Banco Santander (Brasil) (SANB4) Q1 2025 earnings summary

Executive summary

• Net income/profit reached BRL 3.9 billion (R$3.9 billion) in Q1 2025, up 28% year-over-year and stable sequentially, reflecting strategic improvements and disciplined execution.

• ROAE stood at 17.4%, a 3.3 p.p. (300 bps) improvement year-over-year, supported by revenue growth, cost control, and operational efficiency.

• Customer base expanded to 70.7 million, with 33 million active clients and record-high NPS, driven by digital transformation and hyper-personalized offerings.

• Strategic focus on digitalization, efficiency, and diversification, including the rollout of OneApp and advancements in payment solutions.

• Maintained leadership in consumer finance and SME lending, with strong growth in electric vehicle financing and Select segments.

Financial highlights

• Net interest income was R$15.9 billion, up 7.7% year-over-year but down 0.4% sequentially; total revenues reached R$21.1 billion, up 7% YoY.

• Fee income totaled R$5.1 billion, up 5.1% YoY but down 6.9% sequentially.

• Efficiency ratio improved to 37.2%, the best in three years, with expenses growing below inflation.

• Cards portfolio grew 18% YoY to R$58.1 billion, with 55% in high-income clients.

• Consumer finance loan portfolio grew 15.7% YoY to R$83.5 billion, with 50% market share in electric vehicles.

Outlook and guidance

• Targeting at least 20% ROAE in the medium term, with ongoing focus on efficiency, disciplined capital allocation, and sustainable growth.

• 2025 positioned as a year of execution focused on long-term vision, profitability, balanced loan portfolio, and funding cost reduction.

• Continued cautious approach to portfolio growth amid macroeconomic and regulatory challenges.