Chilean Banks "May-26: Strong NII driving earnings expansion" Arthuzo

Research evidence excerpt

Chilean Banks "May-26: Strong NII driving earnings expansion" Arthuzo

Global Research

10 June 2026ab

Chilean Banks Equities

Latin AmericaMay-26: Strong NII driving earnings expansion

Banks

Olavo Arthuzo

Stronger NII amid higher inflation in May Analyst

The monthly data suggest a positive 2Q26 result for all three banks, with olavo.arthuzo@ubs.com

particularly strong earnings expansion for Santander Chile and Banco de Chile. +55-11-2767 6306

Based on the May figures, NII was the main positive highlight, sequentially Thiago Batista, CFA

increasing across all the banks, contrasting with the weaker dynamics observed in Analyst

early 1Q26 – note that the result was positively impacted by the inflation rise that thiago.batista@ubs.com

occurred in May (UF stood at +1.0% MoM and 2.7% YTD). On the other hand, cost of +55-11-3513 6518

risk posted a mixed dynamic, with Santander Chile showing contraction on the level Beatriz Shinye

of provisions, while BCI and Banco de Chile reported a notable expansion. Financial Associate Analyst

results were also a positive surprise for Santander Chile, while for BCI and Banco de beatriz.shinye@ubs.com

Chile, it decreased MoM. Loan growth continues to be relatively muted across the +55-11-2767 6569

system. Overall, the current trends point to sequential earnings expansion in 2Q26.

BCH: Preliminary data suggest earnings at Ch$405bn in 2Q26 (+51% QoQ)

Reported figures show net income of Ch$139bn in May (+6% MoM), which, if the Apr/

May run rate is maintained through June would imply earnings of Ch$405bn in 2Q26

(an expansion of 51% QoQ). The improvement is largely driven by a sequential

increase in NII (Ch$266bn in May, +25% MoM) and a positive dynamic on the OPEX

front (-14% MoM) - note that the 2Q26 run rate for effective tax rate is below our