Banco Santander (brasil) S.a. · BMFBOVESPA:SANB3
Banco Santander (brasil) — Q4 2021 Earnings Presentation
22 slides from Banco Santander (brasil)'s earnings presentation, February 2022
Slide 1: Results 4th Quarter 2021 Earnings Release
RESULTS 4 T H Q U A RT E R 2 0 2 1 (BR GAAP) EARNINGS RELEASE 4Q21
Slide 2: Disclaimer
This presentation may contain certain forward-looking statements and In addition to factors identified elsewhere in this presentation, the information pertaining to Banco Santander (Brasil) S,A, (“Santander Brasil”) following factors, among others, may cause actual results to differ DISCLAI and its
Slide 3: Agenda
AGENDA STRATEGIC 4Q21 RESULTS TAKEAWAYS UPDATE HIGHLIGHTS 3
Slide 4: Business evolution and transformation coupled with commitment to the country's development
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE BUSINESS EVOLUTION AND TRANSFORMATION COUPLED WITH A COMMITMENT TO THE COUNTRY’S DEVELOPMENT INITIAL PUBLIC OFFERING (IPO) EFFICIENCY COMMERCIAL TRANSFORMATION AND ACQUISITIONS AND PROCESSES AND PROFITABILITY 13% 14% 18% 16% REVENUES
Slide 5: A profitability achievement story, generating shareholder value
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE A PROFITABILITY ACHIEVEMENT STORY, GENERATING SHAREHOLDER VALUE INITIAL PUBLIC OFFERING (IPO) EFFICIENCY COMMERCIAL TRANSFORMATION AND ACQUISITIONS AND PROCESSES AND PROFITABILITY 21.3% 21.1% 21.2% 19.9% ROAE 16.5% 16.5% 16.9% 14.3%
Slide 6: Earnings distribution to shareholders
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE EARNINGS DISTRIBUTION TO SHAREHOLDERS DIVIDEND YIELD OVER THE YEARS 8.8 7.8 5.4 3.9 2.1 0.3 0.2 2017 2018 2019 2020 2021 Santander Bank 1 Bank 2 Bank 3 Bank 4 Bank 5 Bank 6 Source: Bloomberg. In 2020, earnings distribution was impact
Slide 7: Sustainable customer base expansion
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE S U S TA I N A B L E C U S TO M E R B A S E E X PA N S I O N A L I G N E D W I T H T H E A M B I T I O N O F B E I N G THE BEST CONSUMER COMPANY IN THE COUNTRY 53.4 MM +5.1MM +ACQUISITION THOUSANDS/ MONTH TOTAL CUSTOMERS (DEC/21 x DE
Slide 8: Increased loyalty and profitability supported by customer experience
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE INCREASED LOYALTY AND PROFITABILITY A R E S U P P O RT E D BY C U S TO M E R E X P E R I E N C E E N H A N C E M E N T S A N D A C O M P R E H E N S I V E O F F E R I N G +SATISFACTION +PROFITABILITY 1 st TOP NPS AMONG PEERS NPS 59 A
Slide 9: Digital availability and banking inclusion
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE RECORD CUSTOMER ACQUISITION IN +ACQUISITION NOV/21 810k 17% THOUSANDS/ MONTH 554 OF NEWLY-ACQUIRED W E A R E +DIGITAL +185% CUSTOMERS ARE UNBANKED A N D AVAILABLE 195 R$ 26 / M O N T H WHEREVER AND ( - 1 8 % Yo Y ) WHENEVER THE Dec/2
Slide 10: Business expansion guided by the country's development
OUR OUR OUR OUR STRATEGY BUSINESS EXPANSION IS GUIDED BY THE SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE COUNTRY’S DEVELOPMENT R$ 1.9Bi (+49% YoY) NORTH PROSPERA NORTHEAST PORTFOLIO •+0.4 P.P. (5.7% GDP) ¹ •+0.7 P.P. (14.2% GDP)¹ •+78% SFN CREDIT •+49% SFN CREDIT (+94% INDIVIDUALS)² (+69% INDIVIDUALS)
Slide 11: Stores with a brand-new, modern service concept
STORES WITH A BRAND-NEW, MODERN SERVICE CONCEPT OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE THAT BRINGS THE BANK TO YOU OPPORTUNITY THROUGH PEOPLE FLOW 15MM FLOW OF PEOPLE IN STORES/MONTH BANK TO GO INCREASED EFFICIENCY FLOW ORDERING OPTIMIZATION te +AGILITY OF STORES HAVE 60%
Slide 12: Loan origination, insurance and cards activity
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE LOAN¹ OPEN² INSURANCE SANTANDER ORIGINATION | RETAIL PREMIUMS WRITTEN (R$ MM) AUTO FINANCIAL VOLUME (R$ Bi) 20% ( + 4 . 7 P. P. Y o Y ) PRODUCT PENETRATION 215 RATE IN CONSUMER 146 +23% FINANCE +12% UNIQUE 130 175 AUTO COMPARA EXPERI
Slide 13: Promoting diversity, culture and governance
OUR OUR OUR OUR STRATEGY SHAREHOLDERS CUSTOMERS COMMUNITIES PEOPLE PROMOTING DIVERSITY, W E A R E A L L PROTAGONIS TS IN CRE ATING OUR BES T VERS ION DIVERSITY & INCLUSION WOMEN IN LEADERSHIP SHARE OF BLACK AND BROWN POSITIONS EMPLOYEES AMBITION AMBITION 27.3% 24.8% 25.5% 28.8% 31.4% 40% 22.6% 23.7%
Slide 14: Agenda
AGENDA STRATEGIC 4Q21 RESULTS TAKEAWAYS UPDATE HIGHLIGHTS 14
Slide 15: Results
RESULTS RESULTS (R$ million) 2021 2020 2021 x 2020 4Q21 3Q21 4Q21 x 3Q21 Net Interest Income 55,617 51,099 8.8% 14,151 14,617 -3.2% Fees 18,879 16,575 13.9% 4,980 4,831 3.1% Total Revenues 74,496 67,674 10.1% 19,131 19,448 -1.6% Allowance for Loan Losses -13,856 -12,557 10.3% -3,693 -3,676 0.5% Gene
Slide 16: Net interest income
NII RESULTS FUELED BY CUSTOMERS NII ON BOTH YEARLY AND QUARTERLY BASIS NET INTEREST INCOME (R$ million) MARGINS 10.3% 10.4% 10.6% 10.4% (p.a.) 9.8% (R$ million) 2021 2021 x 2020 4Q21 x 3Q21 55,617 Customers 47,268 9.8% 2.6% 51,099 8,348 MARKET 8,059 Product NII 46,653 12.7% 2.6% ACTIVITIES 14,617 14
Slide 17: Portfolio, liquidity/funding and capital
PORTFOLIO (R$ billion) RESULTS RETAIL IS THE HIGHLIGHT 12% 3% Dec/ 21 x Dec/ 21 x (R$ million) Dec/21 450.3 462.7 Dec/20 Sep/21 411.7 13.6% 13.3% Individuals 210,246 20.6% 5.0% 13.3% Consumer finance 65,313 8.4% 3.2% 27.9% 27.1% 67% 29.8% PORTFOLIO DEC/21 SMEs 61,612 12.9% 0.9% 14.0% 14.1% COLLATERA
Slide 18: Fees and costs
FEES COSTS RESULTS STRONG COMMERCIAL PACE UNDER PRESSURE, IN LINE WITH AND INCREASED LOYALTY BUSINESS GROWTH (R$ million) 2021 2021 x 2020 4Q21 x 3Q21 GENERAL EXPENSES (R$ million) Cards 4,981 30.1% 22.7% 12-MONTH INFLATION Current account 3,812 -3.9% -6.3% AT 10.06% 6% Insurance 3,555 14.1% 12.2% 4
Slide 19: Portfolio quality
PORTFOLIO QUALITY RESULTS INDICATORS AT CONTROLLED LEVELS, SUPPORTED BY ACTIVE RISK MANAGEMENT ALLOWANCE FOR LOAN LOSSES (R$ million) NPL RATIOS COST OF CREDIT 15 - 90 DAYS 2.9% 2.8% 2.8% 2.5% 2.7% 5.2% 5.2% 5.0% 5.0% 4.8% 4.3% 13,856 12,557 3,676 3,693 2,883 3.9% 3.6% 3.3% 3.4% 3.5% 17,278 2.8% 4,7
Slide 20: Agenda
AGENDA STRATEGIC 4Q21 RESULTS TAKE AWAYS UPDATE HIGHLIGHTS 20
Slide 21: Takeaways
TAKEAWAYS CONSISTENTLY DELIVERING BUSINESS DYNAMICS, PROFITABILITY, RECORD-BREAKING NEW WITH SUSTAINABLE REACHING CUSTOMER ACQUISITION, REVENUE GROWTH, SUPPORTING BANKING 21.2% INCLUSION IN BRAZIL ANCHORED BY STRONGER LOYALTY IN 2021 AMID A MACROECONOMIC GREATER INTEGRATION AND RESPONSIBLE GROWTH, S
Slide 22: Simple | Personal | Fair
Investor Relations (Brazil) Av. Juscelino Kubitschek, 2.235, 26th floor São Paulo | SP | Brazil | 04543-011 Phone: 55 11 3553 3300 E-mails: ri@santander.com.br acionistas@santander.com.br OUR PURPOSE IS TO HELP PEOPLE AND BUSINESSES PROSPER. AND WE BELIEVE EVERYTHING WE DO SHOULD BE: SIMPLE | PERSON
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