Financial
Statements
March 31, 2024
Financial Statements - March 31, 2024.
Índex | |
2 - Presentation of financial statements | 11 |
3 - Description of significant accounting policies | 16 |
4 - Significant Judgments and accounting estimates | 22 |
5 - Acquisitions, disposals and corporate restructuring | 25 |
6 - Information by segment | 26 |
7 - Cash and due from banks | 30 |
8 - Compulsory deposits with Bacen | 31 |
9 - Interbank investments | 32 |
10 - Securities | 33 |
11 - Derivative financial instruments | 40 |
12 - Loan portfolio | 47 |
13 - Other assets | 56 |
14 - Investments | 58 |
15 - Property for use | 63 |
16 - Intangible | 64 |
17 - Customers resources | 66 |
18 - Financial institutions resources | 68 |
19 - Resources from issuance of debt securities | 71 |
20 - Other liabilities | 74 |
21 - Provisions and contingent liabilities | 76 |
22 - Taxes | 81 |
23 - Shareholder's equity | 84 |
24 - Service fee income | 90 |
25 - Personnel expenses | 91 |
26 - Other administrative expenses | 92 |
27 - Other income/expenses | 93 |
28 - Related party transactions | 94 |
29 - Employee benefits | 99 |
30 - Risk and capital management | 111 |
31 - Recurring and non-recurring net income | 122 |
32 - Other information | 123 |
33 - Subsequent events | 126 |
Independent Auditor's Report | 127 |
Declaration of the Executive Board members about the Financial Statements | 129 |
Declaration of the Executive Board members about the Report of Independent Auditors | 130 |
Members of Management | 131 |
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 2 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
Balance sheet
Note | Banco do Brasil | Consolidated | |||||||||||||||
March 31, 2024 | Dec 31, 2023 | March 31, 2024 | Dec 31, 2023 | ||||||||||||||
Assets | |||||||||||||||||
Cash and due from banks | 7 | 21,130,064 | 14,022,703 | 23,837,850 | 17,327,745 | ||||||||||||
Financial assets | 2,206,163,177 | 2,098,663,459 | 2,199,219,560 | 2,072,861,380 | |||||||||||||
Compulsory deposits with Bacen | 8 | 111,781,951 | 101,805,900 | 111,781,951 | 101,805,900 | ||||||||||||
Interbank investments | 9 | 520,929,985 | 484,532,603 | 475,794,769 | 432,160,990 | ||||||||||||
Securities | 10 | 485,599,831 | 450,775,401 | 505,682,673 | 466,994,273 | ||||||||||||
Derivative financial instruments | 11 | 4,170,404 | 1,974,580 | 4,182,456 | 1,973,686 | ||||||||||||
Loan portfolio | 12 | 990,981,018 | 964,925,057 | 1,002,375,066 | 975,349,358 | ||||||||||||
Other financial assets | 13 | 92,699,988 | 94,649,918 | 99,402,645 | 94,577,173 | ||||||||||||
Allowance for losses associated with credit risk | (60,475,538) | (59,227,890) | (60,945,667) | (59,672,969) | |||||||||||||
Loan portfolio | 12 | (56,918,066) | (55,806,103) | (57,050,363) | (55,927,619) | ||||||||||||
Other financial assets | 13 | (3,557,472) | (3,421,787) | (3,895,304) | (3,745,350) | ||||||||||||
Tax assets | 67,584,150 | 67,916,922 | 70,136,315 | 70,325,066 | |||||||||||||
Current tax assets | 10,682,876 | 10,653,911 | 11,487,339 | 11,310,927 | |||||||||||||
Deferred tax assets (tax credit) | 22 | 56,901,274 | 57,263,011 | 58,648,976 | 59,014,139 | ||||||||||||
Investments | 41,365,288 | 37,044,909 | 21,939,835 | 21,081,796 | |||||||||||||
Investments in subsidiaries, associates and joint | 14 | 41,397,930 | 37,077,565 | 21,950,595 | 21,093,695 | ||||||||||||
ventures | |||||||||||||||||
Other investments | 2,117 | 2,103 | 2,677 | 2,656 | |||||||||||||
Impairment losses | (34,759) | (34,759) | (13,437) | (14,555) | |||||||||||||
Property for use | 15 | 9,897,892 | 9,870,462 | 10,094,643 | 10,072,293 | ||||||||||||
Property and equipment | 23,742,661 | 23,409,291 | 24,149,949 | 23,814,084 | |||||||||||||
Accumulated depreciation | (13,831,647) | (13,525,707) | (14,031,883) | (13,718,368) | |||||||||||||
Impairment losses | (13,122) | (13,122) | (23,423) | (23,423) | |||||||||||||
Intangible | 16 | 10,443,583 | 10,762,606 | 10,479,796 | 10,800,779 | ||||||||||||
Intangible assets | 19,182,373 | 18,897,719 | 19,696,405 | 19,414,590 | |||||||||||||
Accumulated amortization | (8,374,668) | (7,765,810) | (8,822,596) | (8,214,617) | |||||||||||||
Impairment losses | (364,122) | (369,303) | (394,013) | (399,194) | |||||||||||||
Other non-financial assets | 13 | 29,521,038 | 29,000,463 | 30,269,021 | 29,683,893 | ||||||||||||
Total assets | 2,325,629,654 | 2,208,053,634 | 2,305,031,353 | 2,172,479,983 | |||||||||||||
Liabilities | |||||||||||||||||
Financial liabilities | 2,082,703,502 | 1,969,191,687 | 2,040,391,178 | 1,911,665,321 | |||||||||||||
Customers resources | 17 | 773,525,721 | 787,539,469 | 799,602,620 | 811,943,803 | ||||||||||||
Financial institutions resources | 18 | 830,189,733 | 732,656,495 | 761,098,025 | 651,190,724 | ||||||||||||
Resources from issuance of debt securities | 19 | 282,305,353 | 281,287,311 | 285,433,802 | 284,156,307 | ||||||||||||
Derivative financial instruments | 11 | 4,254,728 | 2,507,258 | 4,255,774 | 2,509,742 | ||||||||||||
Other financial liabilities | 20 | 192,427,967 | 165,201,154 | 190,000,957 | 161,864,745 | ||||||||||||
Provisions | 21 | 26,885,005 | 25,869,509 | 27,792,824 | 26,748,479 | ||||||||||||
Provisions for civil, tax and labor claims | 19,449,443 | 18,471,031 | 19,709,043 | 18,725,677 | |||||||||||||
Other provisions | 7,435,562 | 7,398,478 | 8,083,781 | 8,022,802 | |||||||||||||
Tax liabilities | 11,437,653 | 14,821,119 | 13,693,319 | 19,028,667 | |||||||||||||
Current tax liabilities | 1,912,473 | 3,768,292 | 3,964,766 | 7,719,945 | |||||||||||||
Deferred tax liabilities | 22 | 9,525,180 | 11,052,827 | 9,728,553 | 11,308,722 | ||||||||||||
Other non-financial liabilities | 20 | 36,057,455 | 34,533,093 | 44,133,339 | 41,961,430 | ||||||||||||
Total liabilities | 2,157,083,615 | 2,044,415,408 | 2,126,010,660 | 1,999,403,897 | |||||||||||||
Shareholders' equity | |||||||||||||||||
Capital | 23.b | 120,000,000 | 120,000,000 | 120,000,000 | 120,000,000 | ||||||||||||
Instruments qualifying to common equity tier 1 capital | 23.c | -- | -- | 6,100,000 | 6,100,000 | ||||||||||||
Capital reserves | 23.d | 1,411,002 | 1,406,118 | 1,412,479 | 1,407,902 | ||||||||||||
Profit reserves | 23.d | 57,742,594 | 61,526,683 | 57,306,668 | 61,154,159 | ||||||||||||
Other comprehensive income | 23.h | (19,129,638) | (19,028,104) | (19,129,638) | (19,028,104) | ||||||||||||
Treasury shares | 23.l | (262,122) | (266,471) | (263,599) | (268,255) | ||||||||||||
Retained earnings/accumulated losses | 8,784,203 | -- | 8,784,203 | -- | |||||||||||||
Non-controlling interest | 23.i | -- | -- | 4,810,580 | 3,710,384 | ||||||||||||
Total shareholders' equity | 23 | 168,546,039 | 163,638,226 | 179,020,693 | 173,076,086 | ||||||||||||
Total liabilities and equity | 2,325,629,654 | 2,208,053,634 | 2,305,031,353 | 2,172,479,983 |
See the accompanying notes to the financial statements.
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 3 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
Statement of income
Banco do Brasil | Consolidated | ||||||||
Note | |||||||||
1st quarter/2024 | 1st quarter/2023 | 1st quarter/2024 | 1st quarter/2023 | ||||||
Income from financial intermediation | 64,576,794 | 58,415,566 | 68,918,456 | 60,317,990 | |
Loan portfolio | 12.b | 36,365,475 | 31,786,842 | 38,435,134 | 31,665,482 |
Interbank investments | 9.b | 13,997,703 | 15,687,170 | 13,902,738 | 15,090,717 |
Securities | 10.b | 12,053,357 | 9,165,996 | 14,244,678 | 11,717,992 |
Derivative financial instruments | 11.b | 1,155,119 | 395,273 | 1,236,237 | 379,730 |
Reserve requirement | 8.b | 1,632,115 | 1,834,336 | 1,632,115 | 1,834,336 |
Other financial assets | 13.e | (626,975) | (454,051) | (532,446) | (370,267) |
Expenses from financial intermediation | (41,845,596) | (41,180,192) | (43,122,655) | (40,581,626) | |
Financial institutions resources | 18.d | (22,515,558) | (21,746,472) | (22,104,956) | (18,789,482) |
Customers resources | 17.c | (12,543,159) | (13,651,916) | (14,108,236) | (15,908,561) |
Resources from issuance of debt securities | 19.d | (6,072,492) | (5,385,841) | (6,259,040) | (5,547,674) |
Other funding expenses | 20.c | (714,387) | (395,963) | (650,423) | (335,909) |
Allowance for losses associated with credit risk | (10,104,169) | (4,087,152) | (10,149,894) | (4,138,520) | |
Loan portfolio | 12.f | (9,968,837) | (4,116,313) | (10,000,314) | (4,148,323) |
Other financial assets | 13.c | (135,332) | 29,161 | (149,580) | 9,803 |
Net Income from financial intermediation | 12,627,029 | 13,148,222 | 15,645,907 | 15,597,844 | |
Other operating income/expenses | (1,410,140) | (971,287) | (2,149,407) | (1,413,381) | |
Service fee income | 24 | 5,056,039 | 5,119,319 | 8,344,382 | 8,131,702 |
Personnel expenses | 25 | (5,406,530) | (5,103,351) | (5,880,293) | (5,617,693) |
Other administrative expenses | 26 | (3,634,910) | (3,419,292) | (3,474,063) | (3,313,578) |
Tax expenses | 22.c | (1,427,019) | (1,235,828) | (2,101,852) | (1,884,772) |
Net gains from equity method investments | 14.a | 4,512,606 | 3,584,694 | 1,841,961 | 1,656,682 |
Other income/expenses | 27 | (510,326) | 83,171 | (879,542) | (385,722) |
Provisions | 21.d | (2,419,155) | (1,905,157) | (2,432,457) | (1,936,394) |
Provisions for civil, tax and labor claims | (2,395,161) | (1,995,913) | (2,406,152) | (2,027,035) | |
Other | (23,994) | 90,756 | (26,305) | 90,641 | |
Operating income | 8,797,734 | 10,271,778 | 11,064,043 | 12,248,069 | |
Net non-operating Income | (13,710) | 42,779 | 47,589 | 106,861 | |
Profit before taxation and profit sharing | 8,784,024 | 10,314,557 | 11,111,632 | 12,354,930 | |
Income tax and social contribution | 22.a | 1,117,568 | (1,151,260) | (229,354) | (2,283,758) |
Employee and directors profit sharing | (1,119,953) | (1,046,397) | (1,124,415) | (1,050,297) | |
Non-controlling interest | 23.i | -- | -- | (975,662) | (814,283) |
Net income | 8,781,639 | 8,116,900 | 8,782,201 | 8,206,592 | |
Net income attributable to shareholders | |||||
Shareholders of the bank | 8,781,639 | 8,116,900 | 8,782,201 | 8,206,592 | |
Non-controlling interests | -- | -- | 975,662 | 814,283 | |
Earnings per share | 23.e | ||||
Weighted average number of shares - basic | 5,708,392,262 | 5,707,985,480 | |||
Weighted average number of shares - diluted | 5,707,623,882 | 5,707,195,672 | |||
Basic and diluted earnings per share (R$) | 1.54 | 1.42 | |||
See the accompanying notes to the financial statements. |
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 4 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
Statement of comprehensive income
Banco do Brasil | Consolidated | |||||||||||||
1st quarter/2024 | 1st quarter/2023 | 1st quarter/2024 | 1st quarter/2023 | |||||||||||
Net income attributable to controlling interests | 8,781,639 | 8,116,900 | 8,782,201 | 8,206,592 | ||||||||||
Net income attributable to non-controlling interests | -- | -- | 975,662 | 814,283 | ||||||||||
Net income attributable to shareholders | 8,781,639 | 8,116,900 | 9,757,863 | 9,020,875 | ||||||||||
Items that may be subsequently reclassified to the Statement | ||||||||||||||
of Income | ||||||||||||||
Financial assets available for sale | (49,499) | 390,888 | (173,449) | 599,683 | ||||||||||
Unrealized gains/(losses) on financial assets available for sale | 17,309 | (524,189) | (46,393) | (60,076) | ||||||||||
Realized (gains)/losses on financial assets available for sale - | 28,137 | 767,710 | (60,815) | 660,940 | ||||||||||
reclassified to profit or loss | ||||||||||||||
Tax effect | (94,945) | 147,367 | (66,241) | (1,181) | ||||||||||
Share in the comprehensive income of subsidiaries, associates | 30,453 | 103,997 | 217,755 | (47,476) | ||||||||||
and joint ventures | ||||||||||||||
Unrealized gains/(losses) on financial assets available for sale | 505,696 | 156,373 | 960,580 | (158,674) | ||||||||||
Unrealized gains/(losses) on cash flow hedge | 4,222 | (84,013) | 4,222 | (84,013) | ||||||||||
Unrealized gains/(losses) on other comprehensive income | (306,958) | 104,441 | (454,952) | 158,477 | ||||||||||
Tax effect | (172,507) | (72,804) | (292,095) | 36,734 | ||||||||||
Hedge of net investment abroad | (20,696) | 13,281 | (20,696) | 13,281 | ||||||||||
Unrealized gains/(losses) on hedge of net investment abroad | (39,466) | 25,323 | (39,466) | 25,323 | ||||||||||
Tax effect | 18,770 | (12,042) | 18,770 | (12,042) | ||||||||||
Foreign currency exchange adjustments | (61,792) | (683,928) | (83,000) | (842,108) | ||||||||||
Other comprehensive income net of tax effects | (101,534) | (175,762) | (59,390) | (276,620) | ||||||||||
Comprehensive income | 8,680,105 | 7,941,138 | 9,698,473 | 8,744,255 | ||||||||||
Comprehensive income attributable to controlling interests | 8,680,105 | 7,941,138 | 8,680,667 | 8,030,830 | ||||||||||
Comprehensive income attributable to non-controlling interests | -- | -- | 1,017,806 | 713,425 | ||||||||||
See the accompanying notes to the financial statements. |
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 5 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
Statement of changes in shareholders' equity
Banco do Brasil | Note | |||
Balances at Dec 31, 2022 | ||
Accumulated other comprehensive income of financial instruments, net of taxes | 23.h | |
Foreign exchange variation of investments abroad | 23.h | |
Cash flow hedge | 23.h | |
Hedge of net investment abroad | 23.h | |
Change in participation in the capital of associates/subsidiaries | ||
Other comprehensive income | 23.h | |
Share-based payment transactions | ||
Expired dividends and interest on own capital | ||
Net income | 23.g | |
Allocation: | - Dividends | 23.f |
- Interest on own capital | 23.f | |
Balances at March 31, 2023 | ||
Changes in the period | ||
Balances at Dec 31, 2023 | ||
Accumulated other comprehensive income of financial instruments, net of taxes | 23.h | |
Foreign exchange variation of investments abroad | 23.h | |
Cash flow hedge | 23.h | |
Hedge of net investment abroad | 23.h | |
Accumulated other comprehensive income - benefit plans of nonconsolidated entities, | 23.h | |
net of taxes | ||
Capital | Capital reserves | |
90,000,023 | 1,402,523 | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | 3,595 | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | -- | |
90,000,023 | 1,406,118 | |
-- | 3,595 | |
120,000,000 | 1,406,118 | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | -- | |
Profit reserves | |
Legal reserve | Statutory |
reserves | |
11,777,636 | 58,732,780 |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
-- | (351,037) |
-- | (2,872,136) |
11,777,636 | 55,509,607 |
-- | (3,223,173) |
13,458,379 | 48,068,304 |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
-- | -- |
Other | Retained | |||||||||||
comprehensive | Treasury shares | earnings/accumul | Total | |||||||||
income | ated losses | |||||||||||
(8,095,198) | (270,840) | 282,540 | 153,829,464 | |||||||||
434,922 | -- | -- | 434,922 | |||||||||
(683,928) | -- | -- | (683,928) | |||||||||
(46,207) | -- | -- | (46,207) | |||||||||
13,281 | -- | -- | 13,281 | |||||||||
(418) | -- | (288) | (706) | |||||||||
106,588 | -- | -- | 106,588 | |||||||||
-- | 4,369 | -- | 7,964 | |||||||||
-- | -- | 4,563 | 4,563 | |||||||||
-- | -- | 8,116,900 | 8,116,900 | |||||||||
-- | -- | -- | (351,037) | |||||||||
-- | -- | -- | (2,872,136) | |||||||||
(8,270,960) | (266,471) | 8,403,715 | 158,559,668 | |||||||||
(175,762) | 4,369 | 8,121,175 | 4,730,204 | |||||||||
(19,028,104) | (266,471) | -- | 163,638,226 | |||||||||
286,822 | -- | -- | 286,822 | |||||||||
(61,792) | -- | -- | (61,792) | |||||||||
2,322 | -- | -- | 2,322 | |||||||||
(20,696) | -- | -- | (20,696) | |||||||||
(2) | -- | -- | (2) | |||||||||
Change in participation in the capital of associates/subsidiaries | 23.h | ||||||
Other comprehensive income | 23.h | ||||||
Share-based payment transactions | |||||||
Expired dividends and interest on own capital | |||||||
Net income | 23.g | ||||||
Allocation: | - Dividends | 23.f | |||||
- Interest on own capital | 23.f | ||||||
Balances at March 31, 2024 | |||||||
Changes in the period | |||||||
-- | -- | |
-- | -- | |
-- | 4,884 | |
-- | -- | |
-- | -- | |
-- | -- | |
-- | -- | |
120,000,000 | 1,411,002 | |
-- | 4,884 | |
-- | -- | (166,424) | -- | -- | (166,424) | |||||||||||||
-- | -- | (141,764) | -- | -- | (141,764) | |||||||||||||
-- | -- | -- | 4,349 | -- | 9,233 | |||||||||||||
-- | -- | -- | -- | 2,564 | 2,564 | |||||||||||||
-- | -- | -- | -- | 8,781,639 | 8,781,639 | |||||||||||||
-- | (940,587) | -- | -- | -- | (940,587) | |||||||||||||
-- | (2,843,502) | -- | -- | -- | (2,843,502) | |||||||||||||
13,458,379 | 44,284,215 | (19,129,638) | (262,122) | 8,784,203 | 168,546,039 | |||||||||||||
-- | (3,784,089) | (101,534) | 4,349 | 8,784,203 | 4,907,813 | |||||||||||||
See the accompanying notes to the financial statements.
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 6 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
BB Consolidated
Balances at Dec 31, 2022
Accumulated other comprehensive income of financial instruments, net of taxes Foreign exchange variation of investments abroad
Cash flow hedge
Hedge of net investment abroad
Change in participation in the capital of associates/subsidiaries Other comprehensive income
Share-based payment transactions
Expired dividends and interest on own capital
Change in noncontrolling interest
Net income
Interest on instruments qualifying to common equity
Unrealized gains
Allocation: - Dividends
- Interest on own capital
Balances at March 31, 2023
Changes in the period
Balances at Dec 31, 2023
Accumulated other comprehensive income of financial instruments, net of taxes
Foreign exchange variation of investments abroad
Cash flow hedge
Hedge of net investment abroad
Accumulated other comprehensive income - benefit plans of nonconsolidated entities, net of taxes
Change in participation in the capital of associates/subsidiaries Other comprehensive income
Share-based payment transactions
Expired dividends and interest on own capital
Change in noncontrolling interest
Net income
Interest on instruments qualifying to common equity
Unrealized gains
Allocation: - Dividends
- Interest on own capital
Balances at March 31, 2024
Changes in the period
Note Capital
90,000,023 | |
23.h | -- |
23.h | -- |
23.h | -- |
23.h | -- |
23.h | -- |
23.h | -- |
-- | |
-- | |
-- | |
23.g | -- |
-- | |
-- | |
23.f | -- |
23.f | -- |
90,000,023 | |
-- | |
120,000,000 | |
23.h | -- |
23.h | -- |
23.h | -- |
23.h | -- |
23.h | -- |
23.h | -- |
23.h | -- |
-- | |
-- | |
-- | |
23.g | -- |
-- | |
-- | |
23.f | -- |
23.f | -- |
120,000,000 | |
-- |
Instruments | Profit reserves | Retained | |||||||||||||||||||
qualifying to | Capital | Other | Treasury | earnings/accu | |||||||||||||||||
common | Statutory | comprehensiv | |||||||||||||||||||
reserves | Legal reserve | shares | mulated | ||||||||||||||||||
equity tier 1 | e income | ||||||||||||||||||||
reserves | |||||||||||||||||||||
losses | |||||||||||||||||||||
capital | |||||||||||||||||||||
7,100,000 | 1,404,253 | 11,777,636 | 58,364,537 | (8,095,198) | (272,570) | 282,540 | |||||||||||||||
-- | -- | -- | -- | 434,922 | -- | -- | |||||||||||||||
-- | -- | -- | -- | (683,928) | -- | -- | |||||||||||||||
-- | -- | -- | -- | (46,207) | -- | -- | |||||||||||||||
-- | -- | -- | -- | 13,281 | -- | -- | |||||||||||||||
-- | -- | -- | -- | (418) | -- | (288) | |||||||||||||||
-- | -- | -- | -- | 106,588 | -- | -- | |||||||||||||||
-- | 3,649 | -- | -- | -- | 4,315 | -- | |||||||||||||||
-- | -- | -- | -- | -- | -- | 4,563 | |||||||||||||||
-- | -- | -- | -- | -- | -- | -- | |||||||||||||||
-- | -- | -- | -- | -- | -- | 8,206,592 | |||||||||||||||
-- | -- | -- | -- | -- | -- | (60,063) | |||||||||||||||
-- | -- | -- | 29,629 | -- | -- | (29,629) | |||||||||||||||
-- | -- | -- | (351,037) | -- | -- | -- | |||||||||||||||
-- | -- | -- | (2,872,136) | -- | -- | -- | |||||||||||||||
7,100,000 | 1,407,902 | 11,777,636 | 55,170,993 | (8,270,960) | (268,255) | 8,403,715 | |||||||||||||||
-- | 3,649 | -- | (3,193,544) | (175,762) | 4,315 | 8,121,175 | |||||||||||||||
6,100,000 | 1,407,902 | 13,458,379 | 47,695,780 | (19,028,104) | (268,255) | -- | |||||||||||||||
-- | -- | -- | -- | 286,822 | -- | -- | |||||||||||||||
-- | -- | -- | -- | (61,792) | -- | -- | |||||||||||||||
-- | -- | -- | -- | 2,322 | -- | -- | |||||||||||||||
-- | -- | -- | -- | (20,696) | -- | -- | |||||||||||||||
-- | -- | -- | -- | (2) | -- | -- |
-- | -- | -- | -- | (141,764) | -- | -- |
-- | -- | -- | -- | (166,424) | -- | -- |
-- | 4,577 | -- | -- | -- | 4,656 | -- |
-- | -- | -- | -- | -- | -- | 2,564 |
-- | -- | -- | -- | -- | -- | -- |
-- | -- | -- | -- | -- | -- | 8,782,201 |
-- | -- | -- | -- | -- | -- | (63,964) |
-- | -- | -- | (63,402) | -- | -- | 63,402 |
-- | -- | -- | (940,587) | -- | -- | -- |
-- | -- | -- | (2,843,502) | -- | -- | -- |
6,100,000 | 1,412,479 | 13,458,379 | 43,848,289 | (19,129,638) | (263,599) | 8,784,203 | ||||||
-- | 4,577 | -- | (3,847,491) | (101,534) | 4,656 | 8,784,203 | ||||||
Non-
controlling Total interest
3,452,764 164,013,985
3,286 438,208
(158,180) (842,108)
- (46,207)
- 13,281
-
(706)
54,036 160,624
274 8,238
-
4,563
45,114 45,114
814,283 9,020,875
- (60,063)
- --
- (351,037)
- (2,872,136)
4,211,577 | 169,532,631 |
758,813 | 5,518,646 |
3,710,384 | 173,076,086 |
210,114 | 496,936 |
(21,208) | (83,000) |
-- | 2,322 |
-- | (20,696) |
-- | (2) |
(78,388) | (220,152) |
(68,374) | (234,798) |
-- | 9,233 |
4 | 2,568 |
82,386 | 82,386 |
975,662 | 9,757,863 |
-- | (63,964) |
-- | -- |
-- | (940,587) |
-- | (2,843,502) |
4,810,580 | 179,020,693 |
1,100,196 | 5,944,607 |
See the accompanying notes to the financial statements.
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 7 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
Statements of cash flows
Note | Banco do Brasil | Consolidated | |||||||||||||
1st quarter/2024 | 1st quarter/2023 | 1st quarter/2024 | 1st quarter/2023 | ||||||||||||
Cash flows from operating activities | |||||||||||||||
Net income | 8,781,639 | 8,116,900 | 8,782,201 | 8,206,592 | |||||||||||
Adjustments to net income | 8,448,503 | 3,745,330 | 13,083,512 | 7,164,721 | |||||||||||
Allowance for losses associated with credit risk | 12 | 10,104,169 | 4,087,152 | 10,149,894 | 4,138,520 | ||||||||||
Depreciation and amortization | 1,016,637 | 958,712 | 1,029,621 | 974,267 | |||||||||||
Exchange (gain) loss on the conversion of assets and liabilities into | 2,160,609 | (795,671) | 1,921,912 | (1,717,680) | |||||||||||
foreign currency | |||||||||||||||
(Reversal) expenses from impairment | (5,181) | -- | (5,181) | -- | |||||||||||
Share of (earnings) losses of subsidiaries, associates and joint ventures | 14 | (4,512,606) | (3,584,694) | (1,841,961) | (1,656,682) | ||||||||||
(Gain) loss on the disposal of assets | 564 | (17,295) | 206 | (18,337) | |||||||||||
Capital (gain) loss | 9,587 | (21,798) | (52,124) | (83,964) | |||||||||||
Civil, tax and labor claims and other provisions | 21.d | 2,419,155 | 1,905,157 | 2,432,457 | 1,936,394 | ||||||||||
Adjustment of actuarial assets/liabilities and surplus allocation funds | 29.d.4/f | (577,584) | (897,234) | (577,584) | (897,235) | ||||||||||
Effect of changes in foreign exchange rates in cash and cash equivalents | (1,088,907) | 894,105 | (992,666) | 1,775,655 | |||||||||||
Non-controlling interests | -- | -- | 975,662 | 814,283 | |||||||||||
Income tax and social contribution | (1,117,568) | 1,151,260 | 229,354 | 2,283,758 | |||||||||||
Other adjustments | 39,628 | 65,636 | (186,078) | (384,258) | |||||||||||
Adjusted net income | 17,230,142 | 11,862,230 | 21,865,713 | 15,371,313 | |||||||||||
Changes in assets and liabilities | 31,644,138 | (28,876,332) | 30,673,810 | (28,507,862) | |||||||||||
(Increase) decrease in Central Bank compulsory reserves | (9,976,051) | 124,439 | (9,976,051) | 124,439 | |||||||||||
(Increase) decrease in short-term interbank investments | (19,364,530) | (56,550,348) | (30,059,709) | (62,060,689) | |||||||||||
(Increase) decrease in trading securities | (260,986) | (947,169) | (181,427) | (518,769) | |||||||||||
(Increase) decrease in derivatives | (469,051) | (565,916) | (483,435) | (246,404) | |||||||||||
(Increase) decrease in loans, net of provision | (33,931,793) | (31,581,686) | (33,747,536) | (32,504,735) | |||||||||||
(Increase) decrease in other financial assets | 2,819,103 | 624,617 | (3,840,542) | (5,381,807) | |||||||||||
(Increase) decrease in other assets | (6,066,387) | (4,839,784) | (208,949) | (352,408) | |||||||||||
Income tax and social contribution paid | (1,910,525) | (1,078,184) | (5,090,459) | (4,421,997) | |||||||||||
(Decrease) increase in customer resources | (14,082,950) | (5,290,794) | (12,410,385) | (2,090,422) | |||||||||||
(Decrease) increase in financial institution resources | 96,045,340 | 70,881,159 | 107,294,818 | 77,461,784 | |||||||||||
(Decrease) increase in funds from issuance of securities | 612,809 | 19,599,972 | 789,798 | 18,492,747 | |||||||||||
(Decrease) increase in other financial liabilities | 18,409,251 | (21,866,212) | 17,599,700 | (22,045,488) | |||||||||||
(Decrease) increase in other liabilities | (180,092) | 2,613,574 | 987,987 | 5,035,887 | |||||||||||
CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES | 48,874,280 | (17,014,102) | 52,539,523 | (13,136,549) | |||||||||||
Cash flows from investing activities | |||||||||||||||
Purchase of securities available for sale | (90,419,777) | (30,057,878) | (93,641,370) | (39,539,564) | |||||||||||
Disposal of securities available for sale | 63,856,459 | 47,752,655 | 69,174,984 | 52,484,252 | |||||||||||
Purchase of securities held to maturity | (3,904,228) | (647,182) | (8,124,361) | (812,160) | |||||||||||
Redemption of securities held to maturity | 2,998,658 | 340,810 | 2,998,658 | 340,810 | |||||||||||
Dividends received from associates and joint ventures | 6,290,122 | 4,387,184 | 1,612,827 | 1,093,860 | |||||||||||
Purchase of property and equipment | (523,517) | (261,566) | (527,163) | (254,075) | |||||||||||
Disposal of property and equipment | 87,083 | -- | 84,975 | 1,104 | |||||||||||
Purchase of intangible assets | (281,694) | (213,891) | (278,296) | (215,368) | |||||||||||
Capital investment on Broto S.A. | -- | (31,200) | -- | (31,200) | |||||||||||
Capital (investment)/redemption in controlled interests abroad | -- | (52,871) | -- | -- | |||||||||||
CASH PROVIDED BY (USED IN) INVESTING ACTIVITIES | (21,896,894) | 21,216,061 | (28,699,746) | 13,067,659 | |||||||||||
Cash flows from financing activities | |||||||||||||||
(Decrease) increase in subordinated debts | (2,933,688) | (6,928,467) | (2,933,688) | (6,917,540) | |||||||||||
(Decrease) increase in equity and debt hybrid securities | 2,559,108 | (315,403) | 2,559,108 | (333,834) | |||||||||||
Dividends paid to non-controlling shareholders | -- | -- | (822,190) | (1,261,893) | |||||||||||
Interest on own capital paid | (3,551,500) | (3,313,185) | (3,551,500) | (3,313,185) | |||||||||||
CASH USED IN FINANCING ACTIVITIES | (3,926,080) | (10,557,055) | (4,748,270) | (11,826,452) | |||||||||||
Net variation of cash and cash equivalents | 23,051,306 | (6,355,096) | 19,091,507 | (11,895,342) | |||||||||||
At the beginning of the period | 58,177,698 | 67,891,204 | 54,999,815 | 68,826,279 | |||||||||||
Effect of changes in foreign exchange rates in cash and cash equivalents | 1,088,907 | (894,105) | 992,666 | (1,775,655) | |||||||||||
At the end of the period | 82,317,911 | 60,642,003 | 75,083,988 | 55,155,282 | |||||||||||
Increase (decrease) in cash and cash equivalents | 23,051,306 | (6,355,096) | 19,091,507 | (11,895,342) |
See the accompanying notes to the financial statements.
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 8 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
Statement of value added
Note | Banco do Brasil | Consolidated | ||||||||||||||||
1st quarter/2024 | 1st quarter/2023 | 1st quarter/2024 | 1st quarter/2023 | |||||||||||||||
Income | 57,418,019 | 58,343,058 | 64,680,726 | 62,764,371 | ||||||||||||||
Income from financial intermediation | 64,576,794 | 58,415,566 | 68,918,456 | 60,317,990 | ||||||||||||||
Service fee income | 5,056,039 | 5,119,319 | 8,344,382 | 8,131,702 |
Allowance for losses associated with | (10,104,169) | (4,087,152) | (10,149,894) | (4,138,520) | |||||
credit risk | |||||||||
Capital gains | 2,344 | 43,636 | 64,510 | 105,802 | |||||
Other income/(expenses) | (2,112,989) | (1,148,311) | (2,496,728) | (1,652,603) | |||||
Expenses from financial intermediation | (41,845,596) | (41,180,192) | (43,122,655) | (40,581,626) | |||||
Inputs purchased from third parties | (2,135,745) | (1,970,490) | (1,946,973) | (1,832,286) | |||||
Materials, water, electric and gas | 26 | (140,105) | (122,681) | (144,337) | (130,640) | ||||
Expenses with outsourced services | 26 | (243,721) | (250,219) | (223,116) | (233,024) | ||||
Communications | 26 | (122,486) | (119,405) | (137,596) | (135,080) | ||||
Data processing | 26 | (432,856) | (353,322) | (292,950) | (214,556) | ||||
Transport | 26 | (18,977) | (14,914) | (31,772) | (29,186) | ||||
Security services | 26 | (331,122) | (307,184) | (336,299) | (316,002) | ||||
Financial system services | 26 | (121,361) | (174,420) | (144,811) | (198,883) | ||||
Advertising and marketing | 26 | (121,054) | (89,878) | (126,868) | (94,647) | ||||
Maintenance and upkeep | 26 | (332,766) | (311,711) | (192,480) | (198,800) | ||||
Impairment losses | 5,181 | -- | 5,181 | -- | |||||
Other | (276,478) | (226,756) | (321,925) | (281,468) | |||||
Gross added value | 13,436,678 | 15,192,376 | 19,611,098 | 20,350,459 | |||||
Depreciation and amortization | (1,016,637) | (958,712) | (1,029,621) | (974,267) | |||||
Value added produced by entity | 12,420,041 | 14,233,664 | 18,581,477 | 19,376,192 | |||||
Value added received through transfer | 4,512,606 | 3,584,694 | 1,841,961 | 1,656,682 | |||||
Net gains from equity method | 4,512,606 | 3,584,694 | 1,841,961 | 1,656,682 | |||||
investments | |||||||||
Added value to distribute | 16,932,647 | 100.00% | 17,818,358 | 100.00% | 20,423,438 | 100.00% | 21,032,874 | 100.00% | |
Value added distributed | 16,932,647 | 100.00% | 17,818,358 | 100.00% | 20,423,438 | 100.00% | 21,032,874 | 100.00% | |
Personnel | 6,852,741 | 40.47% | 6,358,053 | 35.68% | 7,304,167 | 35.76% | 6,846,246 | 32.55% | |
Salaries and fees | 3,267,351 | 3,091,983 | 3,612,146 | 3,474,624 | |||||
Employee and directors profit sharing | 1,119,953 | 1,046,397 | 1,124,415 | 1,050,297 | |||||
Benefits and staff training | 973,782 | 907,150 | 1,022,240 | 953,281 | |||||
FGTS (Government severance indemnity | 196,160 | 184,215 | 204,020 | 191,412 | |||||
fund for employees) | |||||||||
Other charges | 1,295,495 | 1,128,308 | 1,341,346 | 1,176,632 | |||||
Taxes, rates and contributions | 966,776 | 5.71% | 3,003,993 | 16.86% | 3,014,976 | 14.76% | 4,809,410 | 22.87% | |
Federal | 676,833 | 2,721,473 | 2,383,228 | 4,168,676 | |||||
State | 443 | 430 | 443 | 430 | |||||
Municipal | 289,500 | 282,090 | 631,305 | 640,304 | |||||
Interest on third parties' capital | 331,491 | 1.96% | 339,412 | 1.90% | 346,432 | 1.70% | 356,343 | 1.69% | |
Rent | 26 | 331,491 | 339,412 | 346,432 | 356,343 | ||||
Interest on own capital | 8,781,639 | 51.86% | 8,116,900 | 45.56% | 9,757,863 | 47.78% | 9,020,875 | 42.89% | |
Federal government's interest on own | 1,421,751 | 1,436,068 | 1,421,751 | 1,436,068 | |||||
capital | |||||||||
Other shareholders' interest on own | 1,421,751 | 1,436,068 | 1,421,751 | 1,436,068 | ||||||||||||||||
capital | ||||||||||||||||||||
Federal government dividends | 470,294 | 175,519 | 470,294 | 175,519 | ||||||||||||||||
Dividends for other shareholders' | 470,293 | 175,518 | 470,293 | 175,518 | ||||||||||||||||
dividends | ||||||||||||||||||||
Interest on the instrument eligible to the | ||||||||||||||||||||
federal government's common equity tier | -- | -- | 63,964 | 60,063 | ||||||||||||||||
1 capital | ||||||||||||||||||||
Retained earnings | 4,997,550 | 4,893,727 | 4,934,148 | 4,923,356 | ||||||||||||||||
Non-controlling interest in retained | -- | -- | 975,662 | 814,283 | ||||||||||||||||
earnings | ||||||||||||||||||||
See the accompanying notes to the financial statements.
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 9 |
Financial Statements - March 31, 2024.
In thousands of Reais, unless otherwise stated
1 - The Bank and its operations
Banco do Brasil S.A. (Banco do Brasil or the Bank) is a publicly-traded company, which explores economic activity pursuant to art. 173 of the Brazilian Federal Constitution, subject to the rules of Brazilian Corporate Law, and is governed by Laws 4,595/1964, 13,303/2016 and the respective ruling Decree. The Brazilian Federal Government controls the Bank. Its headquarters and domicile are located at Setor de Autarquias Norte, Quadra 5, Lote B, Edifício Banco do Brasil, Brasília, Federal District, Brazil.
The Bank has its shares traded in the segment known as Novo Mercado of B3 S.A. - Brasil, Bolsa, Balcão (B3), under the ticker "BBAS3" and its American Depositary Receipts (ADRs) on the over-the-counter market in the United States under the ticker "BDORY". The Bank's shareholders, managers and members of the Fiscal Council are subject to the provisions of B3's Novo Mercado Regulation. The provisions of Novo Mercado will prevail over the statutory provisions, in case of prejudice to the rights of the recipients of the public offers provided for in the Bylaws.
The Bank is a multiple bank with operations throughout the national territory also develops activities in important global financial centers. The Bank's and its subsidiaries' business activities include the following:
- all active, passive and ancillary banking operations;
- banking and financial services, including foreign exchange transactions and other services such as insurance, pension plans, capitalization bonds, securities brokerage, credit/debit card management, consortium management, investment funds and managed portfolios; and
- all other types of transactions available to banks within Brazil's National Financial System.
The Bank also acts as an agent for execution of the Brazilian Federal Government's credit and financial policies, Brazilian Law requires the Bank to perform functions, specifically those under art. 19 of Law 4,595/1964:
- act as financial agent for the National Treasury;
- provide banking services on behalf of the Federal Government and other governmental agencies;
- provide clearing services for checks and other documents;
- buy and sell foreign currencies as determined by the National Monetary Council (CMN) for the Bank's own account and for the account of the Brazilian Central Bank (Bacen);
- provide receipt and payment services for Bacen, in addition to other services;
- finance the purchase and development of small and medium-sized farms; and
- disseminate and provide credit; among others.
With a history of 215 years, the Bank operates in a responsible manner to promote social inclusion through the generation of jobs and income.
The Bank finances the production and commercialization of agricultural goods; foster rural investments such as storage, processing, industrialization of agricultural products and modernization of machinery and implements; and adjust rural properties to environmental law. Thus, the Bank supports the Brazilian agribusiness in all stages of the production chain.
The Bank offers to micro and small companies working capital, financings for investments, and foreign trade solutions, in addition to several other options related to cash flow, insurance and related, and services. The Bank provides financing alternatives and business models that promote the transition to an inclusive economy to several companies, including Individual Microentrepreneurs (Microempreendedores Individuais - MEI).
In foreign trade financing, the Bank operates government policy instruments regarding productive development, entrepreneurship, social and financial inclusion, including the Income Generation Program (Programa de Geração e Renda - Exportação - Proger) and the Export Financing Program (Programa de Financiamento às Exportações - Proex).
Banco do Brasil also acts as a Financial Market System Operating Institution (IOSMF) executing check clearing services through the Check Clearing Centralizer (Compe), Financial Market Infrastructure (IMF), part of the Brazilian Payment System (SPB), in accordance with BCB Resolutions nº 304 and 314/2023.
More information about the subsidiaries is included in Note 2, while Note 6 contains a description of the Bank's business segments.
Banco do Brasil S.A. | Individual and Consolidated Financial Statements | 10 |
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Banco do Brasil SA published this content on 08 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 May 2024 22:23:38 UTC.