Banco Latinoamericano de Comercio Exterior S A : PR1Q24_Eng_Full Report_2

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1Q24

Quarterly Financial Report

Panama City, Republic of Panama April 18, 2024

Content

04	1Q24 Financial & Business Highlights
05	Financial Snapshot
06	Results by Business Segment
06	Commercial Business Segment
10	•	Commercial Segment Profitability
11	Treasury Business Segment
11	•	Liquidity
12	•	Investment Portfolio
12	•	Funding
13	•	Treasury Segment Profitability
14	Net Interest Income and Margins
15	Fees and Commissions
16	Portfolio Quality and Total Allowance for Credit Losses
17	Operating Expenses and Efficiency
18	Capital Ratios and Capital Management
19	Recent Events
19	Notes
19	Footnotes
21	Safe Harbor Statement
22	About Bladex
22	Conference Call Information
23	Exhibits

3	Panama City, Republic of Panama	April 18, 2024

Bladex announces 1Q24 Net Profit of $51.3 Million, or $1.40 per share, expanding its

annualized return on equity to 16.8% in 1Q24

Banco Latinoamericano de Comercio Exterior, S.A. (NYSE: BLX, "Bladex", or "the Bank"), a Panama-based multinational bank originally established by the central banks of 23 Latin-American and Caribbean countries to promote foreign trade and economic integration in the Region, announced today its results for the First Quarter ("1Q24") ended March 31, 2024.

The consolidated financial information in this document has been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB").

4	Panama City, Republic of Panama	April 18, 2024

1Q24 Financial & Business

Highlights

Increased Profitability, with Net Profit of $51.3 million in 1Q24 (+39% YoY), fostered by higher total revenues and lower provisions for credit losses.

Annualized Return on Equity ("ROE") reached 16.8% in 1Q24 (+303 bps YoY), on the back of strong recurrent operating results.

Net Interest Income ("NII") stood at $62.9 million in 1Q24 (+20% YoY), driven by a 6 bps YoY increase in Net Interest Margin ("NIM") to 2.47% in 1Q24, benefited by solid lending spreads, efficient cost of funds and a proactive management of the short-tenorinterest rate gap.

Fee income increased 97% YoY to $9.5 million for 1Q24, deriving from improved results in the letter of credit business, benefitting from increased transactional volumes and cross- selling efforts in the Bank's letters of credit business, along with higher YoY fees from the

transaction-based structuring and syndications business and other fees.

Efficiency Ratio improved to 25.2% in 1Q24, on the back of solid total revenue levels (+23% YoY), compensating the 15% YoY increase in operating expenses.

New all-time high Credit Portfolio at $9,789 million as of March 31, 2024 (+12 YoY).

• Commercial Portfolio EoP balances reached a new record level of $8,690 million at the end of 1Q24 (+12% YoY), denoting a continued growth trend from

new client onboarding and cross-selling strategy.

• Investment Portfolio at $1,099 million (+17% YoY), mostly consisting of investment-grade securities held at amortized cost, further enhancing country and credit-risk exposure diversification and providing contingent liquidity funding.

Healthy asset quality. Most of the credit portfolio (97%) is classified as low risk or Stage

1. At the end of 1Q24, impaired credits (Stage 3) remained unchanged at $10 million or 0.1% of total Credit Portfolio, with a reserve coverage of 6.9x.

Sustained growth of deposits base, reaching $4,724 million at the end of 1Q24 (+32% YoY), representing 52% of the Bank's total funding sources. The Bank also counts with an ample and constant access to interbank and debt capital markets.

Liquidity position at $1,764 million, or 17% of total assets as of March 31, 2024, mostly consisting of cash and due from banks, and placed with the Federal Reserve Bank of New York (87%).

The Bank´s Tier 1 Basel III Capital and Regulatory Capital Adequacy Ratios increased to 16.3% and 13.7%, respectively, enhanced by the Bank's improved earnings generation.

5	Panama City, Republic of Panama	April 18, 2024

Financial Snapshot

(US$ million, except percentages and per share amounts)	1Q24	4Q23	1Q23
Key Income Statement Highlights
Net Interest Income ("NII")		$62.9	$65.6	$52.6
Fees and commissions, net		$9.5	$10.1	$4.8
Gain on financial instruments, net			$0.2	$1.9	$1.7
Total revenues			$72.6	$77.8	$59.2
Provision for credit losses			($3.0)	($10.0)	($6.3)
Operating expenses			($18.3)	($21.4)	($15.9)
Profit for the period			$51.3	$46.4	$37.0
Profitability Ratios
Earnings per Share ("EPS") (1)		$1.40	$1.27	$1.02
Return on Average Equity ("ROE") (2)		16.8%	15.5%	13.7%
Return on Average Assets ("ROA") (3)			1.9%	1.8%	1.6%
Net Interest Margin ("NIM") (4)		2.47%	2.62%	2.41%
Net Interest Spread ("NIS") (5)		1.80%	1.92%	1.82%
Efficiency Ratio (6)		25.2%	27.6%	26.9%
Assets, Capital, Liquidity & Credit Quality
Credit Portfolio (7)		$9,789	$9,532	$8,716
Commercial Portfolio (8)		$8,690	$8,521	$7,778
Investment Portfolio		$1,099	$1,011	$938
Total Assets		$10,688	$10,744	$9,249
Total Equity		$1,238	$1,204	$1,096
Market Capitalization(9)		$1,082	$904	$633
Tier 1 Capital to Risk-Weighted Assets (Basel III - IRB) (10)		16.3%	15.4%	15.3%
Capital Adequacy Ratio (Regulatory) (11)		13.7%	13.6%	13.5%
Total Assets / Total Equity (times)				8.6	8.9	8.4
Liquid Assets / Total Assets (12)		16.5%	18.6%	14.1%
Credit-impaired Loans to Loan Portfolio (13)		0.1%	0.1%	0.5%
Impaired Credits (14) to Credit Portfolio		0.1%	0.1%	0.4%
Total Allowance for Losses to Credit Portfolio (15)		0.7%	0.7%	0.8%
Total Allowance for Losses to Impaired credits (times) (15)		6.9	6.5	2.1

6	Panama City, Republic of Panama	April 18, 2024

Results by Business Segment

Commercial Business Segment

Bladex's activities are comprised of two business segments, Commercial and Treasury. Information related to each segment is set out below. Business segment reporting is based on the Bank's managerial accounting process, which assigns assets, liabilities, revenue, and expense items to each business segment on a systemic basis.

The Commercial Business Segment encompasses the Bank's core business of financial intermediation and fee generation activities developed to cater to corporations, financial institutions, and investors in Latin America. These activities include the origination of bilateral short-term and medium-term loans, structured and syndicated credits, loan commitments, and financial guarantee contracts such as issued and confirmed letters of credit, stand-by letters of credit, guarantees covering commercial risk, and other assets consisting of customers' liabilities under acceptances.

The majority of the Bank's core financial intermediation business, consisting of gross loans at amortized cost (or the "Loan Portfolio"), amounted to $7,350 million at the end of 1Q24, increasing 2% QoQ and 10% YoY. Additionally, contingencies and acceptances amounted to $1,340 million at the end of 1Q24, increasing 1% QoQ and 23% YoY, as new client onboarding and product cross-selling continued driving strong business volumes.

Loan Portfolio			Contingencies and Acceptances
(EoP Balances, US$ million)			(EoP Balances, US$ million)
	+10%	+2%
6,685	7,196	7,350	+23%	+1%
			1,325	1,340
			1,093

31-Mar-23	31-Dec-23	31-Mar-24		31-Mar-23	31-Dec-23	31-Mar-24

7	Panama City, Republic of Panama	April 18, 2024

Consequently, the Bank's Commercial Portfolio reached an all-time high of $8,690 million at the end of 1Q24, increasing 2% from $8,521 million in the prior quarter and increasing 12% from $7,778 million a year ago. In addition, the average Commercial Portfolio balance increased to $8,634 million in 1Q24 (+2% QoQ and +15% YoY).

Commercial Portfolio by Product

(EoP Balances, US$ million)

+12%

+2%

7,778	8,521	8,690
16%	15%
14%
38%	37%	34%
48%	47%	51%

31-Mar-2331-Dec-2331-Mar-24

Letters of Credit, Acceptances, loan commitments and financial guarantees contracts

Medium- and long-term loans at amortized cost

Short-term loans at amortized cost

Commercial Portfolio by Client Type

(EoP Balances, US$ million)

+12%

+2%

7,778	8,521	8,690
41%	46%	46%
17%	16%	18%
42%	38%	36%
31-Mar-23	31-Dec-23	31-Mar-24

Financial Institutions

Sovereigns/Quasi-sovereigns

Corporations

As of March 31, 2024, 73% of the Commercial Portfolio was scheduled to mature within a year, a 4 pp increase compared to both the previous quarter and a year ago. Trade finance transactions accounted for 66% of the Bank's short-term origination, unchanged from 66% in the previous quarter and up from 61% a year ago.

Weighted average lending rates stood at 8.54% in 1Q24, resulting in a 20 bps QoQ decrease as 4Q23 was positively impacted by some accrual accelerations. With respect to 1Q23, average lending rates increased by 108 bps YoY due to higher lending spreads and increased market-based interest rates.

8	Panama City, Republic of Panama	April 18, 2024

Commercial Portfolio by Country

38% Investment Grade

Mexico

11%

62% Non-Investment Grade

11%	12%		Brazil	12%

Peru	8%
Non-Latam	7%
Chile	5%
Panama	5%
T. & Tobago	2%

11%

8%

7%	8,690	10%
5%				8%
5%
2%			4%	6%
	2%	3%
3%	1% 2%

Colombia 11%

Guatemala 10%

Dominican Republic 8%

Ecuador	6%
Costa Rica	4%
Honduras	3%
Paraguay	2%
Argentina	2%
Jamaica	1%
Other Latam ≤ 1%	3%

Bladex's maintains well-diversifiedexposures across countries and industries. As of March 31, 2024, 38% of the Commercial Portfolio was geographically distributed in investment grade countries, down 3 pp compared to 41% the preceding quarter and down 6 pp compared to 44% a year ago. Brazil at 12%, continues to represent the largest country-riskexposure, followed by Mexico and Colombia, at 11% each, Guatemala at 10%, and Dominican Republic and Peru, at 8% each, of the total Commercial Portfolio. Exposure to top-rated countries outside of Latin America, which relates to

transactions carried out in the Region, represented 7% of the portfolio

at the end of 1Q24.

9	Panama City, Republic of Panama	April 18, 2024

Exposure to the Bank's traditional client base comprising financial institutions represented 36% of the total, while sovereign and state- owned corporations accounted for another 18%. Exposure to corporates accounted for the reminder 46% of the Commercial Portfolio, comprised of top tier clients well diversified across sectors, with most industries representing 5% or less of the total Commercial Portfolio, except for certain sectors such as Oil & Gas (Downstream) at 9%, Electric Power at 8%, Food and Beverage and Oil & Gas (Integrated), each at 7% of the Commercial Portfolio at the end of 1Q24.

Refer to Exhibit VII for additional information related to the Bank's

Commercial Portfolio distribution by country.

Commercial Portfolio by Industry

		2%				Financial Institutions	36%
	1%1%
				Oil and Gas (Downstream)	9%
2%
2%		1%
				Electric Power	8%
2%
2%
3%
					Food and Beverage	7%
3%				36%
				Oil and Gas (Integrated)	7%
3%
4%		8,690				Metal Manufacturing	5%
5%					Mining	4%
7%						Other Manufacturing Industries	3%
		9%			Retail Trade	3%
7%		8%			Telecommunications	3%
					Other Services	2%
						Grains and Oilseeds	2%
						Plastics and Packaging	2%
						Wholesalers	2%
						Petrochemical	1%
						Oil and Gas (Upstream)	1%
						Sugar	1%
						Coffee	1%
						Sovereign	1%
						Other Industries <1%	2%

10	Panama City, Republic of Panama	April 18, 2024

Commercial

Segment

Profitability

(US$ million)	1Q24	4Q23	1Q23	QoQ (%)	YoY (%)
Commercial Business Segment:
Net interest income	$56.4	$58.0	$44.8	-3%	26%
Other income	9.7	10.7	5.0	-9%	95%
Total revenues	66.1	68.7	49.8	-4%	33%
Provision for credit losses	(3.7)	(10.0)	(3.9)	63%	5%
Operating expenses	(14.7)	(17.1)	(11.8)	14%	-24%
Profit for the segment	$47.7	$41.6	$34.1	15%	40%

Profits from the Commercial Business Segment include: (i) net interest income from loans; (ii) fees and commissions from the issuance, confirmation and negotiation of letters of credit, guarantees and loan commitments, as well as through loan structuring and syndication activities; (iii) gain on sale of loans generated through loan intermediation activities, such as sales and distribution in the primary market; (iv) gain (loss) on sale of financial instruments measured at FVTPL; (v) reversal (provision) for credit losses, (vi) gain (loss) on non-financial assets; and (vii) direct and allocated operating expenses.

Commercial Segment Profit increased to $47.7 million in 1Q24 (+15% QoQ and +40% YoY). The Commercial Segment quarterly results increase was mostly driven by lower provision requirements and operating expenses, along with solid top line revenues of NII and fee income generation. The yearly increase was mostly driven by NII growth resulting from higher average lending volumes and margin expansion, along with strong fee income generation, offsetting higher operating expenses, mainly personnel costs and other expenses related to the Bank's strategy implementation.