Banco do Brasil (BBAS3) Q3 2025 earnings summary

Executive summary

• Management emphasized resilience amid regulatory changes and turbulence, with a positive outlook for 2025 and structured solutions for credit risk, especially in agribusiness.

• Adjusted net income for 9M25 was R$14.9 billion, down 47.2% year-over-year, with 3Q25 at R$3.8 billion, flat sequentially.

• Expanded loan portfolio grew 7.5% year-over-year to over R$1.29 trillion as of Sep/25.

• The bank is leveraging technology and specialized relationships to prepare for a new growth cycle and generate shareholder value.

Financial highlights

• Net profit guidance for 2024 was revised to BRL 18–21 billion due to higher provisions, especially in agribusiness.

• Net interest income for 9M25 was R$75.3 billion, a 2.4% decrease year-over-year.

• Administrative expenses increased 5.4% year-over-year to R$29.0 billion for 9M25.

• Cost of credit rose sharply, up 66.4% year-over-year to R$44.0 billion for 9M25.

• Principal capital ratio (CET1) stands at 11.16% as of Sep/25.

Outlook and guidance

• Management expects an inflection in agribusiness delinquencies by Q1 2026, with lower provisions anticipated for 2026.

• Loan portfolio growth guidance for 2025 is 3.0%–10%, with individuals at 7.9%, companies at 11.6%, and agribusiness at 3.2%.

• Net interest income guidance for 2025 is R$102–105 billion.

• Adjusted net income guidance for 2025 is R$18–21 billion.

• Lower tax rates are expected to persist due to high provisions and deferred tax assets.