Business Context and Reporting Period
Company: Grupo Aval Acciones Y Valores S.A.
Filing Type: Form 6-K (Report of Foreign Private Issuer)
Reporting Period: Second Quarter 2026 (Ended June 30, 2026)
Filing Date: August 14, 2026
Grupo Aval is Colombia's leading financial conglomerate, operating through four commercial banks, the largest private pension fund manager (Porvenir), and the largest merchant bank (Corficolombiana). The reporting period reflects the completion of the disposal of Multi Financial Group Inc. (MFG) in March 2026, with prior period data presented on a pro forma basis to exclude MFG operations for comparability.
Key Financial Metrics
| Metric | 2Q26 | 1Q26 | 2Q25 (Pro Forma) |
|---|---|---|---|
| Net Income (Attributable to Parent) | Ps 577.5 billion | Ps 336.6 billion | Ps 494.9 billion |
| Earnings Per Share | Ps 24.3 | Ps 14.2 | Ps 20.8 |
| Return on Average Equity (ROAE) | 12.7% | 7.4% | 11.3% |
| Return on Average Assets (ROAA) | 1.1% | 0.9% | 1.1% |
| Net Interest Margin (NIM) | 5.51% | 3.3% | 4.2% |
| Cost of Risk (Net) | 1.9% | 1.8% | 1.8% |
| Efficiency Ratio | 49.3% | 53.9% | 53.3% |
| Total Assets | Ps 350.7 trillion | Ps 337.6 trillion | Ps 335.7 trillion |
| Gross Loans | Ps 197.7 trillion | Ps 193.7 trillion | Ps 183.7 trillion |
| Customer Deposits | Ps 221.5 trillion | Ps 216.8 trillion | Ps 198.7 trillion |
Material Changes vs. Prior Period
- Profitability Surge: Net income attributable to owners increased 71.6% quarter-over-quarter (QoQ) and 16.7% year-over-year (YoY). ROAE reached 12.7%, the highest in four years.
- Net Interest Margin Expansion: Consolidated NIM rose to 5.51% from 3.3% in 1Q26. This was driven by a significant recovery in NIM on investments (8.68% vs. 0.25% in 1Q26) following the Colombian presidential election and a sustained increase in the investment portfolio.
- Asset Growth: Gross loans grew 2.1% QoQ and 7.6% YoY. Mortgage loans showed the strongest annual growth at 15.7%. Total deposits grew 11.5% YoY.
- Cost Efficiency: The efficiency ratio improved to 49.3%, down 456 basis points from 1Q26, largely due to the absence of a one-time equity tax expense incurred in the prior quarter.
- Asset Quality: Loans past due more than 90 days remained stable at 3.13% QoQ but improved 44 basis points YoY. The cost of risk increased slightly to 1.9% (up 8 bps QoQ), driven by higher loss allowances in Stage 3 commercial loans and personal loans.
- Trading Income: Net trading income doubled to Ps 1,126.7 billion, up 108.6% QoQ, primarily due to gains on investment securities at fair value through profit or loss.
Outlook, Risks, and Unusual Items
- Discontinued Operations: The sale of Multi Financial Group Inc. (MFG) was completed in March 2026. Pro forma adjustments were made to prior periods to exclude MFG, resulting in a 99.8% decrease in non-current assets held for sale.
- Market Risk: Management reported no material qualitative or quantitative changes in market risk compared to 1Q26. However, a 15.5% appreciation of the Peso against the USD negatively impacted the growth metrics of USD-denominated loans when reported in Pesos.
- Corporate Governance: The Board approved amendments to the Corporate Governance Code and internal policies to adopt best-practice recommendations. Lined Johanna Ramírez was appointed Internal Audit Manager.
- Forward-Looking Statements: The filing includes standard disclaimers that actual results may differ due to economic conditions, interest rate changes, and currency fluctuations.
Investor Verification Checklist
- Pro Forma Adjustments: Verify the impact of the MFG disposal on year-over-year comparisons, as 2Q25 figures are restated to exclude MFG operations.
- Investment Portfolio Volatility: Assess the sustainability of the 8.68% NIM on investments, which was heavily influenced by post-election market dynamics in Colombian sovereign debt.
- Cost of Risk Trends: Monitor the slight increase in cost of risk (1.9%) and the specific drivers in Stage 3 commercial and personal loan portfolios.
- Non-Controlling Interest: Note that non-controlling interest represents 46.6% of total equity; verify the attribution of net income to the parent company versus minority shareholders.
- One-Time Tax Impact: Confirm that the QoQ improvement in the efficiency ratio is not solely due to the non-recurring equity tax expense in 1Q26.