The Caja de Ingenieros Group is launching a new corporate identity. After a trajectory of more than 55 years, the Barcelona credit cooperative has updated its image in parallel with the approval of a new strategic plan that sets the path the entity must follow until 2026. Among its objectives are to gain 40,000 members or clients, to exceed 250,000; to grow in personal banking services, to increase the capital or solvency ratio to 18%, and to achieve profitability greater than 9%.
Of the new image, there are three major novelties. From now on, Caja de Ingenieros will be called Caja Ingenieros ---without the 'de'--- and the expression Cooperative Banking becomes part of the brand, with the challenge of reinforcing its uniqueness within the financial sector. In addition, visually the logo gains color, as yellow is incorporated in contrast to the blue background and white letters. Other novelties are the launch of a new corporate slogan, We humanize your finances, and the creation of a circular icon that completes the new logo and is inspired by the Maltese Cross, in homage to the world of engineering.
"We want to continue promoting our cooperative banking model through a new identity that is consistent with what we currently are and with the future story we want to continue building together," explained the general director of Caja Ingenieros, Joan Cavallé. The executive pointed out that the change of image is also accompanied by the selection of five values that he considers constitute the DNA of the entity: excellence, ingenuity, integrity, clarity, and passion. "With these values, we want to continue positioning Caja Ingenieros as an engine of economic and social change," he added, after emphasizing the importance of practicing a type of banking that allows "humanizing finances" and maximizing the service provided to "take care of the financial health of members."
Boost to the cooperative banking model
Cavallé has set himself the mission of promoting "the strength of the cooperativism model" in the Spanish financial market, where this type of entities ---which are not listed on the stock exchange and do not have shareholders, but rather client-owners--- are totally minority, unlike what happens in other European countries, where cooperative banking reaches market shares of between 30% and 60%.
The new image is launched in parallel with the implementation of a new strategic plan that aims to incorporate 40,000 new clients ---it now has more than 215,000--- and that will continue to prioritize the satisfaction of its members, who constitute, according to Cavallé, its "main engine of acquisition" thanks to recommendations. "Our model does not involve making big offers; we don't want to grow for the sake of growing," he adds, after pointing out that another objective for the next three years is to "change the business mix," that is, the weight of the four market segments in which the entity operates.
Priority: grow in personal and business banking
After years of strong growth and entry of new clients ---partly thanks to the cooperative benefiting from the procés---, the retail banking division currently accounts for 45% of Caja Ingenieros' business volume. The new plan foresees reducing this percentage to 34% and ensuring that the personal banking division ---assets of more than 100,000 euros--- scales from 43% to 50%. "For personal banking to become our primary business segment means returning to our origins, it's what had always characterized us," recalls Cavallé. In this regard, the banker admits that the strategic plan contemplates the possibility of growing in personal banking with the acquisition of a brokerage firm or financial advisory company (EAFI).
Another strategic priority is to grow in business banking, with the challenge of doubling the weight of this segment, which now accounts for between 6% and 7% of the business and they want it to reach 11% or 12%. Finally, the banking division aimed at Public Administrations is expected to grow from 3% to 5%.
Caja de Ingenieros recorded a business volume of more than 10,526 million euros in 2022. Of this figure, 60% corresponds to clients in Barcelona, while another 20% are from the rest of Catalonia and the Balearic Islands; and another 20% from the rest of Spain, percentages that are not expected to vary significantly in the next three years. The strategic plan contemplates the opening of half a dozen more offices ---it now has 33--- and raising the ROE (the profitability indicator) above 9%, compared to 5% at the close of 2022, although this ratio will already reach 7.5% this year as a result of interest rate hikes and the consequent increase in margins.
The highest quality capital, the so-called CET 1 fully loaded ratio, is intended to be raised to 18% in 2026, compared to 15.77% in 2022. Another priority subject is the improvement of the efficiency indicator (the lower the better), which should be around 70%, compared to 82% in 2022. This ratio indicates that for every 100 euros received, 82 were used to cover expenses.
Mortgage amortizations skyrocket
Joan Cavallé explains that the rise in interest rates has caused an avalanche of early amortizations of mortgage loans, which has meant that in the last year 10% of the entity's mortgage portfolio has been canceled, more than double what happened until now (annual repayments amounted to between 3% and 4% of the portfolio). In parallel, the production of new mortgages has fallen by half.
Caja de Ingenieros closed 2022 with a net profit of 11.67 million euros, which represented a decrease of 22.8% as a consequence of the fall in fixed income and equity markets. The managed business volume grew by 6%, with 10,526 million, and credit investment rose by 3.7%, to 2,170 million. 66% of that portfolio are mortgages from private clients. The delinquency ratio, at 2.47%, was lower than in 2021.