Final Results 2005

Banco Bilbao Vizcaya Argentaria SA
25 January 2006


                                        BBVA
                Press Release

                                                                 25 January 2006



                                2005 results

         Net attributable profit at BBVA rises 30.2% to €3.8 billion



Earnings per share rose to 29.5% and total dividends paid against 2005 results
will increase 21.1% to €0.531



The Group has set new records for quarterly and annual profit with growth in all
business areas



-     Improvement at all levels: net interest income grew 17%, core revenues
grew 16.9%, ordinary revenues 17.1% and operating profit grew 22%



-     Retail banking increased net attributable profit 13.1% to €1.6 billion



-     Wholesale and Investment Banking increased net attributable profit 46.6%
to €592m



-     In the Americas, net attributable profit climbed 52.3% to €1.8 billion



The Group increased lending 25.9%, total customer funds rose 22.4%, net equity
25% and total assets 17.2%



BBVA ends 2005 as the leading large European financial group in terms of
profitability, efficiency and risk management



-        Return on equity (ROE) increased to 37%, compared to 33.2% a year
earlier



-        The cost/income ratio improved from 48.6% to 46.7% (including
depreciation) and from 44.6% to 43.2% (without depreciation)



-        The Group's non-performing loan ratio fell from 1.13% to 0.94% and
coverage increased from 219.7% to 252.5%




In 2005 BBVA's net attributable profit was €3.8 billion, 30.2% higher than 2004.
The increase was mainly due to a sharp rise in business activity and revenues in
all business areas and to improvements in all recurrent revenues. These led to
an increase of 22% in operating profit. Earnings per share (EPS) grew 29.5% and
net attributable profit in the fourth quarter jumped 46% to €1.1 billion. This
was the highest quarterly profit achieved by the Group so far. In view of the
highly positive earnings, BBVA will propose a 20.1% increase in the total
dividend. Therefore the final payment of the dividend will rise 31%, bringing
pay-out to 47.3%.




BBVA increased its competitive strength in the European financial sector in 2005
thanks to enviable positioning, to the recurrency and sustainability of its
earnings and to an excellent combination of strong growth and risk-adjusted
profitability.



In 2005 the Group recorded significant improvements in the main business ratios
and other indicators. These figures already stood at exemplary levels in the
international context. It ended 2005 with record quarterly and annual profits.
The level of its profit, risk quality and efficiency, and the increases in EPS
and dividends, place the bank at the head of large European financial groups.



BBVA is the most profitable group in Europe with ROE (return on equity) of 37%,
compared to 33.2% at the end of 2004.



The Group improved its cost/income ratio substantially; at year-end it stood at
46.7% including depreciation. This was 1.9 percentage points better than at the
end of 2004. Without depreciation the figure was 43.2%, compared to 44.6% a year
earlier. This is also puts BBVA in the top ranks of the sector.



It made important advances in risk management. The non-performing loan ratio
fell to 0.94% (1.13% a year earlier) and coverage was 252.5%, compared to
219.7%.



Lastly the Group ended the year with adequate levels of capital. The BIS ratio
was 12% and core capital 5.6%, after acquiring Hipotecaria Nacional, Laredo
National Bank and Granahorrar (operations concluded during 2005).



The bank also opened an important number of new branches in Spain in 2005,
adding 193 to its network and raising the total to 3,578, compared to 3,385 at
the end of 2004. The number of branches and the workforce also increased in the
Americas due the acquisitions mentioned above.



The Group pursued its strategy of profitable growth, increasing lending 25.9%
and customer funds 22.4%. Total assets grew 17.2% to €392 billion and net equity
rose 25% during the year.




The most relevant financial aspects of the BBVA Group in 2005 are summarised
below:





-     Attributable net income in 2005 rose to €3.8 billion, an increase of
30.2% over the €2.9 billion obtained in 2004. The profit figures for the full
year and for the fourth quarter were both all-time records.



-     Earnings per share grew 29.5% to €1.12 and ROE increased to 37% (33.2% in
2004).



-     The considerable increase in profit in 2005 was mainly due to positive
performance from all sources of revenue. Operating profit rose to €6.82 billion,
an increase of 22.0%.



-     Apart from the high level of profit, its significant upward trend and the
excellent quality of earnings, the year-on-year comparisons for each quarter
show that growth in all margins and in profit is accelerating.



-     Ordinary revenues rose 17.1% on favourable performance of all components.
These included net interest income which grew 17.0% and income from fees and
insurance, which rose 16.4%. Operating costs including amortisation and
depreciation grew more slowly (at 12.0%) and, on a like-for-like basis, this
figure was 8.4%.



-     As a result, the cost/income ratio, including amortisation and
depreciation, stands at 46.7% after improving 1.9 points over 2004 (48.6%).
Without amortisation and depreciation the ratio would be 43.2%.



-     The strong increase in lending to customers was not incompatible with
further improvement in asset quality. Thus the NPL ratio improved to 0.94% at
31-Dec-05, compared to 1.13% a year earlier. Coverage increased to 252.5%
(219.7% at 31-Dec-04).



-     At year-end, core capital stood at 5.6%. Tier 1 capital was 7.5% and the
BIS ratio 12.0%. Excluding the acquisitions made during the year, core capital
stands at 6.2%.



-     On January 10th, the Group paid a third interim dividend of €0.115 per
share against 2005 results. Like the amounts paid in July and October this was
15% higher than dividends a year earlier. In view of the 2005 earnings and the
excellent outlook for the Group, it will be proposed an increase of 31% in the
final dividend. This will bring total dividends against 2005 earnings to €0.531,
an increase of 20.1%. The pay-out will therefore be 47.3%.






-     The high level of business activity in the Retail Banking Area for Spain
and Portugal led to a 20.1% increase in lending (supported by SME finance and
mortgages) and a 10.0% rise in customer funds. This helped ordinary revenues to
climb 8.3%. Operating profit and net attributable profit both recorded
year-on-year increases of 13.1%. The net profit for this area came to €1.61
billion.



-     In the Wholesale and Investment Banking Area the Group's capacity to
generate revenue was reflected by ordinary revenues (up 24.4%) and operating
profit (up 33.9%). Helped by lower provisioning requirements, net attributable
profit grew 46.6% to €592m.



-     The Americas Area continued to enjoy strong growth in business activity,
especially lending. This was reflected by revenues with increases of 32.6% in
net interest income and 35.4% in operating profit. It lifted net attributable
profit to €1.82 billion, an increase of 52.3% over 2004. On a like-for-like
comparison (ie, excluding Hipotecaria Nacional, Laredo Nacional Bancshares and
BBVA Bancomer USA and, in December, Granahorrar in Colombia), operating profit
rose 32.3% and net attributable profit 45.4%.



-     Bancomer's contribution is particularly significant. Operating profit
jumped 46.2%, supported by net interest income (up 39.7% thanks to higher volume
in the more profitable lines) and by net fee income (up 26.1%). Net profit shot
up 56.3% to €1.19 billion (46.1% excluding Hipotecaria Nacional).



Lastly, at the end of December the Group announced a new organisation structure
that will drive its global strategy of profitable growth and energise its
transformation through innovative business models.

BBVA Group Highlights (consolidated figures)

                                                                31-12-05             31-12-04    % increase
BALANCE SHEET (million euros)
Total assets                                                     392,389              334,678          17.2
Customer lending (gross)                                         222,413              176,673          25.9
On-balance sheet customer funds                                  259,200              207,884          24.7
Other customer funds                                             143,887              121,553          18.4
Total customer funds                                             403,087              329,437          22.4
Equity                                                            17,302               13,805          25.3
Shareholders' funds (including profit for the year)               13,036               10,961          18.9

INCOME STATEMENT (million euros)
Net interest income                                                7,208                6,160          17.0
Core revenues                                                     11,756               10,060          16.9
Ordinary revenues                                                 13,024               11,120          17.1
Operating profit                                                   6,823                5,591          22.0
Pre-tax profit                                                     5,592                4,137          35.2
Net attributable profit                                            3,806                2,923          30.2

DATA PER SHARE AND MARKET CAPITALIZATION

Share price                                                        15.08                13.05          15.6
Market capitalization (million euros)                             51,134               44,251          15,6
Net attributable profit                                             1.12                 0.87          29.5
Book value                                                          3.84                 3.23          18.9
PER (Price/earnings ratio; times)                                   13.4                 15.1
P/BV (Price/book value ratio; times)                                 3.9                  4.0

SIGNIFICANT RATIOS (%)
Operating profit / ATA                                              1.87                 1.73
ROE (Net attributable profit / Average equity)                      37.0                 33.2
ROA (Net profit / ATA)                                              1.12                 0.96
RORWA (Net profit / Risk weighted average assets)                   1.91                 1.62
Efficiency ratio                                                    43.2                 44.6
Efficiency ratio including depreciation and                         46.7                 48.6
amortization
NPL ratio                                                           0.94                 1.13
NPL coverage ratio                                                 252.5                219.7

CAPITAL ADEQUACY RATIOS (BIS Regulation) (%)
Total                                                               12.0                 12.5
Core capital                                                         5.6                  5.8
TIER I                                                               7.5                  7.9

OTHER INFORMATION
Number of shares (million)                                         3,391                3,391
Number of shareholders                                           984,891            1,081,020
Number of employees                                               94,681               87,112
. Spain                                                           31,154               31,056
. America (1)                                                     61,604               54,074
. Rest of the world                                                1,923                1,982
Number of branches                                                 7,410                6,868
. Spain                                                            3,578                3,385
. America (1)                                                      3,658                3,303
. Rest of the world                                                  174                  180


(1) Includes those related to the BBVA Group' s banking, pension fund managers and insurance companies in
all the American countries in which it is present.





BBVA Consolidated income statement (Million euros)
                                                                                              Memorandum
                                                                                              item:

                                                                                               Increase % at
                                                                                               constant
                                                              2005      %              2004    exchange rates
                                                                     increase

Core net interest income                                   6,915      17.1            5,904              15.7
Dividends                                                    292      14.6              255              14.5

NET INTEREST INCOME                                        7,208      17.0            6,160              15.7
Net income by the equity method                              121      25.2               97              25.4
Net fee income                                             3,940      15.4            3,413              13.7
Income from insurance activities                             487      24.7              391              22.4

CORE REVENUES                                             11,756      16.9           10,060              15.4
Net trading income                                         1,267      19.6            1,060              19.0

ORDINARY REVENUES                                         13,024      17.1           11,120              15.7
Net revenues from non-financial activities                   126     (0.6)              126             (0.7)
Personnel costs                                          (3,602)      10.9          (3,247)               9.8
General expenses                                         (2,160)      16.7          (1,851)              15.2
Depreciation and amortization                              (449)       0.1            (448)             (1.7)
Other operating income and expenses (net)                  (115)       4.6            (110)               1.2

OPERATING PROFIT                                           6,823      22.0            5,591              20.7
Impairment losses on financial assets (net)                (854)    (10.8)            (958)            (12.4)
(S)  Loan-loss provisions                                  (813)       3.7            (784)               1.6
(S)  Other                                                  (41)    (76.3)            (174)            (76.3)
Provisions (net)                                           (454)    (46.6)            (851)            (46.8)
Other income / losses (net)                                   77    (78.3)              355            (78.2)
(S)  From disposal of equity holdings                         29    (90.7)              308            (90.8)
(S)  Other                                                    49       4.4               47               9.0

PRE-TAX PROFIT                                             5,592      35.2            4,137              33.8
Corporate income tax                                     (1,521)      47.9          (1,029)              45.5

NET PROFIT                                                 4,071      31.0            3,108              29.9
Minority interests                                         (264)      42.3            (186)              44.7

NET ATTRIBUTABLE PROFIT                                    3,806      30.2            2,923              29.0

EARNINGS PER SHARE CALCULATION
Average ordinary shares in circulation                  3,390,852      0.6        3,372,205
(thousand)
Basic earnings per share                                     1.12     29.5             0,87
Diluted earnings per share                                   1.12     29.5             0,87




BBVA: Consolidated balance sheet  (Million euros)


                                            31-12-05    % increase       31-12-04                              30-09-05

Cash and balances at Central Banks            12,341          21.9         10,123                                13,239
Financial assets held for trading             44,012        (11.1)         49,512                                44,544
Other financial assets at fair value           1,421          34.1          1,059                                 1,380
Financial assets available for sale           60,034          10.3         54,428                                52,882
Loans and receivables                        249,397          26.7        196,892                               235,269
. Due from banks                              27,470          64.5         16,703                                25,037
. Loans to customers                         216,850          26.0        172,083                               202,858
. Other                                        5,076        (37.4)          8,106                                 7,374
Held to maturity investments                   3,959          77.2          2,234                                 3,930
Investments in associates                      1,473           5.3          1,399                                 1,446
Property, plant and equipment                  4,383          11.3          3,940                                 4,256
Intangible assets                              2,070         152.1            821                                 1,730
Other assets                                  13,299         (6.8)         14,269                                16,190

TOTAL ASSETS                                 392,389          17.2        334,678                               374,867

Financial liabilities held for trading        16,271        (19.7)         20,263                                19,595
Other financial liabilities at fair value        740        (11.3)            834                                   768
Financial liabilities at amortised cost      329,505          19.5        275,767                               308,348
. Deposits by Central Banks and banks         66,315           3.1         64,349                                61,363
. Due to customers                           182,635          21.7        150,075                               166,128
. Marketable debt securities                  62,842          38.2         45,482                                62,434
. Subordinated debt                           13,723          11.3         12,327                                13,720
. Other                                        3,990          12.9          3,533                                 4,703
Liabilities under insurance contracts         10,501          29.4          8,114                                10,215
Other liabilities                             18,071          13.7         15,894                                19,034

TOTAL LIABILITIES                            375,087          16.9        320,873                               357,960

Minority interests                               977          32.5            738                                   916
Valuation adjustments                          3,289          56.1          2,107                                 3,546
Shareholders' funds                           13,036          18.9         10,961                                12,446

EQUITY                                        17,302          25.3         13,805                                16,908

TOTAL LIABILITIES AND EQUITY                 392,389          17.2        334,678                               374,867

MEMORANDUM ITEM:
Contingent liabilities                        29,862          38.5         21,558                                26,978




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