BB Seguridade Participações (BBSE3) Q3 2025 earnings summary

Executive summary

• Recurring managerial net income reached BRL 2.6 billion in Q3 2025, up 13.1% year-over-year, and BRL 6.8 billion YTD, up nearly 14%, driven by strong financial results and higher volumes, especially in Brasilprev due to lower liability costs from IGP-M deflation.

• Net investment income surged 55.1% in Q3 2025, contributing significantly to profitability.

• Customer-centric strategies led to a 24% reduction in complaints, a 7% improvement in churn, and a 5.1-point increase in NPS.

• New CEO emphasized continuity with improvements, leveraging synergies and digital transformation.

• The company maintained robust capital and liquidity positions, meeting all regulatory requirements.

Financial highlights

• Net investment income for Q3 2025 was BRL 714 million, up 55% year-over-year; YTD was BRL 1.5 billion, up 55%.

• Operating income after taxes increased 2.4% year-over-year and 5.7% YTD.

• Written premiums at Brasilseg dropped 15% year-over-year in Q3, mainly due to rural insurance performance.

• Pension contributions dropped 19% year-over-year, impacted by IOF tax changes; reserves grew 9% year-over-year.

• Premium bonds collections grew 5% year-over-year; reserves up 6%.

Outlook and guidance

• Non-interest operating result (ex-holding) delivered 5.9% YTD, above guidance range, expected to converge in Q4.

• Written premiums guidance for Brasilseg was a drop of 4% to 1%; actual drop was 7.9% YTD, mainly due to rural insurance.

• Pension plan reserves grew 9% in nine months; future growth expected to be gradual due to IOF and market conditions.

• 2026 outlook anticipates low growth in earned premiums and a likely reduction in investment income due to expected lower Selic rates and less favorable inflation dynamics.

• Management is monitoring tax reform and new accounting standards, with no immediate material effects expected.