Itau Unibanco Holding S.a. · BMFBOVESPA:ITUB3
Itau Unibanco — Q2 2020 Earnings Presentation
152 slides from Itau Unibanco's earnings presentation, Aug 5, 2020
Slide 1: Announcement to the Market: 2nd Quarter 2020 Result
ITAÚ UNIBANCO HOLDING S.A. CNPJ 60.872.504/0001-23 A Publicly-Listed Company NIRE 35300010230 ANNOUNCEMENT TO THE MARKET Itaú Unibanco Holding S.A. 2nd Quarter 2020 Result Itaú Unibanco Holding S.A. (“Company”) announces to its shareholders and the market at large that the Complete Financial Stateme
Slide 2: Attachment 01 (Portuguese only)
Attachment 01 (portuguese only)
Slide 3: Teleconferência com a Imprensa Resultados 2T20
Teleconferência com a Imprensa Resultados 2T20 04/08/2020
Slide 4: Contexto: Momento atual
Contexto Momento atual Indicadores PIB Postos de trabalho Medidas do Taxa de juros—% variação em % (CAGED com ajuste sazonal) Governo SELIC (final do período) econômicos -10,6% -1,3 mi ~R$ 370 bi 2,25% Indicadores sugerem que a Expectativa¹ Segundo trimestre ~ 5% do PIB -2,25 p.p 2T20 vs. 1T20 de 20
Slide 5: Contexto: Suporte aos clientes durante a crise
Contexto Suporte aos clientes durante a crise R$ 52 bilhões em flexibilização das condições de Foram concedidos Ações conjuntas pagamentos de empréstimos em novos créditos com o governo Em 30 de junho de 2020 16 de março a 17 de julho de 2020 R$ 1,6 bilhão R$ 96,8 bilhões de crédito emergencial para
Slide 6: Destaque: Todos pela saúde
Destaque Todos pela saúde R$ 94 milhões R$ 222 milhões para informar para preparar ~ 175 milhões de pessoas a sociedade para o retorno à normalidade Campanhas de esclarecimento e Apoio em pesquisas epidemiológicas e conscientização da população e orientação para o tratamento da covid-19 para o uso c
Slide 7: 2020 ESG
2020 ESG Aspectos ESG vêm sendo integrados à gestão do Banco há mais de duas décadas 1999 2004 2005 2008 2009 2010 2017 2018 2019 Sustainability Dow Jones Princípios do Índice de Princípios Global Carbon Índice de Objetivos de Princípios para Equador Sustentabilidade para Reporting Disclosure Iguald
Slide 8: 2T20 Destaques financeiros
2T20 Destaques financeiros Em R$ bilhões Carteira de crédito Lucro líquido 7,2 7,3 R$ 811,3 bi 7,0 4,2 811,3 recorrente 3,9 788,3 703,4 722,6 R$ 4,2 bi 674,5 2T19 3T19 4T19 1T20 2T20 jun/19 set/19 dez/19 mar/20 jun/20 Custo do crédito1 ROE recorrente 23,5% 23,5% 23,7% R$ 7,8 bi 13,5% 12,8% 10,1 13,5
Slide 9: 2T20 Carteira de crédito
2T20 Carteira de crédito Em R$ bilhões Jun/20 Mar/20 Jun/19 Originação de crédito¹ Pessoas físicas 228,8 238,1 -3,9% 222,3 2,9% 1S20 vs. 1S19 Cartão de crédito 72,9 83,8 -13,1% 79,3 -8,1% Pessoas físicas + 5% Crédito pessoal 37,3 37,4 -0,2% 32,8 13,7% Crédito consignado 50,4 50,3 0,2% 49,1 2,6% Micr
Slide 10: 2T20 Provisão para perda de crédito
2T20 Provisão para perda de crédito Em R$ bilhões Modelo de perda esperada Custo do crédito¹ 5,3% Relação entre 3,3% 3,9% Alocação da provisão total 2,4% 2,6% o custo do 10,1 crédito¹ anualizado Jun/20 vs. Jun/19 e a carteira 7,8 4,5 5,8 49,3 Total + 48,9% de crédito²—(%) 4,0 47,1 Perda Esperada 2T1
Slide 11: 2020 Perspectivas
2020 Perspectivas Em função da baixa Níveis de liquidez e capitalização adequados aos nossos cenários de stress test. visibilidade sobre a extensão e profundidade A carteira de crédito, no curto prazo, seguirá com expansão proporcionalmente maior no segmento de grandes empresas, ao mesmo tempo em qu
Slide 12: Teleconferência com a Imprensa Resultados 2T20
Teleconferência com a Imprensa Resultados 2T20 04/08/2020 Itaú Unibanco Holding S.A.
Slide 13: Attachment
Attachment 02
Slide 14: Conference call 2Q20 Earnings review
Conference call 2Q20 Earnings review São Paulo, August 4th, 2020 Candido Botelho Bracher President and CEO Milton Maluhy Filho Executive Vice-President, CFO and CRO Alexsandro Broedel Executive Director, Group Head of Finance and Investor Relations Renato Lulia Jacob Head of Investor Relations and M
Slide 15: Context: Current outlook
Context Current outlook Economic GDP Formal Jobs Government Interest rate—% % change (CAGED, seasonally adjusted) measures SELIC (end of period) indicators -10.6% -1.3M ~R$370B 2.25% Indicators suggest Prospect¹ Second quarter ~5% of GDP -225 bps 2Q20 vs. 1Q20 of 2020 (Mar. to July-20) (July-20 vs.
Slide 16: Context: Support for clients during the crisis
Context Support for clients during the crisis R$52 billion in loan portfolio reprofiling New credits were Participation in In June 30, 2020 granted government initiatives March 16 to July 17, 2020 R$1.6 billion R$96.8 billion in emergency credit for payrolls This unprecedented initiative aims to add
Slide 17: Retail loan portfolio reprofiling
Retail Loan Carteira portfolio Flexibilizada reprofiling R$52 billion Reprofiled portfolio by product (in R$ billions) March 16 to June 30, 2020 in loan reprofiling for Very small and individuals, very small and Individuals 37.6 14.6 small companies small businesses Mortgage loans 16.1 Working capit
Slide 18: Highlights: Todos pela saúde
Highlights Todos pela saúde R$94 million R$222 million to inform to prepare ~ 175 million people society to resume social activities as normal Campaigns to clarify and raise awareness Support for epidemiological research among the population and guidance on and for the treatment of covid-19 the prop
Slide 19: 2020 ESG
2020 ESG ESG aspects have been integrated into the Bank’s management for over two decades 1999 2004 2005 2008 2009 2010 2017 2018 2019 Sustainability Dow Jones Equator B3’s Corporate Principles for Global Carbon Bloomberg’s Sustainable Principles for Principles Sustainability Responsible Reporting D
Slide 20: Financial Highlights
Financial Highlights
Slide 21: 2Q20 Financial Highlights
2Q20 Financial Highlights In R$ billions Credit Portfolio Recurring 7.2 7.3 R$811.3 bn 7.0 4.2 811.3 net income 3.9 788.3 703.4 722.6 R$4.2 bn 674.5 2Q19 3Q19 4Q19 1Q20 2Q20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Cost of Credit ¹ Recurring ROE 23.5% 23.5% 23.7% R$7.8 bn 13.5% 12.8% 10.1 13.5 % 5.8 7.8 4
Slide 22: 2Q20 Credit portfolio
2Q20 Credit portfolio In R$ billions Jun-20 Mar-20 Jun-19 Credit origination¹ Individuals 228.8 238.1 -3.9% 222.3 2.9% 1H20 vs. 1H19 Credit card loans 72.9 83.8 -13.1% 79.3 -8.1% Individuals + 5% Personal loans 37.3 37.4 -0.2% 32.8 13.7% Payroll loans 50.4 50.3 0.2% 49.1 2.6% Very Small, Small and M
Slide 23: 2Q20 Financial margin with clients
2Q20 Financial margin with clients Annualized average rate %—Consolidated Annualized average rate %—Brazil 9.9% 10.0% 10.0% 10.0% 10.0% 12.2% 12.1% 11.8% 12.1% 12.2% 12.2% 11.9% 9.8% 9.8% 9.2% 11.1% 8.4% 10.2% 7.6% 7.7% 7.6% 7.6% 7.5% 9.5% 9.6% 9.2% 9.2% 9.2% 9.0% 7.4% 8.4% 6.7% 3.7% 4.3% 5.2% 4.1%
Slide 24: 2Q20 Provision from loan losses
2Q20 Provision from loan losses In R$ billions Expected loss provisioning model Cost of credit¹ 5.3% ratio between 3.3% 3.9% Allocation oftotal provisions 2.4% 2.6% the annualized 10.1 cost of credit¹ Jun-20 vs. Jun-19 and the loan 7.8 4.5 5.8 49.3 Total + 48.9% portfolio²—(%) 4.0 47.1 Expected loss
Slide 25: 2Q20 Credit quality
2Q20 Credit quality 15-90 days NPL (%) 90 days NPL (%) Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 3.5% 3.4% 3.4% 3.5% 2.6% 3.2% 2.5% 2.3% 2.4% 2.4% 2.3% 2.4% 1.7% 3.0% 3.1% 2.2% 2.9% 2.9% 2.7% 1.7% 3.5% 5.1% 5.0% 3.4% 4.7% 4.8% 3.2% 3.1% 4.5% 3.0% 2.5% 2.5% 2.4% 2.3% 1.9%
Slide 26: 2Q20 Financial margin with the market
2Q20 Financial margin with the market In R$ billions 1.5 1.4 1.4 1.4 1.4 1.2 1.3 1.3 1.2 1.6 1.5 1.3 1.3 1.2 1.3 1.3 1.1 1.1 1.0 0.7 0.8 0.7 0.9 0.5 1.0 0.9 0.2 0.4 0.5 0.5 0.5 0.4 0.6 0.6 0.3 0.3 0.4 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 Financial margin with Sale of shares—B3 Financial marg
Slide 27: 2Q20 Commissions, fees and result from insurance operations
2Q20 Commissions, fees and result from insurance operations In R$ billions 2Q20 1Q20 1H20 1H19 Monthly card transaction volume Credit and debit cards 2.5 3.0 -16.9% 5.5 6.5 -14.5% Base 100 = Jun/19 Card issuance 2.0 4.3 4.4 Acquiring 2.3 -13.3% -3.0% Issuance Services Acquiring 0.5 0.7 -28.3% 1.3 2.
Slide 28: 2Q20 Non-interest expenses
2Q20 Non-interest expenses Focus in technology In R$ billions 2Q20 2Q19 1H20 1H19 +802 Personnel Expenses (5.1) (5.5) -7.4% (10.3) (10.8) -4.9% employees Administrative Expenses (4.0) (4.2) -5.2% (8.0) (8.3) -3.7% hired by the Technology Other¹ (1.1) (1.3) -9.9% (2.4) (2.4) 0.0% area in the quarter
Slide 29: 2Q20 Digital dashboard
2Q20 Digital dashboard Usability Quality Digital solutions Annual increase of 17.1% of Virtual stores For companies digital clients in 2020¹ (Itaú Varejo app, end of period) Individuals App Store R$3.6 billion² Companies Jun-19 4.7 13.5 trough Itaú Empresas app Credit card holders Mar-20 4.7 Pronamp
Slide 30: 2Q20 Capital
2Q20 Capital June 2020 12,0% 0.3% 0.1% 12,1% 1,7% 0.2% 1,7% 0.1% 10,3% 10,4% Mar-20 Net income Prudential RWA of credit² RWA of Jun-20 Tier I Capital and dividends adjustments¹ the Market³ Tier I Capital (1) Tax credits, goodwill and intangible assets; (2) credit risk exposures (RWACPAD); (3) market
Slide 31: 2020 Perspectives
2020 Perspectives Due to the lack of Capital and liquidity at appropriate levels considering our internal stress test scenarios. predictability of the extent and depth of the current In the short term, the credit portfolio will continue to expand proportionally more in the corporate segment, while m
Slide 32: Appendix
Appendix
Slide 33: 2Q20 Results
2Q20 Results In R$ billions 2Q20 2Q19 1Q20 1H20 1H19 Operating revenues 28.0 29.5 -5.0% 29.2 -4.1% 57.2 57.7 -0.8% Managerial financial margin 17.8 18.5 -3.7% 17.8 -0.2% 35.6 36.1 -1.5% Financial margin with clients 16.5 16.9 -2.4% 17.0 -3.4% 33.5 33.3 0.6% Financial margin with the market 1.3 1.6 -
Slide 34: 1H20 Business model
1H20 Business model The allocation of principal capital (Common Equity Tier 1) in the bank’s business is made at 12%, according to our risk appetite. In the first half of 2020, we ended with R $ 36.2 billion of capital above the minimum (8% in 1Q20 and 6.75% in 2Q20 of CET1), determined by the Centr
Slide 35: 2Q20 Renegotiated loans operations
2Q20 Renegotiated Loans Operations 25.2 25.7 25.2 25.4 24.7 26.0 25.7 28.9 32.6 Portfolio in Brazil 35.7 31.7 3.2 Latin America 27.9 27.6 28.4 28.1 1.6 27.5 27.3 26.9 2.7 2.5 1.7 Written-off as a Loss 2.3 2.2 2.1 2.3 2.3 2.4 9.8 1.8 1.8 1.8 1.8 1.3 2.0 2.0 7.9 Over 90 days overdue 8.5 8.7 8.2 8.0 7.
Slide 36: Conference call 2Q20 Earnings review
Conference call 2Q20 Earnings review São Paulo, August 4th, 2020 Candido Botelho Bracher President and CEO Milton Maluhy Filho Executive Vice-President, CFO and CRO Alexsandro Broedel Executive Director, Group Head of Finance and Investor Relations Renato Lulia Jacob Head of Investor Relations and M
Slide 37: Attachment
Attachment 03
Slide 38: 2Q20 Institutional Presentation
2Q20 Institutional Presentation Itaú Unibanco Holding S.A.
Slide 39: Forward-looking statements
This presentation contains forward-looking statements regarding Itaú Unibanco Holding, its subsidiaries and affiliates—anticipated synergies, growth plans, projected results and future strategies. Although these forward-looking statements reflect management’s good faith beliefs, they involve known a
Slide 40: Agenda
Agenda Corporate 04 profile 13 Strategic Our agenda businesses 31 52 Corporate governance Capital and 62 risk management 76 Financial highlights Additional 87 information
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Slide 42: About us
About Corporate profile us? Universal bank | 95 years of history | largest bank in Latin America¹ Market Value³ Total assets3 Credit portfolio3 ROE4 Net income4 Tier I Capital 3 US$45.9 bn R$2,075.1 bn R$811.3 bn 13.5% R$4.2 bn 12.1% Brazil’s most We are present in 18 countries valuable² brand Rest
Slide 43: What do we do?
What Corporate profile do we do? Full offering of products and services | diversified client base | solid brand A complete Credit Services Insurance The Retail Bank physical and digital $ Personal Current Life includes retail clients, high-income clients bank Cards Cards and acquiring Homeowners ins
Slide 44: How have we evolved?
How Corporate profile have we evolved? Adaptable culture | innovation | transparency in business Britain World Health We have NY Stock World War II First First First Internet Itaú on decides to Organization witnessed Exchange ends overseas version of providers the NY leave the declares important cri
Slide 45: What are we seeking?
What Corporate profile are we seeking? To change leagues and compare ourselves with the world’s best companies in client satisfaction PurposeOur Promoting people’s power of transformation Our culture Simple. People Ethics are It’s only Passionate The best We think Always mean non- good for about arg
Slide 46: A responsible bank
A Corporate responsible profile bank We believe that people Our commitments to a Main pacts, initiatives and voluntary commitments have the power to positive impact Responsible banking transform the world, and that a bank can promote Financing for sectors with a positive impact this transformation.
Slide 47: A responsible bank | ESG
A Corporate responsible profile bank | ESG ESG aspects have been integrated into the Bank’s management for over two decades 1999 2004 2005 2008 2009 2010 2017 2018 2019 Sustainability Dow Jones Equator B3’s Corporate Principles for Global Carbon Bloomberg’s Sustainable Principles for Principles Sust
Slide 48: Support for clients during the crisis
2020 Corporate profile | Support for clients during the crisis R$52 billion in loan portfolio reprofiling New credits were Participation in In June 30, 2020 granted government initiatives March 16 to July 17, 2020 R$1.6 billion R$96.8 billion in emergency credit for payrolls This unprecedented initi
Slide 49: Todos pela saúde
2020 Corporate profile | Todos pela saúde R$94 million R$222 million to inform to prepare ~ 175 million people society to resume social activities as normal Campaigns to clarify and raise awareness Support for epidemiological research among the population and guidance on and for the treatment of cov
Slide 50: Strategic agenda
Strategic agenda @2ea
Slide 51: Strategic agenda
Strategic Strategic agenda agenda Following a collective thought process, we defined our strategic agenda in order to achieve consistent and quality results in the years ahead. Customer centricity is the central piece supported by three fundamental pillars: digital transformation, people and efficie
Slide 52: Client centricity
Client Strategic agenda Centricity We want our clients to have the best experience That is why we are continually and tirelessly striving to improve our client’s experience each time they engage with the bank Universal Bank Satisfied clients create more value Present Value of R$/client net income, 5
Slide 53: Client centricity: satisfied clients create more value
Client Strategic agenda Centricity Satisfied clients create We want to be the benchmark in satisfaction, transforming our culture so that the client is at the center of everything. Our actions, including digital transformation and the efforts involving people management, are designed for our clients
Slide 54: Continuous updates for a better experience
Client Strategic agenda Centricity Continuous updates for a better experience Our apps are among the App Store best rated in app stores Play Store APP PERSONNALITÉ 4.3 4.7 APP ABRE CONTA APP ITAÚ 1st bank (INDIVIDUALS) offering bank account opening 4.4 4.7 by mobile phone 14.7 MM of individual and c
Slide 55: Investment recommendations
Client Strategic agenda Centricity Identified Investment recommendations need: What is the best way to invest my money? Solution Data only Itaú has: The most advantageous 2.5 minutes combination possible for each to generate a Expected results from 28,000 financial products and assets client, acc
Slide 56: Digital transformation: supply vs demand perspective
Strategic Digital agenda Transformation Supply perspective x Demand perspective Traditional model: supply perspective Modern model: demand perspective New technology trends: New technology radar: cloud cloud artificial Intelligence and client’s real artificial Intelligence machine learning + and mac
Slide 57: Changing the way we develop services and products
Digital Strategic agenda Transformation To achieve digital transformation, we need to change the way we develop services and products Before Market Solution research time data customization development Client Bank Client Now Data time data customization + research + experimenting Client Bank 20
Slide 58: Cubo and startups to extend digital offer
Digital Strategic agenda Transformation + velocity to extend our digital offer 107 resident 88 projects startups between the bank and 397 Cubo startups Cubo is the most relevant 31 filliated different 13 floors hub for technological startups industries entrepreneurship promotion + rooftop in Latin A
Slide 59: New work methods lead to superior results
Strategic Digital agenda Transformation New work methods lead to superior results Data base 100 More technology solutions Higher productivity Greater number of solutions delivered Reduction in the delivery time of technology solutions 2Q2019 2Q2020 15% 2Q2019 2Q2020 -30% More availability Reduction
Slide 60: Analytics: listening to 360,000 calls every day
Digital Strategic agenda Transformation Analytics: “listening to” 360,000 calls every day In the past Today One of the Traditional monitoring Speech analytics world’s largest Transcription of 100% of the calls and analysis of the texts voice transcription “I would like to operations increase my limi
Slide 61: Data: the bank's new capital
Strategic Digital agenda Transformation¹ Data: the bank’s new capital Data and State-of-the-art Data analytics + algorithms + scientists Voice data Transactions Biometrics + Resultado petabytes 70 Interactions in Image data +485% of value captured in projects in analytics digital channels Data base:
Slide 62: Focus on efficiency while investing in technology
Digital Strategic agenda Transformation Focus on efficiency while continually investing in technology Technology investments 11% 154 Inflation (IPCA) 130 accumulated in the 122 100 period 100 101 106 109 45.3 46.4 47.6 45.5 2016 2017 2018 2019 Efficiency Ratio (%) Technology investments (Base 100) N
Slide 63: Digital dashboard
Digital Strategic agenda Transformation Digital dashboard Usability Quality Digital solutions Annual increase of 17.1% of Virtual stores For companies digital clients in 2020¹ (Itaú Varejo app, end of period) Individuals App Store R$3.6 billion² Companies Jun-19 4.7 13.5 trough Itaú Empresas app Cre
Slide 64: People
Strategic agenda People1 By age bracket By region Approximately 5.4% 4.7 k people 97 thousand > 50 years North 1% 51.4% 45.5 k people 5% Northeast Employees² 30-50 years 3% Center-West 43.2% 38.3 k people Southeast in Brazil and overseas up to 30 years 83% South 7% 14% By gender By hierarchical leve
Slide 65: People: employee's experience
Strategic People¹ agenda Employee’s An innovative and inspiring environment. Is Itaú Unibanco a good place to work? experience In our employees’ eyes VoU cOmO sOu Our challenge is to be Rendering our dress code flexible, respecting our Advocates employees and our strategic agenda. (Scores 9-10) 78%
Slide 66: People: recognition and development
People¹ Strategic agenda A bank that recognizes, values and encourages people development. Total compensation1 Incentive Model Fixed compensation The program takes into account the priorities of the year, the results obtained and the manner in which those R$ 17 billion results are delivered, since a
Slide 67: Efficiency
Efficiency Strategic agenda Our strategic challenge cost management is to continually and improve investment the efficiency in technology of our and operations new ways by of maintaining working in order clients to at boost the center the use of of our our decisions, resources, through while efficie
Slide 68: Our business
Our business
Slide 69: Who are our clients?
Our Who business are our clients? Through our Retail and Wholesale Banking segments we offer a wide range of products and services tailored to each client profile. Client profile by segment in Brazil Individuals Companies Ultra Private Bank over R$4 billion >R$5 million in total investment Large Per
Slide 70: Our business: Retail Banking
Our Retail business Banking Serving a client base of over Branches and PABs Main 56 million clients Results2Q20 Ourdistributionnetwork comprises¹ Net income R$1.8billion 4,006 BRANCHES AND CSBs IN BRAZIL 3 % 8 % 7 % 67 % 15 % Northeast Southeast South Brick and Mortar Branches North Midwest and PABs
Slide 71: Retail Banking: digital channels
Our Retail business Banking The use of our digital channels significantly increased over the last years. Our digital branches also increased to serve clients who almost do not use brick and mortar branches. Use of digital channels¹ % oftransactions Highlight throughdigital channels Total currentacco
Slide 72: Retail Banking: support for clients during the crisis
Our Retail business Banking | Support for clients during the crisis This unprecedented initiative aims to deal with debt in a structured way, giving clients breathing space and ensuring that they have sustainable conditions over time. R$52 billion Reprofiled portfolio by product (in R$ billions) Mar
Slide 73: Our business: Wholesale Banking
Our Wholesale business Banking Main Main Only in Brazil, We serve approximately productsandservices Results2Q20 21,000 corporate groups and Creditsolutions institutional Nationalandforeigncurrency Net R$825 million income Oursaleschannelsreachinstitutionalclientsin 18 Service solutions countries. R$
Slide 74: Personal loans and payroll loans
Our business $ Personal Loans and Payroll Loans Personal loans Evolution of personal loans portfolio (In R$ billion) Money in the account The money is immediately Payroll loans $ credited, including on the 83.1 86.8 weekends. 81.0 The payroll loans portfolio accounts for 58% of total 74.7 70.5 70.2
Slide 75: Mortgage loans
Our business $ Mortgage Loans Client focused Mortgage loans portfolio Products and sales channels (In R$ billion) (In %) Quick and efficient process with credit analysis in up to one hour for 47.1 48.6 47.8 48.1 47.6 48.3 49.2 50.3 53.8 + 9.2 % vs Jun-19 operations of up to R$1 million. + 13.0 % 21.
Slide 76: Mortgage loans: loan to value and vintage
Our Mortgage business Loans¹ $ Loan to Value (Em %) 59.7% 62.1% 63.1% Vintage (quarterly average) 54.9% 54.6% 54.5% 54.7% 57.3% 58.4% + 3.4 p.p vs Jun-19 41.8% 41.8% 40.9% 40.2% 39.9% 38.7% 38.7% 38.6% 38.3% Mortgage Loan Portfolio—0.4 p.p. Jun-16 Dec-16 Jun-17 Dec-17 Jun-18 Dec-18 Jun-19 Dec-19 Jun
Slide 77: Vehicles
Our business $ Vehicles Loan portfolio by client profile Contracting (In R$ billion) Contracts—thousand + 27.0 %ï,§ 13.2 thousand sales points; 31 19 29.5 ï,§ Sale of light and heavy vehicles: 11 23.2 28.1 20.3 18.3 16.7 17.8 20.2 6.0 9.1 10.1 • 83% of contracts are made in stores and dealers; April
Slide 78: Vehicles: main products and services
Our business $ Vehicles Main products and services iCarros Portal ï,§ 21 mn access/monthï,§ 87% mobile Evolution of financing proposals on the iCarros platform: Facial Recognition (Base 100) iCarros 1 11 147 Vehicle Marketplace with technological Simple and safe contracting process. 100 111 solution
Slide 79: Credit card
Credit Ourbusiness Card Our credit card options serve current account holders andnon-current account holders Weare leaders in the credit Main brands Convenience to clients card segment in Brazil, To individuals, verysmall, smallandmiddle-market companies Financial services through creditcards. total
Slide 80: Credit card transaction volume
Credit Ourbusiness Card Transaction Volume 2Q20 13.5%¹ 129.517 Total 126.316 R$101.3 billions oftotal salesare carried Debit -21.8% (vs. 1Q20) 30.947 32.114 101.335 out using digital channels -19.8% (vs. 2Q19) 25.509 Credit 40.3%² in 1Q20 95.368 97.403 Credit -22.2 % (vs. 1Q20) 75.826 -20.5 % (vs. 2
Slide 81: Acquiring services
Acquiring Ourbusiness services Transaction Volume Our brands 2Q20 121.858 Total 114.055 R$102.5 billions 102.521 45.282 Debit -15.9% (vs. 1Q20) 39.959 -10.1% (vs. 2Q19) More thande 40.429 25 brands credit -18.9% (vs. 1Q20) accepted by Rede 74.095 76.575 62.092 Credit -16.2% (vs. 2Q19) machines debit
Slide 82: Our Insurance business
Our Insurance business We insurance offer a core wide activities,range of insurance which include products our 30%related interest to life, in Porto personal Seguro, accidents, consist vehicles of mass and-market property insurance credit products and travel. related Our tolife and property, and cre
Slide 83: Insurance open platform
Insurance Ourbusiness | Insurance Open Platform Vehicles Insurance consultants + Life Insurance Shop Multi-channel distribution Manager Health (Companies) Focused on commissions and fees Full Life Cashier Internal Internet Banking/Mobile CreditLife ATM Dental (Individuals and Companies) Specialized
Slide 84: Pension plan
Pension Ourbusiness plan Open platform Reasons toinvest: Concept 1,3,6,9: Howmuchdoes theclienthaveto savetoenjoya peaceful retirement? 1 Retirement 5 Financial return Years of salary accumulated Age Funds carefully selected 2 Future expenses always keeping theclientin 6 Enable easy 1 35 changing of
Slide 85: Services: Investments
Services Ourbusiness | Investments Investment Open Platform Third-party products offered Funds Fixed income 2 Fixed Income CDB Multimarket LCA Funds Fixed income Pension Plan Equities RealEstateFunds Treasury Direct COE Savings Equity LCI Pension Plan Variable Income Pension Plan Fixed Income Real E
Slide 86: Wholesale Banking: Middle market and Investment Banking
Services Ourbusiness | Wholesale Banking Middle Investment Banking Annual revenues from R$30 mn to R$500 mn Leadership position and client recognition “Focused on clients with the best ratings, with 95% of the credits being rated B3 or better, and with operations in Fixed income diversified services
Slide 87: Wholesale Banking: WMS and Securities Services
Services Ourbusiness | Wholesale Banking WMS R$ million Large range of customized wealth management and investments solutions Securities Services Evolution of Assets Under Administration1 Local Custody: we ended Junewith R$1,404.5 billion under custody (practically stable from the same period of 201
Slide 88: Wholesale Banking: Asset Management
Services Ourbusiness | Wholesale Banking Asset Management Kinea It is an independent platform of management of differentiated investments. With R$61.1 billion in assets as of June 2020, it operates in the segments of Multi-Markets, Real Estate, Pension Plan and Private Equity, Stock and Infrastructu
Slide 89: Corporate governance
Corporate governance 52
Slide 90: History of our governance
History Corporate governance of our Governance We facilitates believe accessthat a to sound capital and andmeritocracy contributes -based to business governance, continuity. guided towards long -term value creation, adds value to our business, Highlights 1999 2001 2006 2007 2017 1995 Inclusion in th
Slide 91: Our governance structure
Our Corporate governance governance structure family family Egydio de Family control, with Moreira Souza long-term vision Free Float Salles Aranha ON PN ON PN 100% 36.73% 81.87% 63.27% 18.13% Cia. E. Johnston 66.36% 33.64% de Participações ON PN 50.00% 0% 33.47% Itaú Unibanco Highly diversified 66.5
Slide 92: Pillars of our governance
Pillars Corporate governance ofour Governance management aligned decisions madeon Focus on performance with meritocracy -based a collective basis andvalue creation culture Family control ensuring long-term strategic vision IUPAR • Alignmentamong shareholders • Defines group’svision, missionandvalues
Slide 93: Board of Directors
CorporateBoard governance of Directors the keyOur Board differentials of Directors of our consists management. of professionals with exceptional knowledge and expertise in different areas of expertise, some of Mainduties 2 Co-chairmen Board of Directors Pedro Moreira Salles 2 4 6 7 8 Committees • De
Slide 94: COVID-19 Governance
COVID Corporate governance -19 Governance Committee Responsible for monitoring the crisis and its impacts, deliberations and institutional positioning. Executive Committee agenda Check Point of Executive Committee + 7 Institutional Crisis Management Committee and Check Point of Risks Febraban and Re
Slide 95: Board of Directors committees
Board Corporate governance of Directors Committees Our committees report directly tothe Board of Directors. Strategic committees 8 since2004 since2011 since2009 since2009 since2018 Audit Compensation Personnel Strategy LATAM Strategy committees 100% ofthemembersare independent 100% ofthemembersare n
Slide 96: Our Executive Committee
Our Corporate Executive governance Committee The Executive Committee is responsible for implementing the strategy andday-to-day management. Main duties • Implementing the guidelines and goals proposed by the Board of and human resources; Directors; • Monitoring market, creditand operational risks; a
Slide 97: Partners and Associates Program
Partners Corporate governance and Associates Program program, Aiming at focused aligning on the managementinterests ofour members officers and and employeesemployees with with outstandingthose ofour performance.shareholders, we maintain a partner and associate’ Long -term incentives The investment T
Slide 98: Our shares
Corporate Our shares governance traded Our capital as depositary stock is comprised receipts (ADRof9.8—billion ITUB ) on thecommon NYSE shares (New (ITUB3) York Stock and non Exchange) -voting .shares (ITUB4) . Non -voting shares are also Characteristics ofour shares Appreciation ofR$ 100 invested o
Slide 99: Capital and risk management
Capital andrisk management 62
Slide 100: Capital and risk management: capital adequacy
Capital and riskOur principles management of risk management and theThe Board guidelines of Directors involving is our main the institution’scapital management level of capitalization. body, responsible for approving our institutional capital management policy Capital adequacy We adopt acapital, usi
Slide 101: Basel III capital structure
Basel Capital and risk IIImanagement and Capital structure Our current ratio Basel III requirement 13.5% 1.4% Tier II 2.0% Total Capital (10.25%—12.75%) Additional Tier I Capital (AT1) 1.7 % 1.5 % TierI (8.25%—10.75%) CET 1 (6.75%—9.25%) Countercyclical² 0 – 2.5% ACP¹ Systemic³ 1.0 % Conservation 4
Slide 102: Payout practice
Capital and riskPayout management Practice 2019 Total payout simulation ROE 2019 ROE 23.7% 15.0% 17.5% 20.0% 22.5% 25.0% RWA 9% 5.0% 65% -70% 70 -75% 75 -80% 80 -85% 85% -90% The return and growth RWA 10.0% 40% -45% 45 -50% 50 -55% 55 -60% 60% -65% scenario positioned the growth 35% 35% 35 -40% 40 -
Slide 103: Capital cost management
Capital Capital and risk management cost management We are continually striving to manage our capital allocation efficiently through an appropriate capital cost. The Board of Directors, then, Board of Directors deliberates on and approves the changes or the ratification of the cost of own capital Wh
Slide 104: How are we structured for managing risks?
How Capital and risk are wemanagement structured for managing risks? risks area and,A classical model lastly, with thethree audit lines of area defense: subordinated the business to the Board areas of bearDirectors primary responsibility for risk management, followed by the Discussion of metrics and
Slide 105: Risk management
Capital and riskRisk Managementmanagement risk management fully timely and preemptive action, widely disseminated integrated into the focusing on creating increasing and risk culture performance of the business sustainable value and on client centricity COVERAGE PERFORMANCE Previous Current ïƒ Futur
Slide 106: Our risk management principles
Our riskCapital and risk management management principles Riskrisk andappetite metrics, consists and coordinates of a 4-layer the set ofstructure: guidelines principles on the of risk assumption management, of risks. declaration by the Board of Directors, magnitude of the Thethe employees principles
Slide 107: How do we establish our risk appetite?
How Capital and risk do wemanagement establish our risk appetite? Riskmaximize appetite the defines creation the of value. nature and level of the risks acceptable to our organization, delimiting the conditions in which our management will strive to The policy is drawn up and approved by the Board o
Slide 108: Market risk and liquidity management
Capital andrisk Market management Risk and Liquidity Management Solid management of liquidity and market risk Average VaR¹ in the quarter Liquidity Coverage Ratio(LCR) Net Stable Funding Ratio(NSFR) 504.3 431.0 350.2 341.0 201.7% 122.8% 121.1% 122.2% 122.5% 205.9 169.5% 167.2% 179.1% 117.5% 116.8% 2
Slide 109: Corporate security
Capital andrisk Corporate management Security Mindset Constant concern about risks Integration with Business and Benchmark with the market with an expanded view of Technology risk and vulnerability testing throughout the perimeter. Presence with the IT and Business teams in the risk assessment of ne
Slide 110: Information security
Information Capital andrisk management Security Our processes guarantee the care and focus necessary to protect our environment vulnerability management and technological infrastructure to face the adherence to security standards in a constant evolution of cyber threats technological environment app
Slide 111: Climate risk
Capital and riskClimate management risk Climate risk and its variables comprise the analysis of Alignment with TCFD recommendations – December 2019 Implementation socioenvironmental risk at Itaú Unibanco. This approach Aspect Delivered in 2019 places Itaú in a strategic position to ensure the perpet
Slide 112: E&S risk in credit granting
Risk and capitalE&S Risk inmanagement Credit Granting E&S Risk Management in Credit Granting includes actions and criteria adopted by Itaú to analyze specific clients, products and operations, and establish real estate guarantees. To this end, we factor in: Exclusion List Sensitive Sectors Products
Slide 113: Financial highlights
Financial highlights 76
Slide 114: 2Q20 Financial Highlights
2Q20 Financial Highlights In R$ billions Credit Portfolio Recurring 7.2 7.3 R$811.3 bn 7.0 4.2 811.3 net income 3.9 788.3 703.4 722.6 R$ 4.2 bn 674.5 2Q19 3Q19 4Q19 1Q20 2Q20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Cost of Credit ¹ Recurring ROE 23.5% 23.5% 23.7% R$7.8 bn 13.5% 12.8% 10.1 13.5 % 5.8 7.8
Slide 115: 2Q20 Credit portfolio
2Q20 Credit portfolio In R$ billions Jun-20 Mar-20 Jun-19 Credit origination¹ Individuals 228.8 238.1 -3.9% 222.3 2.9% 1H20 vs. 1H19 Credit card loans 72.9 83.8 -13.1% 79.3 -8.1% Individuals + 5% Personal loans 37.3 37.4 -0.2% 32.8 13.7% Payroll loans 50.4 50.3 0.2% 49.1 2.6% Very Small, Small and M
Slide 116: 2Q20 Financial margin with clients
2Q20 Financial margin with clients Annualized average rate %—Consolidated Annualized average rate %—Brazil 9.9% 10.0% 10.0% 10.0% 10.0% 12.2% 12.1% 11.8% 12.1% 12.2% 12.2% 11.9% 9.8% 9.8% 9.2% 11.1% 8.4% 10.2% 7.6% 7.7% 7.6% 7.6% 7.5% 9.5% 9.6% 9.2% 9.2% 9.2% 9.0% 7.4% 8.4% 6.7% 4.3% 5.2% 3.7% 4.1%
Slide 117: 2Q20 Provision from loan losses
2Q20 Provision from loan losses In R$ billions Expected loss provisioning model Cost of credit¹ 5.3% ratio between 3.3% 3.9% Allocation oftotal provisions 2.4% 2.6% the annualized 10.1 cost of credit¹ Jun-20 vs. Jun-19 and the loan 7.8 4.5 5.8 49.3 Total + 48.9% portfolio² -(%) 4.0 47.1 Expected los
Slide 118: 2Q20 Credit quality
2Q20 Credit quality 15-90 days NPL (%) 90 days NPL (%) Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 Jun-19 Sep-19 Dec-19 Mar-20 Jun-20 3.5% 3.4% 3.4% 3.5% 2.6% 3.2% 2.5% 2.3% 2.4% 2.4% 2.3% 2.4% 1.7% 3.0% 3.1% 2.2% 2.9% 2.9% 2.7% 1.7% 3.5% 5.1% 5.0% 3.4% 4.7% 4.8% 3.2% 3.1% 4.5% 3.0% 2.5% 2.5% 2.4% 2.3% 1.9%
Slide 119: 2Q20 Financial margin with the market
2Q20 Financial margin with the market In R$ billions 1.5 1.4 1.4 1.4 1.4 1.2 1.3 1.3 1.2 1.6 1.5 1.3 1.3 1.2 1.3 1.3 1.1 1.1 1.0 0.7 0.8 0.7 0.9 0.5 1.0 0.9 0.2 0.4 0.5 0.5 0.5 0.4 0.6 0.6 0.3 0.3 0.4 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 Financial margin with Sale of shares -B3 Financial mar
Slide 120: 2Q20 Commissions, fees and insurance operations
2Q20 Commissions, fees and result from insurance operations In R$ billions 2Q20 1Q20 1H20 1H19 Monthly card transaction volume Credit and debit cards 2.5 3.0 -16.9% 5.5 6.5 -14.5% Base 100 = Jun/19 Card issuance 2.0 4.3 4.4 Acquiring 2.3 -13.3% -3.0% Issuance Services Acquiring 0.5 0.7 -28.3% 1.3 2.
Slide 121: 2Q20 Non-interest expenses
2Q20 Non-interest expenses Focus in technology In R$ billions 2Q20 2Q19 1H20 1H19 +802 Personnel Expenses (5.1) (5.5) -7.4% (10.3) (10.8) -4.9% employees Administrative Expenses (4.0) (4.2) -5.2% (8.0) (8.3) -3.7% hired by the Technology Other¹ (1.1) (1.3) -9.9% (2.4) (2.4) 0.0% area in the quarter
Slide 122: 2Q20 Capital
2Q20 Capital June 2020 12.0% 0.3% 0.1% 12.1% 1.7% 0.2% 1.7% 0.1% 10.3% 10.4% Mar-20 Net income Prudential RWA of credit² RWA of Jun-20 Tier I Capital and dividends adjustments¹ the Market³ Tier I Capital (1) Tax credits, goodwill and intangible assets; (2) credit risk exposures (RWACPAD); (3) market
Slide 123: 2020 Perspectives
2020 Perspectives Due to the lack of Capital and liquidity at appropriate levels considering our internal stress test scenarios. predictability of the extent and depth of the current In the short term, the credit portfolio will continue to expand proportionally more in the corporate segment, while m
Slide 124: Additional information
Additional information 87
Slide 125: Corporate profile: Additional information
Corporate profile Additional information 88
Slide 126: A history of successful strategic deals
Additional A History Information of Successful Strategic Deals¹ Acquisition of the remaining 50% of: Uruguay Retail-Brazil NACIONAL Acquisition of the Banco Itaú BMG Consignado Casa minority interest of: Moreira Salles Acquisition of a 1924 minority interest in: Unibanco 1995 -1998 2000 -2003 2004 -
Slide 127: Capital and risk management: Additional information
Capital and risk management Additional information 90
Slide 128: Capital ratios (BIS) | Prudential Conglomerate
Capital AdditionalInformation Ratios (BIS) | Prudential Conglomerate ¹ In R$ millions, end of period 2Q20 1Q20 Core Capital 108,119 107,668 Tier I (Core Capital + Additional Capital) 126,214 124,980 Referential Equity (Tier I and Tier II) 140,650 139,218 Total Risk-weighted Exposure (RWA) 1,040,622
Slide 129: Ratings
Additional Ratings Information FitchRatings International National Viability Support Local Currency Foreign Currency Long Term Short Term Long Term Short Term Long Term Short Term bb 4 BB B BB B AAA (bra) F1+ (bra) Moody’s International National Subordinated Debt Senior Unsecured Debt Issuer Issuer
Slide 130: Financial highlights: Additional information
Financial Highlights Additional information 93
Slide 131: Results 2Q20
Additional Results Information 2Q20 In R$ billions 2Q20 2Q19 1Q20 1H20 1H19 Operating revenues 28.0 29.5 -5.0% 29.2 -4.1% 57.2 57.7 -0.8% Managerial financial margin 17.8 18.5 -3.7% 17.8 -0.2% 35.6 36.1 -1.5% Financial margin with clients 16.5 16.9 -2.4% 17.0 -3.4% 33.5 33.3 0.6% Financial margin wi
Slide 132: Segments income statement pro forma 2Q20
Additional Segments Information – Income Statement Pro Forma 2Q20 Retail Banking Wholesale Banking Activities with the Itaú Unibanco Market + Corporation In R$ millions Operating Revenues 17,691 7,790 2,530 28,010 Managerial Financial Margin 10,603 5,123 2,050 17,776 Financial Margin with Clients 10
Slide 133: Income statement | Operating revenues perspective
Additional Income Information Statement | Operating Revenues Perspective In R$ millions 2Q20 1Q20 ï„ 2Q19 ï„ Operating Revenues 28,010 29,206 -4.1% 29,492 -5.0% Managerial Financial Margin 17,776 17,805 -0.2% 18,451 -3.7% Financial Margin with Clients 16,468 17,045 -3.4% 16,879 -2.4% Financial Margi
Slide 134: Results: Brazil and Latin America
Additional Information Results – Brazil and Latin America 2Q20 1Q20ï„ï€ Latin America Latin America Latin America Consolidated Brazil ¹ Consolidated Brazil ¹ Consolidated Brazil ¹ (ex-Brazil) (ex-Brazil) (ex-Brazil) In R$ millions Operating Revenues 28,010 24,734 3,276 29,206 26,411 2,795 -4.1% -6.3
Slide 135: Business model
Additional Information Business Model The allocation of principal capital (Common Equity Tier 1) in the bank’s business is made at 12%, according to our risk appetite. In the first half of 2020, we ended with R $ 36.2 billion of capital above the minimum (8% in 1Q20 and 6.75% in 2Q20 of CET1), deter
Slide 136: Credit portfolio by product
Additional Credit Information Portfolio by Product In R$ billions, end of period 2Q20 1Q20ï„ï€ ï€ ï€ 2Q19ï„ï€ ï€ ï€ Individuals—Brazil 1 228.0 237.0 -3.8% 221.5 2.9% Credit Card 72.9 83.8 -13.1% 79.3 -8.1% Personal Loans 36.4 36.2 0.6% 31.9 14.2% Payroll Loans 2 50.4 50.3 0.2% 49.1 2.6% Vehicles 19.
Slide 137: Credit portfolio by currency
Credit AdditionalInformation Portfolio by Currency ¹ R$ billion Jun-20 300.4 427.0 727.5 Mar-20 284.8 425.2 710.0 Dec-19 232.8 417.0 649.7 Sep-19 240.0 401.7 641.7 Jun-19 228.3 389.3 617.6 Mar-19 224.5 384.5 609.0 Dec-18 219.5 379.1 598.6 Sep-18 233.4 366.7 600.1 Jun-18 223.5 365.1 588.6 Foreign Cur
Slide 138: Credit origination | Brazil
Additional Credit¹ Information Origination | Brazil Base 100 = 2Q17 Total Credit2 – Brazil Credit2—Individuals 23% 2% 7% 179 -7% 167 145 155 142 145 114 124 100 100 2Q17 2Q18 2Q19 1Q20 2Q20 2Q17 2Q18 2Q19 1Q20 2Q20 Credit2 – Very Small, Small and Middle Credit2 – Corporate Market 5% 50% -1% 19% 207
Slide 139: Portfolio breakdown: companies by sector
Additional Credit Information Portfolio Breakdown Companies Credit Portfolio by Business Sector¹ ,² Credit Concentration ¹ R$ billion In R$ billions, end of period 2Q20 1Q20ï„ Jun-20 Loan, lease and other Loan, lease, other credit operations Public Sector 5.6 5.0 12.4% credit operations and securiti
Slide 140: Portfolio by vintage
Additional Credit Information Portfolio by Vintage¹ Profile of credit portfolio by origination period: R$ billion • Older vintages with higher spreads are losing relevance compared to the most recent ones. • 62.1% of total origination was created in the past 12 months. 553 640 657 34.8% 33.8% 33.1%
Slide 141: Loan portfolio mix change
LoanAdditionalInformation Portfolio Mix Change ¹ (%) R$ billion Consolidated jun/20 3. 0 19.3 15.5 11.1 5.5 7.4 7.7 30.5 jun/20 27.8 22.3 4.3 16.0 8.0 10.7 11.0 jun/19 24.6 19.8 4.3 19.9 8.0 11.0 12.3 Brazil 2 jun/18 28.3 18.4 4.0 18.2 7.5 11.1 12.5 jun/17 32.7 16.3 4.0 16.1 7.2 10.9 12.8 jun/16 34.
Slide 142: Renegotiated loans operations 2Q20
Additional Renegotiated Information Loans Operations 2Q20 25.2 25.7 25.2 25.4 24.7 26.0 25.7 28.9 32.6 Portfolio in Brazil 35.7 31.7 3.2 Latin America 27.5 27.9 27.6 28.4 28.1 1.6 27.3 26.9 2.7 2.5 1.7 Written-off as a Loss 2.3 2.2 2.1 2.3 2.3 2.4 9.8 1.8 1.8 1.8 1.8 1.3 2.0 2.0 7.9 Over 90 days ove
Slide 143: Provision for loan losses and cost of credit
Additional Provision Information for Loan Losses and Cost of Credit Provision for Loan Losses by Segment R$ million 6.8% 5.0% 5.0% 4.7% 4.7% 4.5% 4.1% 4.2% 3.6% 3.7% 3.3% 3.4% 3.5% 10,398 3.0% 2.9% 3.1% 3.2% 6,337 808 6,169 5,823 7,561 5,392 4,948 4,282 4,483 4,111 4,271 6,145 2,441 396 412 4,407 4,
Slide 144: Allowance for loan losses by risk
Additional Allowance Information for Loan Losses by Risk – Consolidated R$ million Allocation of Total Allowance by Type of Risk -Consolidated Jun-20 12,135 11,383 25,749 49,267 Mar-20 12,978 11,471 22,634 47,083 Jun-19 10,666 9,514 12,910 33,091 Overdue operations according to the Potential Loss Br
Slide 145: Non-performing loans ratios
Additional Non Information Performing Loans Ratios 90-day NPL Ratio| Consolidated (%) 15 to 90-day NPL Ratio | Consolidated -% 4.5 4.2 3.9 3.3 3.7 3.7 3.6 3.5 3.5 3.2 2.9 3.1 3.4 3.4 3.4 3.2 2.8 3.0 2.7 2.7 2.7 2.6 2.4 2.5 2.5 3.6 2.3 3.4 3.2 1.9 3.2 3.1 3.1 2.8 3.0 2.9 2.9 3.0 2.6 2.5 2.8 2.7 2.5 2
Slide 146: NPL creation
Additional NPL Creation Information R$ billion 7.3 5.3 5.0 5.1 5.0 4.4 4.7 3.8 4.9 4.4 3.3 4.3 3.9 3.5 3.5 3.5 3.6 3.2 1.2 1.2 1.0 1.1 0.5 0.7 0.9 0.4 0.1 1.1 0.3 -0.5 0.4 0.3 0.4 0.4 -0.2 -0.3 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 Total Retail Banking—Brazil Whosale Banking—Brazil Latin Amer
Slide 147: Provision for loan losses and NPL creation by segment
Additional Provision Information for Loan Losses and NPL Creation by Segment Retail Banking -Brazil 153% R$ billion 145% 100% 104% 108% 113% 108% 104% 102% 7.1 3.5 3.5 3.7 3.5 3.7 3.5 4.0 3.6 4.2 3.9 4.5 4.3 4.5 4.4 4.9 4.9 3.2 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 Wholesale Banking -Brazil R
Slide 148: Insurance, pension plan and premium bonds
Additional Insurance, Information Pension Plan and Premium Bonds In R$ millions 2Q20 1Q20ï„ï€ ï€ 2Q19ï„ï€ ï€ Earned Premiums 1,046 1,082 -3.4% 1,075 -2.7% Revenues from Pension Plan 50 64 -22.0% 117 -57.3% Revenues from Premium Bonds 61 107 -42.8% 107 -42.7% Managerial Financial Margin 25 (34)- (0)-
Slide 149: Balance sheet: assets and liabilities
Additional Balance Information Sheet – Assets and Liabilities Assets 2Q20 1Q20ï„ 2Q19ï„ R$ million Current and Long-term Assets 2,039,147 1,944,899 4.8% 1,644,067 24.0% Cash and Cash Equivalents 85,428 71,881 18.8% 59,313 44.0% Short-term Interbank Investments 316,297 282,565 11.9% 258,710 22.
Slide 150: Funding
Additional Funding Information • Loan Portfolio mainly funded by domestic client funding • Diversified funding base In R$ millions, end of period 2Q20 1Q20ï„ 2Q19ï„ Funding from Clients (A) 806,755 700,779 15.1% 550,691 46.5% Demand Deposits 118,787 101,711 16.8% 73,352 61.9% Savings Deposits
Slide 151: Ratio between loan portfolio and funding
Funding Additional Information Ratio between Loan Portfolio and Funding % Funding (Maturity Breakdown) In days 96.0% 96.9% 93.3% 91.9% 81.2% 75.6% 78.6% 79.0% 78.2% 76.7% 71.1% 65.1% R$ billion 181-365 Over to365 1,010 31-180 11.3% 900 870 788 8.4% 737 760 36.0% 691 699 657 618 635 640 566 544 571 5
Slide 152: 2Q20 Institutional Presentation
2Q20 Institutional Presentation Itaú Unibanco Holding S.A. ITUB LISTED CDP LEVEL 1 NYSE BM&FBOVESPA
Itau Unibanco Holding — Q2 2020 Earnings Presentation on 6ix