This content was published on 05 August 2021 – 01:32
Rio de Janeiro, Aug 4 (EFE) .- Banco do Brasil, the country’s largest financial institution, obtained a net profit of R $ 9,750 million (about US $ 1,875 million) in the first half of the year, with which its Profits increased 52% compared to the same period in 2020, the corporation reported Wednesday.
The entity’s net profit in the second quarter was 5,524 million reais (about 1,062 million dollars), 72% more than in the same period last year.
The positive figures are due, among others, to the growth of loans, the reduction in provisions for doubtful debts and the fall in the delinquency rate, according to the financial balance released today.
The bank’s expanded loan portfolio totaled 766,500 million reais (about 147,403.8 million dollars) in June, representing a growth of 6.1% compared to June 2020 and an increase of 1.1% compared to March.
The loans were granted mainly to individuals, small and medium-sized companies, and to the agro-industry.
Regarding the provisions for doubtful loans, the bank reported that the levels fell by 40.9% in the first half of the year compared to the 12,661 million reais (about 2,434 million dollars) registered in the same period of 2020 .
The public bank had significantly increased its provisions in the first half of last year to face the economic crisis generated by the COVID pandemic and which put into question the ability to pay of companies and consumers.
With regard to non-performing loans, the rate went from 1.95% of the volume of loans in March to 1.86% in June, well below that registered in the same month last year (2.84% ).
The entity, controlled by the Brazilian State but with shares traded on the Sao Paulo Stock Exchange, indicated that its liquid equity as of June 2021 was 145,807 million reais (about 28,039 million dollars), an increase of 14% in relation to June 2020.
The bank’s assets were 1,859 trillion reais (about 357,500 million dollars), confirming it as the largest financial institution in Brazil.
In 2020, Banco do Brasil obtained a net profit of 12,697 million reais (today about 2,441 million dollars), a value 30.1% lower than in 2019. EFE
© EFE 2021. The redistribution and redistribution of all or part of the contents of Efe’s services is expressly prohibited, without the prior and express consent of the EFE SA Agency.
–
