Banco do Estado do Rio Grande do Sul (BRSR6) Q3 2025 earnings summary

Executive summary

• Net income for the first nine months of 2025 reached BRL 948 million, up 50% year-over-year, with Q3 net income up 66.7% compared to Q3 2024, driven by higher financial margin, service income, and digital expansion.

• Opened 215,000 new digital accounts, nearing 300,000 by end of November, reflecting strong digitalization efforts.

• Integrated Vero Network and launched Conta Única, expanding retail presence and product mix.

• Focused on productivity gains, digital transformation, and cost containment.

• Equity rose 6.0% to BRL 10.88 billion, reflecting retained earnings, dividend payments, and actuarial adjustments.

Financial highlights

• Q3 2025 net income: BRL 377 million, up from BRL 328.8 million in Q3 2024.

• Net interest income for Q3: BRL 1.6 billion, up 11% year-over-year, but down 2.1% sequentially.

• Loan portfolio as of September 2025 stood at BRL 64.1 billion, up 11.1% year-over-year and 0.1% quarter-over-quarter.

• Funding reached BRL 107.2 billion as of September 2025, up 14.6% year-over-year and 3.0% quarter-over-quarter.

• Administrative expenses increased 3.4% in nine months, with Q3 at BRL 1.2 billion, up 1.0% year-over-year.

Outlook and guidance

• Strategy remains focused on receivables, cash flow, and small business lending, with plans to grow payroll portfolio as market stabilizes.

• Expects to benefit from potential SELIC rate decreases, improving spreads.

• Conservative approach to unsecured lending, prioritizing collateralized operations.

• 2025 guidance: loan portfolio growth of 6–10%, financial margin up 7–12%, credit cost at 1.2–2.2%, and administrative expenses up 7–11%.

• Emphasis on cost control and efficiency improvements in administrative expenses.