Banco do Brasil plunges on Q1 earnings miss, guidance under review

About this update from Banco Do Brasil Sa

** Shares in Brazilian lender Banco do Brasil BMFBOVESPA:BBAS3 fall 12% after it reported first-quarter results and placed some full-year projections under review** Banco do Brasil post an adjusted net profit of 7.37 billion reais ($1.29 billion) for the first quarter, down 20.7% year-on-year and below the 9.23 billion expected by analysts in an LSEG poll ** The lender put its 2025 projections for net interest income, cost of credit and adjusted net income under review, citing worsening agribusiness credit book delinquency** "The main questions going forward are how to rebuild net interest income before rates eventually come down in Brazil, the extent of asset quality deterioration in the rural segment, and whether ROE can recover closer to 20%," Goldman Sachs analysts say** Banco do Brasil is the biggest faller on Brazil's benchmark stock index Bovespa BMFBOVESPA:IBOV, which is down 1%** The lender's shares are on track for their worst day since April 2020** Today's losses wipe off 20.6 billion reais from the company's market cap($1 = 5.6948 reais)

View stock analysis, news, and events for Banco Do Brasil Sa