Business Context and Reporting Period
Macro Bank Inc. (Banco Macro S.A.) filed a Form 6-K on March 11, 2022, notifying shareholders of a General and Special Shareholders' Meeting scheduled for April 29, 2022. The filing primarily addresses the evaluation of financial documentation and the application of retained earnings for the fiscal year ended December 31, 2021.
Key Financial Metrics
The filing provides specific figures regarding the fiscal year ended December 31, 2021, expressed in constant currency as of that date:
- Reported Earnings: AR$ 27,122,495,859.89
- Negative Adjustment to Retained Earnings: AR$ 8,920,324,858.06 (attributed to accrued monetary effects on monetary-like line items measured at reasonable value with changes in Other Comprehensive Income).
- Total Retained Earnings Available for Application: AR$ 18,202,171,001.83
The filing does not provide data on revenue, operating cash flow, debt levels, liquidity ratios, or profit margins beyond the specific earnings and retained earnings figures noted above.
Material Changes and Earnings Adjustments
A material adjustment was identified in the retained earnings calculation. A negative adjustment of approximately AR$ 8.92 billion was applied to the reported earnings due to the registration of accrued monetary effects regarding monetary-like line items. This adjustment reduced the distributable retained earnings from the initial reported earnings figure.
Guidance, Outlook, and Management Commentary
The filing outlines the proposed application of the AR$ 18.20 billion in retained earnings:
- Legal Reserve Fund: AR$ 3,640,434,200.37
- Personal Asset Tax: AR$ 373,864,100.25
- Dividends: AR$ 14,187,872,701.21 designated for cash and/or dividends in kind.
Dividend Contingency: The payment of the dividend portion is subject to prior authorization from the Central Bank of the Republic of Argentina (BCRA). Until authorization is obtained, the funds will be reserved in an "Optional Reserve Fund for Dividends Pending Authorization."
Meeting Logistics: The meeting is proposed to be held remotely via Webex pursuant to CNV General Resolution No. 830/2020. Shareholders must register attendance by April 25, 2022.
Investor Verification Checklist
- Verify the final approval of the dividend distribution plan by the Shareholders' Meeting on April 29, 2022.
- Confirm receipt of authorization from the Central Bank of the Republic of Argentina (BCRA) for the proposed dividend payment.
- Review the full audited financial statements for the fiscal year ended December 31, 2021, to understand the context of the AR$ 8.92 billion negative adjustment.
- Monitor the determination of the dividend currency, term, and payment date by the Board of Directors following the meeting.