Page 1

FOURTH QUARTER RESULTS 2020 / 4Q20 Banco Davivienda S.A. / PFDAVVNDA Fourth Quarter Results 2020 / 4Q20 DAVIVIENDA Bogotá , Colombia . Feb 25th , 2021. – Banco Davivienda S.A. ( BVC : PFDAVVNDA ) announces its 2020 Fourth Quarter consolidated results . Financial statements have been prepared in accordance with International Financial Reporting Standards ( IFRS ) in Colombian Pesos ( COP ) . HIGHLIGHTS 2020 results were marked by the spread of the COVID - 19 pandemic and its impact on global and domestic economic activity . Accumulated net profit closed at $ 408 billion , decreasing 72.5 % relative to the previous year , mainly due to higher provision expenses which reached $ 4.2 trillion . DaviPlata , our native digital bank , gained 5.5 million new customers over the course of 2020. It actively participated in the National Government ' subsidies distribution and established a new partnership with Metro de Medellín . We continue offering support mechanisms to our customers to weather the economic downturn . Accordingly , by the end of December , around 7 % of the portfolio in Colombia and 17 % in Central America had received some type of financial relief . The 12 - months Cost of Risk closed at 3.94 % , growing over the quarter and the year , resulting from higher provision expenses derived from the COVID - 19 crisis . In 2020 , as part of our sustainability strategy , we acquired USD $ 640 million in resources from multilaterals and international organizations to fund social housing loans , women entrepreneurship , and sustainable projects . The Total Capital Adequacy Ratio closed 4Q20 at 12.31 % , whereas the Tier I ratio at 8.26 % . From the sustainability resources mentioned above , USD $ 440 million qualify as new Tier II subordinated debt . The 12 - month Net Interest Margin ( NIM ) closed at 6.29 % , decreasing by 23 bps over the year mainly due to a lower interest rate environment and lower - income related to assets ' repricing . As of December 2020 , Davivienda operates across 6 countries , serving over 17.5 million customers , with more than 17 thousand employees , 675 branches , and 2,710 ATMs . Risk ratings : Fitch BBB- / S & P Global BBB- / Moody's Baa3 . 1 Banco Davivienda S.A.