Banco Bradesco (BBDC4) reported on Wednesday (3) that it recorded net book income of R $ 16.546 billion in 2020, down 26.7% compared to 2019 (R $ 22.582 billion).
In the fourth quarter, the bank recorded net income of R $ 5.464 billion, which represents an increase of 11.9% in relation to the same period last year (R $ 4.883 billion).
The country's second largest private bank had recurring net income (which excludes extraordinary effects) of R $ 19.458 billion in 2020 and R $ 6.801 billion in the fourth quarter – 24.8% lower compared to 2019 and 2.3% higher compared to to the same quarter last year.
The number for the fourth quarter came well above the average forecast of analysts consulted by Refinitiv, of a profit of R $ 5.546 billion for the period.
"We are very satisfied with the results for the fourth quarter of the year and, of course, for the entire fiscal year 2020", said Bradesco's executive president, Octavio de Lazari, in a note sent to the press.
Operating expenses fell 5.3% in relation to 2019 (from R $ 49 billion to R $ 46.42 billion) and 9.3% in relation to the 4th quarter of 2019 (from R $ 12.66 billion to R $ 11 , 48 billion).
Expenses with provisions for losses on bad debts (PDD) totaled R $ 25.754 billion last year, an increase of 78.7% in relation to 2019. In the fourth quarter, the amount was R $ 4.568 billion, an increase of 14, 7% compared to the same period last year.
"The conservatism of our provisions policy was essential to strengthen us, in order to prepare Bradesco for the new challenges ahead," said Lazari.
The return on equity was 14.8% in 2020, a decrease of 5.8 percentage points compared to that observed in 2019 (20.6%).
Loan and default portfolio
The bank showed a 10.3% growth in its expanded credit portfolio in 2020, from R $ 604.9 billion to R $ 687 billion. The expansion came from the individual segment, which rose 11.7% in one year, totaling R $ 260 billion.
The delinquency rate over 90 days ended the fourth quarter at 2.2%, below the 3.3% recorded in the same period in 2019 and slightly below the 2.3% recorded in the previous three months.
Also yesterday, Santander reported having posted a net profit of R $ 13.469 billion, down 5% compared to 2019 (R $ 14.181 billion).
On Monday, Itaú reported that it ended 2020 with a net profit of R $ 18.9 billion, down 28.9% compared to the previous year (R $ 26.583 billion).
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