Bankinter's net revenue is 134.4 million, up 31.4%, with strong growth in its customer business.

The Bankinter Group posted net profit of €134.4 million for the first half of the year, and a pre-tax profit of €192 million, which represents 31.4% and 38% more respectively than in the first half of last year. At the same time, the bank ended June with an ROE of 8.1%; in other words, an improvement of 26.7% over the same period in 2013.

These are the best results in recent times as a result of increased activity in strategic segments. Growth on all margins confirms the trend that was forecast in preceding quarters.

To back up these good results, the bank has also improved both the quality of its assets and its solvency level, which continue to be among the highest in the sector.

In regard to the quality of its assets, it should be noted that Bankinter has lowered its default rate to 4.9%, compared to 5.05% last quarter. This reverses the quarterly trend for the first time and keeps it well below the average for the sector, which was 13.4% in May. In parallel, net additions to non-performing assets have continued to drop. As a result, all this reduced risk has required a lower level of provisions.

Bankinter's portfolio of foreclosed assets has a gross value of 611.9 million Euros, 4.4% less than a year ago. This is a comparatively small amount compared to other banks, with 45% concentrated in housing and a 40.5% coverage, 8.7% higher than a year ago. Moreover, the sale of these assets continues at a good pace. In fact, for the first half of the year the gross value of asset sales was 15% higher than the gross value of entries.

As regards solvency, Bankinter has healthy capital ratios, which have remained steady, standing at 12.2% at the end of the half year, based on the new Basel III rules.

Similarly, the bank has continued to improve its financing structure, with a deposit/loan ratio that ended the half year at 80.9%, after being at 70% a year ago. The Bank has also reduced its liquidity gap by €2.4 billion relative to the close of 2013.

In addition to this, Bankinter has a ample liquidity cushion with which to face the maturity structure of wholesale debt issues over the next three years: €1.2 billion in the fourth quarter this year, a similar amount in 2015 and €1.4 billion in 2016. To meet these maturities, the Bank has liquid assets of €8.6 billion, and the capacity to issue mortgage-backed bonds for up to €4 billion.

Bankinter also continues to have a low level of dependency on the European Central Bank Funds borrowed from the ECB now amount to €2.7 billion, compared with €7.0 billion in the first half of 2013.

Growth of margins due to increased business activity.

The results presented by the Bankinter group at the end of H1 2014 are based on improvement in all its earnings figures.

The Bankinter earnings margin has confirmed its upward trend, reaching €353.6 million on 30 June 2014, 22.6% higher than the same date a year ago, most particularly due to the contribution from customer business. This growth has been more than able to counteract the lesser contribution from the institutional bonds portfolio, whose volume is now under "standard" levels.

As regards gross margin, on 30 June it stood at €721.9 million, 9.8% higher than a year go, in large part due to net commissions, which grew a satisfactory 23.9% over the period as a result of increased business activity in the strategic segments. The strong growth in commissions has compensated for the lower contribution to institutional financial operations, whose results fell 27.7% from June 2013.

In regard to earnings before provisions, the half year closed at €361.4 million, 12.1% up, after absorbing an increase in expenditure that resulted from greater investment in strategic businesses to support the growth opportunity.

In regard to earnings before provisions, the half year closed at €361.4 million, 12.1% up, after absorbing an increase in expenditure that resulted from greater investment in strategic businesses to support the growth opportunity.

Controlled resources are increasing notably and at the end of June had reached €55,247.6 million, a rise of 20.2% from one year ago. Among these, retail funding should be highlighted (sight accounts, deposits and promissory notes). Also, in particular, the significant increase in off-balance sheet managed funds, which were 45.8% higher, and within these, managed investment funds marketed by Bankinter Asset Management, which rose by 42%.

In regard to customer deposits, they totalled €41,551.4 million, 0.9% more than a year ago, which is a hopeful change in trend in an environment that is beginning to be more favourable. This growth is sustained above all by Companies business, where the credit portfolio is 3.5% higher than last quarter, reaching an investment volume of €18.2 billion.

Customer business strongly focused on strategic segments.

The results for the half year display the solidity of the banks' customer business. At a first level of analysis, acceleration can be seen in the pace of customer capture, which this half year increased 29% compared to the same period in 2013, and by 24% specifically taking into account the capture of new companies.

Capturing more customers and more business has made it possible for Bankinter to gain market share, in terms of both resources and investment. The growth is especially significant in new mortgages, reaching a market share of 6.15%, as compared to 2.8% in 2013, according to sources at the Bank of Spain, and in all areas of company lending.

New mortgages have contained their substantial growth quarter over quarter, since the bank launched a marketing campaign for this product in September 2013 that was a pioneering effort in Spain. In the second quarter of 2014, new mortgages were at €38.5 billion, which compares positively with €11.4 billion in the second quarter of 2013.

As regards the particularly strategic Private Banking business, Bankinter has become one of the main operators in the market, thanks to its specialised, high quality, distinctive value proposition. The customer assets in this segment are €20.7 billion, 34.7% more than on 30 June 2013. In addition, Bankinter continues to hold one of the leading positions in the ranking of SICAVs, closing the half year with total of 341 companies managed, 26% more than a year ago, and a market share of 10.9%.

This quarter has once more been noteworthy for the spectacular upsurge in variable income customer business, as shown by figures like 37% more orders executed this half year as compared to the same period in 2013, 51.4% more customers on the Stock Exchange, and, as a result, an increase of 44.2% in net commissions from this business.

In regard to Linea Directa, it has continued to grow in terms of policies and market share and has attained the best combined ratio in its history: 88.2%. At the end of the half year, the total number of policies was 2.17 million, 5.6% more than on 30 June 2013. Línea Directa's individual pre-tax profit for H1 this year amounted to €66.6 million, 4% more than in the same period of 2013, with an individual ROE of 19.1%.

Lastly, the Board of Directors of Bankinter has approved the payment of a first interim dividend for 2014 in a gross amount of €0.02732690 per share, (€0.02158825 net), to be paid on 2 August 2014.