| | |  Business News | April 2009 
Mexican Microlender Posts 15 Pct Rise in Net Profit
 Noel Randewich - Reuters
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Mexico City - Compartamos, a Mexican bank that makes small loans to family businesses, posted a 14.7 percent increase in first-quarter net profit on Tuesday as lending grew despite the economic slowdown.
Compartamos (COMPARTO.MX) reported net profit of 288 million pesos ($20 million) and said its loan portfolio increased 42.4 percent to 6.303 billion pesos from a year earlier.
Tiny compared with Mexico's leading retail banks, Compartamos normally lends to one- or two-person businesses. Clients typically borrow around $450, at interest rates of about 75 percent, to buy supplies or capital, such as a sewing machines or tables.
Shares of Compartamos have far outperformed those of other banks, surging about 88 percent since the global credit crisis slammed stock markets around the world in October.
The bank says rising unemployment as Mexico's economy slumps could be positive for its lending growth as more people resort to starting their own small businesses.
Compartamos said its nonperforming loans stood at 1.92 percent of its total portfolio in the first quarter, up from 1.69 percent a year earlier, but much lower than most of Mexico's big financial groups.
Banamex cut its rating on Compartamos' stock this week to "maintain" from "buy," saying its recent strong performance left little upside.
($1 = 14.21 pesos at end of March)
(Editing by Lisa Von Ahn) |
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