BBVA Banco Frances SA (BBAR) shares are experiencing a significant pre-market plunge of 5.43% on Thursday following the release of disappointing second-quarter financial results. The Argentine bank's earnings report, released late Wednesday, revealed a substantial year-over-year decline in both earnings and net interest income, prompting investors to reassess their positions.

The South American lender reported second-quarter earnings of 271 Argentine pesos ($0.21) per American depository share, marking a sharp decrease from 544 pesos in the same period last year. While this figure surpassed the FactSet analyst consensus of 204.36 pesos, the significant year-over-year drop has clearly unsettled investors. Additionally, the bank's net interest income for the quarter ended June 30 fell to 591.81 billion pesos from 946.05 billion pesos a year earlier, though it did exceed the single analyst expectation of 542.92 billion pesos.

The pre-market plunge of 5.43% represents a further deterioration from the 3.7% decline observed earlier in pre-market trading, suggesting that investors are increasingly concerned about the bank's performance as they digest the full implications of the earnings report. This negative sentiment could potentially carry over into regular trading hours, as market participants continue to evaluate the long-term impact of BBVA Banco Frances SA's weaker financial results on its growth prospects and market position in the challenging Argentine banking sector.