Banco do Brasil registers record profit of BRL 22.8 billion

Banco do Brasil (BB) set a record profit in the first nine months of the year. From January to September, the financial institution registered a net profit of BRL 22.8 billion, a growth of 50.9 percent in relation to the same period last year.

BB informed that the profit improvement resulted from the growth of the credit portfolio with a composition that reduces the risk of default, as well as the diversification of revenues - mainly from services - and the control of expenses.

In the third quarter alone, adjusted net income reached BRL 8.4 billion, 62.7 percent above the same quarter of 2021, and 7.1 percent above the previous quarter. The return on net equity (RSPL) reached 20.5 percent, which represents a rate similar to that of private banks, a BB statement reads.

Projections

Banco do Brasil also revised its projections for 2022. The profit estimate jumped from a range between BRL 27 billion and BRL 30 billion to a range between BRL 30.5 billion and BRL 32.5 billion. The forecast for credit volume growth this year was raised from 12 to 16 percent to a range between 15 and 17 percent.

The growth of service revenues, which stood at between 6 and 9 percent, was raised to between 9 and 11 percent. The estimate for administrative expenses was maintained, with an increase of 4 to 8 percent this year.