Banco Santander (brasil) S.a. · BMFBOVESPA:SANB3

Banco Santander (brasil) — Q1 2021 Earnings Presentation

32 slides from Banco Santander (brasil)'s earnings presentation, April 2021

  1. Slide 1: Results 1st Quarter 2021

    RESULTS (BR GAAP) 1st QUARTER 2021

  2. Slide 2: Disclaimer

    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 following factors, among others, may cause actual results to differ Brasil”) and i

  3. Slide 3: Agenda

    AGENDA 1 STRATEGIC UPDATE 3 FINAL REMARKS 2 1Q21 RESULTS HIGHLIGHTS 3

  4. Slide 4: A track record of consistent growth

    A TRACK RECORD OF CONSISTENT GROWTH OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS ACCOMPANIED BY HIGH PROFITABILITY LEVEL SOLID RESULTS PROFITABLE MARKET ROE 19.9 21.3 21.5 SHARE1 GAINS | YoY (%) 20.9 16.9 PAYROLL MORTGAGE 2 • REVENUE LOANS LOANS 12.8 13.3 19.1 +7% YoY 19.4% +237bps 11.9

  5. Slide 5: Supported by an unwavering quest for efficiency

    SUPPORTED BY AN UNWAVERING QUEST FOR EFFICIENCY OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS WHICH ALLOWS US TO MOVE WITH GREATER SPEED IN EXECUTION BEST RATIO IN THE INDUSTRY (%) 49.8 48.3 OPTIMIZATION 44.1 45.2 42.8 42.3 THROUGHOUT THE CHAIN 40.6 41.6 PRIVATE 43.5 40.6 PEERS 38.9 UNIT

  6. Slide 6: And a culture that sets us apart from the competition

    AND A CULTURE OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS THAT SETS US APART FROM THE COMPETITION QUICK ADJUSTMENT AND FOSTERING PLAYING A LEADING SUPPORT TO OUR PEOPLE DIVERSITY ROLE IN KNOWLEDGE FAST AND TRANSPARENT COMUNICATION SANTANDER CLOSE LEADERSHIP ACADEMY “CAFÉ COM RIAL” 42k

  7. Slide 7: Always looking toward the development of our country

    ALWAYS LOOKING TOWARD OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS THE DEVELOPMENT OF OUR COUNTRY SUSTAINABLE BUSINESSES 4% SOCIAL INITIATIVES 3% 17% OTHERMICROFINANCE SANTANDER NET ZERO AMBITION ENERGY PROJECT ACHIEVE NET ZERO CARBON EMISSIONS FINANCE 2 THROUGHOUT THE GROUP BY 2050¹ 2%

  8. Slide 8: Digital customers

    DIGITAL CUSTOMERS OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS STRONG DISTRIBUTION CAPACITY IN OUR CHANNELS CAPTURING CUSTOMERS MAKING IT +8MM IN FINANCIAL PRODUCTS PROFITABLE AND SERVICES PURCHASED THROUGH DIGITAL CHANNELS IN 1Q21 ACCOUNT ACQUISITION CARD ACQUISITION +4X SALES RECORD M

  9. Slide 9: Ability to deliver profitable growth

    ABILITY TO DELIVER PROFITABLE GROWTH OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS REDESIGNED WITH SCALABILITY AND STRONGER LOYALTY ENGAGEMENT MARCH-2021 POTENTIAL RETAIL 20.4MM UP TO 2 PRODUCTS 14.7MM +48MM CUSTOMERS FROM 3 TO 5 PRODUCTS 6 OR MORE 7.1MM PRODUCTS 6.4MM NPS HIGH LEVELS RE

  10. Slide 10: Prepared for different cycles while maintaining our growth characteristics

    PREPARED FOR DIFFERENT WHILE MAINTAINING OUR CYCLES GROWTH CHARACTERISTICS 10

  11. Slide 11: Initiatives that boost our growth

    INITIATIVES THAT BOOST OUR GROWTH OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS DISRUPTIVE IN SOLUTION OFFERING 1Q21 LOANS IN THE FULLY-DIGITAL INSURANCE OPEN MARKET PENETRATION +3MM CUSTOMERS R$ 1Bi 0.6% PORTFOLIO MARKET SHARE 15% +R$ 42MM BUSINESS COMBINATION¹ IN SANTANDER IN PREMIUMS

  12. Slide 12: Getnet

    GETNET OUR SHAREHOLDERS OUR OUR OUR PEOPLE COMMUNITIES CUSTOMERS STRATEGY OF CONSOLIDATING A GLOBAL PAYMENTS PLATFORM 1Q20 1Q21 YoY TOTAL MARKET SHARE 769K 875K 14% >15% ACTIVE BASE +4X HIGHER 3% TPV R$ 59Bi R$ 87Bi 47% THAN THE 2013 1Q21 MARKET¹ RECEIVABLES E-COMMERCE TPV/TOTAL R$ 15Bi R$ 25Bi 64%

  13. Slide 13: Leadership in wholesale consolidates our position

    LEADERSHIP IN WHOLESALE CONSOLIDATES OUR POSITION AS ONE OF THE BEST BANKS FOR CORPORATE CUSTOMERS, OUR OUR OUR OUR SHAREHOLDERS PEOPLE COMMUNITIES CUSTOMERS WITH STRONG EBT GROWTH OF 60% IN THE YEAR UNIQUENESS OF A GLOBAL BANK GO-TO BANK FOR INFRASTRUCTURE TRADE, EXCHANGE AND MULTINATIONAL LEADERSH

  14. Slide 14: Agenda

    AGENDA 1 STRATEGIC UPDATE 3 FINAL REMARKS 2 1Q21 RESULTS HIGHLIGHTS 14

  15. Slide 15: Results

    RESULTS (R$ million) 1Q21 1Q20 1Q21 x 1Q20 4Q20 1Q21 x 4Q20 Net Interest Income 13,422 12,655 6.1% 12,396 8.3% Fees 4,852 4,482 8.2% 5,133 -5.5% Total Revenues 18,274 17,138 6.6% 17,529 4.3% Allowance for Loan Losses -3,161 -3,424 -7.7% -2,883 9.7% General Expenses -5,266 -5,293 -0.5% -5,552 -5.2% O

  16. Slide 16: NII

    NII CUSTOMER AND MARKET MARGINS GROW BOTH QUARTERLY AND ANNUALLY NET INTEREST INCOME (R$ million) 11.3% 9.8% 10.6% SPREADS 1Q21 x 1Q21 x (R$ million) 1Q21 6% 1Q20 4Q20 8% Customers 11,297 4.3% 6.1% 13,422 Product NII 11,154 9.0% 8.5% 12,655 12,396 Volume 426,174 17.2% 2.4% 2,125 MARKET 1,823 1,751 N

  17. Slide 17: Portfolio

    PORTFOLIO POSITIVE PERFORMANCE ACROSS ALL SEGMENTS CREDIT PORTFOLIO (R$ billion) Mar/ 21 x Mar/ 21 x (R$ million) Mar/21 Mar/20 Dec/20 Individuals 178,391 13.4% 2.3% 12% Consumer finance 61,137 3.4% 1.5% 3% SMEs¹ 55,323 28.4% 1.3% 424.8 Corporate¹ 129,932 9.2% 6.1% 378.5 411.7 Total 424,784 12.2% 3.

  18. Slide 18: Liquidity / Funding / Capital

    LIQUIDITY/ FUNDING CAPITAL STEADY IMPROVEMENT FUNDING Mar/ 21 x Mar/ 21 x (R$ million) Mar/21 Mar/20 Dec/20 Demand deposits 39,777 16.9% -4.9% BIS RATIO Savings deposits 63,674 26.9% 0.6% Time deposits 273,990 27.6% -2.1% Financial Bills 14,112 -50.1% -12.2% Others¹ 55,154 -5.1% 0.7% 15.3% 15.2% 13.

  19. Slide 19: Fees

    FEES FOCUS ON LOYALTY AND TRANSACTIONALITY, WITH SEASONALITY IN THE QUARTER FEES (R$ million) 1Q21 x 1Q21 x (R$ million) 1Q21 1Q20 4Q20 8% Cards 1,528 9.1% -7.4% -5% Current account 960 1.7% -9.2% 5,133 Insurance 743 -0.8% -18.1% 4,852 4,482 Asset management 332 31.7% 19.9% Lending operations 378 4.

  20. Slide 20: Portfolio quality

    PORTFOLIO QUALITY KEEPING INDICATORS AT COMFORTABLE LEVELS NPL INDICATORS COVERAGE RATIO OVER 90 DAYS 297% 283% 6.0% 15 - 90 DIAS 5.2% 194% 4.6% 4.3% 4.1% 4.2% 3.6% 2.7% 3.1% 2.8% 1Q20 4Q20 1Q21 1.6% 1.1% 1.2% 1.1% 1.7% 1Q20 2Q20 3Q20 4Q20 1Q21 ALLOWANCE FOR LOAN LOSSES (R$ million) COST OF CREDIT 9

  21. Slide 21: Diligent cost management and greater productivity

    DILIGENT COST MANAGEMENT AND GREATER PRODUCTIVITY LEAD TO THE HIGHEST EFFICIENCY RATIO IN OUR HISTORY COMPOSITION OF ADMINISTRATIVE AND GENERAL EXPENSES (R$ million) PERSONNEL EXPENSES (R$ million) -2% INFLATION: 6.10% -6% -1% IN 12 MONTHS 4,667 4,842 4,569 -5% 2,353 2,194 2,249 5,293 5,552 5,266 2,

  22. Slide 22: Agenda

    AGENDA 1 STRATEGIC UPDATE 3 FINAL REMARKS 2 1Q21 RESULTS HIGHLIGHTS 22

  23. Slide 23: Takeaways

    TAKEAWAYS 1. NOTHING LIKE CONSISTENCY: AFTER SIX YEARS OF PROFITABLE GROWTH, NARRATIVE ALIGNED WITH QUALITY RESULTS 2. GREAT BUSINESS DYNAMICS BASED ON THREE SOLID PILLARS: RISING NET INTEREST INCOME, EXPENSES WELL BELOW INFLATION AND COST OF CREDIT LOWER THAN 2020 3. BEST EFFICIENCY RATIO IN SANTAN

  24. Slide 24: Santander ecosystem

    SANTANDER ECOSYSTEM ¹ ¹ The conclusion of the deal is subject to applicable regulatory approvals 24

  25. Slide 25: Appendix

    APPENDIX 25

  26. Slide 26: Appendix: P&L

    APPENDIX P&L (R$ million) 1Q21 1Q20 Abs. 12M Net interest income 13,422 12,655 767 6.1% Allowance for loan losses (3,161) (3,424) 262 -7.7% Net interest income after loan losses 10,261 9,231 1,029 11.1% Fees 4,852 4,482 370 8.2% General expenses (5,266) (5,293) 27 -0.5% Personnel expenses + profit s

  27. Slide 27: Appendix: quarterly P&L

    APPENDIX P&l (R$ million) 1Q20 2Q20 3Q20 4Q20 1Q21 Net interest income 12,655 13,620 12,432 12,396 13,422 Allowance for loan losses (3,424) (3,334) (2,916) (2,883) (3,161) Net interest income after loan losses 9,231 10,286 9,516 9,513 10,261 Fees 4,482 4,102 4,746 5,133 4,852 General expenses (5,293

  28. Slide 28: Appendix: balance sheet assets

    APPENDIX Balance sheet – Assets (R$ million) Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 Current asset and long-term assets 986,524 973,953 968,524 988,538 966,346 Cash and cash equivalents 13,963 22,655 15,338 19,512 14,434 Interbank investments 55,568 49,272 59,400 69,698 79,629 Securities and derivative f

  29. Slide 29: Appendix: balance sheet liabilities and equity

    APPENDIX Balance Sheet – Liabilities and equity Mar-20 Jun-20 Sep-20 Dec-20 Mar-21 (R$ million) Current liabilities and long-term liabilities 926,596 911,647 903,725 921,915 898,805 Deposits 303,885 358,061 384,218 390,052 383,441 Demand deposits 34,024 39,497 43,414 41,821 39,777 Saving deposits 50

  30. Slide 30: Appendix: loan portfolio

    APPENDIX Balance Sheet - Loan Mar-21 Mar-20 12M Dez/20 3M Portfolio (R$ million) Individuals 178,391 157,296 13.4% 174,300 2.3% Leasing / auto loans (*) 3,990 3,130 27.5% 3,772 5.8% Credit card 34,030 31,828 6.9% 36,371 -6.4% Payroll loans 49,352 44,375 11.2% 48,086 2.6% Mortgage 46,473 37,714 23.2%

  31. Slide 31: TPV has increased by 47%

    TPV HAS INCREASED BY 47% 1Q21 x 1Q20 1Q21 ACQUIRING 1Q21 1Q20 x 1Q20 TPV (R$ million) 54,798 36,772 49% CREDIT Transactions (millions) 389.9 308.0 27% TPV (R$ million) 32,043 22,506 42% DEBT Transactions (millions) 483.1 375.4 29% TPV (R$ million) 86,841 59,228 47% TOTAL Transactions (millions) 873.

  32. Slide 32: Investor Relations (Brazil)

    Investor Relations (Brazil) Av, Juscelino Kubitschek, 2.235, 26th floor São Paulo | SP | Brasil | 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. Our culture is based on the belief that everything we do s

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