BBDO Earnings Prediction
The chart below shows how BBDO performed 10 days before and after its earnings report, based on data from the past quarters. Typically, BBDO sees a -5.22% change in stock price 10 days leading up to the earnings, and a +6.07% change 10 days following the report. On the earnings day itself, the stock moves by +2.35%. This data can give you a slight idea of what to expect for the next quarter's release.
BBDO Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
29.33B
5.35%
5.47%
Gross Margin
--
--
--
Operating Margin
14.73%
27.86%
1.52%
Net Margin
16.31%
-0.67%
5.70%
EPS
0.44
4.76%
10.00%
No Data Available
BBDO Earnings Analysis
Banco Bradesco S.A. Corporation (BBDO.N) Earnings Conference Call
Positive
Significant growth in net income, reaching BRL4.7 billion in Q2 2024, showing a 12% increase quarter-on-quarter.
The loan portfolio surpassed BRL912 billion with growth across various segments including wholesale bank, MSMEs, and individuals, demonstrating balanced growth.
Enhanced profitability reflected in improved net NII driven by client NII and reduced loan loss provision expenses.
development in NPL reduction across all segments and growth in coverage ratio, indicating improved asset quality.
Operating expenses aligned with expectations, allowing for prudent expense management.
Maintenance of strong performance in the insurance segment, with robust net income growth.
Diligent approach to loan portfolio management resulted in approving BRL84 billion in new loans, leveraging digital channels with a focus on client NII growth.
Notable improvements in vintage quality, enhanced collection efficiency, and prudent credit recovery strategies driving loan loss provision expenses.
Revenue growth from fee and commission income across various lines, asset management, and card income, contributing positively to the top line.
Progress in the transformation project with a focus on credit business unit, enhanced pricing, efficient collection strategies, and portfolio management.
Achievement of solid profitability growth through focused net NII expansion and disciplined expense management, showcasing strategic execution and growth potential.
Firm plan execution in the transformation project, accelerating pace and delivering positive outcomes.
Emphasis on enhancing clients' interest through innovative product formats and a new app experience, aligning with evolving customer needs.
Appointed an experienced technology officer to enhance technology-business alignment and drive transformation projects effectively.
Negative
- Despite the overall growth in net income and loan portfolio, the company is not growing above market rates, instead maintaining inline growth rates, which could limit its competitive positioning.
- There was a mild increase in the loan portfolio of the wholesale bank, while the card segment did not experience significant growth, highlighting potential areas of weakness in the company's offerings.
- Although the approval rates for loans have improved, the growth in approvals for small companies remains more conservative, indicating a cautious approach to credit risk management.
- The year-over-year growth in operating expenses, particularly in personnel and administrative expenses, shows an increase in costs that may impact profitability and efficiency over time.
- Despite the positive performance in the insurance segment, achieving around 2.2 billion in net income, there was a slight miss in net income compared to the guidance for the quarter, signaling potential challenges in meeting future targets.
- The company acknowledges the need for ongoing transformation projects and enhancements in technology, with a new officer being hired to drive these initiatives, indicating a recognition of the need to address gaps in technology and innovation within the organization.
BBDO FAQs
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BBDO Earning Call Sentiment
Banco Bradesco S.A. (BBD) Q2 2024 Earnings Call Transcript
1.0x
00:00
00:00
BBDO.N
3.31%Positive
The earnings call reflects a mixed sentiment. Financial performance shows growth in net income and loan portfolio, but concerns about economic factors and credit risk persist. Positive aspects include digital transformation progress and improved NII guidance. However, lack of shareholder return plans and high operational expenses balance the positives. Q&A insights reveal cautious risk management and moderate optimism in client NII growth. Overall, the sentiment is neutral due to balanced positive and negative factors, without clear catalysts for a significant stock price movement.
