions for premiums receivable 144,535 166,278 Total 183,809 204,734 Technical commitments Course and similar risk Premiums and surcharges 221,714 236,825 Premium insufficiency 5 52 Total 221,719 236,877 |
ASSET MANAGEMENT AND OTHER SE_2
ASSET MANAGEMENT AND OTHER SERVICES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
ASSET MANAGEMENT AND OTHER SERVICES | |
Schedule of asset management and other services | Portfolio Net Worth Number of Units Asset Management and Other Services 12/31/2020 12/31/2019 12/31/2020 12/31/2019 12/31/2020 12/31/2019 Premier Renta C.P. Pesos 36,297,562 19,103,061 36,260,237 19,073,822 12,597,963,038 3,958,398,573 Premier Renta Plus en Pesos 168,089 148,593 162,743 145,943 11,899,481 10,250,999 Premier Renta Fija Ahorro 1,721,266 633,635 1,709,665 625,558 59,317,777 12,851,475 Premier Renta Fija Crecimiento 73,983 63,880 73,386 63,519 3,983,791 3,688,485 Premier Renta Variable 188,342 226,526 185,576 223,268 6,689,975 6,982,580 Premier FCI Abierto Pymes 941,245 762,877 917,368 761,161 119,588,138 91,559,624 Premier Commodities 259,125 28,643 255,128 18,506 25,702,973 2,596,034 Premier Capital 192,336 175,700 191,253 175,237 36,842,932 36,057,519 Premier Inversión 736,703 184,280 713,499 184,186 1,576,391,366 442,160,447 Premier Balanceado 1,196,216 849,329 1,195,336 848,555 253,733,905 249,317,925 Premier Renta Mixta 3,559,642 181,414 3,151,517 181,267 1,072,064,209 76,562,093 Premier Renta Mixta en USD 112,768 177,271 112,768 176,619 2,083,508 2,815,589 Premier Performance en USD 526,115 617,920 521,839 616,534 7,724,190 9,312,208 Premier Global USD 490,472 951,507 489,973 948,572 5,444,411 11,338,023 |
RESTRICTED ASSETS (Tables)
RESTRICTED ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
RESTRICTED ASSETS | |
Summary of Restricted Assets | Item 12/31/2020 12/31/2019 Financial assets in guarantee Special guarantee accounts in the Argentine Central Bank 3,710,757 2,887,162 Trust guarantee deposits — 5,173 Guarantee deposits for currency forward transactions 601,248 2,865,356 Guarantee deposits for credit cards transactions 421,942 432,118 Other guarantee deposits 160,820 215,866 Guarantee deposits for repo transactions — 32,510 4,894,767 6,438,185 |
FINANCIAL TRUSTS (Tables)
FINANCIAL TRUSTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Disclosure of financial trust [line items] | |
Summary of Financial Trust | The structured entity in which the Group was the trustor as of December 31, 2020 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Amount Type Amount Micro Lending S.A.U. III 06/08/2011 10/12/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 09/01/2011 06/29/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 The structured entity in which the Group was the trustor as of December 31, 2019 are set out below: Due of Financial principal Securitized Issued Securities Issuers Trust Set-up on obligation Amount Type Cantidad Tipo Cantidad Banco Supervielle S.A. Serie 97 27/03/2018 20/03/2020 $ 750,000 VDF TV A VN$712,500 CP VN$37,500 Cordial Compañía Financiera S.A. 20 08/04/2019 15/01/2022 $ 600,000 VDF VN$480,000 CP VN$120,000 Cordial Compañía Financiera S.A. 21 24/06/2019 15/06/2022 $ 1,000,000 VDF VN$780,000 CP VN$220,000 Cordial Compañía Financiera S.A. 22 13/11/2019 15/01/2021 $ 571,560 VDF VN$469,260 CP VN$102,300 Micro Lending S.A.U. III 08/06/2011 12/10/2016 $ 39,779 VDF TV A VDF B VN$31,823 CP VN$1,592 Micro Lending S.A.U. IV 01/09/2011 29/06/2017 $ 40,652 VDF TV A VDF B VN$32,522 CP VN$1,626 Micro Lending S.A.U. XVIII 01/12/2017 15/10/2022 $ 119,335 VDF TV A VDF TV B VN $89,501 CP VN$22,543 |
Fideicomiso de Administracin Interconexin Financial Trust | |
Disclosure of financial trust [line items] | |
Summary of Financial Trust | Financial trust Indenture executed on Due of principal obligation Original principal amount Principal balance Beneficiaries Settlers Fideicomiso de Administración Interconexión 500 KV ET Nueva San Juan - ET Rodeo Iglesia 09/12/2018 The Term of this Trust Fund Contract will be in force over 24 months as from 09/12/2018, or until the expiration of liabilities through Disbursements (Termination Date”). 30 days (thirty days) after the maturity of this Trust Agreement without the parties’ having agreed upon an Extension Commission, the Trustor of the trust account shall receive USD 6,000 (six thousand US Dollars) at the exchange rate in force in Banco Supervielle as a fine. - - Those initially mentioned in Exhibit V (DISERVEL S.R.L., INGENIAS S.R.L, GEOTECNIA (INV. CALVENTE), NEWEN INGENIERIA S.A., INGICIAP S.A., MERCADOS ENERGETICOS, DISERVEL S.R.L.) and providers of works, goods and services included in the Project to be assigned by the Trustee with prior consent of the Trustor Interconexion Electrica Rodeo S.A. |
Micro Lending Financial Trust | |
Disclosure of financial trust [line items] | |
Summary of Financial Trust | Securitized Issued Securities Financial Trust Set-up on Amount Type Amount Amount Type Amount III 06/08/2011 $ 39,779 VDF TV A VN$31,823 VDF B VN $6,364 CP VN $1,592 Vto: 03/12/13 Vto: 11/12/13 Vto: 10/12/16 IV 09/01/2011 $ 40,652 VDF TV A VN$32,522 VDF B VN $6,504 CP VN $1,626 Vto: 06/20/13 Vto: 10/20/13 Vto: 06/29/17 |
ISSUANCE OF DEBT SECURITIES (Ta
ISSUANCE OF DEBT SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Banco Supervielle S.A. | |
ISSUANCE OF DEBT SECURITIES | |
Summary of Outstanding obligations | Class Issue Date Maturity Date Annual Interest Rate 12/31/2020 12/31/2019 Banco Supervielle Class A 02/09/2017 08/09/2020 Badlar + Spread 4.5 % — 5,179,248 Banco Supervielle Class C 12/22/2017 12/22/2021 Badlar + Spread 4.25 % 444,327 908,288 Banco Supervielle Class E 02/14/2018 02/14/2023 Badlar + Spread 4.05 % 1,579,563 2,177,446 Banco Supervielle Class G 06/30/2020 06/30/2021 2% Annual Nominal 2,202,858 — Micro Lending Class III 10/04/2017 10/05/2020 Badlar + Spread 7 % — 21,181 Total 4,226,748 8,286,163 Issuance Maturity Book Value date Currency Class Amount Amortization Term date Rate 12/31/2020 12/31/2019 08/20/2013 U$S III 22,500 100% at mat, 84 Months 08/20/20 7 % — 1,780,980 11/18/2014 U$S IV 13,441 100% at mat, 84 Months 11/18/21 7 % 1,140,469 1,105,048 Total 1,140,469 2,886,028 |
RESTRICTIONS IMPOSED ON THE D_2
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |
Schedule of shareholders' equity under the rules of the Argentine Central Bank | 12/31/2020 Capital Stock 456,722 Capital Adjustment 2,968,586 Paid in Capital 28,858,170 Legal Reserve — Other Reserves — Retained earnings 3,412,111 Other Comprehensive Income 642,945 Total shareholders’ equity attributable to the owners of the parent under the rules of the Argentine Central Bank 36,338,534 January 1, 2020 Thousands of AR$ Capital stock 456,722 Capital Adjustment 2,968,586 Issue Premium 28,858,170 Other comprehensive income 117,647 Total shareholders´ equity 32,401,125 |
LOANS AND OTHER FINANCING (Tabl
LOANS AND OTHER FINANCING (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
LOANS AND OTHER FINANCING | |
Summary of composition of loan portfolio | As of December 31, 2020 and 2019 the composition of the loan portfolio is as follows: Total as of Assets Before Allowances December 31, Stage 1 Stage 2 Stage 3 2020 Promissory notes 18,228,303 610,850 146,257 18,985,410 Unsecured corporate loans 12,407,922 793,555 2,359,458 15,560,935 Overdrafts 2,034,612 159,552 302,868 2,497,032 Mortgage loans 7,894,984 2,118,357 1,044,497 11,057,838 Automobile and other secured loans 1,227,511 312,404 352,278 1,892,193 Personal loans 19,046,521 1,452,586 624,011 21,123,118 Credit card loans 17,420,096 1,839,516 389,148 19,648,760 Foreign Trade Loans 9,558,036 1,585,023 1,901,861 13,044,920 Other financings 3,293,864 725,488 163,301 4,182,653 Other receivables from financial transactions 2,546,026 33,788 59,701 2,639,515 Receivables from financial leases 2,817,385 217,321 152,820 3,187,526 Subtotal 96,475,260 9,848,440 7,496,200 113,819,900 Allowances for loan losses (1,856,309) (1,988,731) (4,579,674) (8,424,714) Total 94,618,951 7,859,709 2,916,526 105,395,186 Total as of Assets Before Allowances December 31, Stage 1 Stage 2 Stage 3 2019 Promissory notes 10,904,372 300,364 387,249 11,591,985 Unsecured corporate loans 13,579,312 494,932 1,045,787 15,120,031 Overdrafts 5,908,410 119,964 1,593,199 7,621,573 Mortgage loans 8,209,763 1,550,950 1,017,564 10,778,277 Automobile and other secured loans 1,088,637 354,852 217,339 1,660,828 Personal loans 19,124,764 1,518,200 1,541,472 22,184,436 Credit card loans 16,133,436 762,996 738,378 17,634,810 Foreign Trade Loans 22,053,128 837,964 1,819,440 24,710,532 Other financings 10,541,125 127,893 103,346 10,772,364 Other receivables from financial transactions 2,511,245 22,471 62,543 2,596,259 Receivables from financial leases 3,836,879 250,933 250,569 4,338,381 Subtotal 113,891,071 6,341,519 8,776,886 129,009,476 Allowances for loan losses (2,185,274) (1,141,825) (5,865,030) (9,192,129) Total 111,705,797 5,199,694 2,911,856 119,817,347 |
Summary of changes in gross carrying amount and corresponding expected credit losses | Assets Before Allowances ECL Allowance Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Balance at the beginning of the year 113,892,858 6,341,521 8,776,882 129,011,261 2,185,274 1,141,825 5,865,030 9,192,129 Transfers 1 to 2 (3,214,532) 3,214,532 — — (116,717) 1,082,821 — 966,104 1 to 3 (1,543,847) — 1,543,847 — (36,310) — 2,481,033 2,444,723 2 to 3 — (846,342) 846,342 — — (222,310) 742,127 519,817 2 to 1 817,989 (817,989) — — 33,836 (124,642) — (90,806) 3 to 2 — 36,687 (36,687) — — 10,485 (39,274) (28,789) 3 to 1 46,735 — (46,735) — 1,413 — (45,148) (43,735) Net changes of financial assets (15,379,218) 2,736,983 (53,260) (12,695,495) 832,860 1,226,241 (457,000) 1,602,101 Write-Offs (1,123,756) (1,151,327) (4,102,760) (6,377,843) (1,123,756) (1,151,327) (4,102,760) (6,377,843) Exchange Differences and Others 2,979,031 334,375 568,571 3,881,977 79,709 25,638 135,666 241,013 Gross carrying amount at December 31, 2020 96,475,260 9,848,440 7,496,200 113,819,900 1,856,309 1,988,731 4,579,674 8,424,714 Assets Before Allowances ECL Allowance Stage 1 Stage 2 Stage 3 Total Stage 1 Stage 2 Stage 3 Total Balance at the beginning of the year 148,088,044 15,181,940 8,764,377 172,034,361 3,011,796 2,400,090 4,926,073 10,337,959 Transfers 1 to 2 (1,328,535) 1,328,535 — — (83,582) 423,682 — 340,100 1 to 3 (6,848,389) — 6,848,389 — (126,062) — 4,692,322 4,566,260 2 to 3 — (1,760,766) 1,760,766 — — (296,040) 1,018,262 722,222 2 to 1 5,995,283 (5,995,283) — — 74,463 (458,568) — (384,105) 3 to 2 — 62,781 (62,781) — — 13,217 (43,191) (29,974) 3 to 1 218,823 — (218,823) — 21,122 — (153,805) (132,683) Net changes of financial assets (45,996,053) (2,869,752) (2,841,336) (51,707,141) (799,829) (974,665) 2,101,388 326,894 Write-Offs — — (6,846,644) (6,846,644) — — (6,846,644) (6,846,644) Exchange Differences and Others 13,761,898 394,064 1,372,938 15,528,900 87,366 34,109 170,625 292,100 Gross carrying amount at December 31, 2018 113,891,071 6,341,519 8,776,886 129,009,476 2,185,274 1,141,825 5,865,030 9,192,129 |
Summary of financial assets | Allowances Gross for loans Fair value of Credit Impaired loans exposure losses Book value collateral Overdrafts 302,868 152,172 150,696 81,482 Financial Lease 152,820 98,234 54,586 102,255 Documents 146,257 138,617 7,640 631 Mortgage loans 1,044,497 249,563 794,934 480,309 Personal loans 624,011 582,724 41,287 — Pledge loans 352,278 235,434 116,843 107,785 Credit cards 389,148 373,666 15,483 1,319 Other 4,484,321 2,749,264 1,735,057 1,450,733 Total 7,496,200 4,579,674 2,916,526 2,224,514 |
Summary of withdrawal financial assets from its balance sheet | 12.31.2020 12.31.2019 Balance at the beginning of the year 5,240,360 3,614,921 Additions 5,788,119 6,113,008 Disposals (1,229,014) (1,666,458) Cash colletion (550,119) (631,103) Portfolio sales (77,117) (61,979) Condonation (601,778) (973,376) Exchange differences and other movements (2,601,385) (2,821,111) Gross carrying amount 7,198,080 5,240,360 |
RISK MANAGEMENT POLICIES (Table
RISK MANAGEMENT POLICIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
RISK MANAGEMENT POLICIES | |
Summary of maximum credit risk exposure | December 31, 2020 ECL Staging Stage 1 Stage 2 Stage 3 Loan Type 12-month ECL Lifetime ECL Lifetime ECL Total Overdrafts 18,228,303 610,850 146,257 Promissory Notes 12,407,922 793,555 2,359,458 15,560,935 Unsecured Corporate Loans 12,516,187 285,078 302,868 13,104,133 Mortgage Loans 7,894,984 2,118,357 1,044,497 11,057,838 Automobile and other secured loans 1,227,511 312,404 352,278 1,892,193 Personal Loans 19,046,521 1,452,586 624,011 21,123,118 Retail 15,535,247 1,425,146 510,209 17,470,602 Consumer Finance 3,511,274 27,440 113,802 3,652,516 Credit Card Loans 43,673,047 3,118,508 389,148 47,180,703 Retail 38,301,754 2,633,285 243,466 41,178,505 Consumer Finance 5,371,293 485,223 145,682 6,002,198 Receivables from Financial Leases 2,817,385 217,321 152,820 3,187,526 Foreign Trade Loans 1,585,023 1,901,861 13,044,920 Other Financings 3,759,131 746,038 163,301 4,668,470 Other Receivables from Financial Transactions 2,546,404 34,037 59,701 2,640,142 Total 133,675,431 11,273,757 7,496,200 152,445,388 December 31, 2019 ECL Staging Stage 1 Stage 2 Stage 3 Loan Type 12-month ECL Lifetime ECL Lifetime ECL Total Overdrafts 37,008,385 601,442 1,590,928 39,200,755 Promissory Notes 10,904,371 300,364 387,249 11,591,984 Unsecured Corporate Loans 13,579,312 494,932 1,045,787 15,120,031 Mortgage Loans 8,209,762 1,550,950 1,017,564 10,778,276 Automobile and other secured loans 1,088,637 354,852 217,339 1,660,828 Personal Loans 44,364,398 6,715,548 1,571,483 52,651,429 Personal and Business Banking 17,793,608 1,099,343 592,285 19,485,236 Consumer Finance 26,570,790 5,616,205 979,198 33,166,193 Credit Card Loans 42,284,160 1,241,422 742,864 44,268,446 Personal and Business Banking 36,630,601 1,051,965 38,052,998 Consumer Finance 5,653,559 189,457 372,432 6,215,448 Foreign Trade Loans 22,053,128 837,964 1,819,440 24,710,532 Other Financings 10,714,901 158,201 103,923 10,977,025 Other Receivables from Financial Transactions 2,511,243 22,471 62,543 2,596,257 Receivables from Financial Leases 3,836,879 250,933 250,565 4,338,377 Total 196,555,176 12,529,079 8,809,685 217,893,940 |
Summary of exposure to the Group's exchange risk by currency type | Balances as of 12/31/2020 Balances as of 12/31/2019 Monetary Monetary Monetary Monetary Financial Financial Net Financial Financial Net Currency Assets Liabilities Derivatives Position Assets Liabilities Derivatives Position US Dollar 42,899,393 35,709,785 529 7,190,137 56,061,739 50,902,660 — 5,159,079 Euro 974,565 785,018 — 189,547 807,436 783,009 — 24,427 Others 293,182 6,208 — 286,974 199,362 — — 199,362 Total 44,167,140 36,501,011 529 7,666,658 57,068,537 51,685,669 — 5,382,868 |
Summary of sensitivity analysis performed reasonably possible changes in foreign exchange rates | 12/31/2020 12/31/2019 Currency Variation P/L Equity Variation P/L Equity US Dollar 40.20 % 2,687,853 2,687,853 31.9 % 270,549 270,549 (40.20) % (2,687,853) (2,687,853) (31.9) % (270,549) (270,549) Euro 40.20 % 75,960 75,960 31.9 % 7,793 7,793 (40.20) % (75,960) (75,960) (31.9) % (7,793) (7,793) Other 40.20 % 115,338 115,338 31.9 % 61,993 61,993 (40.20) % (115,338) (115,338) (31.9) % (61,993) (61,993) Total 40.20 % 2,879,151 2,879,151 31.9 % 340,335 340,335 (40.20) % (2,879,151) (2,879,151) (31.9) % (340,335) (340,335) |
Summary of exposure to interest rate risk | Term in days Assets and Liabilities Up to 30 From 30 to 90 from 90 to 180 from 180 to 365 More than 365 Total To 12/31/2020 Total Financial Assets 94,212,108 23,283,810 21,884,220 13,991,605 76,333,380 229,705,123 Total Financial Liabilities (110,298,588) (23,704,722) (5,066,130) (1,500,505) (69,482,671) (210,052,616) Net Amount (16,086,480) (420,912) 16,818,090 12,491,100 6,850,709 19,652,507 Average rate Assets 33.76 % 37.13 % 37.10 % 44.08 % 22.70 % 31.37 % Average rate Liabilities 31.29 % 16.88 % 15.85 % 42.82 % 13.45 % 23.60 % Term in days Assets and Liabilities Up to 30 From 30 to 90 from 90 to 180 from 180 to 365 More than 365 Total To 12/31/2019 Total Financial Assets 57,417,639 20,427,549 15,594,538 16,684,376 69,002,031 179,126,133 Total Financial Liabilities (68,842,995) (18,271,575) (6,965,625) (9,086,825) (60,866,894) (164,033,914) Net Amount (11,425,356) 2,155,974 8,628,913 7,597,551 8,135,137 15,092,219 Average rate Assets 50.15 % 62.53 % 62.88 % 61.73 % 31.39 % 46.52 % Average rate Liabilities 40.67 % 36.72 % 28.94 % 34.96 % 25.25 % 33.70 % |
Summary of sensitivity to reasonably possible additional variation in interest rates for next year | 12/31/2020 12/31/2019 Increase / (decrease) Increase / (decrease) Concepto Additional variation in in the income Additional variation in in the income the interest rate statement the interest rate statement Decrease in the interest rate 4% ARS; 2% USD (433,698) 4% ARS; 2% USD (486,558) Increase in the interest rate 4% ARS; 2% USD 430,992 4% ARS; 2% USD 354,392 |
Summary of analysis of the assets and liabilities maturities | Less than From 1 to From 6 to From 1 to More than As of 12/31/2020 1 month 6 months 12 months 5 years 5 years Total Cash and due from banks 36,717,126 — — — — 36,717,126 Cash 12,868,539 — — — — 12,868,539 Financial institutions and correspondents — — — — — — Argentine Central Bank 19,836,222 — — — — 19,836,222 Other local financial institutions 3,848,820 — — — — 3,848,820 Others 163,545 — — — — 163,545 Debt Securities at fair value through profit or loss 2,995,709 3,863,084 654,825 4,023,869 — 11,537,487 Derivatives 143,944 — — — — 143,944 Reverse Repo transactions 22,452,025 — — — — 22,452,025 Other financial assets — — — — 1,995,834 1,995,834 Loans and other financing 16,751,292 45,402,101 16,099,375 31,723,942 3,578,926 113,555,636 To the non-financial public sector 23,289 — — — — 23,289 To the financial sector 4,206 6,702 2,544 — — 13,452 To the Non-Financial Private Sector and Foreign residents 16,723,797 45,395,399 16,096,831 31,723,942 3,578,926 113,518,895 Other debt securities 28,385,679 639,210 7,089,420 5,966,933 100,395 42,181,637 Financial assets pledged as collateral 1,686,400 3,680,854 717,294 1,907,549 311,972 8,304,069 TOTAL ASSETS 109,132,175 53,585,249 24,560,914 43,622,293 5,987,127 236,887,758 Deposits 132,523,336 26,459,417 5,289,801 10,644,216 4,566,477 179,483,247 Non-financial public sector 6,331,241 1,493,437 55,608 112,268 57,938 8,050,492 Financial sector 89,090 — — — — 89,090 Non-financial private sector and foreign residents 126,103,005 24,965,980 5,234,193 10,531,948 4,508,539 171,343,665 Liabilities at fair value through profit or loss — 2,547,937 — — — 2,547,937 Repo transactions — — — — — — Other financial liabilities 7,732,441 — — — — 7,732,441 Financing received from the Argentine Central Bank and other financial institutions 68,390 1,989,029 1,855,366 1,917,967 — 5,830,752 Unsubordinated debt securities — 3,586,903 455,669 1,295,122 — 5,337,694 Subordinated debt securities — 39,259 1,170,903 - — 1,210,162 TOTAL LIABILITIES Less than From 1 to From 6 to From 1 to More than As of 12/31/2019 1 month 6 months 12 months 5 years 5 years Total Cash and due from banks 26,670,491 — — — — 26,670,491 Cash 8,822,591 — — — — 8,822,591 Financial institutions and correspondents — — — — — — Argentine Central Bank 16,381,107 — — — — 16,381,107 Other local financial institutions 1,435,202 — — — — 1,435,202 Others 31,591 — — — — 31,591 Debt Securities at fair value through profit or loss 430,513 — — — — 430,513 Derivatives 257,587 — — — — 257,587 Reverse Repo transactions — — — — — — Other financial assets — — — — 939,852 939,852 Loans and other financing 21,306,539 32,856,149 14,084,678 22,046,665 1,106,681 91,400,712 To the non-financial public sector 28,872 — — — — 28,872 To the financial sector 5,355 17,375 9,763 10,492 — 42,985 To the Non-Financial Private Sector and Foreign residents 21,272,312 32,838,774 14,074,915 22,036,173 1,106,681 91,328,855 Other debt securities 7,171,139 401,722 3,090,168 — — 10,663,029 Financial assets pledged as collateral 765,391 2,880,890 733,929 2,055,037 1,982,106 8,417,353 TOTAL ASSETS 56,601,660 36,138,761 17,908,775 24,101,702 4,028,639 138,779,537 Deposits 61,988,823 6,814,743 23,328,510 17,172 — 92,149,248 Non-financial public sector 4,984,287 96,282 389,608 — — 5,470,177 Financial sector 37,358 — — — — 37,358 Non-financial private sector and foreign residents 56,967,178 6,718,461 22,938,902 17,172 — 86,641,713 Liabilities at fair value through profit or loss 189,554 — — — — 189,554 Repo transactions 225,144 — — — — 225,144 Other financial liabilities 7,894,660 — — — — 7,894,660 Financing received from the Argentine Central Bank and other financial institutions 96,682 3,197,676 279,037 5,453,649 — 9,027,044 Unsubordinated debt securities — 3,376,997 3,095,134 3,144,238 — 9,616,369 Subordinated debt securities — 75,654 1,423,084 861,402 — 2,360,140 TOTAL LIABILITIES 70,394,863 13,465,070 28,125,765 9,476,461 — 121,462,159 |
BUSINESS COMBINATIONS (Tables)
BUSINESS COMBINATIONS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Futuros del Sur S.A. | |
Business Combinations | |
Summary of Acquisition for Class of Assets Acquired and Liabilities Assumed | Fair Value Cash and Due from Banks 6,474 Other Assets 1,240 Miscellaneous obligations (28) Net identifiable assets acquired 7,686 Consideration of the acquisition: - Amount paid net of expenses 14,978 Net cash flow used - investment activities 14,978 Goodwill 7,292 |
ASSETS AND LIABILITIES IN FOR_2
ASSETS AND LIABILITIES IN FOREIGN CURRENCY (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
ASSETS AND LIABILITIES IN FOREIGN CURRENCY | |
Summary of Assets and Liabilities in Foreign Currency | At At 12/31/2020 (per currency) At Items 12/31/2020 Dollar Euro Real Others 12/31/2019 ASSETS Cash and Due from Banks 20,398,250 19,133,411 972,675 15,461 276,703 18,919,331 Government and corporate securities at fair value with changes in results 1,846,252 1,846,252 — — — 959,676 Derivatives 529 529 — — — — Other financial assets 1,133,994 1,133,884 110 — — 1,567,666 Loans and other financing 15,222,168 15,219,370 1,780 — 1,018 29,246,976 Other Debt Securities 4,800,665 4,800,665 — — — 88 Financial assets in guarantee 524,543 524,543 — — — 6,130,740 Other non-financial assets 240,739 240,739 — — — 244,060 TOTAL ASSETS 44,167,140 42,899,393 974,565 15,461 277,721 57,068,537 LIABILITIES Deposits 25,199,406 24,737,162 462,244 — — 31,770,757 Non-financial public sector 903,482 903,332 150 — — 2,956,100 Financial sector 2,057 2,057 — — — 12,337 Non-financial private sector and foreign residents 24,293,867 23,831,773 462,094 — — 28,802,321 Liabilities at fair value with changes in results 0 — — — — 0 Other financial liabilities 2,378,133 2,049,159 322,767 13 6,194 5,570,567 Financing received from the Argentine Central Bank and other financial entities 5,200,132 5,200,132 — — — 10,993,994 2,202,858 2,202,858 — — — — Subordinated negotiable obligations 1,140,468 1,140,468 — — — 2,886,028 Other non-financial liabilities 380,014 380,006 7 — 1 464,323 TOTAL LIABILITIES 36,501,011 35,709,785 785,018 13 6,195 51,685,670 NET POSITION 7,666,129 7,189,608 189,547 15,448 271,526 5,382,867 |
CURRENT_NON-CURRENT DISTINCTI_2
CURRENT/NON-CURRENT DISTINCTION (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
CURRENT/NON-CURRENT DISTINCTION | |
Summary of Assets and Liability | 12/31/2020 12/31/2019 No more than No more than 12 months More than 12 12 months More than 12 after the months after after the months after reporting the reporting reporting the reporting ASSETS period period Total period period Total Cash and due from banks 36,674,869 — 36,674,869 35,945,335 — 35,945,335 Cash 12,792,522 — 12,792,522 11,913,814 — 11,913,814 Argentine Central Bank 19,623,684 — 19,623,684 21,683,569 — 21,683,569 Other local financial institutions 4,106,336 — 4,106,336 2,307,232 — 2,307,232 Others 152,327 — 152,327 40,720 — 40,720 Debt Securities at fair value through profit or loss 9,871,903 — 9,871,903 773,961 — 773,961 Derivatives 143,944 — 143,944 350,680 — 350,680 Reverse Repo transactions 22,354,735 — 22,354,735 — — — Other financial assets 4,285,221 — 4,285,221 2,854,686 — 2,854,686 Loans and other financing 75,152,213 30,242,973 105,395,186 84,171,764 35,645,583 119,817,347 To the non-financial public sector 12,632 10,898 23,530 9,557 29,750 39,307 To the financial sector 12,062 0 12,062 44,746 43,095 87,841 To the Non-Financial Private Sector and Foreign residents 75,127,519 30,232,075 105,359,594 84,117,461 35,572,738 119,690,199 Other debt securities 28,836,567 12,023,408 40,859,975 13,759,182 479,158 14,238,340 Financial assets in guarantee 4,904,935 — 4,904,935 7,261,336 — 7,261,336 Current income tax assets — — — 139,487 — 139,487 Inventories 70,964 — 70,964 60,521 — 60,521 Investments in equity instruments 19,954 96,374 116,328 — 19,848 19,848 Property, plant and equipment — 7,103,638 7,103,638 — 5,448,454 5,448,454 Investment Property — 5,997,945 5,997,945 — 5,520,143 5,520,143 Intangible assets — 6,782,538 6,782,538 — 5,919,425 5,919,425 Deferred income tax assets 451,540 2,864,345 3,315,885 211,921 2,063,254 2,275,175 Other non-financial assets 717,343 635,537 1,352,880 1,027,614 767,863 1,795,477 TOTAL ASSETS 183,484,188 65,746,758 249,230,946 146,556,487 55,863,728 202,420,215 12/31/2020 12/31/2019 No more than No more than 12 months More than 12 12 months More than 12 after the months after after the months after reporting the reporting reporting the reporting LIABILITIES period period Total period period Total Deposits 178,641,218 376 178,641,594 121,174,622 1,633 121,176,255 Non-financial public sector 7,911,255 — 7,911,255 7,447,131 — 7,447,131 Financial sector 57,416 — 57,416 38,253 — 38,253 Non-financial private sector and foreign residents 170,672,547 376 170,672,923 113,689,238 1,633 113,690,871 Liabilities at fair value through profit or loss 2,002,005 — 2,002,005 258,060 — 258,060 Derivatives 1,995 — 1,995 0 — — Repo Transactions — — — 435,401 — 435,401 Other financial liabilities 6,814,747 714,142 7,528,889 11,646,963 763,021 12,409,984 Financing received from the Argentine Central Bank and other financial institutions 5,522,424 329,868 5,852,292 11,827,975 448,635 12,276,610 Unsubordinated negotiable Obligations 3,155,866 1,070,882 4,226,748 5,830,502 2,455,661 8,286,163 Current income tax liability 1,288,267 — 1,288,267 — — — Subordinated negotiable obligations 1,140,469 — 1,140,469 1,790,228 1,095,800 2,886,028 Provisions 42,181 638,911 681,092 29,570 892,126 921,696 Deferred income tax liability 42,005 — 42,005 689,268 — 689,268 Other non-financial liabilities 10,325,372 1,820,730 12,146,102 8,886,616 2,289,048 11,175,664 TOTAL LIABILITIES 208,976,549 4,574,909 213,551,458 162,569,205 7,945,924 170,515,129 |
OFFSETTING OF FINANCIAL ASSET_2
OFFSETTING OF FINANCIAL ASSET AND LIABILITIES (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
OFFSETTING OF FINANCIAL ASSET AND LIABILITIES | |
Summary of Assets and Liabilities Subject to a Master Netting Arrangement Not Offset | Net in Financial Amounts subject to a master Gross Amount Statements netting arrangement not offset 12/31/2020 amount (a) offset (b) (c) = (a) – (b) Financial asset / (Financial liability) Collateral Net amount Credit cards transactions — — — (3,143,567) 487,207 (2,656,360) Derivatives instruments 103,093 40,851 143,944 — — — Total 103,093 40,851 143,944 (3,143,567) 487,207 (2,656,360) Net in Financial Amounts subject to a master Gross Amount Statements netting arrangement not offset 12/31/2019 amount (a) offset (b) (c) = (a) – (b) Financial asset / (Financial liability) Collateral Net amount Credit cards transactions — — — (3,115,913) 827,175 (2,288,738) Derivatives instruments 423,353 (72,673) 350,680 — — — Total 423,353 (72,673) 350,680 (3,115,913) 827,175 (2,288,738) |
MINIMUM CAPITAL REQUIREMENTS (T
MINIMUM CAPITAL REQUIREMENTS (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
MINIMUM CAPITAL REQUIREMENTS | |
Schedule of minimum capital requirement in accordance with the rules of Agrentine Cental Bank | As stated above under "Presentation of Financial and Other Information", we have prepared our audited consolidated financial statements for 2019, 2018 and 2017 under IFRS, Minimum capital requirement has been prepared in accordance with the rules of the Argentine Central Bank, which is not comparable to data prepared under IFRS, Year ended December 31,(2) 2020 2019 2018 (in thousands of Pesos except percentages and ratios) Calculation of excess capital: Allocated to assets at risk 9,047,140 7,164,842 6,090,341 Allocated to Bank premises and equipment, intangible assets and equity investment assets 1,350,035 826,133 370,233 Market risk 551,765 251,739 301,724 Interest rate risk — — — Public sector and securities in investment account, 27,651 11,472 96,882 Operational risk 3,233,793 2,349,952 1,486,516 Required minimum capital under Central Bank rules 14,210,384 10,604,138 8,345,696 Basic net worth 30,242,263 16,991,091 11,847,865 Complementary net worth 1,090,865 1,033,734 1,163,939 Deductions (7,028,227) (2,999,716) (867,798) Total capital under Central Bank rules 24,304,901 15,025,109 12,144,006 Excess capital 10,094,517 4,420,971 3,798,310 Selected capital and liquidity ratios: Regulatory capital/risk weighted assets (1) 19.29 % 11.60 % 11.90 % Average shareholders’ equity as a percentage of average total assets 11.16 % 10.40 % 9.90 % Total liabilities as a multiple of total shareholders’ equity 7.5x 7.1x 9.4x Cash as a percentage of total deposits 20.31 % 28.20 % 35.10 % Tier 1 Capital / Risk weighted assets 13.35 % 10.80 % 10.80 % |
ACCOUNTING STANDARDS AND BASI_4
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - IAS 29 (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | |||
Annual | 36.10% | 53.80% | 47.60% |
Accumulated 3 years | 209.20% | 183.40% | 148.00% |
ACCOUNTING STANDARDS AND BASI_5
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Subsidiaries (Details) | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Banco Supervielle S.A. | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 99.90% | 99.90% | 99.89% |
Proportion of voting rights held in subsidiary | 99.87% | 99.87% | 99.87% |
Cordial Compania Financiera S.A. | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 99.90% | 99.90% | 99.90% |
Tarjeta Automatica S.A. [member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 99.99% | 99.99% | 99.99% |
Supervielle asset management S.A.[member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | 100.00% |
SofitalS.A.F. e I.I. [member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | 100.00% |
Espacio Cordial de Servicios S.A. [member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | 100.00% |
Supervielle Seguros S.A. [member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | 100.00% |
Micro Lending S.A.U. [member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | 100.00% |
Invertir Online S.A.U. [member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | 100.00% |
Invertir Online.Com Argentina S.A.U. [member] | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | 100.00% |
Supervielle Productores Asesores de Seguros S.A | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | |
Bolsillo Digital S.A.U. | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | |
Futuros del Sur S.A. | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% | 100.00% | |
Easy Cambio S.A. | |||
Subsidiaries included in the consolidation | |||
Percentage of direct and indirect investment in capital stock | 100.00% |
ACCOUNTING STANDARDS AND BASI_6
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Structured Entities (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
ASSETS | ||
Financial assets | $ 224,607,096 | $ 181,261,533 |
Other non-financial assets | 1,352,880 | 1,795,477 |
Total Assets | 249,230,946 | 202,420,215 |
LIABILITIES | ||
Financial liabilities | 199,393,992 | 157,728,501 |
Other liabilities | 12,146,102 | 11,175,664 |
Total Liabilities | $ 213,551,458 | 170,515,129 |
Consolidated structured entities [member] | ||
ASSETS | ||
Loans | 2,170,985 | |
Financial assets | 148,174 | |
Other non-financial assets | 397,110 | |
Total Assets | 2,716,269 | |
LIABILITIES | ||
Financial liabilities | 1,939,295 | |
Other liabilities | 56,675 | |
Total Liabilities | $ 1,995,970 |
ACCOUNTING STANDARDS AND BASI_7
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Cash and Cash Equivalents (Detail) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | |||
Cash and due from banks | $ 36,674,869 | $ 35,945,335 | $ 70,551,283 |
Debt securities at fair value through profit or loss | 1,868,604 | 773,961 | 26,458,009 |
Money Market Funds | 923,053 | 1,313,597 | 1,372,931 |
Cash and cash equivalents | $ 39,466,526 | $ 38,032,893 | $ 98,382,223 |
ACCOUNTING STANDARDS AND BASI_8
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Reconciliation Of Statement of Financial Position and Statement of Cash Flow (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Cash and due from Banks | |||
Cash and due from banks | $ 36,674,869 | $ 35,945,335 | $ 70,551,283 |
As per the Statement of Cash Flows | 36,674,869 | 35,945,335 | 70,551,283 |
Debt securities at fair value through profit or loss | |||
As per Statement of Financial Position | 9,871,903 | 773,961 | 31,649,050 |
Securities not considered as cash equivalents | (8,003,299) | (5,191,041) | |
As per the Statement of Cash Flows | 1,868,604 | 773,961 | 26,458,009 |
Money Market Funds | |||
As per Statement of Financial Position - Other financial assets | 4,285,221 | 2,854,686 | 3,556,206 |
Other financial assets not considered as cash equivalents | (3,362,168) | (1,541,089) | (2,183,275) |
As per the Statement of Cash Flow | $ 923,053 | $ 1,313,597 | $ 1,372,931 |
ACCOUNTING STANDARDS AND BASI_9
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Financing Activities (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of financing activities | |||
Beginning of year | $ 24,737,221 | $ 39,212,996 | $ 39,581,252 |
Inflows | 17,527,205 | 161,982,004 | 115,958,305 |
Outflows | (31,223,847) | (181,565,303) | (116,819,735) |
Other non-cash movements | 1,360,628 | 5,107,524 | 493,174 |
End of year | 12,401,207 | 24,737,221 | 39,212,996 |
Unsubordinated debt securities | |||
Reconciliation of financing activities | |||
Beginning of year | 8,286,163 | 19,491,854 | 26,558,104 |
Inflows | 2,653,805 | 11,452,532 | 6,429,136 |
Outflows | (6,785,701) | (23,641,629) | (11,619,542) |
Other non-cash movements | 72,481 | 983,406 | (1,875,844) |
End of year | 4,226,748 | 8,286,163 | 19,491,854 |
Subordinated debt securities | |||
Reconciliation of financing activities | |||
Beginning of year | 2,886,028 | 2,898,105 | 2,120,799 |
Outflows | (1,774,264) | (1,147,619) | (19,976) |
Other non-cash movements | 28,705 | 1,135,542 | 797,282 |
End of year | 1,140,469 | 2,886,028 | 2,898,105 |
Financing received from the Argentine Central Bank and other financial institutions | |||
Reconciliation of financing activities | |||
Beginning of year | 12,276,610 | 16,823,037 | 10,902,349 |
Inflows | 14,873,400 | 150,529,472 | 109,529,169 |
Outflows | (21,297,718) | (155,072,118) | (105,180,217) |
Other non-cash movements | (3,781) | 1,571,736 | |
End of year | 5,852,292 | 12,276,610 | $ 16,823,037 |
Lease Liabilities | |||
Reconciliation of financing activities | |||
Beginning of year | 1,288,420 | ||
Outflows | (1,366,164) | (1,703,937) | |
Other non-cash movements | 1,259,442 | 2,992,357 | |
End of year | $ 1,181,698 | $ 1,288,420 |
ACCOUNTING STANDARDS AND BAS_10
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Allowance for Loan Losses (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Corporate Banking | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default that raises significant increase in credit risk | 30.00% |
Minimum | Corporate Banking | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Past due accounts that raises significant increase in credit risk | 31 days |
Maximum | Corporate Banking | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Past due accounts that raises significant increase in credit risk | 90 days |
Consumer [member] | Minimum | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Past due accounts that raises significant increase in credit risk | 31 days |
Consumer [member] | Maximum | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Past due accounts that raises significant increase in credit risk | 90 days |
Personal and Business Banking | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default that raises significant increase in credit risk | 30.00% |
Personal and Business Banking | Minimum | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Past due accounts that raises significant increase in credit risk | 31 days |
Personal and Business Banking | Maximum | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Past due accounts that raises significant increase in credit risk | 90 days |
ACCOUNTING STANDARDS AND BAS_11
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Software (Detail) | 12 Months Ended |
Dec. 31, 2020 | |
Computer software [member] | Maximum | |
Software | |
Estimated useful life | 5 years |
ACCOUNTING STANDARDS AND BAS_12
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Assumptions utilized to calculate ECL (Detail) $ in Thousands | Dec. 31, 2020ARS ($) |
Personal and Business Banking | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 30.00% |
Personal and Business Banking | Private Sector Wage | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 50.70% |
Personal and Business Banking | Private Sector Wage | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 55.70% |
Personal and Business Banking | Private Sector Wage | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 45.60% |
Personal and Business Banking | Private Sector Real Wage | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 2.70% |
Personal and Business Banking | Private Sector Real Wage | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 10.20% |
Personal and Business Banking | Private Sector Real Wage | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | (4.50%) |
Personal and Business Banking | Monthly Economic Activity Estimator | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 138.00% |
Personal and Business Banking | Monthly Economic Activity Estimator | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 140.00% |
Personal and Business Banking | Monthly Economic Activity Estimator | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 136.00% |
Personal and Business Banking | Open Market | Inflation Rate | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 46.80% |
Personal and Business Banking | Open Market | Inflation Rate | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 41.30% |
Personal and Business Banking | Open Market | Inflation Rate | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 52.40% |
Personal and Business Banking | Income Payroll | Quantity of Private Sector Employment | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | $ 5,924 |
Personal and Business Banking | Income Payroll | Quantity of Private Sector Employment | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | 5,928 |
Personal and Business Banking | Income Payroll | Quantity of Private Sector Employment | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | $ 5,921 |
Personal and Business Banking | Senior Citizens | Inflation Rate | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 46.80% |
Personal and Business Banking | Senior Citizens | Inflation Rate | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 41.30% |
Personal and Business Banking | Senior Citizens | Inflation Rate | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 52.40% |
Corporate Banking | Monthly Economic Activity Estimator | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | $ 138 |
Corporate Banking | Monthly Economic Activity Estimator | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | 140 |
Corporate Banking | Monthly Economic Activity Estimator | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | $ 136 |
Corporate Banking | All | Interest Rate | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | (4.60%) |
Corporate Banking | All | Interest Rate | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | (3.80%) |
Corporate Banking | All | Interest Rate | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | (5.50%) |
Consumer Finance | Inflation Rate | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 46.80% |
Consumer Finance | Inflation Rate | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 41.30% |
Consumer Finance | Inflation Rate | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 52.40% |
Consumer Finance | Private Sector Wage | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 50.70% |
Consumer Finance | Private Sector Wage | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 55.70% |
Consumer Finance | Private Sector Wage | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 45.60% |
Consumer Finance | Monthly Economic Activity Estimator | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | $ 138 |
Consumer Finance | Monthly Economic Activity Estimator | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | 140 |
Consumer Finance | Monthly Economic Activity Estimator | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Default probability | $ 136 |
Consumer Finance | CFF | Private Sector Wage | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 50.70% |
Loss given default | 50.70% |
Consumer Finance | CFF | Private Sector Wage | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 55.70% |
Loss given default | 55.70% |
Consumer Finance | CFF | Private Sector Wage | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 45.60% |
Loss given default | 45.60% |
Consumer Finance | CCF Automobile secured | Private Sector Wage | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 50.70% |
Consumer Finance | CCF Automobile secured | Private Sector Wage | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 55.70% |
Consumer Finance | CCF Automobile secured | Private Sector Wage | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probably of default | 45.60% |
Consumer Finance | CCF Automobile secured | Private Sector Loans | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 64.10% |
Consumer Finance | CCF Automobile secured | Private Sector Loans | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 70.50% |
Consumer Finance | CCF Automobile secured | Private Sector Loans | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 57.70% |
Supervielle Bank | All | Private Sector Wage | Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 50.70% |
Supervielle Bank | All | Private Sector Wage | Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 55.70% |
Supervielle Bank | All | Private Sector Wage | Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Loss given default | 45.60% |
ACCOUNTING STANDARDS AND BAS_13
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Probabilities (Detail) | 12 Months Ended |
Dec. 31, 2020 | |
Scenario one [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probability of occurrences | 80.00% |
Scenario Two [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probability of occurrences | 10.00% |
Scenario Three [member] | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | |
Probability of occurrences | 10.00% |
ACCOUNTING STANDARDS AND BAS_14
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - ECL Sensitivity (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | ||
Reported ECL allowance | $ 8,424,714 | |
Financial assets | $ 224,607,096 | $ 181,261,533 |
Reported Provission Ratio | 7.40% | |
Favorable [member] | ||
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | ||
Reported ECL allowance | $ 6,927,295 | |
Reported Provission Ratio | 6.09% | |
Unfavorable [member] | ||
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | ||
Reported ECL allowance | $ 8,142,498 | |
Reported Provission Ratio | 7.15% | |
Gross carrying amount | ||
Disclosure of Primary Macroeconomic Drivers of Credit Losses [line items] | ||
Financial assets | $ 113,819,900 |
ACCOUNTING STANDARDS AND BAS_15
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Useful Life for Property, Plant and Equipment (Detail) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Buildings [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful life | 50 years | |
Furnitures [Member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful life | 10 years | |
Machinery and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful life | 5 years | 5 years |
Vehicles [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful life | 5 years | 5 years |
Other property, plant and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Estimated useful life | 5 years |
ACCOUNTING STANDARDS AND BAS_16
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - Reserves (Detail) | Dec. 31, 2020 |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | |
Current income required to be appropriate to legal reserve (as a percent) | 5.00% |
Required legal reserve, as percent to capital stock and capital adjustment | 20.00% |
ACCOUNTING STANDARDS AND BAS_17
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - (Detail) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Supervielle Creditos Financial Trust [member] | ||
Disclosure of financial trust [line items] | ||
Securities issued | $ 750,000 | |
Supervielle Creditos Financial Trust [member] | VDF TV A | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 712,500 | |
Supervielle Creditos Financial Trust [member] | CP | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 37,500 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 20 | ||
Disclosure of financial trust [line items] | ||
Securities issued | 600,000 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 20 | VDF | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 480,000 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 20 | CP | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 120,000 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 21 | ||
Disclosure of financial trust [line items] | ||
Securities issued | 1,000,000 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 21 | VDF | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 780,000 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 21 | CP | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 220,000 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 22 | ||
Disclosure of financial trust [line items] | ||
Securities issued | 571,560 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 22 | VDF | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 469,260 | |
Cordial Compaa Financiera Financial Trust Financial Trust, 22 | CP | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 102,300 | |
Micro Lending Trust Financial Trust, III | ||
Disclosure of financial trust [line items] | ||
Securities issued | $ 39,779 | 39,779 |
Micro Lending Trust Financial Trust, III | VDF TV A VDF B | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 31,823 | 31,823 |
Micro Lending Trust Financial Trust, III | CP | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 1,592 | 1,592 |
Micro Lending Financial Trusts, IV | ||
Disclosure of financial trust [line items] | ||
Securities issued | 40,652 | 40,652 |
Micro Lending Financial Trusts, IV | VDF TV A VDF B | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 32,522 | 32,522 |
Micro Lending Financial Trusts, IV | CP | ||
Disclosure of financial trust [line items] | ||
Original principal amount | $ 1,626 | 1,626 |
Micro Lending Financial Trusts, XVIII | ||
Disclosure of financial trust [line items] | ||
Securities issued | 119,335 | |
Micro Lending Financial Trusts, XVIII | VDF TV A VDF B | ||
Disclosure of financial trust [line items] | ||
Original principal amount | 89,501 | |
Micro Lending Financial Trusts, XVIII | CP | ||
Disclosure of financial trust [line items] | ||
Original principal amount | $ 22,543 |
ACCOUNTING STANDARDS AND BAS_18
ACCOUNTING STANDARDS AND BASIS OF PREPARATION - movement in investment properties (Detail) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
ACCOUNTING STANDARDS AND BASIS OF PREPARATION | ||
Income derived from rents (rents charged) | $ 9,719 | $ 14,998 |
Direct operating expenses of properties that generated income derived from rents | (6,637) | (13,168) |
Result by measurement at fair value | (92,457) | (173,076) |
Income or loss from investment property | $ 89,375 | $ 171,246 |
SEGMENT REPORTING (Details)
SEGMENT REPORTING (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disclosure of operating segments [line items] | |||
Cash and due from banks | $ 36,674,869 | $ 35,945,335 | $ 70,551,283 |
Debt Securities at fair value through profit or loss | 9,871,903 | 773,961 | 31,649,050 |
Loans and other financing | 105,395,186 | 119,817,347 | |
Other Assets | 97,288,988 | 45,883,572 | |
TOTAL ASSETS | 249,230,946 | 202,420,215 | |
Deposits | 178,641,594 | 121,176,255 | |
Financing received from the Argentine Central Bank and others | 5,852,292 | 12,276,610 | |
Negotiable obligations | 4,226,748 | 8,286,163 | |
Other liabilities | 24,830,824 | 28,776,101 | |
TOTAL LIABILITIES | 213,551,458 | 170,515,129 | |
Interest income | 64,699,880 | 60,983,625 | 63,700,230 |
Interest Expense | (28,578,388) | (47,531,377) | (36,468,510) |
Net interest income | 36,121,492 | 13,452,248 | 27,231,720 |
Net income from financial instruments at fair value through profit or loss | 3,315,582 | 28,536,382 | 13,215,705 |
Result from derecognition of assets measured at amortized cost | 657,019 | ||
Exchange rate differences on gold and foreign currency | 1,064,545 | (441,191) | 2,359,639 |
Net Income From Financial instruments And Exchange Rate Differences | 5,037,146 | 28,095,191 | 15,575,344 |
Net Financial Income | 41,158,638 | 41,547,439 | 42,807,064 |
Services Fee Income | 11,493,824 | 11,707,556 | 12,414,260 |
Services Fee Expenses | (3,548,269) | (3,054,954) | (2,970,070) |
Income from insurance activities | 1,671,455 | 1,896,923 | 1,777,345 |
Net Service Fee Income | 9,617,010 | 10,549,525 | 11,221,535 |
Subtotal | 50,775,648 | 52,096,964 | 54,028,599 |
Result from exposure to changes in the purchasing power of money | (4,290,328) | (7,296,543) | (12,597,117) |
Other operating income | 3,779,451 | 3,751,037 | 5,180,332 |
Loan loss provisions | (8,615,060) | (10,533,018) | (10,846,363) |
Net operating income | 41,649,711 | 38,018,440 | 35,765,451 |
Personnel expenses | (18,176,866) | (19,283,346) | |
Administration expenses | (10,318,557) | (10,310,666) | (11,729,051) |
Depreciations and impairment non-financial assets | (2,407,028) | (2,470,504) | |
Other operating expenses | (6,574,779) | (8,656,215) | (9,030,424) |
Operating income (loss) | 4,172,481 | (2,702,291) | |
Result before taxes | 4,172,481 | (2,702,291) | |
Income tax | (671,707) | (229,663) | (2,117,088) |
Net (loss) / income | 3,500,774 | (2,931,954) | (6,401,490) |
Net (loss) / income for the year attributable to owners of the parent | 3,499,882 | (2,929,201) | (6,341,497) |
Net income / (loss) for the year attributable to non-controlling interest | 892 | (2,753) | (59,993) |
Other comprehensive (loss) / income | 803,693 | (65,123) | 505,922 |
Other comprehensive (loss) / income attributable to owners of the parent company | 802,914 | (64,940) | 505,396 |
Other comprehensive (loss) income attributable to non-controlling interest | 779 | (183) | 526 |
Comprehensive (loss) / income for the year | 4,304,467 | (2,997,077) | (5,895,568) |
Comprehensive (loss) / income attributable to owners of the parent company | 4,302,796 | (2,994,141) | (5,836,101) |
Comprehensive income (loss) attributable to non-controlling interest | 1,671 | (2,936) | $ (59,467) |
Adjustments | |||
Disclosure of operating segments [line items] | |||
Cash and due from banks | (133,572) | (2,624,035) | |
Loans and other financing | (2,592,546) | (1,927,882) | |
Other Assets | 16,156,234 | 10,488,202 | |
TOTAL ASSETS | 13,430,116 | 5,936,285 | |
Deposits | (136,500) | (3,204,562) | |
Financing received from the Argentine Central Bank and others | (2,535,318) | (1,347,144) | |
Other liabilities | 5,964,046 | 5,726,877 | |
TOTAL LIABILITIES | 3,292,228 | 1,175,171 | |
Interest income | (380,408) | (2,065,563) | |
Interest Expense | 466,280 | 2,388,377 | |
Net interest income | 85,872 | 322,814 | |
Net income from financial instruments at fair value through profit or loss | 340,840 | 197,291 | |
Result from derecognition of assets measured at amortized cost | (31,774) | ||
Exchange rate differences on gold and foreign currency | 98,571 | 14,453 | |
Net Income From Financial instruments And Exchange Rate Differences | 407,637 | 211,744 | |
Net Financial Income | 493,509 | 534,558 | |
Services Fee Income | (420,005) | (330,406) | |
Services Fee Expenses | (29,677) | 88,389 | |
Income from insurance activities | 217,251 | 269,253 | |
Net Service Fee Income | (232,431) | 27,236 | |
Subtotal | 261,078 | 561,794 | |
Result from exposure to changes in the purchasing power of money | (146,955) | 744,792 | |
Other operating income | (132,710) | (33,506) | |
Net operating income | (18,587) | 1,273,080 | |
Personnel expenses | (118,078) | (211,025) | |
Administration expenses | 269,167 | (1,828) | |
Depreciations and impairment non-financial assets | (62,932) | (76,038) | |
Other operating expenses | (40,021) | (17,811) | |
Operating income (loss) | 29,549 | 966,378 | |
Income from associates and joint ventures | (6,456) | (4,570) | |
Result before taxes | 23,093 | 961,808 | |
Income tax | 526,827 | (587,768) | |
Net (loss) / income | 549,920 | 374,040 | |
Net (loss) / income for the year attributable to owners of the parent | 549,028 | 376,793 | |
Net income / (loss) for the year attributable to non-controlling interest | 892 | (2,753) | |
Other comprehensive (loss) / income | (11,634) | (1) | |
Other comprehensive (loss) / income attributable to owners of the parent company | (12,413) | 182 | |
Other comprehensive (loss) income attributable to non-controlling interest | 779 | (183) | |
Comprehensive (loss) / income for the year | 538,286 | 374,039 | |
Comprehensive (loss) / income attributable to owners of the parent company | 536,615 | 376,975 | |
Comprehensive income (loss) attributable to non-controlling interest | 1,671 | (2,936) | |
Personal and Business Banking | Operating segments [member] | |||
Disclosure of operating segments [line items] | |||
Cash and due from banks | 12,345,695 | 10,471,392 | |
Loans and other financing | 52,474,545 | 56,863,126 | |
Other Assets | 8,569,274 | 3,216,481 | |
TOTAL ASSETS | 73,389,514 | 70,550,999 | |
Deposits | 93,834,062 | 86,332,384 | |
Financing received from the Argentine Central Bank and others | 15,011 | 17,161 | |
Negotiable obligations | 23,896 | 147,721 | |
Other liabilities | 7,481,326 | 6,347,903 | |
TOTAL LIABILITIES | 101,354,295 | 92,845,169 | |
Interest income | 22,032,597 | 30,299,712 | |
Interest Expense | (8,181,916) | (11,995,094) | |
Distribution of results by Treasury | 3,409,620 | 6,447,537 | |
Net interest income | 17,260,301 | 24,752,155 | |
Net income from financial instruments at fair value through profit or loss | 13,964 | ||
Exchange rate differences on gold and foreign currency | 379,276 | 2,601,295 | |
Net Income From Financial instruments And Exchange Rate Differences | 379,276 | 2,615,259 | |
Net Financial Income | 17,639,577 | 27,367,414 | |
Services Fee Income | 7,464,407 | 7,153,209 | |
Services Fee Expenses | (2,453,402) | (1,979,198) | |
Net Service Fee Income | 5,011,005 | 5,174,011 | |
Subtotal | 22,650,582 | 32,541,425 | |
Result from exposure to changes in the purchasing power of money | (1,078,519) | (2,439,672) | |
Other operating income | 1,531,510 | 1,665,517 | |
Loan loss provisions | (4,365,418) | (4,555,505) | |
Net operating income | 18,738,155 | 27,211,765 | |
Personnel expenses | (13,284,682) | (14,363,518) | |
Administration expenses | (7,431,135) | (7,109,852) | |
Depreciations and impairment non-financial assets | (1,924,361) | (1,891,160) | |
Other operating expenses | (3,834,606) | (4,635,433) | |
Operating income (loss) | (7,736,629) | (788,198) | |
Result before taxes | (7,736,629) | (788,198) | |
Income tax | 1,380,576 | 7,210 | |
Net (loss) / income | (6,356,053) | (780,988) | |
Net (loss) / income for the year attributable to owners of the parent | (6,356,053) | (780,988) | |
Other comprehensive (loss) / income | 220,150 | (50,447) | |
Other comprehensive (loss) / income attributable to owners of the parent company | 220,150 | (50,447) | |
Comprehensive (loss) / income for the year | (6,135,903) | (831,435) | |
Comprehensive (loss) / income attributable to owners of the parent company | (6,135,903) | (831,435) | |
Corporate Banking | Operating segments [member] | |||
Disclosure of operating segments [line items] | |||
Cash and due from banks | 533,466 | 1,392,602 | |
Loans and other financing | 42,240,034 | 52,299,847 | |
Other Assets | 8,324,469 | 1,600,424 | |
TOTAL ASSETS | 51,097,969 | 55,292,873 | |
Deposits | 16,184,803 | 14,481,577 | |
Negotiable obligations | 12,588 | 104,240 | |
Other liabilities | 2,073,534 | 1,876,158 | |
TOTAL LIABILITIES | 18,270,925 | 16,461,975 | |
Interest income | 12,981,215 | 19,478,944 | |
Interest Expense | (1,073,707) | (4,676,394) | |
Distribution of results by Treasury | (6,389,960) | (9,131,377) | |
Net interest income | 5,517,548 | 5,671,173 | |
Exchange rate differences on gold and foreign currency | 52,605 | 281,750 | |
Net Income From Financial instruments And Exchange Rate Differences | 52,605 | 281,750 | |
Net Financial Income | 5,570,153 | 5,952,923 | |
Services Fee Income | 672,282 | 1,532,939 | |
Services Fee Expenses | (192,364) | (166,561) | |
Net Service Fee Income | 479,918 | 1,366,378 | |
Subtotal | 6,050,071 | 7,319,301 | |
Result from exposure to changes in the purchasing power of money | (1,274,193) | (2,243,877) | |
Other operating income | 1,518,644 | 860,383 | |
Loan loss provisions | (3,370,120) | (4,302,282) | |
Net operating income | 2,924,402 | 1,633,525 | |
Personnel expenses | (1,271,081) | (1,412,159) | |
Administration expenses | (508,923) | (464,220) | |
Depreciations and impairment non-financial assets | (144,156) | (247,501) | |
Other operating expenses | (1,255,478) | (2,306,728) | |
Operating income (loss) | (255,236) | (2,797,083) | |
Result before taxes | (255,236) | (2,797,083) | |
Income tax | 75,324 | 8,894 | |
Net (loss) / income | (179,912) | (2,788,189) | |
Net (loss) / income for the year attributable to owners of the parent | (179,912) | (2,788,189) | |
Other comprehensive (loss) / income | 115,969 | (35,598) | |
Other comprehensive (loss) / income attributable to owners of the parent company | 115,969 | (35,598) | |
Comprehensive (loss) / income for the year | (63,943) | (2,823,787) | |
Comprehensive (loss) / income attributable to owners of the parent company | (63,943) | (2,823,787) | |
Bank Treasury [member] | Operating segments [member] | |||
Disclosure of operating segments [line items] | |||
Cash and due from banks | 23,288,859 | 22,967,633 | |
Debt Securities at fair value through profit or loss | 8,827,214 | 425,175 | |
Loans and other financing | 5,823,189 | 5,064,985 | |
Other Assets | 58,840,094 | 24,308,991 | |
TOTAL ASSETS | 96,779,356 | 52,766,784 | |
Deposits | 65,197,484 | 21,342,195 | |
Financing received from the Argentine Central Bank and others | 5,794,778 | 12,250,927 | |
Negotiable obligations | 4,190,264 | 8,013,021 | |
Other liabilities | 5,859,467 | 5,926,868 | |
TOTAL LIABILITIES | 81,041,993 | 47,533,011 | |
Interest income | 25,591,006 | 6,132,453 | |
Interest Expense | (18,395,101) | (28,791,267) | |
Distribution of results by Treasury | 2,980,340 | 2,683,840 | |
Net interest income | 10,176,245 | (19,974,974) | |
Net income from financial instruments at fair value through profit or loss | 2,315,048 | 27,334,575 | |
Result from derecognition of assets measured at amortized cost | 688,793 | ||
Exchange rate differences on gold and foreign currency | 423,261 | (3,381,111) | |
Net Income From Financial instruments And Exchange Rate Differences | 3,427,102 | 23,953,464 | |
Net Financial Income | 13,603,347 | 3,978,490 | |
Services Fee Income | 59,634 | 50,267 | |
Services Fee Expenses | (59,759) | (66,517) | |
Net Service Fee Income | (125) | (16,250) | |
Subtotal | 13,603,222 | 3,962,240 | |
Result from exposure to changes in the purchasing power of money | (269,124) | (535,746) | |
Other operating income | 253,278 | 467,542 | |
Loan loss provisions | (4,097) | 33,553 | |
Net operating income | 13,583,279 | 3,927,589 | |
Personnel expenses | (930,606) | (886,187) | |
Administration expenses | (462,356) | (421,634) | |
Depreciations and impairment non-financial assets | (108,498) | (97,492) | |
Other operating expenses | (736,566) | (693,363) | |
Operating income (loss) | 11,345,253 | 1,828,913 | |
Result before taxes | 11,345,253 | 1,828,913 | |
Income tax | (2,219,977) | 24,010 | |
Net (loss) / income | 9,125,276 | 1,852,923 | |
Net (loss) / income for the year attributable to owners of the parent | 9,125,276 | 1,852,923 | |
Other comprehensive (loss) / income | 479,208 | (89,847) | |
Other comprehensive (loss) / income attributable to owners of the parent company | 479,208 | (89,847) | |
Comprehensive (loss) / income for the year | 9,604,484 | 1,763,076 | |
Comprehensive (loss) / income attributable to owners of the parent company | 9,604,484 | 1,763,076 | |
Consumer Finance | Operating segments [member] | |||
Disclosure of operating segments [line items] | |||
Cash and due from banks | 238,350 | 437,209 | |
Debt Securities at fair value through profit or loss | 1,034,836 | 126,287 | |
Loans and other financing | 6,808,494 | 6,857,365 | |
Other Assets | 3,063,890 | 4,050,457 | |
TOTAL ASSETS | 11,145,570 | 11,471,318 | |
Deposits | 3,561,745 | 2,224,661 | |
Financing received from the Argentine Central Bank and others | 2,529,652 | 1,293,014 | |
Other liabilities | 2,016,065 | 4,348,891 | |
TOTAL LIABILITIES | 8,107,462 | 7,866,566 | |
Interest income | 4,433,064 | 6,834,394 | |
Interest Expense | (1,367,357) | (4,274,907) | |
Net interest income | 3,065,707 | 2,559,487 | |
Net income from financial instruments at fair value through profit or loss | 143,465 | 331,348 | |
Exchange rate differences on gold and foreign currency | 37,771 | 11,166 | |
Net Income From Financial instruments And Exchange Rate Differences | 181,236 | 342,514 | |
Net Financial Income | 3,246,943 | 2,902,001 | |
Services Fee Income | 2,133,202 | 2,433,057 | |
Services Fee Expenses | (762,313) | (889,658) | |
Net Service Fee Income | 1,370,889 | 1,543,399 | |
Subtotal | 4,617,832 | 4,445,400 | |
Result from exposure to changes in the purchasing power of money | (887,134) | (1,141,796) | |
Other operating income | 364,527 | 568,593 | |
Loan loss provisions | (886,996) | (1,760,136) | |
Net operating income | 3,208,229 | 2,112,061 | |
Personnel expenses | (1,713,808) | (1,740,329) | |
Administration expenses | (1,463,065) | (1,592,780) | |
Depreciations and impairment non-financial assets | (135,823) | (136,548) | |
Other operating expenses | (602,415) | (865,702) | |
Operating income (loss) | (706,882) | (2,223,298) | |
Income from associates and joint ventures | 6,456 | 4,570 | |
Result before taxes | (700,426) | (2,218,728) | |
Income tax | 122,886 | 736,962 | |
Net (loss) / income | (577,540) | (1,481,766) | |
Net (loss) / income for the year attributable to owners of the parent | (577,540) | (1,481,766) | |
Comprehensive (loss) / income for the year | (577,540) | (1,481,766) | |
Comprehensive (loss) / income attributable to owners of the parent company | (577,540) | (1,481,766) | |
Insurance [member] | Operating segments [member] | |||
Disclosure of operating segments [line items] | |||
Cash and due from banks | 2,176 | 4,608 | |
Loans and other financing | 592,067 | 618,048 | |
Other Assets | 1,254,830 | 1,485,761 | |
TOTAL ASSETS | 1,849,073 | 2,108,417 | |
Other liabilities | 857,130 | 1,031,927 | |
TOTAL LIABILITIES | 857,130 | 1,031,927 | |
Net income from financial instruments at fair value through profit or loss | 353,513 | 526,305 | |
Exchange rate differences on gold and foreign currency | (98) | 1,679 | |
Net Income From Financial instruments And Exchange Rate Differences | 353,415 | 527,984 | |
Net Financial Income | 353,415 | 527,984 | |
Income from insurance activities | 1,454,204 | 1,627,670 | |
Net Service Fee Income | 1,454,204 | 1,627,670 | |
Subtotal | 1,807,619 | 2,155,654 | |
Result from exposure to changes in the purchasing power of money | (381,065) | (1,204,601) | |
Other operating income | 10,498 | 10,190 | |
Net operating income | 1,437,052 | 961,243 | |
Personnel expenses | (317,809) | (255,296) | |
Administration expenses | (264,086) | (359,381) | |
Depreciations and impairment non-financial assets | (20,761) | (12,751) | |
Other operating expenses | (1,826) | (1,673) | |
Operating income (loss) | 832,570 | 332,142 | |
Result before taxes | 832,570 | 332,142 | |
Income tax | (294,523) | (301,677) | |
Net (loss) / income | 538,047 | 30,465 | |
Net (loss) / income for the year attributable to owners of the parent | 538,047 | 30,465 | |
Other comprehensive (loss) / income | 110,770 | ||
Other comprehensive (loss) / income attributable to owners of the parent company | 110,770 | ||
Comprehensive (loss) / income for the year | 538,047 | 141,235 | |
Comprehensive (loss) / income attributable to owners of the parent company | 538,047 | 141,235 | |
Asset Management and Other Services | Operating segments [member] | |||
Disclosure of operating segments [line items] | |||
Cash and due from banks | 399,895 | 3,295,926 | |
Debt Securities at fair value through profit or loss | 9,853 | 222,499 | |
Loans and other financing | 49,403 | 41,858 | |
Other Assets | 1,080,197 | 733,256 | |
TOTAL ASSETS | 1,539,348 | 4,293,539 | |
Financing received from the Argentine Central Bank and others | 48,169 | 62,652 | |
Negotiable obligations | 21,181 | ||
Other liabilities | 579,256 | 3,517,477 | |
TOTAL LIABILITIES | 627,425 | 3,601,310 | |
Interest income | 42,406 | 303,685 | |
Interest Expense | (26,587) | (182,092) | |
Net interest income | 15,819 | 121,593 | |
Net income from financial instruments at fair value through profit or loss | 162,716 | 132,899 | |
Exchange rate differences on gold and foreign currency | 73,159 | 29,577 | |
Net Income From Financial instruments And Exchange Rate Differences | 235,875 | 162,476 | |
Net Financial Income | 251,694 | 284,069 | |
Services Fee Income | 1,584,304 | 868,490 | |
Services Fee Expenses | (50,754) | (41,409) | |
Net Service Fee Income | 1,533,550 | 827,081 | |
Subtotal | 1,785,244 | 1,111,150 | |
Result from exposure to changes in the purchasing power of money | (253,338) | (475,643) | |
Other operating income | 233,704 | 212,318 | |
Loan loss provisions | 11,571 | 51,352 | |
Net operating income | 1,777,181 | 899,177 | |
Personnel expenses | (540,802) | (414,832) | |
Administration expenses | (458,159) | (360,971) | |
Depreciations and impairment non-financial assets | (10,497) | (9,014) | |
Other operating expenses | (103,867) | (135,505) | |
Operating income (loss) | 663,856 | (21,145) | |
Result before taxes | 663,856 | (21,145) | |
Income tax | (262,820) | (117,294) | |
Net (loss) / income | 401,036 | (138,439) | |
Net (loss) / income for the year attributable to owners of the parent | 401,036 | (138,439) | |
Comprehensive (loss) / income for the year | 401,036 | (138,439) | |
Comprehensive (loss) / income attributable to owners of the parent company | $ 401,036 | $ (138,439) |
SEGMENT REPORTING - Additional
SEGMENT REPORTING - Additional Information (Details) - ARS ($) | Jan. 01, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of operating segments [line items] | ||||
Annual sales | $ 41,649,711,000 | $ 38,018,440,000 | $ 35,765,451,000 | |
Small companies, individuals and companies | Small companies, individuals and companies | ||||
Disclosure of operating segments [line items] | ||||
Annual sales | $ 100,000 | |||
Small and Medium Size Companies | Small and Medium Size Companies | Minimum | ||||
Disclosure of operating segments [line items] | ||||
Annual sales | 100,000 | |||
Small and Medium Size Companies | Small and Medium Size Companies | Maximum | ||||
Disclosure of operating segments [line items] | ||||
Annual sales | 700,000 | |||
Megras | Megras | Minimum | ||||
Disclosure of operating segments [line items] | ||||
Annual sales | 2,500,000 | |||
Megras | Megras | Maximum | ||||
Disclosure of operating segments [line items] | ||||
Annual sales | 700,000 | |||
Grandes companies | Grandes companies | ||||
Disclosure of operating segments [line items] | ||||
Annual sales | $ 2,500,000 |
INCOME TAX - Tas rates (Details
INCOME TAX - Tas rates (Details) | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
INCOME TAX | ||||
Inflation adjustment allocated to first year (as a percent) | 17.00% | |||
Inflation adjustment allocated to next five years (as a percent) | 83.00% | |||
Applicable tax rate | 30.00% | 30.00% | 30.00% | 30.00% |
Tax rate on dividends | 7.00% |
INCOME TAX - Reconciliation of
INCOME TAX - Reconciliation of statutory income tax rate (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
INCOME TAX | |||
Current income tax | $ (2,700,633) | $ (562,210) | $ (1,009,829) |
Income tax - deferred method | 2,028,926 | 332,547 | (1,107,259) |
Income tax | (671,707) | (229,663) | (2,117,088) |
Income tax allotted in Other comprehensive income | (340,954) | 10,504 | (167,510) |
Total Income Tax Charge | $ (1,012,661) | $ (219,159) | $ (2,284,598) |
INCOME TAX - Reconciliation bet
INCOME TAX - Reconciliation between the tax rate applied and relevant tax rate (Details) - ARS ($) $ in Thousands | Jan. 01, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
INCOME TAX | ||||
Income before taxes | $ 4,172,481 | $ (2,702,291) | $ (4,284,402) | |
Tax rate | 30.00% | 30.00% | 30.00% | 30.00% |
Income for the year at tax rate | $ (1,251,744) | $ 810,687 | $ 1,285,321 | |
Tax inflation adjustment | (14,441) | (228,247) | 3,836,719 | |
Deductible investments | (5,305) | (77,894) | (440,450) | |
Others | 560,291 | (1,346,491) | (6,140) | |
Income tax | $ (671,707) | $ (229,663) | $ (2,117,088) |
INCOME TAX - Net position of de
INCOME TAX - Net position of deferred tax (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets / (liabilities) | |||
Deferred tax assets | $ 3,315,885 | $ 2,275,175 | |
Deferred tax liability | (42,005) | (689,268) | |
Deferred tax assets | 3,315,885 | 2,275,175 | |
Deferred tax liability | (42,005) | (689,268) | |
Total Net Assets by deferred Tax | 3,273,880 | 1,585,907 | $ 1,253,359 |
Later than one year [member] | |||
Deferred tax assets / (liabilities) | |||
Deferred tax assets | 2,864,345 | 2,063,254 | |
Deferred tax assets | 1,687,447 | 2,063,254 | |
Deferred tax liability | (65,140) | ||
Up to 1 year [member] | |||
Deferred tax assets / (liabilities) | |||
Deferred tax assets | 451,540 | 211,921 | |
Deferred tax liability | (42,005) | (689,268) | |
Deferred tax assets | 1,628,438 | 211,921 | |
Deferred tax liability | $ 23,135 | $ (689,268) |
INCOME TAX - Deferred tax asset
INCOME TAX - Deferred tax assets / (liabilities) (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Deferred tax assets / (liabilities) | |||
Beginning Balance | $ 1,585,907 | $ 1,253,359 | |
(Charge)/Credit to Income | 1,687,973 | 332,548 | |
Ending Balance | 3,273,880 | 1,585,907 | $ 1,253,359 |
Income tax allotted in Other comprehensive income | (340,954) | 10,504 | (167,510) |
Intangible asset [member] | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | (955,680) | (523,741) | |
(Charge)/Credit to Income | (20,331) | (431,939) | |
Ending Balance | (976,011) | (955,680) | (523,741) |
Retirement plan [member] | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | 114,991 | 120,441 | |
(Charge)/Credit to Income | 849 | (5,450) | |
Ending Balance | 115,840 | 114,991 | 120,441 |
Loan loss reserves [member] | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | 1,253,696 | 2,191,203 | |
(Charge)/Credit to Income | 924,017 | (937,507) | |
Ending Balance | 2,177,713 | 1,253,696 | 2,191,203 |
Property, plant and equipment [member] | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | (1,235,317) | (704,615) | |
(Charge)/Credit to Income | 57,792 | (530,702) | |
Ending Balance | (1,177,525) | (1,235,317) | (704,615) |
Foreign currency [member] | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | (83,709) | (171,598) | |
(Charge)/Credit to Income | 40,831 | 87,889 | |
Ending Balance | (42,878) | (83,709) | (171,598) |
Loss carry forwards [member] | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | 224,665 | 336,380 | |
(Charge)/Credit to Income | (111,715) | ||
Ending Balance | 224,665 | 224,665 | 336,380 |
Inflation Adjustment Credit [Member] | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | 2,032,364 | ||
(Charge)/Credit to Income | 490,706 | 2,032,364 | |
Ending Balance | 2,523,070 | 2,032,364 | |
Provisions | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | 266,923 | ||
(Charge)/Credit to Income | (125,743) | 266,923 | |
Ending Balance | 141,180 | 266,923 | |
Others | |||
Deferred tax assets / (liabilities) | |||
Beginning Balance | (32,026) | 5,289 | |
(Charge)/Credit to Income | 319,852 | (37,315) | |
Ending Balance | $ 287,826 | $ (32,026) | $ 5,289 |
FINANCIAL INSTRUMENTS (Details)
FINANCIAL INSTRUMENTS (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Assets | ||
Total Assets | $ 224,607,096 | $ 181,261,533 |
Liabilities | ||
Financial liabilities | 199,393,992 | 157,728,501 |
Financial assets at fair value through profit or loss [member] | ||
Assets | ||
Total Assets | 18,198,357 | 9,336,461 |
Financial assets at fair value through profit or loss [member] | Financial liabilities at fair value through profit or loss [member] | ||
Liabilities | ||
Financial liabilities | 9,330,629 | 8,422,054 |
Financial assets at amortized cost [member] | ||
Assets | ||
Total Assets | 171,844,761 | 162,150,240 |
Financial assets at amortized cost [member] | Financial liabilities at amortized cost [member] | ||
Liabilities | ||
Financial liabilities | 190,063,363 | 149,306,447 |
Financial assets at fair value through other comprehensive income [member] | ||
Assets | ||
Total Assets | 34,563,978 | 9,774,832 |
Deposits [member] | ||
Liabilities | ||
Financial liabilities | 178,641,594 | 121,176,255 |
Deposits [member] | Financial assets at amortized cost [member] | Financial liabilities at amortized cost [member] | ||
Liabilities | ||
Financial liabilities | 178,641,594 | 121,176,255 |
Liabilities at fair value through profit or loss | ||
Liabilities | ||
Financial liabilities | 2,002,005 | 258,060 |
Liabilities at fair value through profit or loss | Financial assets at fair value through profit or loss [member] | Financial liabilities at fair value through profit or loss [member] | ||
Liabilities | ||
Financial liabilities | 2,002,005 | 258,060 |
Derivatives [member] | ||
Liabilities | ||
Financial liabilities | 1,995 | |
Derivatives [member] | Financial assets at fair value through profit or loss [member] | Financial liabilities at fair value through profit or loss [member] | ||
Liabilities | ||
Financial liabilities | 1,995 | |
Repo transactions | ||
Liabilities | ||
Financial liabilities | 435,401 | |
Repo transactions | Financial assets at amortized cost [member] | Financial liabilities at amortized cost [member] | ||
Liabilities | ||
Financial liabilities | 435,401 | |
Other financial liabilities | ||
Liabilities | ||
Financial liabilities | 7,528,889 | 12,409,984 |
Other financial liabilities | Financial assets at fair value through profit or loss [member] | Financial liabilities at fair value through profit or loss [member] | ||
Liabilities | ||
Financial liabilities | 7,326,629 | 8,163,994 |
Other financial liabilities | Financial assets at amortized cost [member] | Financial liabilities at amortized cost [member] | ||
Liabilities | ||
Financial liabilities | 202,260 | 4,245,990 |
Financing received from the Argentine Central Bank and other financial institutions | ||
Liabilities | ||
Financial liabilities | 5,852,292 | 12,276,610 |
Financing received from the Argentine Central Bank and other financial institutions | Financial assets at amortized cost [member] | Financial liabilities at amortized cost [member] | ||
Liabilities | ||
Financial liabilities | 5,852,292 | 12,276,610 |
Unsubordinated Negotiable Obligations | ||
Liabilities | ||
Financial liabilities | 4,226,748 | 8,286,163 |
Unsubordinated Negotiable Obligations | Financial assets at amortized cost [member] | Financial liabilities at amortized cost [member] | ||
Liabilities | ||
Financial liabilities | 4,226,748 | 8,286,163 |
Subordinated Negotiable Obligations | ||
Liabilities | ||
Financial liabilities | 1,140,469 | 2,886,028 |
Subordinated Negotiable Obligations | Financial assets at amortized cost [member] | Financial liabilities at amortized cost [member] | ||
Liabilities | ||
Financial liabilities | 1,140,469 | 2,886,028 |
Cash and Due from Banks | ||
Assets | ||
Total Assets | 36,674,869 | 35,945,335 |
Cash and Due from Banks | Financial assets at amortized cost [member] | ||
Assets | ||
Total Assets | 36,674,869 | 35,945,335 |
Debt securities at fair value through profit or loss | ||
Assets | ||
Total Assets | 9,871,903 | 773,961 |
Debt securities at fair value through profit or loss | Financial assets at fair value through profit or loss [member] | ||
Assets | ||
Total Assets | 9,871,903 | 773,961 |
Derivatives | ||
Assets | ||
Total Assets | 143,944 | 350,680 |
Derivatives | Financial assets at fair value through profit or loss [member] | ||
Assets | ||
Total Assets | 143,944 | 350,680 |
Reverse Repo transactions | ||
Assets | ||
Total Assets | 22,354,735 | |
Reverse Repo transactions | Financial assets at amortized cost [member] | ||
Assets | ||
Total Assets | 22,354,735 | |
Other financial assets | ||
Assets | ||
Total Assets | 4,285,221 | 2,854,686 |
Other financial assets | Financial assets at fair value through profit or loss [member] | ||
Assets | ||
Total Assets | 3,407,891 | 1,499,631 |
Other financial assets | Financial assets at amortized cost [member] | ||
Assets | ||
Total Assets | 877,330 | 1,355,055 |
Loans and other financing [member] | ||
Assets | ||
Total Assets | 105,395,186 | 119,817,347 |
Loans and other financing [member] | Financial assets at amortized cost [member] | ||
Assets | ||
Total Assets | 105,395,186 | 119,817,347 |
Other debt securities | ||
Assets | ||
Total Assets | 40,859,975 | 14,238,340 |
Other debt securities | Financial assets at amortized cost [member] | ||
Assets | ||
Total Assets | 6,325,194 | 4,475,465 |
Other debt securities | Financial assets at fair value through other comprehensive income [member] | ||
Assets | ||
Total Assets | 34,534,781 | 9,762,875 |
Financial assets in guarantee | ||
Assets | ||
Total Assets | 4,904,935 | 7,261,336 |
Financial assets in guarantee | Financial assets at fair value through profit or loss [member] | ||
Assets | ||
Total Assets | 4,687,488 | 6,704,298 |
Financial assets in guarantee | Financial assets at amortized cost [member] | ||
Assets | ||
Total Assets | 217,447 | 557,038 |
Investments in Equity Instruments | ||
Assets | ||
Total Assets | 116,328 | 19,848 |
Investments in Equity Instruments | Financial assets at fair value through profit or loss [member] | ||
Assets | ||
Total Assets | 87,131 | 7,891 |
Investments in Equity Instruments | Financial assets at fair value through other comprehensive income [member] | ||
Assets | ||
Total Assets | $ 29,197 | $ 11,957 |
FAIR VALUES - Fair value of fin
FAIR VALUES - Fair value of financial instruments (Details) - Fair value [member] - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | $ 52,762,335 | $ 19,111,293 |
Financial liabilities | 9,330,629 | 8,422,054 |
Derivatives [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial liabilities | 1,995 | |
Debt securities at fair value through profit or loss | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 9,871,903 | 773,961 |
Derivatives | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 143,944 | 350,680 |
Other financial assets | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 3,407,891 | 1,499,631 |
Other debt securities | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 34,534,781 | 9,762,875 |
Financial assets in guarantee | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 4,687,488 | 6,704,298 |
Investments in Equity Instruments | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 116,328 | 19,848 |
Liabilities at fair value through profit or loss | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial liabilities | 2,002,005 | 258,060 |
Other financial liabilities | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial liabilities | 7,326,629 | 8,163,994 |
Level 1 of fair value hierarchy [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 24,312,382 | 19,094,338 |
Financial liabilities | 9,330,629 | 8,422,054 |
Level 1 of fair value hierarchy [member] | Derivatives [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial liabilities | 1,995 | |
Level 1 of fair value hierarchy [member] | Debt securities at fair value through profit or loss | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 9,632,732 | 768,963 |
Level 1 of fair value hierarchy [member] | Derivatives | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 143,944 | 350,680 |
Level 1 of fair value hierarchy [member] | Other financial assets | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 3,407,891 | 1,499,631 |
Level 1 of fair value hierarchy [member] | Other debt securities | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 6,353,196 | 9,762,875 |
Level 1 of fair value hierarchy [member] | Financial assets in guarantee | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 4,687,488 | 6,704,298 |
Level 1 of fair value hierarchy [member] | Investments in Equity Instruments | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 87,131 | 7,891 |
Level 1 of fair value hierarchy [member] | Liabilities at fair value through profit or loss | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial liabilities | 2,002,005 | 258,060 |
Level 1 of fair value hierarchy [member] | Other financial liabilities | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial liabilities | 7,326,629 | 8,163,994 |
Level 2 of fair value hierarchy [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 28,449,953 | 11,957 |
Level 2 of fair value hierarchy [member] | Debt securities at fair value through profit or loss | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 239,171 | |
Level 2 of fair value hierarchy [member] | Other debt securities | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 28,181,585 | |
Level 2 of fair value hierarchy [member] | Investments in Equity Instruments | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | $ 29,197 | 11,957 |
Level 3 of fair value hierarchy [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | 4,998 | |
Level 3 of fair value hierarchy [member] | Debt securities at fair value through profit or loss | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Financial assets | $ 4,998 |
FAIR VALUES - Level 3 Reconcili
FAIR VALUES - Level 3 Reconciliation (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020ARS ($) | |
Reconciliation of the financial instruments | |
Assets at beginning of period | $ 202,420,215 |
Assets at end of period | 249,230,946 |
Level 3 of fair value hierarchy [member] | |
Reconciliation of the financial instruments | |
Assets at beginning of period | 4,998 |
Disposals | $ (4,998) |
FAIR VALUES - Assets and Liabil
FAIR VALUES - Assets and Liabilities at Amortized Cost (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financial Liabilities | ||
Financial liabilities at amortised cost | $ 4,226,748 | $ 8,286,163 |
Book value [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 171,844,761 | 162,150,240 |
Financial Liabilities | ||
Financial liabilities at amortised cost | 190,063,363 | 149,306,447 |
Book value [member] | Deposits [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 178,641,594 | 121,176,255 |
Book value [member] | Repo transactions | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 435,401 | |
Book value [member] | Other financial liabilities | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 202,260 | 4,245,990 |
Book value [member] | Financing received from the Argentine Central Bank and other financial institutions | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 5,852,292 | 12,276,610 |
Book value [member] | Unsubordinated Negotiable Obligations | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 4,226,748 | 8,286,163 |
Book value [member] | Subordinated Negotiable Obligations | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 1,140,469 | 2,886,028 |
Book value [member] | Cash and Due from Banks | ||
Financial Assets | ||
Financial assets at amortised cost | 36,674,869 | 35,945,335 |
Book value [member] | Other financial assets | ||
Financial Assets | ||
Financial assets at amortised cost | 877,330 | 1,355,055 |
Book value [member] | Loans and other financing [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 105,395,186 | 119,817,347 |
Book value [member] | Reverse Repo transactions | ||
Financial Assets | ||
Financial assets at amortised cost | 22,354,735 | |
Book value [member] | Other debt securities | ||
Financial Assets | ||
Financial assets at amortised cost | 6,325,194 | 4,475,465 |
Book value [member] | Financial assets in guarantee | ||
Financial Assets | ||
Financial assets at amortised cost | 217,447 | 557,038 |
Fair value [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 178,851,905 | 167,160,710 |
Financial Liabilities | ||
Financial liabilities at amortised cost | 190,550,107 | 149,396,234 |
Fair value [member] | Level 1 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 66,449,575 | 42,404,879 |
Financial Liabilities | ||
Financial liabilities at amortised cost | 5,621,301 | 16,267,218 |
Fair value [member] | Level 3 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 112,402,330 | 124,755,831 |
Financial Liabilities | ||
Financial liabilities at amortised cost | 184,928,806 | 133,129,016 |
Fair value [member] | Deposits [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 179,320,910 | 121,178,488 |
Fair value [member] | Deposits [member] | Level 3 of fair value hierarchy [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 179,320,910 | 121,178,488 |
Fair value [member] | Repo transactions | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 435,401 | |
Fair value [member] | Repo transactions | Level 1 of fair value hierarchy [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 435,401 | |
Fair value [member] | Other financial liabilities | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 202,260 | 4,321,690 |
Fair value [member] | Other financial liabilities | Level 1 of fair value hierarchy [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 202,260 | 4,321,690 |
Fair value [member] | Financing received from the Argentine Central Bank and other financial institutions | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 5,607,896 | 11,950,528 |
Fair value [member] | Financing received from the Argentine Central Bank and other financial institutions | Level 3 of fair value hierarchy [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 5,607,896 | 11,950,528 |
Fair value [member] | Unsubordinated Negotiable Obligations | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 4,226,748 | 8,286,163 |
Fair value [member] | Unsubordinated Negotiable Obligations | Level 1 of fair value hierarchy [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 4,226,748 | 8,286,163 |
Fair value [member] | Subordinated Negotiable Obligations | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 1,192,293 | 3,223,964 |
Fair value [member] | Subordinated Negotiable Obligations | Level 1 of fair value hierarchy [member] | ||
Financial Liabilities | ||
Financial liabilities at amortised cost | 1,192,293 | 3,223,964 |
Fair value [member] | Cash and Due from Banks | ||
Financial Assets | ||
Financial assets at amortised cost | 36,674,869 | 35,904,615 |
Fair value [member] | Cash and Due from Banks | Level 1 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 36,674,869 | 35,904,615 |
Fair value [member] | Other financial assets | ||
Financial Assets | ||
Financial assets at amortised cost | 877,330 | 1,355,055 |
Fair value [member] | Other financial assets | Level 1 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 877,330 | 1,355,055 |
Fair value [member] | Loans and other financing [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 112,402,330 | 124,755,831 |
Fair value [member] | Loans and other financing [member] | Level 3 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 112,402,330 | 124,755,831 |
Fair value [member] | Reverse Repo transactions | ||
Financial Assets | ||
Financial assets at amortised cost | 22,354,735 | |
Fair value [member] | Reverse Repo transactions | Level 1 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 22,354,735 | |
Fair value [member] | Other debt securities | ||
Financial Assets | ||
Financial assets at amortised cost | 6,325,194 | 4,588,171 |
Fair value [member] | Other debt securities | Level 1 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | 6,325,194 | 4,588,171 |
Fair value [member] | Financial assets in guarantee | ||
Financial Assets | ||
Financial assets at amortised cost | 217,447 | 557,038 |
Fair value [member] | Financial assets in guarantee | Level 1 of fair value hierarchy [member] | ||
Financial Assets | ||
Financial assets at amortised cost | $ 217,447 | $ 557,038 |
FAIR VALUES - Fair Equity Instr
FAIR VALUES - Fair Equity Instruments (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of fair value measurement of assets and liability [line items] | |||
Equity instruments measured at Fair Value with changes in profit or loss | $ 9,871,903 | $ 773,961 | $ 31,649,050 |
Equity investments | |||
Disclosure of fair value measurement of assets and liability [line items] | |||
Equity instruments measured at Fair Value with changes in profit or loss | 87,131 | 7,891 | |
Grupo Financiero Galicia S.A. | |||
Disclosure of fair value measurement of assets and liability [line items] | |||
Equity instruments measured at Fair Value with changes in profit or loss | 74,881 | $ 7,891 | |
Pampa Holding S.A | |||
Disclosure of fair value measurement of assets and liability [line items] | |||
Equity instruments measured at Fair Value with changes in profit or loss | 8,286 | ||
Loma Negra S.A. | |||
Disclosure of fair value measurement of assets and liability [line items] | |||
Equity instruments measured at Fair Value with changes in profit or loss | 3,179 | ||
Others | |||
Disclosure of fair value measurement of assets and liability [line items] | |||
Equity instruments measured at Fair Value with changes in profit or loss | $ 785 |
FAIR VALUES - Fair value of equ
FAIR VALUES - Fair value of equity instruments changes in other comprehensive income (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | $ 11,957 | $ 18,432 |
Loss/Income through OCI | (27,803) | (6,475) |
Additions | 45,043 | |
Ending balance of fair value of equity instruments | 29,197 | 11,957 |
MAE [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 6,276 | 9,655 |
Loss/Income through OCI | (1,666) | (3,379) |
Ending balance of fair value of equity instruments | 4,610 | 6,276 |
SEDESA [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 2,197 | 3,380 |
Loss/Income through OCI | (583) | (1,183) |
Ending balance of fair value of equity instruments | 1,614 | 2,197 |
COELSA [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 1,251 | 1,925 |
Loss/Income through OCI | (332) | (674) |
Ending balance of fair value of equity instruments | 919 | 1,251 |
PROVINCANJE [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 371 | 568 |
Loss/Income through OCI | (100) | (197) |
Ending balance of fair value of equity instruments | 271 | 371 |
CUYO AVAL SGR [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 1,428 | 1,883 |
Loss/Income through OCI | 8 | (455) |
Ending balance of fair value of equity instruments | 1,436 | 1,428 |
ARGEN CONTROL [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 170 | 263 |
Loss/Income through OCI | (45) | (93) |
Ending balance of fair value of equity instruments | 125 | 170 |
LOS GROBO SGR [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 95 | 437 |
Loss/Income through OCI | (22) | (342) |
Ending balance of fair value of equity instruments | 73 | 95 |
IEBA SA [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 83 | 127 |
Loss/Income through OCI | (22) | (44) |
Ending balance of fair value of equity instruments | 61 | 83 |
MODO [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Loss/Income through OCI | (25,089) | |
Additions | 45,043 | |
Ending balance of fair value of equity instruments | 19,954 | |
Others [member] | ||
Disclosure of fair value measurement of assets and liability [line items] | ||
Beginning balance of fair value of equity instruments | 86 | 194 |
Loss/Income through OCI | 48 | (108) |
Ending balance of fair value of equity instruments | $ 134 | $ 86 |
FINANCE LEASES -Financial posit
FINANCE LEASES -Financial position (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Leases | ||
Current | $ 660,694 | $ 637,106 |
Non-current | 521,004 | 651,313 |
Total | 1,181,698 | 1,288,419 |
Land and buildings | ||
Leases | ||
Right-of-use assets | $ 2,146,928 | $ 2,047,260 |
FINANCE LEASES - Income stateme
FINANCE LEASES - Income statement (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2020ARS ($) | |
Amounts charged to income statement | |
Interest expenses on lease liabilities (Other operating expenses) | $ 207,035 |
Land and buildings | |
Amounts charged to income statement | |
Right-of-use assets - Depreciation | $ 780,397 |
FINANCE LEASES - Lease activiti
FINANCE LEASES - Lease activities (Details) | 12 Months Ended |
Dec. 31, 2020 | |
Minimum | |
Leases | |
Rental agreement period | 1 year |
Maximum | |
Leases | |
Rental agreement period | 3 years |
FINANCE LEASES - Finance Lease
FINANCE LEASES - Finance Lease Receivables (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financial Lease Receivables | ||
Finance lease receivable | $ 4,087,900 | $ 5,525,019 |
Unearned financial income | (1,196,789) | (1,186,642) |
Net investment in the lease | 2,891,111 | 4,338,377 |
Finance Lease Receivables | ||
Financial Lease Receivables | ||
Allowance for losses | 252,961 | 111,708 |
Up to 1 year [member] | ||
Financial Lease Receivables | ||
Finance lease receivable | 1,982,763 | 2,427,531 |
More than a year up to two years | ||
Financial Lease Receivables | ||
Finance lease receivable | 1,099,924 | 1,589,098 |
From two to three years | ||
Financial Lease Receivables | ||
Finance lease receivable | 634,899 | 906,156 |
From three to five years | ||
Financial Lease Receivables | ||
Finance lease receivable | 355,885 | 574,490 |
More than 5 years | ||
Financial Lease Receivables | ||
Finance lease receivable | $ 14,429 | $ 27,744 |
FINANCE LEASES - Operating Leas
FINANCE LEASES - Operating Lease Receivables (Details) - ARS ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financial Lease Receivables | ||
Operating lease receivables | $ 39,035 | $ 75,128 |
Up to 1 year [member] | ||
Financial Lease Receivables | ||
Operating lease receivables | 16,067 | 22,744 |
More than a year up to two years | ||
Financial Lease Receivables | ||
Operating lease receivables | 13,766 | 21,418 |
From two to three years | ||
Financial Lease Receivables | ||
Operating lease receivables | $ 9,202 | 18,438 |
From three to five years | ||
Financial Lease Receivables | ||
Operating lease receivables | $ 12,528 |
TRANSFER OF FINANCIAL ASSETS (D
TRANSFER OF FINANCIAL ASSETS (Details) $ in Thousands | Dec. 31, 2019ARS ($) |
Securitized Personal Loans | |
Disclosure of transferred financial assets that are not derecognised in their entirety [line items] | |
Asset | $ 2,197,444 |
Liabilities | 1,156,889 |
Transfers of receivables with recourse | |
Disclosure of transferred financial assets that are not derecognised in their entirety [line items] | |
Asset | $ 41,116 |
REPO AND REVERSE REPO TRANSAC_3
REPO AND REVERSE REPO TRANSACTIONS - (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
REPO AND REVERSE REPO TRANSACTIONS | ||
Book Value | $ 435,401 | |
Book Value | $ 22,354,735 |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS - Operation Related to Derivatives (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Derivative Financial Instruments | ||
Amounts receivable for spot and forward transactions pending settlement | $ 143,944 | $ 350,680 |
Amounts payable for spot and forward transactions pending settlement | (1,995) | |
Spot and Forward Transactions Pending Settlement | ||
Derivative Financial Instruments | ||
Amounts receivable for spot and forward transactions pending settlement | 143,944 | 350,680 |
Net amount | $ 143,944 | $ 350,680 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS - Notional Values (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Forward sales of gold without delivery of underlying assets [member] | ||
DERIVATIVE FINANCIAL INSTRUMENTS | ||
Delivery of underlying assets | $ 3,189,269 | $ 446,195 |
Forward purchases of foreign exchange without delivery of underlying assets [member] | ||
DERIVATIVE FINANCIAL INSTRUMENTS | ||
Delivery of underlying assets | $ 1,647,980 | $ 579,188 |
DERIVATIVE FINANCIAL INSTRUME_5
DERIVATIVE FINANCIAL INSTRUMENTS - Expense (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
DERIVATIVE FINANCIAL INSTRUMENTS | ||
Expense generated by derivative financial instruments | $ 180,102 | $ 971,521 |
EARNINGS PER SHARE (Details)
EARNINGS PER SHARE (Details) - ARS ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
EARNINGS PER SHARE | |||
Income attributable to shareholders of the group | $ 3,499,882 | $ (2,929,201) | $ (6,341,497) |
Weighted average of ordinary shares (thousands) | 456,722 | 456,722 | 456,722 |
Income per share | $ 7.66 | $ (6.41) | $ (13.88) |
SPECIAL TERMINATION ARRANGEME_3
SPECIAL TERMINATION ARRANGEMENTS - (Details) - Post Employment Benefits - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
SPECIAL TERMINATION ARRANGEMENTS | ||
Post-employment benefits | $ 1,146,516 | $ 1,289,981 |
Amounts charged to profit or loss | 140,695 | 718,688 |
Balances at the beginning | 1,289,981 | 829,507 |
Charged to profit or loss | 140,695 | 718,688 |
Benefits paid to participants | (284,160) | (258,214) |
Balances at closing | $ 1,146,516 | $ 1,289,981 |
PROPERTY, PLANT AND EQUIPMENT -
PROPERTY, PLANT AND EQUIPMENT - Movements (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | $ 5,448,454 | |
At the end of the year | 7,103,638 | $ 5,448,454 |
Gross carrying amount | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 11,206,535 | 9,119,127 |
Revaluation | 818,447 | (84,516) |
Additions | 3,218,269 | 2,658,468 |
Disposals | (1,387,045) | (486,544) |
At the end of the year | 13,856,206 | 11,206,535 |
Depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | (5,758,081) | (4,545,770) |
Disposals | 309,122 | 488,532 |
Of the Year | (1,303,609) | (1,700,843) |
At the end of the year | (6,752,568) | $ (5,758,081) |
Furniture and facilities [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | $ 424,150 | |
Useful Life | 10 years | 10 years |
At the end of the year | $ 285,805 | $ 424,150 |
Furniture and facilities [member] | Gross carrying amount | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 1,373,239 | 1,373,239 |
Additions | 77,415 | |
Disposals | (30,084) | |
At the end of the year | 1,420,570 | 1,373,239 |
Furniture and facilities [member] | Depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | (949,089) | (944,414) |
Disposals | 85,526 | |
Of the Year | (100,150) | (4,675) |
At the end of the year | (1,134,765) | $ (949,089) |
Machinery and equipment [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | $ 474,521 | |
Useful Life | 5 years | 5 years |
At the end of the year | $ 818,574 | $ 474,521 |
Machinery and equipment [member] | Gross carrying amount | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 4,296,555 | 4,226,071 |
Additions | 1,326,532 | 261,872 |
Disposals | (436,367) | (191,388) |
At the end of the year | 5,186,720 | 4,296,555 |
Machinery and equipment [member] | Depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | (3,822,034) | (3,398,030) |
Disposals | 238,037 | 425,780 |
Of the Year | (308,075) | (849,784) |
At the end of the year | (4,368,146) | $ (3,822,034) |
Vehicles [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | $ 134,611 | |
Useful Life | 5 years | 5 years |
At the end of the year | $ 140,750 | $ 134,611 |
Vehicles [member] | Gross carrying amount | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 235,652 | 236,589 |
Additions | 72,255 | 47,385 |
Disposals | (47,045) | (48,322) |
At the end of the year | 260,862 | 235,652 |
Vehicles [member] | Depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | (101,041) | (80,055) |
Disposals | 25,273 | 21,317 |
Of the Year | (44,344) | (42,303) |
At the end of the year | (120,112) | $ (101,041) |
Right of use assets | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 1,275,958 | |
Useful Life | 6 years | |
At the end of the year | 1,200,152 | $ 1,275,958 |
Right of use assets | Gross carrying amount | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 2,047,260 | |
Additions | 803,901 | 2,047,260 |
Disposals | (704,233) | |
At the end of the year | 2,146,928 | 2,047,260 |
Right of use assets | Depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | (771,302) | |
Disposals | 604,923 | 877 |
Of the Year | (780,397) | (772,179) |
At the end of the year | (946,776) | (771,302) |
Construction in progress [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 653,718 | |
At the end of the year | 638,394 | 653,718 |
Construction in progress [member] | Gross carrying amount | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 653,718 | 746,082 |
Additions | 152,146 | 154,345 |
Disposals | (167,470) | (246,709) |
At the end of the year | 638,394 | $ 653,718 |
Land and buildings | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | $ 2,485,496 | |
Useful Life | 50 years | 50 years |
At the end of the year | $ 4,019,963 | $ 2,485,496 |
Land and buildings | Gross carrying amount | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | 2,600,111 | 2,537,146 |
Revaluation | 818,447 | (84,516) |
Additions | 786,020 | 147,606 |
Disposals | (1,846) | (125) |
At the end of the year | 4,202,732 | 2,600,111 |
Land and buildings | Depreciation [member] | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
At the beginning of the year | (114,615) | (123,271) |
Disposals | 2,489 | 40,558 |
Of the Year | (70,643) | (31,902) |
At the end of the year | $ (182,769) | $ (114,615) |
PROPERTY, PLANT AND EQUIPMENT_2
PROPERTY, PLANT AND EQUIPMENT - Revaluation (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of detailed information about property, plant and equipment [line items] | ||
Revalued amount | $ 4,019,963 | $ 2,485,496 |
Residual Value according to the cost model | 3,201,516 | 2,570,012 |
Difference | $ 818,447 | |
Difference | $ (84,516) | |
Land and buildings | Sales Price Per Meter | ||
Disclosure of detailed information about property, plant and equipment [line items] | ||
Reduction on the sales price per meter (as a percent) | 5.00% | |
Reduction of value of the Land and Buildings, net of its tax effect | $ 150,700 |
INVESTMENT PROPERTIES - Table (
INVESTMENT PROPERTIES - Table (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
INVESTMENT PROPERTIES | ||
Beginning balance | $ 5,520,143 | |
P/L for changes in the FV | (92,457) | $ (173,076) |
Ending balance | 5,997,945 | 5,520,143 |
Fair value [member] | ||
INVESTMENT PROPERTIES | ||
Beginning balance | 5,520,143 | 865,687 |
P/L for changes in the FV | (92,457) | (173,076) |
Additions | 1,447,123 | 4,834,792 |
Disposals | (876,864) | (7,260) |
Ending balance | 5,997,945 | 5,520,143 |
Fair value [member] | Rented property [member] | ||
INVESTMENT PROPERTIES | ||
Beginning balance | $ 5,520,143 | $ 865,687 |
Useful life | 50 years | 50 years |
P/L for changes in the FV | $ (92,457) | $ (173,076) |
Additions | 1,447,123 | 4,834,792 |
Disposals | (876,864) | (7,260) |
Ending balance | $ 5,997,945 | $ 5,520,143 |
INVESTMENT PROPERTIES - Paragra
INVESTMENT PROPERTIES - Paragraphs (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
INVESTMENT PROPERTIES | ||
Investment property | $ 5,997,945 | $ 5,520,143 |
413 Investment Properties | ||
INVESTMENT PROPERTIES | ||
Investment property | $ 5,998 | |
413 Investment Properties | Sales Price Per Meter | ||
INVESTMENT PROPERTIES | ||
Reduction on the sales price per meter (as a percent) | 5.00% | |
Reduction in value, net of its tax effect on the Other Operating Income | $ 224,900 |
INTANGIBLE ASSETS - Summary (De
INTANGIBLE ASSETS - Summary (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
INTANGIBLE ASSETS | ||
At the beginning of the year | $ 5,919,425 | |
At the End of the year | 6,782,538 | $ 5,919,425 |
Goodwill [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | 3,632,645 | |
At the End of the year | 3,639,937 | 3,632,645 |
Brand [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | 199,999 | |
At the End of the year | 199,999 | 199,999 |
Other intangible assets [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | 2,086,781 | |
At the End of the year | 2,942,602 | 2,086,781 |
Gross carrying amount | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | 7,746,524 | 6,847,104 |
Additions | 1,746,739 | 905,232 |
Disposals | 14,279 | 5,812 |
At the End of the year | 9,478,984 | 7,746,524 |
Gross carrying amount | Goodwill [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | 3,632,645 | 3,613,818 |
Additions | 7,292 | 18,827 |
At the End of the year | 3,639,937 | 3,632,645 |
Gross carrying amount | Brand [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | 199,999 | 199,999 |
At the End of the year | 199,999 | 199,999 |
Gross carrying amount | Other intangible assets [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | 3,913,880 | 3,033,287 |
Additions | 1,739,447 | 886,405 |
Disposals | 14,279 | 5,812 |
At the End of the year | 5,639,048 | 3,913,880 |
Accumulated depreciation and amortisation [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | (1,827,099) | (1,203,185) |
Disposals | (71) | (164) |
Of the year | (869,276) | (624,078) |
At the End of the year | (2,696,446) | (1,827,099) |
Accumulated depreciation and amortisation [member] | Other intangible assets [member] | ||
INTANGIBLE ASSETS | ||
At the beginning of the year | (1,827,099) | (1,203,185) |
Disposals | (71) | (164) |
Of the year | (869,276) | (624,078) |
At the End of the year | $ (2,696,446) | $ (1,827,099) |
INTANGIBLE ASSETS - Goodwill by
INTANGIBLE ASSETS - Goodwill by cash generating units (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Goodwill | ||
Goodwill | $ 3,639,937 | $ 3,632,645 |
Supervielle Seguros S.A. [member] | ||
Goodwill | ||
Goodwill | 9,686 | 9,686 |
Cordial Compania Financiera S.A. | ||
Goodwill | ||
Goodwill | 243,971 | 243,971 |
Banco Regional de Cuyo S.A. [member] | ||
Goodwill | ||
Goodwill | 50,784 | 50,784 |
Invertir Online.Com Argentina S.A.U. [member] | ||
Goodwill | ||
Goodwill | 1,846,042 | 1,846,042 |
Micro Lending S.A.U. [member] | ||
Goodwill | ||
Goodwill | 1,453,519 | 1,453,519 |
Others [member] | ||
Goodwill | ||
Goodwill | $ 35,935 | $ 28,643 |
INTANGIBLE ASSETS - Assumptions
INTANGIBLE ASSETS - Assumptions (Detail) - ARS ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2020 | Dec. 31, 2025 | Dec. 31, 2024 | Dec. 31, 2023 | Dec. 31, 2022 | Dec. 31, 2021 | |
Disclosure of reconciliation of changes in goodwill [line items] | ||||||
Cash flow projections financial budget period | 5 years | |||||
Inflation (end of period) (as percent) | 35.60% | |||||
Inflation (average) (as a percent) | 44.60% | |||||
Cost of funding (average) (as a percent) | 31.30% | |||||
Loan's interest rate (average) | 59.40% | |||||
Goodwill impairment | $ 0 | |||||
Increase in weighted average cost of capital (as a percent) | 1.00% | |||||
Forecast | ||||||
Disclosure of reconciliation of changes in goodwill [line items] | ||||||
Inflation (end of period) (as percent) | 18.00% | 18.00% | 19.60% | 29.20% | 46.80% | |
Inflation (average) (as a percent) | 18.00% | 18.70% | 24.30% | 37.70% | 41.10% | |
Cost of funding (average) (as a percent) | 18.80% | 18.80% | 21.50% | 26.80% | 40.00% | |
Loan's interest rate (average) | 17.10% | 17.50% | 18.20% | 18.40% | 40.00% |
COMPOSITION OF THE MAIN ITEMS_3
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Debt securities at fair value through profit or loss (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | ||
Government securities | $ 8,864,640 | $ 768,967 |
Corporate securities | 401,671 | 4,994 |
Securities issued by the BCRA | 605,592 | |
Debt securities | $ 9,871,903 | $ 773,961 |
COMPOSITION OF THE MAIN ITEMS_4
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Other financial assets (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other financial assets | ||
Other financial assets | $ 4,285,221 | $ 2,854,686 |
Participation certificate in financial trusts [member] | ||
Other financial assets | ||
Other financial assets | 40,855 | 41,648 |
Investments in Asset Management and Other Services | ||
Other financial assets | ||
Other financial assets | 1,528,987 | 1,178,803 |
Other investments [member] | ||
Other financial assets | ||
Other financial assets | 535,684 | 81,151 |
Receivable from spot sales pending settlement [member] | ||
Other financial assets | ||
Other financial assets | 1,077,649 | 188,679 |
Several debtors [member] | ||
Other financial assets | ||
Other financial assets | 833,604 | 848,251 |
Miscellaneous debtors for credit card operations [member] | ||
Other financial assets | ||
Other financial assets | 203,811 | $ 516,154 |
Miscellaneous debtors for collections [member] | ||
Other financial assets | ||
Other financial assets | $ 64,631 |
COMPOSITION OF THE MAIN ITEMS_5
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Other debt securities (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other debt securities | ||
Other debt instruments held | $ 40,859,975 | $ 14,238,340 |
Government Securities [member] | ||
Other debt securities | ||
Other debt instruments held | 12,674,746 | 14,226,009 |
Securities issued by the BCRA [member] | ||
Other debt securities | ||
Other debt instruments held | 28,181,585 | |
Others [member] | ||
Other debt securities | ||
Other debt instruments held | $ 3,644 | $ 12,331 |
COMPOSITION OF THE MAIN ITEMS_6
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Financial assets in guarantee (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financial assets in guarantee | ||
Financial assets pledged as collateral | $ 4,904,935 | $ 7,261,336 |
Special Guarantees Accounts Argentine Central Bank [Member] | ||
Financial assets in guarantee | ||
Financial assets pledged as collateral | 3,710,757 | 2,887,177 |
Deposits In Guarantee [Member] | ||
Financial assets in guarantee | ||
Financial assets pledged as collateral | $ 1,194,178 | $ 4,374,159 |
COMPOSITION OF THE MAIN ITEMS_7
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Inventories (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Inventories | ||
Inventories | $ 70,964 | $ 60,521 |
Gross carrying amount | ||
Inventories | ||
Electronics | 56,282 | 29,614 |
Home and Health care | 16,110 | 10,529 |
Tools and Workshop Equipment | 259 | 22,121 |
Obsolescence Reserve | ||
Inventories | ||
Inventories | $ (1,687) | $ (1,743) |
COMPOSITION OF THE MAIN ITEMS_8
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Other non-financial assets (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | ||
Other Miscellaneous assets | $ 603,701 | $ 1,164,863 |
Loans to employees | 235,259 | 359,305 |
Payments in advance | 321,958 | 18,474 |
Other non-financial assets | 16,367 | |
Retirement Plan | 143,252 | 205,805 |
Works of art and collector's pieces | 32,343 | 47,030 |
Non financial assets | $ 1,352,880 | $ 1,795,477 |
COMPOSITION OF THE MAIN ITEMS_9
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Deposits (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | ||
Non-financial sector | $ 7,911,255 | $ 7,447,131 |
Financial sector | 57,416 | 38,253 |
Current accounts | 16,891,003 | 14,819,309 |
Savings accounts | 102,845,465 | 54,445,823 |
Time deposits and investments accounts | 46,113,056 | 40,457,410 |
Others | 4,823,399 | 3,968,329 |
Deposits | $ 178,641,594 | $ 121,176,255 |
COMPOSITION OF THE MAIN ITEM_10
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Liabilities at fair value through profit or loss (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Liabilities at fair value through profit or loss | ||
Liabilities at fair value through profit or loss | $ 2,002,005 | $ 258,060 |
Local currency [member] | ||
Liabilities at fair value through profit or loss | ||
Liabilities at fair value through profit or loss | $ 2,002,005 | $ 258,060 |
COMPOSITION OF THE MAIN ITEM_11
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Other financial liabilities (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other financial liabilities | ||
Other financial liabilities | $ 7,528,889 | $ 12,409,984 |
Amounts payable for spot transactions pending settlement [member] | ||
Other financial liabilities | ||
Other financial liabilities | 1,362,541 | 2,986,677 |
Collections and other operations on behalf of third parties [member] | ||
Other financial liabilities | ||
Other financial liabilities | 4,951,341 | 7,112,817 |
Fees accrued to pay [member] | ||
Other financial liabilities | ||
Other financial liabilities | 5,423 | 366 |
Financial guarantee contracts [member] | ||
Other financial liabilities | ||
Other financial liabilities | 19,832 | 20,786 |
Liabilities associated with the transfer of financial assets not derecognized [member] | ||
Other financial liabilities | ||
Other financial liabilities | 970,923 | |
Lease Liabilities | ||
Other financial liabilities | ||
Other financial liabilities | 1,181,698 | 1,288,419 |
Others [member] | ||
Other financial liabilities | ||
Other financial liabilities | $ 8,054 | $ 29,996 |
COMPOSITION OF THE MAIN ITEM_12
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Financing received from the Argentine Central Bank and other financial institutions (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | ||
Financing received from local financial institutions | $ 645,206 | $ 1,278,545 |
Financing received from international institutions | 5,207,086 | 10,998,065 |
Financing received from the Central Bank and other financial institutions | $ 5,852,292 | $ 12,276,610 |
COMPOSITION OF THE MAIN ITEM_13
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Provisions (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Provisions | |||
Provisions | $ 681,092 | $ 921,696 | $ 182,024 |
Legal issues | |||
Provisions | |||
Provisions | 32,557 | 44,993 | 64,226 |
Labor lawsuits | |||
Provisions | |||
Provisions | 29,552 | 38,151 | 35,929 |
Tax | |||
Provisions | |||
Provisions | 113,303 | 106,029 | 27,759 |
Eventual commitments | |||
Provisions | |||
Provisions | 8,634 | 499 | 2,505 |
Judicial Deposits | |||
Provisions | |||
Provisions | 22,303 | 21,465 | 20,553 |
Restructuring Provision | |||
Provisions | |||
Provisions | 680,703 | ||
Unused Balances Credit Cards | |||
Provisions | |||
Provisions | 206,812 | ||
Deceased ANSES | |||
Provisions | |||
Provisions | 225,387 | ||
Others | |||
Provisions | |||
Provisions | $ 42,544 | $ 29,856 | $ 31,052 |
COMPOSITION OF THE MAIN ITEM_14
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Other non-financial liabilities (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Other non-financial liabilities | ||
Non financial liabilities | $ 12,146,102 | $ 11,175,664 |
Payroll and social securities [member] | ||
Other non-financial liabilities | ||
Non financial liabilities | 5,500,933 | 5,401,884 |
Sundry Creditors [member] | ||
Other non-financial liabilities | ||
Non financial liabilities | 3,660,784 | 3,209,713 |
Revenue from contracts with customers [member] | ||
Other non-financial liabilities | ||
Non financial liabilities | 188,665 | 262,069 |
Tax | ||
Other non-financial liabilities | ||
Non financial liabilities | 1,802,458 | 1,900,826 |
Social security payment orders pending settlement [member] | ||
Other non-financial liabilities | ||
Non financial liabilities | 894,809 | 297,448 |
Other | ||
Other non-financial liabilities | ||
Non financial liabilities | $ 98,453 | $ 103,724 |
COMPOSITION OF THE MAIN ITEM_15
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Estimated use of liability (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Estimated use of liabilities | ||
Revenue from contracts with customers | $ 188,665 | $ 262,069 |
Up to 1 year [member] | ||
Estimated use of liabilities | ||
Revenue from contracts with customers | 88,352 | |
More than a year up to two years | ||
Estimated use of liabilities | ||
Revenue from contracts with customers | 46,692 | |
More than 24 months [member] | ||
Estimated use of liabilities | ||
Revenue from contracts with customers | $ 53,621 |
COMPOSITION OF THE MAIN ITEM_16
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Income from interests (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Interest on overdrafts | $ 2,678,469 | $ 6,217,172 | $ 6,807,778 |
Interest on promissory notes | 6,226,382 | 8,002,944 | 8,539,122 |
Interest on personal loans | 14,173,544 | 17,584,460 | 22,887,135 |
Interest on corporate unsecured loans | 5,981,812 | 8,360,682 | 6,322,241 |
Interest on credit card loans | 3,818,628 | 6,555,201 | 7,147,137 |
Interest on mortgage loans | 3,994,607 | 5,148,348 | 4,123,314 |
Interest on automobile and other secured loan | 738,403 | 943,454 | 1,030,844 |
Interest on foreign trade loans | 1,453,129 | 2,356,094 | 2,448,435 |
Interest on financial leases | 704,408 | 1,537,851 | 1,929,148 |
Interest on public and private securities measured at amortized cost | 20,524,157 | ||
Others | 4,406,341 | 4,277,419 | 2,465,076 |
Total | $ 64,699,880 | $ 60,983,625 | $ 63,700,230 |
COMPOSITION OF THE MAIN ITEM_17
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Interests expenses (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Interest on current accounts deposits | $ 6,325,123 | $ 8,182,612 | $ 10,742,108 |
Interest on time deposits | 19,574,998 | 27,030,921 | 13,602,675 |
Interest on other financial liabilities | 2,285,959 | 10,472,760 | 9,933,537 |
Interest from financing from financial sector | 100,834 | 373,163 | 1,548,673 |
Others | 291,474 | 1,471,921 | 641,517 |
Total | $ 28,578,388 | $ 47,531,377 | $ 36,468,510 |
COMPOSITION OF THE MAIN ITEM_18
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Net income from financial instruments at fair value through profit or loss (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Income from corporate and government securities | $ 2,999,989 | $ 2,086,183 | $ 3,828,698 |
Income from securities issued by the Argentine Central Bank | 135,491 | 25,478,678 | 12,934,407 |
Derivatives | 180,102 | 971,521 | (3,547,400) |
Total | $ 3,315,582 | $ 28,536,382 | $ 13,215,705 |
COMPOSITION OF THE MAIN ITEM_19
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Service fee income (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Commissions from deposits accounts | $ 4,627,421 | $ 4,777,932 | $ 4,626,945 |
Commissions from credit and debit cards | 3,413,407 | 3,944,787 | 4,576,075 |
Commissions from loans operations | 164,852 | 401,370 | 819,244 |
Others Commissions | 3,131,296 | ||
Others | 156,848 | 2,583,467 | 2,391,996 |
Total | $ 11,493,824 | $ 11,707,556 | $ 12,414,260 |
COMPOSITION OF THE MAIN ITEM_20
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Service fee expenses (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Commissions paid | $ 3,469,846 | $ 2,955,840 | $ 2,858,035 |
Export and foreign currency operations | 78,423 | 99,114 | 112,035 |
Total | $ 3,548,269 | $ 3,054,954 | $ 2,970,070 |
COMPOSITION OF THE MAIN ITEM_21
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Income from insurance activities (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Accrued premiums | $ 2,300,856 | $ 2,978,764 | $ 3,081,828 |
Accrued losses | (308,798) | (471,071) | (695,386) |
Production expenses | (320,603) | (610,770) | (609,097) |
Total | $ 1,671,455 | $ 1,896,923 | $ 1,777,345 |
COMPOSITION OF THE MAIN ITEM_22
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Other operating incomes (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other operating income | |||
Total | $ 3,779,451 | $ 3,751,037 | $ 5,180,332 |
Loans recovered and allowances reversed [member] | |||
Other operating income | |||
Total | 572,480 | 678,796 | 665,561 |
Insurance commissions [member] | |||
Other operating income | |||
Total | 51,525 | 92,966 | 831,740 |
Rental from safety boxes [member] | |||
Other operating income | |||
Total | 340,303 | 390,561 | 501,124 |
Commissions from trust services [member] | |||
Other operating income | |||
Total | 9,638 | 35,778 | 15,958 |
Returns of risk funds [member] | |||
Other operating income | |||
Total | 1,215,745 | 235,093 | 587,419 |
Commissions from financial guarantees [member] | |||
Other operating income | |||
Total | 854,752 | 985,595 | |
Default interests [member] | |||
Other operating income | |||
Total | 212,927 | 573,061 | 505,679 |
Sale of fixed assets [member] | |||
Other operating income | |||
Total | 133,983 | ||
Other | |||
Other operating income | |||
Total | $ 1,242,850 | $ 890,030 | $ 1,087,256 |
COMPOSITION OF THE MAIN ITEM_23
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Personnel expenses (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Payroll and social securities | $ 16,682,917 | $ 16,902,763 | $ 13,627,260 |
Others expenses | 1,493,949 | 2,380,583 | 4,757,573 |
Total | $ 18,176,866 | $ 19,283,346 | $ 18,384,833 |
COMPOSITION OF THE MAIN ITEM_24
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Administration expenses (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT | |||
Directors' and statutory auditors' fees | $ 341,532 | $ 382,328 | $ 342,430 |
Professional fees | 3,043,958 | 1,385,391 | 3,459,708 |
Advertising and publicity | 688,705 | 737,956 | 862,200 |
Taxes | 1,857,970 | 2,000,527 | 2,244,207 |
Maintenance, security and services | 2,823,341 | 2,351,755 | 1,152,917 |
Rent | 72,050 | 70,446 | 973,551 |
Others | 1,491,001 | 3,382,263 | 2,694,038 |
Total | $ 10,318,557 | $ 10,310,666 | $ 11,729,051 |
COMPOSITION OF THE MAIN ITEM_25
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Depreciation and impairment of non-financial assets (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Depreciation and impairment of non-financial assets | |||
Total | $ 2,407,028 | $ 2,470,504 | $ 905,545 |
Depreciation of property, plant and equipment [member] | |||
Depreciation and impairment of non-financial assets | |||
Total | 523,212 | 928,664 | 439,094 |
Depreciation of other non financial assets [member] | |||
Depreciation and impairment of non-financial assets | |||
Total | 234,143 | 145,583 | 154,856 |
Depreciation of intangible assets [member] | |||
Depreciation and impairment of non-financial assets | |||
Total | 869,276 | 624,078 | 311,013 |
Right of use assets | |||
Depreciation and impairment of non-financial assets | |||
Total | $ 780,397 | $ 772,179 | |
Impairment of other non-financial assets [member] | |||
Depreciation and impairment of non-financial assets | |||
Total | $ 582 |
COMPOSITION OF THE MAIN ITEM_26
COMPOSITION OF THE MAIN ITEMS OF THE CONSOLIDATED STATEMENT OF FINANCIAL POSITION AND CONSOLIDATED INCOME STATEMENT - Other operating expenses (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Other operating expenses | |||
Total | $ 6,574,779 | $ 8,656,215 | $ 9,030,424 |
Promotions related with credit cards [member] | |||
Other operating expenses | |||
Total | 525,355 | 695,109 | 886,298 |
Turnover tax [member] | |||
Other operating expenses | |||
Total | 3,950,539 | 5,104,595 | 5,869,614 |
Fair value on initial recognition of loans [member] | |||
Other operating expenses | |||
Total | 195,459 | 273,505 | 809,049 |
Contributions made to deposit insurance system [member] | |||
Other operating expenses | |||
Total | 289,814 | 332,127 | 323,838 |
Other operating expenses [member] | |||
Other operating expenses | |||
Total | $ 1,613,612 | $ 2,250,879 | $ 1,141,625 |
COMMITMENTS AND CONTINGENCIES_2
COMMITMENTS AND CONTINGENCIES (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure of commitments and contingencies [line items] | |||
Provisions | $ 681,092 | $ 921,696 | $ 182,024 |
Legal issues | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 32,557 | 44,993 | 64,226 |
Labor lawsuits | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 29,552 | 38,151 | 35,929 |
Tax | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 113,303 | 106,029 | 27,759 |
Unused Balances Credit Cards | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 206,812 | ||
Deceased ANSES | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 225,387 | ||
Judicial Deposits | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 22,303 | 21,465 | 20,553 |
Eventual commitments | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 8,634 | 499 | 2,505 |
Restructuring Provision | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | 680,703 | ||
Others | |||
Disclosure of commitments and contingencies [line items] | |||
Provisions | $ 42,544 | $ 29,856 | $ 31,052 |
RELATED PARTY TRANSACTIONS - Fi
RELATED PARTY TRANSACTIONS - Financial Exposure (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020ARS ($)individualcompanyCounterparty | Dec. 31, 2019ARS ($)individualcompanyCounterparty | |
Disclosure of transactions between related parties [line items] | ||
Aggregate total financial exposure | $ 242,271 | $ 1,311,056 |
Number of recipient related parties | Counterparty | 80 | 95 |
Average total financial exposure | $ 3,028 | $ 18,729 |
Single largest financial exposure | $ 933,426 | $ 1,120,671 |
Individuals [member] | ||
Disclosure of transactions between related parties [line items] | ||
Number of recipient related parties | individual | 71 | 86 |
Companies [member] | ||
Disclosure of transactions between related parties [line items] | ||
Number of recipient related parties | company | 9 | 10 |
RELATED PARTY TRANSACTIONS -Con
RELATED PARTY TRANSACTIONS -Controlling Interest (Details) - Julio Patricio Supervielle [member] - ARS ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure of transactions between related parties [line items] | ||
Capital interest | $ 35.12 | $ 57.89 |
Vote's interest | 35.12% | 57.89% |
INSURANCE - Assets and liabilit
INSURANCE - Assets and liabilities (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Assets related to insurance contracts (Loans and other financing) | ||
Receivable premiums | $ 590,044 | $ 618,048 |
Commissions receivables | 2,023 | |
Total | 592,067 | 618,048 |
Liabilities related to insurance contracts (Other non-financial liabilities) | ||
Debt with insured | 136,124 | 185,380 |
Debt with reinsurers | 11,731 | 55,239 |
Debt with co-insurers | 2,317 | |
Debt with producers | 183,809 | 204,734 |
Technical commitments | 221,719 | 236,877 |
Outstanding claims paid by re-insurance companies (regularizer) | (9,059) | (655) |
Total | $ 544,324 | $ 683,892 |
INSURANCE - Liabilities (Detail
INSURANCE - Liabilities (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Insurance | ||
Total | $ 136,124 | $ 185,380 |
Producers current account | 39,274 | 38,456 |
Commission for premium receivable | 144,535 | 166,278 |
Total | 183,809 | 204,734 |
Premiums and surcharges | 221,714 | 236,825 |
Premiums insufficiency | 5 | 52 |
Total | 221,719 | 236,877 |
Property insurance | ||
Insurance | ||
Direct administrative insurance | 18,158 | 15,305 |
Direct insurance in mediation | 25 | 1,089 |
Claims settled to pay | 293 | 1,199 |
Claims occurred and not reported - IBNR | 9,794 | 20,093 |
Life insurance | ||
Insurance | ||
Direct administrative insurance | 64,506 | 56,181 |
Direct insurance in judgments | 1,418 | 1,688 |
Direct insurance in mediation | 886 | 2,501 |
Claims settled to pay | 19,164 | 27,525 |
Claims occurred and not reported - IBNR | $ 21,880 | $ 59,799 |
ASSET MANAGEMENT AND OTHER SE_3
ASSET MANAGEMENT AND OTHER SERVICES (Details) $ in Thousands | Dec. 31, 2020ARS ($)instrument | Dec. 31, 2019ARS ($)instrument |
Premier Renta C.P. Pesos [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 36,297,562 | $ 19,103,061 |
Mutual Funds, Net Worth | $ 36,260,237 | $ 19,073,822 |
Number of units | instrument | 12,597,963,038 | 3,958,398,573 |
Premier Renta Plus en Pesos [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 168,089 | $ 148,593 |
Mutual Funds, Net Worth | $ 162,743 | $ 145,943 |
Number of units | instrument | 11,899,481 | 10,250,999 |
Premier Renta Fija Ahorro [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 1,721,266 | $ 633,635 |
Mutual Funds, Net Worth | $ 1,709,665 | $ 625,558 |
Number of units | instrument | 59,317,777 | 12,851,475 |
Premier Renta Fija Crecimiento [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 73,983 | $ 63,880 |
Mutual Funds, Net Worth | $ 73,386 | $ 63,519 |
Number of units | instrument | 3,983,791 | 3,688,485 |
Premier Renta Variable [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 188,342 | $ 226,526 |
Mutual Funds, Net Worth | $ 185,576 | $ 223,268 |
Number of units | instrument | 6,689,975 | 6,982,580 |
Premier FCI Abierto Pymes [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 941,245 | $ 762,877 |
Mutual Funds, Net Worth | $ 917,368 | $ 761,161 |
Number of units | instrument | 119,588,138 | 91,559,624 |
Premier Commodities [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 259,125 | $ 28,643 |
Mutual Funds, Net Worth | $ 255,128 | $ 18,506 |
Number of units | instrument | 25,702,973 | 2,596,034 |
Premier Capital [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 192,336 | $ 175,700 |
Mutual Funds, Net Worth | $ 191,253 | $ 175,237 |
Number of units | instrument | 36,842,932 | 36,057,519 |
Premier Inversion [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 736,703 | $ 184,280 |
Mutual Funds, Net Worth | $ 713,499 | $ 184,186 |
Number of units | instrument | 1,576,391,366 | 442,160,447 |
Premier Balanceado [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 1,196,216 | $ 849,329 |
Mutual Funds, Net Worth | $ 1,195,336 | $ 848,555 |
Number of units | instrument | 253,733,905 | 249,317,925 |
Premier Renta Mixta [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 3,559,642 | $ 181,414 |
Mutual Funds, Net Worth | $ 3,151,517 | $ 181,267 |
Number of units | instrument | 1,072,064,209 | 76,562,093 |
Premier Renta Mixta en USD [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 112,768 | $ 177,271 |
Mutual Funds, Net Worth | $ 112,768 | $ 176,619 |
Number of units | instrument | 2,083,508 | 2,815,589 |
Premier Performance en USD [member] | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 526,115 | $ 617,920 |
Mutual Funds, Net Worth | $ 521,839 | $ 616,534 |
Number of units | instrument | 7,724,190 | 9,312,208 |
Premier Global USD | ||
Disclosure of mutual funds portfolio [line items] | ||
Portfolio | $ 490,472 | $ 951,507 |
Mutual Funds, Net Worth | $ 489,973 | $ 948,572 |
Number of units | instrument | 5,444,411 | 11,338,023 |
CONTRIBUTION TO THE DEPOSIT I_2
CONTRIBUTION TO THE DEPOSIT INSURANCE SYSTEM - (Details) - ARS ($) $ in Thousands | May 01, 2020 | Mar. 31, 2019 |
CONTRIBUTION TO THE DEPOSIT INSURANCE SYSTEM | ||
Insurance coverage of demand and time deposits | $ 1,500 | $ 1,000 |
RESTRICTED ASSETS (Details)
RESTRICTED ASSETS (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
RESTRICTED ASSETS | ||
Special guarantee accounts in the Argentine Central Bank | $ 3,710,757 | $ 2,887,162 |
Trust guarantee deposits | 5,173 | |
Guarantee deposits for currency forward transactions | 601,248 | 2,865,356 |
Guarantee deposits for credit cards transactions | 421,942 | 432,118 |
Other guarantee deposits | 160,820 | 215,866 |
Guarantee deposits for repo transactions | 32,510 | |
Financial assets in guarantee | $ 4,894,767 | $ 6,438,185 |
FINANCIAL TRUSTS - Fideicomiso
FINANCIAL TRUSTS - Fideicomiso de Administracin Interconexin (Details) - Fideicomiso de Administracin Interconexin Financial Trust | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Financial Trust | |
Term of the trust fund | 24 months |
Period of expiration of liabilities through disbursements | 30 days |
Amount of fine at the exchange rate in force | $ 6,000 |
FINANCIAL TRUSTS - Micro Lendin
FINANCIAL TRUSTS - Micro Lending (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Micro Lending Trust Financial Trust, III | ||
Financial Trust | ||
Securitized Amount | $ 39,779 | |
Securities issued | 39,779 | $ 39,779 |
Micro Lending Trust Financial Trust, III | VDF TV A vto 03/12/13 [member] | ||
Financial Trust | ||
Securities issued | 31,823 | |
Micro Lending Trust Financial Trust, III | VDF B Vto: 11/12/13 [member] | ||
Financial Trust | ||
Securities issued | 6,364 | |
Micro Lending Trust Financial Trust, III | CP Vto: 10/12/16 [member] | ||
Financial Trust | ||
Securities issued | 1,592 | |
Micro Lending Financial Trusts, IV | ||
Financial Trust | ||
Securitized Amount | 40,652 | |
Securities issued | 40,652 | 40,652 |
Micro Lending Financial Trusts, IV | VDF TV A Vto: 06/20/13 [member] | ||
Financial Trust | ||
Securities issued | 32,522 | |
Micro Lending Financial Trusts, IV | VDF B Vto: 10/20/13 [member] | ||
Financial Trust | ||
Securities issued | 6,504 | |
Micro Lending Financial Trusts, IV | CP Vto: 10/12/16 [member] | ||
Financial Trust | ||
Securities issued | 1,626 | |
Micro Lending Financial Trusts, IV | CP Vto: 06/29/17 [member] | ||
Financial Trust | ||
Securities issued | $ 1,626 | |
Micro Lending Financial Trusts, XVIII | ||
Financial Trust | ||
Securities issued | $ 119,335 |
ISSUANCE OF DEBT SECURITIES - B
ISSUANCE OF DEBT SECURITIES - Banco Supervielle S.A. (Details) - Banco Supervielle S.A. - USD ($) | Jun. 12, 2020 | Dec. 02, 2019 | Mar. 06, 2018 | Sep. 22, 2016 |
Global Program for Issuance of Negotiable Obligations | ||||
ISSUANCE OF DEBT SECURITIES | ||||
Maximum amount can be issued | $ 2,300,000 | $ 800,000 | ||
Simple Negotiable Obligations Issuance Global Program | ||||
ISSUANCE OF DEBT SECURITIES | ||||
Maximum amount can be issued | $ 300,000 | |||
Simple Negotiable Obligations Issuance Global Program | Global program for issuance of a class G non-subordinated negotiable obligation | ||||
ISSUANCE OF DEBT SECURITIES | ||||
Maximum amount can be issued | $ 30,000,000 | |||
New Negotiable Obligations Issuance Global Program | ||||
ISSUANCE OF DEBT SECURITIES | ||||
Maximum amount can be issued | $ 2,300,000 | |||
New Negotiable Obligations Issuance Global Program | Global program for issuance of a class G non-subordinated negotiable obligation | ||||
ISSUANCE OF DEBT SECURITIES | ||||
Maximum amount can be issued | $ 50,000,000 |
ISSUANCE OF DEBT SECURITIES - N
ISSUANCE OF DEBT SECURITIES - Negotiable obligations - Cordial Compania Financiera S A (Details) | Dec. 31, 2020ARS ($) | Dec. 31, 2019ARS ($) | Jan. 23, 2019ARS ($) | Oct. 17, 2018ARS ($) | Mar. 06, 2018USD ($) | Sep. 22, 2016USD ($) |
Banco Supervielle Class A, 02/09/2017 | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Maximum amount can be issued | $ 3,895,215 | |||||
Amount of reduction in nominal value | $ 254,925 | $ 618,030 | ||||
Banco Supervielle S.A. | Global Program for Issuance of Negotiable Obligations | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Maximum amount can be issued | $ 2,300,000 | $ 800,000 | ||||
Borrowings | $ 4,226,748,000 | $ 8,286,163,000 | ||||
Banco Supervielle S.A. | Banco Supervielle Class A, 02/09/2017 | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Borrowings | $ 5,179,248,000 | |||||
Borrowings, adjustment to interest rate basis | 4.50% | |||||
Banco Supervielle S.A. | Banco Supervielle Class C, 12/22/2017 | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Borrowings | 444,327,000 | $ 908,288,000 | ||||
Borrowings, adjustment to interest rate basis | 4.25% | |||||
Banco Supervielle S.A. | Banco Supervielle Class E, 02/14/2018 | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Borrowings | 1,579,563,000 | $ 2,177,446,000 | ||||
Borrowings, adjustment to interest rate basis | 4.05% | |||||
Banco Supervielle S.A. | Banco Supervielle Class G | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Borrowings | $ 2,202,858,000 | |||||
Borrowings, adjustment to interest rate basis | 2.00% | |||||
Banco Supervielle S.A. | Micro Lending Class III, 10/04/2017 | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Borrowings | $ 21,181,000 | |||||
Borrowings, adjustment to interest rate basis | 7.00% |
ISSUANCE OF DEBT SECURITIES - S
ISSUANCE OF DEBT SECURITIES - Subordinated Negotiable Obligations (Details) $ in Thousands | 1 Months Ended | 12 Months Ended | ||||
Dec. 31, 2017 | Dec. 31, 2020ARS ($) | Dec. 31, 2019ARS ($) | Dec. 31, 2020USD ($) | Apr. 15, 2016ARS ($) | Mar. 25, 2013ARS ($) | |
ISSUANCE OF DEBT SECURITIES | ||||||
Term | 3 years | |||||
Subordinated Negotiable Obligations, Global Program for the Issuance of Negotiable Obligations | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Maximum amount can be issued | $ 2,000,000 | $ 750,000 | ||||
Borrowings | $ 1,140,469,000 | $ 2,886,028,000 | ||||
Subordinated Negotiable Obligations, Global Program for the Issuance of Negotiable Obligations, Class III, 08/20/2013 | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Notional amount | $ 22,500 | |||||
Term | 84 months | 84 months | ||||
Borrowings, interest rate | 7.00% | 7.00% | ||||
Borrowings | $ 1,780,980,000 | |||||
Subordinated Negotiable Obligations, Global Program for the Issuance of Negotiable Obligations, Class IV, 11/18/2014 | ||||||
ISSUANCE OF DEBT SECURITIES | ||||||
Notional amount | $ 13,441 | |||||
Term | 84 months | 84 months | ||||
Borrowings, interest rate | 7.00% | 7.00% | ||||
Borrowings | $ 1,140,469,000 | $ 1,105,048,000 |
RESTRICTIONS IMPOSED ON THE D_3
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS - Paragraphs (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | $ 35,679,488 | $ 32,401,125 | $ 31,905,086 | $ 35,535,952 | $ 42,496,713 |
Capital Stock | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 456,722 | 456,722 | 456,722 | 456,722 | 456,722 |
Capital Adjustment | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 3,079,801 | 2,968,586 | 3,079,801 | 3,079,801 | 3,079,801 |
Paid in Capital | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 28,746,952 | 33,164,446 | 33,163,783 | 33,164,697 | |
Legal Reserve | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 191,301 | 191,301 | 152,370 | ||
Other Reserves | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 14,050,149 | 11,216,663 | 6,662,091 | ||
Retained earnings | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 2,026,133 | (19,602,628) | (13,205,373) | (1,582,686) | |
Other Comprehensive Income | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 1,341,527 | 117,647 | $ 538,613 | $ 603,553 | $ 98,157 |
Issue premium | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | $ 28,858,170 | ||||
Argentine Central Bank | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 36,338,534 | ||||
Argentine Central Bank | Capital Stock | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 456,722 | ||||
Argentine Central Bank | Capital Adjustment | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 2,968,586 | ||||
Argentine Central Bank | Paid in Capital | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 28,858,170 | ||||
Argentine Central Bank | Retained earnings | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | 3,412,111 | ||||
Argentine Central Bank | Other Comprehensive Income | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Total shareholders' equity under the rules of the Argentine Central Bank | $ 642,945 | ||||
Banco Supervielle S.A. | |||||
RESTRICTIONS IMPOSED ON THE DISTRIBUTION OF DIVIDENDS | |||||
Percentage of Profit shown In income Statement | 20.00% |
LOANS AND OTHER FINANCING - Com
LOANS AND OTHER FINANCING - Composition of loan portfolio (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
LOANS AND OTHER FINANCING | ||
Total | $ 105,395,186 | $ 119,817,347 |
Loans and other financing [member] | ||
LOANS AND OTHER FINANCING | ||
Allowance for loan losses | (8,424,714) | (9,192,129) |
Promissory Notes [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 18,985,410 | 11,591,985 |
Unsecured corporate loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 15,560,935 | 15,120,031 |
Overdrafts | ||
LOANS AND OTHER FINANCING | ||
Total | 2,497,032 | 7,621,573 |
Mortgages [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 11,057,838 | 10,778,277 |
Automobile and other secured loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 1,892,193 | 1,660,828 |
Personal loans | ||
LOANS AND OTHER FINANCING | ||
Total | 21,123,118 | 22,184,436 |
Credit card loans | ||
LOANS AND OTHER FINANCING | ||
Total | 19,648,760 | 17,634,810 |
Foreign Trade Loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 13,044,920 | 24,710,532 |
Other financings [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 4,182,653 | 10,772,364 |
Other receivables from financial transactions [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 2,639,515 | 2,596,259 |
Receivables from financial leases [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 3,187,526 | 4,338,381 |
Sub Total [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 113,819,900 | 129,009,476 |
Stage 1 | ||
LOANS AND OTHER FINANCING | ||
Total | 94,618,951 | 111,705,797 |
Stage 1 | Loans and other financing [member] | ||
LOANS AND OTHER FINANCING | ||
Allowance for loan losses | (1,856,309) | (2,185,274) |
Stage 1 | Promissory Notes [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 18,228,303 | 10,904,372 |
Stage 1 | Unsecured corporate loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 12,407,922 | 13,579,312 |
Stage 1 | Overdrafts | ||
LOANS AND OTHER FINANCING | ||
Total | 2,034,612 | 5,908,410 |
Stage 1 | Mortgages [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 7,894,984 | 8,209,763 |
Stage 1 | Automobile and other secured loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 1,227,511 | 1,088,637 |
Stage 1 | Personal loans | ||
LOANS AND OTHER FINANCING | ||
Total | 19,046,521 | 19,124,764 |
Stage 1 | Credit card loans | ||
LOANS AND OTHER FINANCING | ||
Total | 17,420,096 | 16,133,436 |
Stage 1 | Foreign Trade Loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 9,558,036 | 22,053,128 |
Stage 1 | Other financings [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 3,293,864 | 10,541,125 |
Stage 1 | Other receivables from financial transactions [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 2,546,026 | 2,511,245 |
Stage 1 | Receivables from financial leases [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 2,817,385 | 3,836,879 |
Stage 1 | Sub Total [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 96,475,260 | 113,891,071 |
Stage 2 | ||
LOANS AND OTHER FINANCING | ||
Total | 7,859,709 | 5,199,694 |
Stage 2 | Loans and other financing [member] | ||
LOANS AND OTHER FINANCING | ||
Allowance for loan losses | (1,988,731) | (1,141,825) |
Stage 2 | Promissory Notes [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 610,850 | 300,364 |
Stage 2 | Unsecured corporate loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 793,555 | 494,932 |
Stage 2 | Overdrafts | ||
LOANS AND OTHER FINANCING | ||
Total | 159,552 | 119,964 |
Stage 2 | Mortgages [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 2,118,357 | 1,550,950 |
Stage 2 | Automobile and other secured loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 312,404 | 354,852 |
Stage 2 | Personal loans | ||
LOANS AND OTHER FINANCING | ||
Total | 1,452,586 | 1,518,200 |
Stage 2 | Credit card loans | ||
LOANS AND OTHER FINANCING | ||
Total | 1,839,516 | 762,996 |
Stage 2 | Foreign Trade Loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 1,585,023 | 837,964 |
Stage 2 | Other financings [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 725,488 | 127,893 |
Stage 2 | Other receivables from financial transactions [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 33,788 | 22,471 |
Stage 2 | Receivables from financial leases [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 217,321 | 250,933 |
Stage 2 | Sub Total [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 9,848,440 | 6,341,519 |
Stage 3 | ||
LOANS AND OTHER FINANCING | ||
Total | 2,916,526 | 2,911,856 |
Stage 3 | Loans and other financing [member] | ||
LOANS AND OTHER FINANCING | ||
Allowance for loan losses | (4,579,674) | (5,865,030) |
Stage 3 | Promissory Notes [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 146,257 | 387,249 |
Stage 3 | Unsecured corporate loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 2,359,458 | 1,045,787 |
Stage 3 | Overdrafts | ||
LOANS AND OTHER FINANCING | ||
Total | 302,868 | 1,593,199 |
Stage 3 | Mortgages [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 1,044,497 | 1,017,564 |
Stage 3 | Automobile and other secured loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 352,278 | 217,339 |
Stage 3 | Personal loans | ||
LOANS AND OTHER FINANCING | ||
Total | 624,011 | 1,541,472 |
Stage 3 | Credit card loans | ||
LOANS AND OTHER FINANCING | ||
Total | 389,148 | 738,378 |
Stage 3 | Foreign Trade Loans [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 1,901,861 | 1,819,440 |
Stage 3 | Other financings [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 163,301 | 103,346 |
Stage 3 | Other receivables from financial transactions [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 59,701 | 62,543 |
Stage 3 | Receivables from financial leases [member] | ||
LOANS AND OTHER FINANCING | ||
Total | 152,820 | 250,569 |
Stage 3 | Sub Total [member] | ||
LOANS AND OTHER FINANCING | ||
Total | $ 7,496,200 | $ 8,776,886 |
LOANS AND OTHER FINANCING - Cha
LOANS AND OTHER FINANCING - Changes in gross carrying amount and corresponding expected credit losses (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2018 | |
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | $ 119,817,347 | |
Balance at the end of the year | 105,395,186 | |
Gross carrying amount | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 129,011,261 | $ 172,034,361 |
Net changes of financial assets | (12,695,495) | (51,707,141) |
Write-offs | (6,377,843) | (6,846,644) |
Exchange Differences and Others | 3,881,977 | 15,528,900 |
Balance at the end of the year | 113,819,900 | 129,009,476 |
Stage 1 | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 111,705,797 | |
Balance at the end of the year | 94,618,951 | |
Stage 1 | Gross carrying amount | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 113,892,858 | 148,088,044 |
Transfers 1 to 2 | (3,214,532) | (1,328,535) |
1 to 3 | (1,543,847) | (6,848,389) |
2 to 1 | 817,989 | 5,995,283 |
3 to 1 | 46,735 | 218,823 |
Net changes of financial assets | (15,379,218) | (45,996,053) |
Write-offs | (1,123,756) | |
Exchange Differences and Others | 2,979,031 | 13,761,898 |
Balance at the end of the year | 96,475,260 | 113,891,071 |
Stage 2 | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 5,199,694 | |
Balance at the end of the year | 7,859,709 | |
Stage 2 | Gross carrying amount | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 6,341,521 | 15,181,940 |
Transfers 1 to 2 | 3,214,532 | 1,328,535 |
2 to 3 | (846,342) | (1,760,766) |
2 to 1 | (817,989) | (5,995,283) |
3 to 2 | 36,687 | 62,781 |
Net changes of financial assets | 2,736,983 | (2,869,752) |
Write-offs | (1,151,327) | |
Exchange Differences and Others | 334,375 | 394,064 |
Balance at the end of the year | 9,848,440 | 6,341,519 |
Stage 3 | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 2,911,856 | |
Balance at the end of the year | 2,916,526 | |
Stage 3 | Gross carrying amount | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 8,776,882 | 8,764,377 |
1 to 3 | 1,543,847 | 6,848,389 |
2 to 3 | 846,342 | 1,760,766 |
3 to 2 | (36,687) | (62,781) |
3 to 1 | (46,735) | (218,823) |
Net changes of financial assets | (53,260) | (2,841,336) |
Write-offs | (4,102,760) | (6,846,644) |
Exchange Differences and Others | 568,571 | 1,372,938 |
Balance at the end of the year | 7,496,200 | 8,776,886 |
Expected credit losses [member] | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 9,192,129 | 10,337,959 |
Transfers 1 to 2 | 966,104 | 340,100 |
1 to 3 | 2,444,723 | 4,566,260 |
2 to 3 | 519,817 | 722,222 |
2 to 1 | (90,806) | (384,105) |
3 to 2 | (28,789) | (29,974) |
3 to 1 | (43,735) | (132,683) |
Net changes of financial assets | 1,602,101 | 326,894 |
Write-offs | (6,377,843) | (6,846,644) |
Exchange Differences and Others | 241,013 | 292,100 |
Balance at the end of the year | 8,424,714 | 9,192,129 |
Expected credit losses [member] | Stage 1 | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 2,185,274 | 3,011,796 |
Transfers 1 to 2 | (116,717) | (83,582) |
1 to 3 | (36,310) | (126,062) |
2 to 1 | 33,836 | 74,463 |
3 to 1 | 1,413 | 21,122 |
Net changes of financial assets | 832,860 | (799,829) |
Write-offs | (1,123,756) | |
Exchange Differences and Others | 79,709 | 87,366 |
Balance at the end of the year | 1,856,309 | 2,185,274 |
Expected credit losses [member] | Stage 2 | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 1,141,825 | 2,400,090 |
Transfers 1 to 2 | 1,082,821 | 423,682 |
2 to 3 | (222,310) | (296,040) |
2 to 1 | (124,642) | (458,568) |
3 to 2 | 10,485 | 13,217 |
Net changes of financial assets | 1,226,241 | (974,665) |
Write-offs | (1,151,327) | |
Exchange Differences and Others | 25,638 | 34,109 |
Balance at the end of the year | 1,988,731 | 1,141,825 |
Expected credit losses [member] | Stage 3 | ||
LOANS AND OTHER FINANCING | ||
Balance at the beginning of the year | 5,865,030 | 4,926,073 |
1 to 3 | 2,481,033 | 4,692,322 |
2 to 3 | 742,127 | 1,018,262 |
3 to 2 | (39,274) | (43,191) |
3 to 1 | (45,148) | (153,805) |
Net changes of financial assets | (457,000) | 2,101,388 |
Write-offs | (4,102,760) | (6,846,644) |
Exchange Differences and Others | 135,666 | 170,625 |
Balance at the end of the year | $ 4,579,674 | $ 5,865,030 |
LOANS AND OTHER FINANCING - Fin
LOANS AND OTHER FINANCING - Financial Assets (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | $ 224,607,096 | $ 181,261,533 |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 2,224,514 | |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | Overdrafts | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 81,482 | |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | Financial Lease | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 102,255 | |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | Documents | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 631 | |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | Mortgage loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 480,309 | |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | Pledge loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 107,785 | |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | Credit card loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 1,319 | |
Guarantees Financials Assets Credit Impaired [Member] | Fair value [member] | Other | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 1,450,733 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 2,916,526 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Overdrafts | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 150,696 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Financial Lease | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 54,586 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Documents | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 7,640 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Mortgage loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 794,934 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Personal loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 41,287 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Pledge loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 116,843 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Credit card loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 15,483 | |
Guarantees Financials Assets Credit Impaired [Member] | Book value | Other | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 1,735,057 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 4,579,674 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Overdrafts | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 152,172 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Financial Lease | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 98,234 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Documents | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 138,617 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Mortgage loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 249,563 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Personal loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 582,724 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Pledge loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 235,434 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Credit card loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 373,666 | |
Allowances for loans losses | Guarantees Financials Assets Credit Impaired [Member] | Other | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 2,749,264 | |
Gross carrying amount | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 113,819,900 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 7,496,200 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Overdrafts | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 302,868 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Financial Lease | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 152,820 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Documents | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 146,257 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Mortgage loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 1,044,497 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Personal loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 624,011 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Pledge loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 352,278 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Credit card loans | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | 389,148 | |
Gross carrying amount | Guarantees Financials Assets Credit Impaired [Member] | Other | ||
Disclosure of detailed information about borrowings [line items] | ||
Financial assets | $ 4,484,321 |
LOANS AND OTHER FINANCING - Wit
LOANS AND OTHER FINANCING - Withdrawal of financial assets from its balance sheet (Details) - ARS ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2020 | |
LOANS AND OTHER FINANCING | |||
Contractual amounts pending of collection of such withdrawn assets | $ 7,198,080 | ||
Balance at the beginning of the year | $ 5,240,360 | $ 3,614,921 | |
Additions | 5,788,119 | 6,113,008 | |
Disposals | (1,229,014) | (1,666,458) | |
Cash colletion | (550,119) | (631,103) | |
Portfolio sales | (77,117) | (61,979) | |
Condonation | (601,778) | (973,376) | |
Exchange differences and other movements | (2,601,385) | (2,821,111) | |
Gross carrying amount | $ 7,198,080 | $ 5,240,360 |
RISK MANAGEMENT POLICIES - Maxi
RISK MANAGEMENT POLICIES - Maximum credit risk exposure (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | $ 152,445,388 | $ 217,893,940 |
Overdrafts | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 18,985,410 | 39,200,755 |
Promissory Notes [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 15,560,935 | 11,591,984 |
Unsecured corporate loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 13,104,133 | 15,120,031 |
Mortgage loans | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 11,057,838 | 10,778,276 |
Automobile and other secured loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,892,193 | 1,660,828 |
Receivables from financial leases [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 3,187,526 | 4,338,377 |
Foreign Trade Loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 13,044,920 | 24,710,532 |
Other financings [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 4,668,470 | 10,977,025 |
Other receivables from financial transactions [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 2,640,142 | 2,596,257 |
Personal loans | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 21,123,118 | 52,651,429 |
Personal loans | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 17,470,602 | |
Personal loans | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 19,485,236 | |
Personal loans | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 3,652,516 | 33,166,193 |
Credit card loans | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 47,180,703 | 44,268,446 |
Credit card loans | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 41,178,505 | |
Credit card loans | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 38,052,998 | |
Credit card loans | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 6,002,198 | 6,215,448 |
Stage 1 | 12-month ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 133,675,431 | 196,555,176 |
Stage 1 | 12-month ECL | Overdrafts | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 18,228,303 | 37,008,385 |
Stage 1 | 12-month ECL | Promissory Notes [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 12,407,922 | 10,904,371 |
Stage 1 | 12-month ECL | Unsecured corporate loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 12,516,187 | 13,579,312 |
Stage 1 | 12-month ECL | Mortgage loans | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 7,894,984 | 8,209,762 |
Stage 1 | 12-month ECL | Automobile and other secured loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,227,511 | 1,088,637 |
Stage 1 | 12-month ECL | Receivables from financial leases [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 2,817,385 | 3,836,879 |
Stage 1 | 12-month ECL | Foreign Trade Loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 9,558,036 | 22,053,128 |
Stage 1 | 12-month ECL | Other financings [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 3,759,131 | 10,714,901 |
Stage 1 | 12-month ECL | Other receivables from financial transactions [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 2,546,404 | 2,511,243 |
Stage 1 | Personal loans | 12-month ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 19,046,521 | 44,364,398 |
Stage 1 | Personal loans | 12-month ECL | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 15,535,247 | |
Stage 1 | Personal loans | 12-month ECL | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 17,793,608 | |
Stage 1 | Personal loans | 12-month ECL | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 3,511,274 | 26,570,790 |
Stage 1 | Credit card loans | 12-month ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 43,673,047 | 42,284,160 |
Stage 1 | Credit card loans | 12-month ECL | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 38,301,754 | |
Stage 1 | Credit card loans | 12-month ECL | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 36,630,601 | |
Stage 1 | Credit card loans | 12-month ECL | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 5,371,293 | 5,653,559 |
Stage 2 | Lifetime ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 11,273,757 | 12,529,079 |
Stage 2 | Lifetime ECL | Overdrafts | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 610,850 | 601,442 |
Stage 2 | Lifetime ECL | Promissory Notes [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 793,555 | 300,364 |
Stage 2 | Lifetime ECL | Unsecured corporate loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 285,078 | 494,932 |
Stage 2 | Lifetime ECL | Mortgage loans | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 2,118,357 | 1,550,950 |
Stage 2 | Lifetime ECL | Automobile and other secured loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 312,404 | 354,852 |
Stage 2 | Lifetime ECL | Receivables from financial leases [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 217,321 | 250,933 |
Stage 2 | Lifetime ECL | Foreign Trade Loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,585,023 | 837,964 |
Stage 2 | Lifetime ECL | Other financings [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 746,038 | 158,201 |
Stage 2 | Lifetime ECL | Other receivables from financial transactions [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 34,037 | 22,471 |
Stage 2 | Personal loans | Lifetime ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,452,586 | 6,715,548 |
Stage 2 | Personal loans | Lifetime ECL | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,425,146 | |
Stage 2 | Personal loans | Lifetime ECL | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,099,343 | |
Stage 2 | Personal loans | Lifetime ECL | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 27,440 | 5,616,205 |
Stage 2 | Credit card loans | Lifetime ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 3,118,508 | 1,241,422 |
Stage 2 | Credit card loans | Lifetime ECL | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 2,633,285 | |
Stage 2 | Credit card loans | Lifetime ECL | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,051,965 | |
Stage 2 | Credit card loans | Lifetime ECL | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 485,223 | 189,457 |
Stage 3 | Lifetime ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 7,496,200 | 8,809,685 |
Stage 3 | Lifetime ECL | Overdrafts | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 146,257 | 1,590,928 |
Stage 3 | Lifetime ECL | Promissory Notes [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 2,359,458 | 387,249 |
Stage 3 | Lifetime ECL | Unsecured corporate loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 302,868 | 1,045,787 |
Stage 3 | Lifetime ECL | Mortgage loans | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,044,497 | 1,017,564 |
Stage 3 | Lifetime ECL | Automobile and other secured loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 352,278 | 217,339 |
Stage 3 | Lifetime ECL | Receivables from financial leases [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 152,820 | 250,565 |
Stage 3 | Lifetime ECL | Foreign Trade Loans [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 1,901,861 | 1,819,440 |
Stage 3 | Lifetime ECL | Other financings [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 163,301 | 103,923 |
Stage 3 | Lifetime ECL | Other receivables from financial transactions [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 59,701 | 62,543 |
Stage 3 | Personal loans | Lifetime ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 624,011 | 1,571,483 |
Stage 3 | Personal loans | Lifetime ECL | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 510,209 | |
Stage 3 | Personal loans | Lifetime ECL | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 592,285 | |
Stage 3 | Personal loans | Lifetime ECL | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 113,802 | 979,198 |
Stage 3 | Credit card loans | Lifetime ECL | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 389,148 | 742,864 |
Stage 3 | Credit card loans | Lifetime ECL | Retail [member] | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 243,466 | |
Stage 3 | Credit card loans | Lifetime ECL | Personal and Businesses Banking | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | 370,432 | |
Stage 3 | Credit card loans | Lifetime ECL | Consumer Finance | ||
Maximum Credit Risk Exposure | ||
Maximum credit risk exposure | $ 145,682 | $ 372,432 |
RISK MANAGEMENT POLICIES - Expo
RISK MANAGEMENT POLICIES - Exposure to the Group's exchange risk by currency type (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Exchange rate risk | ||
Assets | $ 224,607,096 | $ 181,261,533 |
Liabilities | 199,393,992 | 157,728,501 |
Exchange rate risk [member] | ||
Exchange rate risk | ||
Assets | 44,167,140 | 57,068,537 |
Liabilities | 36,501,011 | 51,685,669 |
Derivatives | 529 | |
Net position | 7,666,658 | 5,382,868 |
Exchange rate risk [member] | US Dollar [member] | ||
Exchange rate risk | ||
Assets | 42,899,393 | 56,061,739 |
Liabilities | 35,709,785 | 50,902,660 |
Derivatives | 529 | |
Net position | 7,190,137 | 5,159,079 |
Exchange rate risk [member] | Euro [member] | ||
Exchange rate risk | ||
Assets | 974,565 | 807,436 |
Liabilities | 785,018 | 783,009 |
Net position | 189,547 | 24,427 |
Exchange rate risk [member] | Others [member] | ||
Exchange rate risk | ||
Assets | 293,182 | 199,362 |
Liabilities | 6,208 | |
Net position | $ 286,974 | $ 199,362 |
RISK MANAGEMENT POLICIES - Sens
RISK MANAGEMENT POLICIES - Sensitivity analysis performed reasonably possible changes in foreign exchange rates (Details) - ARS ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Foreign currency sensitivity analysis | ||
Exchange rate variation | 40.20% | 31.90% |
Exchange rate variation | (40.20%) | (31.90%) |
Increase in profit loss | $ 2,879,151 | $ 340,335 |
Decrease in profit loss | (2,879,151) | (340,335) |
Increase in equity | 2,879,151 | 340,335 |
Decrease in equity | $ (2,879,151) | $ (340,335) |
US Dollar [member] | ||
Foreign currency sensitivity analysis | ||
Exchange rate variation | 40.20% | 31.90% |
Exchange rate variation | (40.20%) | (31.90%) |
Increase in profit loss | $ 2,687,853 | $ 270,549 |
Decrease in profit loss | (2,687,853) | (270,549) |
Increase in equity | 2,687,853 | 270,549 |
Decrease in equity | $ (2,687,853) | $ (270,549) |
Euro [member] | ||
Foreign currency sensitivity analysis | ||
Exchange rate variation | 40.20% | 31.90% |
Exchange rate variation | (40.20%) | (31.90%) |
Increase in profit loss | $ 75,960 | $ 7,793 |
Decrease in profit loss | (75,960) | (7,793) |
Increase in equity | 75,960 | 7,793 |
Decrease in equity | $ (75,960) | $ (7,793) |
Others [member] | ||
Foreign currency sensitivity analysis | ||
Exchange rate variation | 40.20% | 31.90% |
Exchange rate variation | (40.20%) | (31.90%) |
Increase in profit loss | $ 115,338 | $ 61,993 |
Decrease in profit loss | (115,338) | (61,993) |
Increase in equity | 115,338 | 61,993 |
Decrease in equity | $ (115,338) | $ (61,993) |
RISK MANAGEMENT POLICIES - Ex_2
RISK MANAGEMENT POLICIES - Exposure to interest rate risk (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Interest rate risk | ||
Total Financial Assets | $ 224,607,096 | $ 181,261,533 |
Total Financial Liabilities | 199,393,992 | 157,728,501 |
Banco Supervielle S A and Cordial Compania Financiera S A [Member] | Interest rate risk [member] | ||
Interest rate risk | ||
Total Financial Assets | 229,705,123 | 179,126,133 |
Total Financial Liabilities | 210,052,616 | 164,033,914 |
Net Amount | $ 19,652,507 | $ 15,092,219 |
Average rate Assets | 31.37% | 46.52% |
Average rate Liabilities | 23.60% | 33.70% |
Banco Supervielle S A and Cordial Compania Financiera S A [Member] | Up to 30 [member] | Interest rate risk [member] | ||
Interest rate risk | ||
Total Financial Assets | $ 94,212,108 | $ 57,417,639 |
Total Financial Liabilities | 110,298,588 | 68,842,995 |
Net Amount | $ (16,086,480) | $ (11,425,356) |
Average rate Assets | 33.76% | 50.15% |
Average rate Liabilities | 31.29% | 40.67% |
Banco Supervielle S A and Cordial Compania Financiera S A [Member] | From 30 to 90 [member] | Interest rate risk [member] | ||
Interest rate risk | ||
Total Financial Assets | $ 23,283,810 | $ 20,427,549 |
Total Financial Liabilities | 23,704,722 | 18,271,575 |
Net Amount | $ (420,912) | $ 2,155,974 |
Average rate Assets | 37.13% | 62.53% |
Average rate Liabilities | 16.88% | 36.72% |
Banco Supervielle S A and Cordial Compania Financiera S A [Member] | From 90 to 180 [member] | Interest rate risk [member] | ||
Interest rate risk | ||
Total Financial Assets | $ 21,884,220 | $ 15,594,538 |
Total Financial Liabilities | 5,066,130 | 6,965,625 |
Net Amount | $ 16,818,090 | $ 8,628,913 |
Average rate Assets | 37.10% | 62.88% |
Average rate Liabilities | 15.85% | 28.94% |
Banco Supervielle S A and Cordial Compania Financiera S A [Member] | From 180 to 385 [member] | Interest rate risk [member] | ||
Interest rate risk | ||
Total Financial Assets | $ 13,991,605 | $ 16,684,376 |
Total Financial Liabilities | 1,500,505 | 9,086,825 |
Net Amount | $ 12,491,100 | $ 7,597,551 |
Average rate Assets | 44.08% | 61.73% |
Average rate Liabilities | 42.82% | 34.96% |
Banco Supervielle S A and Cordial Compania Financiera S A [Member] | More than 365 [member] | Interest rate risk [member] | ||
Interest rate risk | ||
Total Financial Assets | $ 76,333,380 | $ 69,002,031 |
Total Financial Liabilities | 69,482,671 | 60,866,894 |
Net Amount | $ 6,850,709 | $ 8,135,137 |
Average rate Assets | 22.70% | 31.39% |
Average rate Liabilities | 13.45% | 25.25% |
RISK MANAGEMENT POLICIES - Se_2
RISK MANAGEMENT POLICIES - Sensitivity to reasonably possible additional variation in interest rates for next year (Details) - ARS ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Argentina, Pesos [member] | ||
Interest rate risk | ||
Decrease in the interest rate | $ 433,698,000 | $ 486,558,000 |
US Dollar [member] | ||
Interest rate risk | ||
Decrease in the interest rate | 430,992,000 | 354,392,000 |
Interest rate risk [member] | ||
Interest rate risk | ||
Decrease in the interest rate | (433,698,000) | (486,558,000) |
Increase in the interest rate | $ 430,992,000 | $ 354,392,000 |
Interest rate risk [member] | Argentina, Pesos [member] | ||
Interest rate risk | ||
Decrease in the interest rate | 4.00% | 4.00% |
Increase in the interest rate | 4.00% | 4.00% |
Interest rate risk [member] | US Dollar [member] | ||
Interest rate risk | ||
Decrease in the interest rate | 2.00% | 2.00% |
Increase in the interest rate | 2.00% | 2.00% |
RISK MANAGEMENT POLICIES - Asse
RISK MANAGEMENT POLICIES - Assets and Liabilities Cash Flows (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | $ 236,887,758 | $ 138,779,537 |
Liabilities cashflows | 202,142,233 | 121,462,159 |
Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 109,132,175 | 56,601,660 |
Liabilities cashflows | 140,324,167 | 70,394,863 |
From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 53,585,249 | 36,138,761 |
Liabilities cashflows | 34,622,545 | 13,465,070 |
From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 24,560,914 | 17,908,775 |
Liabilities cashflows | 8,771,739 | 28,125,765 |
From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 43,622,293 | 24,101,702 |
Liabilities cashflows | 13,857,305 | 9,476,461 |
More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 5,987,127 | 4,028,639 |
Liabilities cashflows | 4,566,477 | |
Deposits [member] | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 179,483,247 | 92,149,248 |
Deposits [member] | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 132,523,336 | 61,988,823 |
Deposits [member] | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 26,459,417 | 6,814,743 |
Deposits [member] | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 5,289,801 | 23,328,510 |
Deposits [member] | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 10,644,216 | 17,172 |
Deposits [member] | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 4,566,477 | |
Non-financial public sector | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 8,050,492 | 5,470,177 |
Non-financial public sector | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 6,331,241 | 4,984,287 |
Non-financial public sector | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 1,493,437 | 96,282 |
Non-financial public sector | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 55,608 | 389,608 |
Non-financial public sector | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 112,268 | |
Non-financial public sector | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 57,938 | |
Financial sector [member] | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 89,090 | 37,358 |
Financial sector [member] | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 89,090 | 37,358 |
Non-financial private sector and foreign residents | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 171,343,665 | 86,641,713 |
Non-financial private sector and foreign residents | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 126,103,005 | 56,967,178 |
Non-financial private sector and foreign residents | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 24,965,980 | 6,718,461 |
Non-financial private sector and foreign residents | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 5,234,193 | 22,938,902 |
Non-financial private sector and foreign residents | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 10,531,948 | 17,172 |
Non-financial private sector and foreign residents | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 4,508,539 | |
Liabilities at fair value through profit or loss | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 2,547,937 | 189,554 |
Liabilities at fair value through profit or loss | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 189,554 | |
Liabilities at fair value through profit or loss | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 2,547,937 | |
Repo transactions | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 225,144 | |
Repo transactions | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 225,144 | |
Other financial liabilities [member] | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 7,732,441 | 7,894,660 |
Other financial liabilities [member] | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 7,732,441 | 7,894,660 |
Financing received from the Argentine Central Bank and other financial entities [member] | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 5,830,752 | 9,027,044 |
Financing received from the Argentine Central Bank and other financial entities [member] | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 68,390 | 96,682 |
Financing received from the Argentine Central Bank and other financial entities [member] | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 1,989,029 | 3,197,676 |
Financing received from the Argentine Central Bank and other financial entities [member] | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 1,855,366 | 279,037 |
Financing received from the Argentine Central Bank and other financial entities [member] | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 1,917,967 | 5,453,649 |
Unsubordinated debt securities | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 5,337,694 | 9,616,369 |
Unsubordinated debt securities | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 3,586,903 | 3,376,997 |
Unsubordinated debt securities | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 455,669 | 3,095,134 |
Unsubordinated debt securities | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 1,295,122 | 3,144,238 |
Subordinated debt securities | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 1,210,162 | 2,360,140 |
Subordinated debt securities | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 39,259 | 75,654 |
Subordinated debt securities | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 1,170,903 | 1,423,084 |
Subordinated debt securities | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Liabilities cashflows | 861,402 | |
Cash and Due from Banks | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 36,717,126 | 26,670,491 |
Cash and Due from Banks | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 36,717,126 | 26,670,491 |
Cash | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 12,868,539 | 8,822,591 |
Cash | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 12,868,539 | 8,822,591 |
Argentine Central Bank | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 19,836,222 | 16,381,107 |
Argentine Central Bank | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 19,836,222 | 16,381,107 |
Other local financial institutions | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 3,848,820 | 1,435,202 |
Other local financial institutions | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 3,848,820 | 1,435,202 |
Others [member] | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 163,545 | 31,591 |
Others [member] | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 163,545 | 31,591 |
Debt securities at fair value through profit or loss | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 11,537,487 | 430,513 |
Debt securities at fair value through profit or loss | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 2,995,709 | 430,513 |
Debt securities at fair value through profit or loss | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 3,863,084 | |
Debt securities at fair value through profit or loss | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 654,825 | |
Debt securities at fair value through profit or loss | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 4,023,869 | |
Derivatives | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 143,944 | 257,587 |
Derivatives | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 143,944 | 257,587 |
Reverse Repo transactions | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 22,452,025 | |
Reverse Repo transactions | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 22,452,025 | |
Other financial assets | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 1,995,834 | 939,852 |
Other financial assets | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 1,995,834 | 939,852 |
Loans and other financing [member] | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 113,555,636 | 91,400,712 |
Loans and other financing [member] | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 16,751,292 | 21,306,539 |
Loans and other financing [member] | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 45,402,101 | 32,856,149 |
Loans and other financing [member] | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 16,099,375 | 14,084,678 |
Loans and other financing [member] | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 31,723,942 | 22,046,665 |
Loans and other financing [member] | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 3,578,926 | 1,106,681 |
To the non-financial public sector | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 23,289 | 28,872 |
To the non-financial public sector | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 23,289 | 28,872 |
To the financial sector | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 13,452 | 42,985 |
To the financial sector | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 4,206 | 5,355 |
To the financial sector | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 6,702 | 17,375 |
To the financial sector | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 2,544 | 9,763 |
To the financial sector | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 10,492 | |
To the Non-Financial Private Sector and Foreign residents | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 113,518,895 | 91,328,855 |
To the Non-Financial Private Sector and Foreign residents | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 16,723,797 | 21,272,312 |
To the Non-Financial Private Sector and Foreign residents | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 45,395,399 | 32,838,774 |
To the Non-Financial Private Sector and Foreign residents | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 16,096,831 | 14,074,915 |
To the Non-Financial Private Sector and Foreign residents | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 31,723,942 | 22,036,173 |
To the Non-Financial Private Sector and Foreign residents | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 3,578,926 | 1,106,681 |
Other debt securities | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 42,181,637 | 10,663,029 |
Other debt securities | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 28,385,679 | 7,171,139 |
Other debt securities | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 639,210 | 401,722 |
Other debt securities | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 7,089,420 | 3,090,168 |
Other debt securities | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 5,966,933 | |
Other debt securities | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 100,395 | |
Financial assets pledged as collateral | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 8,304,069 | 8,417,353 |
Financial assets pledged as collateral | Less than 1 month | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 1,686,400 | 765,391 |
Financial assets pledged as collateral | From 1 to 6 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 3,680,854 | 2,880,890 |
Financial assets pledged as collateral | From 6 to 12 months | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 717,294 | 733,929 |
Financial assets pledged as collateral | From 1 to 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | 1,907,549 | 2,055,037 |
Financial assets pledged as collateral | More than 5 years | ||
Maturity Analysis for Assets and Liabilities | ||
Assets cashflows | $ 311,972 | $ 1,982,106 |
RISK MANAGEMENT POLICIES - Para
RISK MANAGEMENT POLICIES - Paragraphs (Details) | 12 Months Ended |
Dec. 31, 2020factor | |
Credit risk [member] | |
Disclosure of Risk Management [line items] | |
Economic capital calculation holding period | 1 year |
Factoring exposure holding period | 6 months |
Interest rate risk [member] | |
Disclosure of Risk Management [line items] | |
Provision utilization holding period | 90 days |
Percentage of interest rate confidence level | 99.00% |
Liquidity risk [member] | |
Disclosure of Risk Management [line items] | |
Number of key factors | 2 |
Liquidity stress level period | 30 days |
Individuals [member] | Credit risk [member] | |
Disclosure of Risk Management [line items] | |
Percentage of credit risk confidence level | 99.90% |
Company [member] | Credit risk [member] | |
Disclosure of Risk Management [line items] | |
Percentage of credit risk confidence level | 99.00% |
INTERNATIONAL FINANCING PROGR_2
INTERNATIONAL FINANCING PROGRAMS (Details) $ in Thousands | 1 Months Ended | ||
Sep. 30, 2019USD ($) | Jun. 30, 2018ARS ($) | Dec. 31, 2017USD ($) | |
Disclosure of detailed information about financial instruments [line items] | |||
Term | 3 years | ||
Non-Guaranteed Senior Syndicated Loan [Member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Notional amount | $ 80,000,000 | ||
Term | 3 years | ||
Borrowings, interest rate basis | 3.40 | ||
Tranche A [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Tranche loan amount | $ 40,000,000 | ||
Tranche A [member] | Three year term loan [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Tranche loan amount | $ 35,000,000 | ||
Tranche A [member] | Five year term loan [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Term | 5 years | ||
Tranche loan amount | $ 5,000,000 | ||
Tranche B [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Tranche loan amount | $ 93,500 | ||
Tranche B [member] | Year term loan [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Tranche loan amount | 40,000 | ||
Tranche B [member] | Two and half year term loan [member] | |||
Disclosure of detailed information about financial instruments [line items] | |||
Tranche loan amount | $ 53,500 |
BUSINESS COMBINATIONS - (Detail
BUSINESS COMBINATIONS - (Details) $ in Thousands, $ in Millions | Oct. 16, 2020ARS ($) | Dec. 31, 2020ARS ($) | Oct. 16, 2020USD ($) | Dec. 31, 2019ARS ($) |
Disclosure of detailed information about business combination [line items] | ||||
Amount paid net of expenses | $ 137 | |||
Goodwill | $ 3,639,937 | $ 3,632,645 | ||
Futuros del Sur S.A. | ||||
Disclosure of detailed information about business combination [line items] | ||||
Percentage of stock acquired | 100.00% | 100.00% | ||
Cash and Due from Banks | $ 6,474 | |||
Other assets | 1,240 | |||
Miscellaneous obligations | (28) | |||
Net identifiable assets acquired | 7,686 | |||
Amount paid net of expenses | 14,978 | |||
Net cash flow used - investment activities | 14,978 | |||
Goodwill | $ 7,292 | |||
Profit (loss) of combined entity as if combination occurred at beginning of period | $ 3,411,124 |
ASSETS AND LIABILITIES IN FOR_3
ASSETS AND LIABILITIES IN FOREIGN CURRENCY (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | $ 7,666,129 | $ 5,382,867 |
Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 44,167,140 | 57,068,537 |
Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 36,501,011 | 51,685,670 |
US Dollar [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 7,189,608 | |
US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 42,899,393 | |
US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 35,709,785 | |
Euro [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 189,547 | |
Euro [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 974,565 | |
Euro [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 785,018 | |
Real | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 15,448 | |
Real | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 15,461 | |
Real | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 13 | |
Others [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 271,526 | |
Others [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 277,721 | |
Others [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 6,195 | |
Deposits [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 25,199,406 | 31,770,757 |
Deposits [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 24,737,162 | |
Deposits [member] | Euro [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 462,244 | |
Non-financial public sector [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 903,482 | 2,956,100 |
Non-financial public sector [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 903,332 | |
Non-financial public sector [member] | Euro [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 150 | |
Financial sector [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 2,057 | 12,337 |
Financial sector [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 2,057 | |
Non-financial private sector and foreign residents [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 24,293,867 | 28,802,321 |
Non-financial private sector and foreign residents [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 23,831,773 | |
Non-financial private sector and foreign residents [member] | Euro [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 462,094 | |
Liabilities at fair value with changes in results [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 0 | 0 |
Other financial liabilities [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 2,378,133 | 5,570,567 |
Other financial liabilities [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 2,049,159 | |
Other financial liabilities [member] | Euro [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 322,767 | |
Other financial liabilities [member] | Real | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 13 | |
Other financial liabilities [member] | Others [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 6,194 | |
Financing received from the Argentine Central Bank and other financial entities [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 5,200,132 | 10,993,994 |
Financing received from the Argentine Central Bank and other financial entities [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 5,200,132 | |
Other financial entities [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 2,202,858 | |
Other financial entities [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 2,202,858 | |
Subordinated Negotiable Obligations | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,140,468 | 2,886,028 |
Subordinated Negotiable Obligations | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,140,468 | |
Other non-financial liabilities [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 380,014 | 464,323 |
Other non-financial liabilities [member] | US Dollar [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 380,006 | |
Other non-financial liabilities [member] | Euro [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 7 | |
Other non-financial liabilities [member] | Others [member] | Liabilities [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1 | |
Cash and Due from Banks | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 20,398,250 | 18,919,331 |
Cash and Due from Banks | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 19,133,411 | |
Cash and Due from Banks | Euro [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 972,675 | |
Cash and Due from Banks | Real | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 15,461 | |
Cash and Due from Banks | Others [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 276,703 | |
Government and corporate securities at fair value with changes in results [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,846,252 | 959,676 |
Government and corporate securities at fair value with changes in results [member] | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,846,252 | |
Derivatives [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 529 | |
Derivatives [member] | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 529 | |
Other financial assets [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,133,994 | 1,567,666 |
Other financial assets [member] | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,133,884 | |
Other financial assets [member] | Euro [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 110 | |
Loans and other financing [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 15,222,168 | 29,246,976 |
Loans and other financing [member] | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 15,219,370 | |
Loans and other financing [member] | Euro [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,780 | |
Loans and other financing [member] | Others [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 1,018 | |
Other Debt Securities [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 4,800,665 | 88 |
Other Debt Securities [member] | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 4,800,665 | |
Financial assets in guarantee | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 524,543 | 6,130,740 |
Financial assets in guarantee | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 524,543 | |
Other non-financial assets [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | 240,739 | $ 244,060 |
Other non-financial assets [member] | US Dollar [member] | Assets [member] | ||
Disclosure Of Effect Of Changes In Foreign Exchange Rates Explanatory [line items] | ||
Assets and (liabilities) in foreign currency | $ 240,739 |
CURRENT_NON-CURRENT DISTINCTI_3
CURRENT/NON-CURRENT DISTINCTION (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
ASSETS | |||
Cash and due from banks | $ 36,674,869 | $ 35,945,335 | $ 70,551,283 |
Cash | 12,792,522 | 11,913,814 | |
Argentine Central Bank | 19,623,684 | 21,683,569 | |
Other local financial institutions | 4,106,336 | 2,307,232 | |
Others | 152,327 | 40,720 | |
Debt Securities at fair value through profit or loss | 9,871,903 | 773,961 | 31,649,050 |
Derivatives | 143,944 | 350,680 | |
Reverse Repo Transactions | 22,354,735 | ||
Other financial assets | 4,285,221 | 2,854,686 | |
Loans and other financing | 105,395,186 | 119,817,347 | |
To the non-financial public sector | 23,530 | 39,307 | |
To the financial sector | 12,062 | 87,841 | |
To the Non-Financial Private Sector and Foreign residents | 105,359,594 | 119,690,199 | |
Other debt securities | 40,859,975 | 14,238,340 | |
Financial assets pledged as collateral | 4,904,935 | 7,261,336 | |
Current income tax assets | 139,487 | ||
Inventories | 70,964 | 60,521 | |
Investments in equity instruments | 116,328 | 19,848 | |
Property, plant and equipment | 7,103,638 | 5,448,454 | |
Investment Property | 5,997,945 | 5,520,143 | |
Intangible assets | 6,782,538 | 5,919,425 | |
Deferred income tax assets | 3,315,885 | 2,275,175 | |
Other non-financial assets | 1,352,880 | 1,795,477 | |
Total Assets | 249,230,946 | 202,420,215 | |
LIABILITIES | |||
Deposits | 178,641,594 | 121,176,255 | |
Non-financial public sector | 7,911,255 | 7,447,131 | |
Financial sector | 57,416 | 38,253 | |
Non-financial private sector and foreign residents | 170,672,923 | 113,690,871 | |
Liabilities at fair value through profit or loss | 2,002,005 | 258,060 | |
Derivatives | 1,995 | ||
Repo transactions | 435,401 | ||
Other financial liabilities | 7,528,889 | 12,409,984 | |
Financing received from the Argentine Central Bank and other financial institutions | 5,852,292 | 12,276,610 | |
Unsubordinated debt securities | 4,226,748 | 8,286,163 | |
Current income tax liability | 1,288,267 | ||
Subordinated negotiable obligations | 1,140,469 | 2,886,028 | |
Provisions | 681,092 | 921,696 | $ 182,024 |
Deferred income tax liability | 42,005 | 689,268 | |
Other non-financial liabilities | 12,146,102 | 11,175,664 | |
TOTAL LIABILITIES | 213,551,458 | 170,515,129 | |
Up to 1 year [member] | |||
ASSETS | |||
Cash and due from banks | 36,674,869 | 35,945,335 | |
Cash | 12,792,522 | 11,913,814 | |
Argentine Central Bank | 19,623,684 | 21,683,569 | |
Other local financial institutions | 4,106,336 | 2,307,232 | |
Others | 152,327 | 40,720 | |
Debt Securities at fair value through profit or loss | 9,871,903 | 773,961 | |
Derivatives | 143,944 | 350,680 | |
Reverse Repo Transactions | 22,354,735 | ||
Other financial assets | 4,285,221 | 2,854,686 | |
Loans and other financing | 75,152,213 | 84,171,764 | |
To the non-financial public sector | 12,632 | 9,557 | |
To the financial sector | 12,062 | 44,746 | |
To the Non-Financial Private Sector and Foreign residents | 75,127,519 | 84,117,461 | |
Other debt securities | 28,836,567 | 13,759,182 | |
Financial assets pledged as collateral | 4,904,935 | 7,261,336 | |
Current income tax assets | 139,487 | ||
Inventories | 70,964 | 60,521 | |
Investments in equity instruments | 19,954 | ||
Deferred income tax assets | 451,540 | 211,921 | |
Other non-financial assets | 717,343 | 1,027,614 | |
Total Assets | 183,484,188 | 146,556,487 | |
LIABILITIES | |||
Deposits | 178,641,218 | 121,174,622 | |
Non-financial public sector | 7,911,255 | 7,447,131 | |
Financial sector | 57,416 | 38,253 | |
Non-financial private sector and foreign residents | 170,672,547 | 113,689,238 | |
Liabilities at fair value through profit or loss | 2,002,005 | 258,060 | |
Derivatives | 1,995 | 0 | |
Repo transactions | 435,401 | ||
Other financial liabilities | 6,814,747 | 11,646,963 | |
Financing received from the Argentine Central Bank and other financial institutions | 5,522,424 | 11,827,975 | |
Unsubordinated debt securities | 3,155,866 | 5,830,502 | |
Current income tax liability | 1,288,267 | ||
Subordinated negotiable obligations | 1,140,469 | 1,790,228 | |
Provisions | 42,181 | 29,570 | |
Deferred income tax liability | 42,005 | 689,268 | |
Other non-financial liabilities | 10,325,372 | 8,886,616 | |
TOTAL LIABILITIES | 208,976,549 | 162,569,205 | |
Later than one year [member] | |||
ASSETS | |||
Loans and other financing | 30,242,973 | 35,645,583 | |
To the non-financial public sector | 10,898 | 29,750 | |
To the financial sector | 0 | 43,095 | |
To the Non-Financial Private Sector and Foreign residents | 30,232,075 | 35,572,738 | |
Other debt securities | 12,023,408 | 479,158 | |
Investments in equity instruments | 96,374 | 19,848 | |
Property, plant and equipment | 7,103,638 | 5,448,454 | |
Investment Property | 5,997,945 | 5,520,143 | |
Intangible assets | 6,782,538 | 5,919,425 | |
Deferred income tax assets | 2,864,345 | 2,063,254 | |
Other non-financial assets | 635,537 | 767,863 | |
Total Assets | 65,746,758 | 55,863,728 | |
LIABILITIES | |||
Deposits | 376 | 1,633 | |
Non-financial private sector and foreign residents | 376 | 1,633 | |
Other financial liabilities | 714,142 | 763,021 | |
Financing received from the Argentine Central Bank and other financial institutions | 329,868 | 448,635 | |
Unsubordinated debt securities | 1,070,882 | 2,455,661 | |
Subordinated negotiable obligations | 1,095,800 | ||
Provisions | 638,911 | 892,126 | |
Other non-financial liabilities | 1,820,730 | 2,289,048 | |
TOTAL LIABILITIES | $ 4,574,909 | $ 7,945,924 |
OFFSETTING OF FINANCIAL ASSET_3
OFFSETTING OF FINANCIAL ASSET AND LIABILITIES (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Disclosure Of Financial Assets And Liabilities [line items] | ||
Gross amount | $ 103,093 | $ 423,353 |
Amount offset | 40,851 | (72,673) |
Net in Financial Statements | 143,944 | 350,680 |
Amounts subject to a master netting arrangement not offset, Financial asset / (Financial liability) | (3,143,567) | (3,115,913) |
Collateral | 487,207 | 827,175 |
Net amount | (2,656,360) | (2,288,738) |
Credit Card [member] | ||
Disclosure Of Financial Assets And Liabilities [line items] | ||
Amounts subject to a master netting arrangement not offset, Financial asset / (Financial liability) | (3,143,567) | (3,115,913) |
Collateral | 487,207 | 827,175 |
Net amount | (2,656,360) | (2,288,738) |
Derivatives [member] | ||
Disclosure Of Financial Assets And Liabilities [line items] | ||
Gross amount | 103,093 | 423,353 |
Amount offset | 40,851 | (72,673) |
Net in Financial Statements | $ 143,944 | $ 350,680 |
MINIMUM CAPITAL REQUIREMENTS (D
MINIMUM CAPITAL REQUIREMENTS (Details) - ARS ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Calculation of excess capital: | |||
Allocated to assets at risk | $ 9,047,140 | $ 7,164,842 | $ 6,090,341 |
Allocated to Bank premises and equipment, intangible assets and equity investment assets | 1,350,035 | 826,133 | 370,233 |
Market risk | 551,765 | 251,739 | 301,724 |
Public sector and securities in investment account | 27,651 | 11,472 | 96,882 |
Operational risk | 3,233,793 | 2,349,952 | 1,486,516 |
Required minimum capital under Central Bank rules | 14,210,384 | 10,604,138 | 8,345,696 |
Basic net worth | 30,242,263 | 16,991,091 | 11,847,865 |
Complementary net worth | 1,090,865 | 1,033,734 | 1,163,939 |
Deductions | (7,028,227) | (2,999,716) | (867,798) |
Total capital under Central Bank rules | 24,304,901 | 15,025,109 | 12,144,006 |
Excess capital | $ 10,094,517 | $ 4,420,971 | $ 3,798,310 |
Selected capital and liquidity ratios: | |||
Regulatory capital/risk weighted assets | 19.29% | 11.60% | 11.90% |
Average shareholders' equity as a percentage of average total assets | 11.16% | 10.40% | 9.90% |
Total liabilities as a multiple of total shareholders' equity | 7.5 | 7.1 | 9.4 |
Cash as a percentage of total deposits. | 20.31% | 28.20% | 35.10% |
Tier 1 Capital / Risk weighted assets.. | 13.35% | 10.80% | 10.80% |
Multiple to calculate operational risk weighted assets and market risk weighted assets | 125 |
IMPACT OF COVID-19 ON GROUP`S_2
IMPACT OF COVID-19 ON GROUP`S OPERATIONS (Details) - ARS ($) | Aug. 01, 2020 | Dec. 31, 2020 | Oct. 31, 2020 | Apr. 20, 2020 |
Subsequent Events | ||||
Minimum nominal rate | 79.00% | |||
GDP Estimated fall interest rate | 100.00% | |||
Accrued inflation rate | 361.00% | |||
Exchange rate On Depreciation | 40.00% | |||
Minimum | ||||
Subsequent Events | ||||
Maximum deposit amount set with minimum interest rate | $ 79 | |||
Borrowings, interest rate | 0.00% | |||
Borrowings | $ 819,000,000 | |||
Maximum | ||||
Subsequent Events | ||||
Maximum deposit amount set with minimum interest rate | $ 87 | |||
Borrowings, interest rate | 24.00% | |||
Borrowings | $ 107,000,000,000 | |||
COVID-19 | ||||
Subsequent Events | ||||
Maximum credit line preferential rate to SMEs (as a percent) | 24.00% | |||
Minimum rate of non-adjustable time deposits (as percent to average LELIQ) | 70.00% |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) $ in Thousands | Dec. 31, 2020ARS ($) |
Disclosure of non-adjusting events after reporting period [line items] | |
Amount approved using price index corresponding to the month prior to the meeting | $ 341,000 |
Distribution of the results | 3,412,111 |
Legal Reserve | |
Disclosure of non-adjusting events after reporting period [line items] | |
Distribution of the results | 352,343 |
Reserve for future dividends | |
Disclosure of non-adjusting events after reporting period [line items] | |
Amount approved using price index corresponding to the month prior to the meeting | 385,200 |
Distribution of the results | 341,000 |
Other Reserves | |
Disclosure of non-adjusting events after reporting period [line items] | |
Distribution of the results | $ 2,718,768 |