Banco Bradesco S.A. 2010 Earnings ResultsBy Banco Bradesco S.a., PRNE
Sunday, January 30, 2011
SAO PAULO, January 31, 2011 - 2010 Highlights
The main figures obtained by Bradesco (NYSE:BBD) in 2010 are presented
1. Book Net Income(1) in the year was R$10.022 billion (an increase of
25.1% compared to the R$8.012 billion in the same period of 2009),
corresponding to earnings per share of R$2.66, and Return on Average
Shareholders' Equity(2) of 22.7%.
2. Book Net Income was composed of R$7.104 billion from financial
activities, which represented 70.9% of the total, and R$2.918 billion from
insurance, private pension and savings bond operations, which accounted for
29.1% of the total.
3. On December 31, 2010, Bradesco's market capitalization stood at
R$109.759 billion(3), while the value of preferred shares rose by 12.1%(4) in
2010, against the 1.0% appreciation in the Ibovespa index.
4. Total Assets stood at R$637.485 billion in December 2010, an increase
of 25.9% from the balance in the same period in 2009. Return on Average
Assets was 1.7%.
5. The Expanded Loan Portfolio(5) stood at R$293.555 billion in December
2010, up 23.0% from the same period in 2009. Operations with individuals
totaled R$98.122 billion (up 19.5%), while operations with companies totaled
R$195.433 billion (up 24.9%).
6. Total Assets under Management stood at R$872.514 billion, an increase
of 24.3% from December 2009.
7. Shareholders' Equity was R$48.043 billion in December 2010, increasing
by 15.1% from the balance in the same period a year earlier. The Capital
Adequacy Ratio (Basel II) stood at 14.7% in December 2010, 13.1% of which
under Tier I Capital.
8. In 2010, Interest on Shareholders' Equity and Dividends were paid and
provisioned to shareholders, of which R$3.369 billion were related to income
generated in 2010, of which R$1.095 billion as interim and monthly dividends
paid and R$2.274 billion provisioned.
9. The Financial Margin reached R$33,056 million, up 11.1% on 2009.
10. The delinquency ratio over 90 days stood at 3.6%, down for the fifth
11. The Efficiency Ratio(6) stood at 42.7% in December 2010 (40.5% in
December 2009) and the "adjusted-to-risk" ratio stood at 52.4% in December
2010 (55.9% in December 2009).
12. Insurance Written Premium, Pension Plan Contributions and Savings
Bonds Income totaled R$31.078 billion(7) in 2010, up by 18.0% over 2009.
Technical provisions stood at R$87.177 billion, equal to 30.6% of the
Brazilian insurance market (base date: November/10).
13. Investments in infrastructure, information technology and
telecommunication amounted to R$3.920 billion in 2010, growth of 13.4%
compared to the previous year.
14. Taxes and contributions, including social security, paid or
provisioned, amounted to R$15.782 billion, of which R$6.793 billion
corresponded to taxes withheld and collected from third parties and R$8.989
billion corresponded to taxes levied on the activities of Bradesco
Organization, equal to 89.7% of Book Net Income.
15. Banco Bradesco has an extensive distribution network in Brazil, with
6,551 Service Points (3,628 Branches, 1,263 PABs and 1,660 PAAs). Customers
can also use 1,557 PAEs, 26,104 Bradesco Expresso service points, 6,203 Banco
Postal (Postal Bank) branches, 32,015 own ATMs in the Bradesco Dia&Noite
network and 11,057 ATMs shared with other banks(8).
16. The employees' payroll plus charges and benefits totaled R$7.844
billion. Social benefits provided to the 95,248 employees of Bradesco
Organization and their dependents amounted to R$1.856 billion, while
investments in training and development programs totaled R$107.105 million.
17. As resolved at the December 17, 2010 Extraordinary Shareholders'
Meeting, Bradesco is increasing its capital stock by R$1.5 billion, from
R$28.5 billion to R$30.0 billion.
18. In November 2010, Bradesco became the first national sponsor of the
Rio 2016 Olympic Games, as the exclusive financial service ad insurance
19. Main Awards and Recognitions in the fourth quarter of 2010:
-- Elected the Bank of the Year 2010 in the Relatorio Bancario (Bank Report) Award, which recognized the Institution's contribution to develop society through its products and services, supported by an innovative and cutting-edge technological platform (Relatorio Bancario Magazine); -- Best Bank in Personnel Management, placing second among companies with more than 10,000 employees, in 2010 (Valor Carreira magazine / Valor Economico newspaper); -- Bradesco was considered the most valuable brand in the financial segment (Superbrands); -- For the third consecutive year, it received the Premio Intangiveis Brasil 2010 (2010 Brazil Intangible Award), in the category "Information Technology and Internet" (Consumidor Moderno magazine); -- It was one of the 20 model companies in corporate social responsibility in Brazil according to Guia Exame de Sustentabilidade 2010 (2010 Exame Sustainability Guide)/Exame Magazine; -- It is one of the 42 companies to comprise the "Carbon Efficient Index" (ICO2) of the BM&FBovespa; -- For the sixth straight year, Bradesco shares were included in the "Corporate Sustainability Index (ISE)," of the BM&FBovespa; -- In 2010, Bradesco Corretora topped the main rankings of the Brazilian market's most profitable stock portfolios (Valor Economico/InfoMoney/Exame); and -- Bradesco Asset Management (BRAM) was the best institutional fund manager in a ranking prepared by Investidor Institucional magazine.
20. In relation to sustainability, Bradesco divides its actions into
three pillars: (i) Sustainable Finances, with a focus on banking inclusion,
social and environmental variables for loan approvals and the offering of
social and environmental products; (ii) Responsible Management, focused on
valuing professionals, improving the workplace and adopting eco-efficient
practices; and (iii) Social and Environmental Investments, focused on
education, the environment, culture and sports. The highlight in this area is
Fundacao Bradesco, which has been developing a broad social and educational
program that operates 40 schools throughout Brazil, operating in several
educational fields. In 2010, it served 646 thousand people, 115 thousand of
which through its own schools, in Basic Education, from Kindergarten to High
School and Technical Professional Education in High School Level; Education
for Youth and Adults and Preliminary and Continued Education. In the Virtual
School - Fundacao Bradesco's e-learning portal - , at the CIDs - Digital
Inclusion Centers and through programs conducted under strategic
partnerships, like Educa+Acao, 531 thousand students were served. Basic
Education students receive uniforms, school supplies, meals and medical and
dental assistance free of charge. In its 54 years of service, Fundacao
Bradesco has provided formal, free, quality education to over 2 million
students, which, combined with the other on-site and distance courses
offered, rises to more than 4 million.
(1) According to what has been disclosed in chapter 6 of this Report on
Economic and Financial Analysis; (2) Excludes mark-to-market effects of
available-for-sale securities registered under Shareholders' Equity; (3)
R$122.831 billion considering the closing quote for preferred shares (most
liquid share) on last day in the year; (4) Considering the reinvestment of
dividends/interest on shareholders' equity; (5) Includes sureties and
guarantees, advances of credit card receivables and credit assignments
(receivables-backed investment funds and mortgage-backed receivables) and
operations with Credit Risk - Commercial Portfolio (expanded criteria), which
includes debentures and promissory notes; (6) Accumulated over 12 months; (7)
Not considering the effect of RN 206/09 (ANS), in the total amount of R$406
million (Health); and (8) Banco24Horas ATMs + ATM terminals shared among
Bradesco, Banco do Brasil and Banco Santander.
Contact: Banco Bradesco Paulo Faustino da Costa +55-11-2178-6201 firstname.lastname@example.org Ivani Benazzi de Andrade +55-11-2178-6218 email@example.com
Paulo Faustino da Costa, +55-11-2178-6201, 4823.paulo at bradesco.com.br, or Ivani Benazzi de Andrade, +55-11-2178-6218, 4823.ivani at bradesco.com.br, both of Banco Bradesco
Tags: Banco Bradesco S/A, Brazil, January 31, Sao paulo