Banco do Brasil, which released the balance sheet for the fourth quarter of 2022 this Monday (13), said in a conference call this Tuesday that it expects to recover assets in the Americanas case. Among the banks that lent money to the retailer, the institution is one of the most affected by the recent bankruptcy filing.
“This is a case in which we clearly see that there will be recovery of assets, because there are assets to be recovered”, says José Ricardo Fagonde Forni, vice president of financial management and investor relations.
In the fourth quarter, adjusted net income was BRL 9.4 billion, around 52% above the fourth quarter of 2021. However, this index disregards the case of Lojas Americanas. With 100% provisioning, the amount drops to R$8.6 billion.
BB reported having provisioned BRL 788 million for the case, corresponding to 50% of the exposure to the asset and, in case of worsening risk, says that the impact is already duly contemplated in this year’s projections. The bank’s management stated that there are assets available and they will be recovered.
“This case was analyzed on a personalized basis and it was assessed that the provision of 50% was adequate, according to the methodology and information at that time”, adds Forni.
“The decision was not made taking into account what the impact of this would be on the result of 2022 or 2023. It was simply analyzing the case at that time, with the information available until then, it is a case that evolves day by day”, he says.
The bank’s president, Tarciana Medeiros, added that the time is now for evaluation.
According to her, BB intends to maintain the bank’s level of profitability with the current transfer of dividends to shareholders, despite pressure from the government to make credit cheaper.
Banco do Brasil distributed to its shareholders R$ 11.8 billion in dividends and interest on equity related to the 2022 result, but had a lower profit forecast due to the gap in Lojas Americanas.
According to the balance sheet, adjusted net income for the year was R$ 31.8 billion, up 51.3%, which represents a return on equity of 21.1%. The value generated for society grew 35.9% and reached R$80.1 billion and the loan portfolio reached more than R$1 trillion, growth of 14.8%.
“We have a credit portfolio with an adequate mix, with good risk management and a low default rate”, commented the president.
The BB president also stated that they are able to adapt to a possible drop in interest rates, but not that it is up to the bank to question the Central Bank’s measures. In recent days, there has been tension between President Lula and Bacen President Roberto Campos Neto over the Selic rate.
Still on the balance sheet and equity highlights, total assets closed 2022 above BRL 2 trillion. The expanded credit portfolio, for the first time, exceeded BRL 1 trillion in December 2022.
The Expanded Individual Portfolio reached R$289.6 billion, the Corporate version totaled R$358.5 billion and financing for agribusiness was R$309.7 billion. The bank highlighted that it offered credit of more than R$ 327.3 billion for sustainable businesses.
There is a forecast for credit career growth between 8 and 12% for 2023. BB explained that it intends to maintain the growth of administrative expenses between 7 and 11%. The one observed last year was 5.6%. The increase in expenses is an option of the bank’s new management for investment in personnel and technology. There is a forecast, for example, for hiring 3,000 IT agents.
In 2023, BB intends to invest in personalizing customer service, receiving data from Open Finance, a new account for children aged 10 and over and increasing investments in social initiatives.
Source: CNN Brasil
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