Banco Bradesco Sa · BMFBOVESPA:BBDC3
Banco Bradesco Sa — Q2 2023 Earnings Presentation
23 slides from Banco Bradesco Sa's earnings presentation, Aug 4, 2023
Slide 1: anos
© bradesco.) anos Com o Bradesco, eu
Slide 2: Highlights
highlights Performance within expectations, with a 50 bps improvement in ROE Net Income R$ 4.5 bn (11.1% ROE) Early NPLs improved in all segments Loan Portfolio Income from Insurance in expansion R$ 868.7 bn Tier I Capital Ratio improved 34 bps Basel Tier I 12.9% Improvement in Market NII Clients Cr
Slide 3: Client, our inspiration
a client, our inspiration =) a 58.3 on NPS +20 +18 4Q20 vs. 2Q23 (variationinpp) | Retail | Individuals Bradesco Prime Account holders Our goal is to contribute to Overdraft clients’ achievements through top-notch service focused on 5 F A Retail Prime Retail their needs and objectives Individuals In
Slide 4: PortoDigital
3 PortoDigital 80% logy and innovat tments (2019 to and evolution of our paired to ACATE 4 aateusn 9B, rome MOVA.CSP Cloud enabling 100% Upskilling and Innovation and time- Reskilling of the IT staff to-market of our portfolio in 40 (<) time-to-market agile development %o reduction clients interacti
Slide 5: ...simply digital
...simply digital Expansion in the digital network in all segments exclusive of transactions are made through digital channels classic 73% Digital of our clients have digital behavior private DNA Growth in financial transactions prime via Mobile (1H23 x 1H22) Optimization of Higher bank the cost to
Slide 6: Focus on agro
focus on agro Bradesco’s strenght in the field... Biggest bank in the Credit for the rural producer private sector in a simple and safe way +115% growth in the last 4 years agro platforms strategically Digital platform that was created to unify distributed in the national territory products and serv
Slide 7: Fortifying our wealth universe
fortifying our wealth universe... Tivio Capital Independent asset manager formed between Bradesco and Banco BV R$ 22 bn under management under custody in Private Banking Tivio Capital Open investment Wide offer of wealth architecture for Private management products clients and services Management of
Slide 8: International digital account
international digital account Easier when traveling. Make withdrawals and purchases in more than 200 countries and territories. Bradesco Bank capitalization 100% digital journey on the App Quotes based on commercial dollar US$ mm Transfers between a Bradesco account Personalized debit card and “My A
Slide 9: Sustainability acknowledgments
sustainability acknowledgments R$ 250 bn Bradesco Asset funds are among the ten most profitable in various categories in the Guia for sustainable In june 2023 de Fundos do Valor in partnership with businesses until 2025 R$ 195 bn Fundação Getúlio Vargas (FGV). 78% Best payment initiator FIDInsiders:
Slide 10: Operational performance: net income
operational performance net income R$ 4.5 bn within expectations positive results in Insurance 2Q23 35.8% y/y 5.6% q/q gradual improvement of the net income (R$ million) market NII 233 4,518 credit provisions 4,280 (313) 216 (799) 1,172 remained high (271) operating expenses in line with expected 1Q
Slide 11: Loan portfolio
loan portfolio 2023 Guidance R$ 868.7 bn 1% to 5% 6.5% to 9.5% reviewed previous 2Q23 1.6% y/y 1.2 % q/q individuals real estate loans | individuals credit card | individuals 5.7% y/y 7.5% y/y 14.1% y/y 1.2% q/q 0.5% q/q 0.2% q/q 11
Slide 12: New credit vintages performance
new credit vintages performance 30-day delinquency new vintages vs. old vintages 4 months after concession Dec21 vs. Feb23 | Base 100 Delinquency Ratio 15 to 90 Delinquency Ratio +90 total credit card personal loans vehicles Occupation of new vintages in the credit portfolio 100% 80% 60% 240 bps y/y
Slide 13: Expanded credit provision expenses
expanded credit provision expenses Expanded credit provision (Expense) / Expanded Loan Portfolio (Annualized) % 6.7 R$ 10.3 bn 5.4 4.8 2Q23 94.2% y/y 8.4% q/q 4.3 4.5 * 3.3 2.5 actual 52% 1.9 2023 Guidance R$ 36.5 bn to R$ 39.5 bn 2Q20 2Q21 2Q22 3Q 4Q 1Q23 2Q * Not considering Large Corporate client
Slide 14: Credit provision
credit provision provisioning models (resolution No. 2,682 vs. IFRS 9) Total Provision Total Provision - in relation to the portfolio Expanded Credit Provision (BRGAAP) IFRS (Expected Losses) * stock expense % 15.5 14.9 R$0.6 bn 9.3 9.6 9.0 8.8 R$ billion 8.1 7.8 7.7 10.3 R$ million 9.5 9.7 8.0 7.3
Slide 15: NPL creation & coverage
NPL creation & coverage NPL creation Coverage Ratios - % 1.9% 1.9% 1.5% 1.7% 384 1.4% 1.9% 1.2% 1.8% 327 (2) 298 310 1.2% 1.1% 1.1% 1.2% 12.012.1 (1) 12.2 11.6 278 10.9 253 10.0 235 238 244 R$ billion 9.2 218 204 8.1 201 7.4 7.5 182 173 7.2 7.2 165 164 105 105 99 101 98 96 93 92 1Q22 2Q 3Q 4Q 1Q23 2
Slide 16: Delinquency
delinquency 15 to 90 days % 20 bps over 90 days % Improvement in all segments on total ratio 7.0 7.0 6.7 5.5 5.7 6.3 5.2 5.3 5.3 6.6 6.8 6.7 4.9 4.9 4.9 5.5 6.2 5.1 4.8 5.8 5.9 4.9 4.7 4.8 4.6 4.5 4.4 4.5 5.3 5.5 5.7* 3.8 3.9 5.1 3.6 4.5 4.5 4.3 3.9 4.1 4.2 * 3.4 4.3 3.6 3.1 2.6 2.6 2.6 3.5 2.4 1.6
Slide 17: Net interest income
net interest income 2023 Guidance R$ 16.6 bn actual (0.6%) 2% to 6% reviewed 7% to 11% previous 2Q23 1.2% y/y market NII client NII spread R$ 0.5 bn y/y 1.7% y/y 9.7% 17
Slide 18: Fee and commission income
fee and commission income R$ 8.8 bn actual (0.5%) 2023 guidance 2% to 6% 2Q23 0.1% q/q card income checking account asset management R$ 3.7 bn 1.0% q/q R$ 1.8 bn 2.9% q/q R$ 0.8 bn 0.3% q/q 18
Slide 19: Operating expenses
operating expenses Jan22 to Jun23 8.8% IPCA 8% / 10% Collective Agreement R$ 13.1 bn 2Q23 2.2% q/q 2Q23 personnel expenses administrative expenses 2023 Guidance R$ 6.2 bn R$ 5.6 bn actual 7% to 11% reviewed 2.1% q/q 2.6% q/q 11.3% 9% to 13% previous other revenues / (operating expenses) R$ 1.4 bn 1.
Slide 20: Insurance, pension plans & capitalization bonds
insurance, pension plans & capitalization bonds Income from Insurance 2023 Guidance 31% R$ million 4,841 3,707 3,669 actual 21% to 25% reviewed growth 21.7% 6% to 10% previous year to date 2Q22 2T22 1Q22 1T23 2Q23 2T23 2Q23 premiums issued, pension contribution net income ROAE and capitalization rev
Slide 21: Basel & interest on equity/dividends
basel & interest on equity/dividends Tier I Capital Ratio 74% 69% 34 bps 52% 44% R$ million 35% 15,863 over the quarter 10,172 9,240 5,548 5,773 12.6 % 1Q23 12.9% 2Q23 12M19 12M20 12M21 12M22 1H23 Dividends/Interest on Shareholders' Equity - Gross Gross Payout - Accumulated in the Year 21
Slide 22: Disclaimer
DISCLAIMER This presentation may contain information about future events. This information is not merely historical facts, but reflects the hopes and expectations of the company's management. The words “anticipates”, “desires”, “expects”, “predicts”, “plans”, “foretells”, “projects”, “aims” and simi
Slide 23: anos
© bradesco.) anos Com o Bradesco, eu