Banco Bradesco S.A. (BBDO)

Banco Bradesco reported recurring net income of R$7.1 billion for the third quarter in a filing dated 23 October 2026 1. That was 14.6 percent more than a year earlier, and total revenue was R$38.0 billion 1. Each BBDO American depositary share stands for one common share of the bank 7.

The bank said fee income and market net interest income, the profit from its treasury desks, were the standouts of the quarter 1. It also said personnel and administrative costs grew below inflation, and the cost-to-income ratio, which sets spending against revenue, was 45.4 percent 1.

Bad loans rose 1. Loans overdue by more than 90 days reached 4.6 percent of the book, and management described a slowing economy with high interest rates 1. The Rio Times reported that the chief executive pointed to the same two pressures 11.

The board ratified a fully subscribed R$10 billion capital increase on 2 October 61. The controlling shareholders backed it, and the Central Bank of Brazil approved it on 8 October 104.

On 22 October the board renewed the share buyback program for up to 106,584,881 shares, running from 8 November 2026 to 8 May 2028 2. The bank said a slowdown in credit-related revenues is to be expected 1.

Bradesco was founded in 1943 as a commercial bank called Banco Brasileiro de Descontos 7. In 1948 it began a period of fast expansion, and by the end of the 1960s it was the largest private sector commercial bank in Brazil 7. In 1988 it merged with its real estate financing, investment bank and consumer credit units and took the name Banco Bradesco 7.

The bank built its business on reach 7. It has historically had a strong presence among the broadest segment of Brazilians, including middle and low income individuals 7. That explains the scale of its branch, correspondent and ATM network today 7.

Net income was R$14.5 billion in 2023 and R$17.5 billion in 2024, an increase of 21.0 percent 8. The filing ties the 2024 recovery to lower expected loan losses, down 11.7 percent, because the quality of new retail loans improved 8.

Gross profit from insurance and pension plans rose 70.8 percent, on higher premiums and pension contributions 8. Falling interest rates cut the other way: the average Selic, Brazil's base rate, dropped from 13.25 percent in 2023 to 11.96 percent in 2024 8.

Marcelo de Araujo Noronha became chief executive in November 2023 7. The bank launched Bradesco Principal for high income clients in November 2024, and opened 62 offices in strategic cities by the end of 2025 7.

The bank also put money into hospitals through Atlantica, a company it controls indirectly with its insurance arm 7. Atlantica bought 20 percent of the Santa Lucia hospital group in the Midwest, completed on 30 September 2024 7. It formed a hospital network with Rede D'Or, completed on 15 August 2024, in which Atlantica has 49.99 percent 7.

In 2025 net income jumped 36.4 percent to R$23.9 billion 7. Interest income rose 26.2 percent because the Selic stood at 15.0 percent at the end of 2025 against 12.2 percent a year earlier 7. The insurance service result rose 26.7 percent 7.

Fee income rose 9.7 percent in 2025, led by loan fees, credit cards and capital markets advice 7. Credit costs eased: the ratio of expected credit losses to average loans fell from 5.5 percent in 2024 to 4.6 percent in 2025 7. The bank also kept a coverage ratio of 149.9 percent of loans over 90 days past due at the end of 2025, against 180.1 percent a year before 7.

The banking arm earned R$14.4 billion in 2025, up 45.8 percent, and the insurance, pension and capitalization arm earned R$10.1 billion, up 11.2 percent 7. The workforce shrank over the period, from 86,222 employees in 2023 to 82,095 at the end of 2025 7.

Banking: loans, deposits and cards

Banking is the larger of the two segments the bank reports 7. At the end of 2025 it served 74.3 million clients, and it earned R$14.4 billion in the year 7. Its products are deposits, loans, debit and credit cards, and custody 7.

The expanded loan portfolio reached R$1,150 billion at the end of September 2026, up 11.1 percent in a year 1. Companies owed R$664.7 billion and individuals R$484.9 billion 1. Vehicle loans to individuals grew 26.8 percent, the fastest of the personal lines 1.

Bradesco held R$124.5 billion in savings deposits at the end of 2025, 12.0 percent of the Brazilian total 7. Its named rivals in deposits are Itau Unibanco, Caixa Economica Federal, Banco do Brasil and Santander 7. In loans they are Itau Unibanco, Banco do Brasil, Santander Brasil and SICREDI 7.

The branch network is large 7. The bank listed 39,245 ATMs and 39,335 Bradesco Expresso banking correspondents, small shops that act as branches, at the end of 2025 7.

Insurance, pension plans and capitalization

Grupo Bradesco Seguros is the largest company in the Brazilian insurance market, with a 22.8 percent market share, and took in R$118.5 billion in premiums, pension contributions and capitalization bond income in 2025 7. The segment earned R$10.1 billion 7.

Bradesco Saude, its health insurer, covered about 3.9 million beneficiaries, and the life insurer had 24.5 million policyholders at the end of 2025 7. In the third quarter of 2026 the insurance group earned R$2.9 billion, with a return on average equity of 22 percent 1.

The group updated Auto Light, a cheaper car policy that can cost up to 40 percent less than traditional cover, in a market where about 70 percent of cars have no insurance 1.

Investment banking, asset management and consortia

Bradesco Asset managed R$997.7 billion, and the bank leads Brazil in outstanding purchasing consortium quotas, a savings pool used to buy cars or homes, with 1,674,444 7. In investment banking its named rivals are Itau BBA, BTG Pactual and Santander 7.

Digital banking and Bradesco Principal

The bank said it has more than 45 million fully digital clients 1. Bradesco Principal, its high income segment, grew to 93 offices and passed 500 thousand clients in September 1. The bank also owns Banco Digio, listed among its main subsidiaries 9.

The bank said it expanded the number of agile tribes, raised the number of tech talents and agentic squads, and used AI more widely to gain efficiency 1.

People, offices and problems

Marcelo de Araujo Noronha is chief executive, and Luiz Carlos Trabuco Cappi is chairman of an 11 member board 7. The bank had 82,095 employees at the end of 2025, and 736 owned and 2,777 leased properties in Brazil 7.

The bank said delinquencies in working capital loans backed by federal government guarantee funds account for almost half of the rise in total delinquencies 1. It also reported seasonal delays at John Deere Bank, which weighed on individuals 1.

The annual report also flags a residual legal risk: claims by savings account holders over inflation adjustments from the Bresser, Verao and Collor economic plans of the 1980s and 1990s 7.

The umbrella, in words

The brands are Bradesco, Bradesco Prime for the middle and upper segment, Bradesco Principal, Bradesco Seguros, Bradesco Saude, Bradescard for cards, Bradesco BBI for investment banking and Digio 79. Exhibit 8.1 lists the main subsidiaries, among them Bradesco Seguros, Bradesco Saude, Odontoprev, Bradesco Leasing, Bradesco Consorcios and branches in New York and the Cayman Islands 9.

Through Atlantica, which it indirectly controls with its insurance arm, the bank owns 20 percent of the Santa Lucia hospital group, and agreed with Rede D'Or a hospital network in which Atlantica has 49.99 percent 7. Atlantica also agreed to hold 51 percent of a new Mater Dei hospital in northern Sao Paulo 7.

Cidade de Deus owned 46.17 percent of the common shares, the voting class, Fundacao Bradesco owned 17.27 percent and NCF Participacoes 8.53 percent at the end of 2025 7. Fundacao Bradesco is a non profit education institution and owned 31.53 percent of total capital, directly and indirectly 7.

The Rio Times names the same bloc, with BBD Participacoes, as the controlling shareholders who backed the capital increase 10.

BlackRock told the bank on 12 October 2026 that, for its clients, it owned about 10.060 percent of the preferred shares and 2.553 percent of the common shares as of 8 October, for investment only 3.

For 2026 the bank guided to loan portfolio growth of 8.5 to 10.5 percent and net interest income after provisions of R$42 billion to R$48 billion 1. It guided to fee income growth of 3 to 5 percent, expense growth of 6 to 8 percent and insurance income growth of 6 to 8 percent 1.

Management said it remains cautious with a moderate risk appetite, and that it keeps a firm commitment to its transformation plan at an accelerated pace 1. It targets R$450 billion directed to sustainable business by the end of 2026, and had reached 95.6 percent of that goal by September 1.

On 30 September 2026 the board declared R$3,800,000,000 of interim interest on shareholders' equity, a way Brazilian companies pay profit to shareholders 12. The payment is due by 30 April 2027 12.

The board also renewed the buyback so shares can be held in treasury and later cancelled or sold, within limits of 53,413,506 common and 53,171,375 preferred shares 2. The program runs from 8 November 2026 to 8 May 2028 2.

The bank said the capital increase would support rapid investment in technology, commercial efficiency and business expansion 5. It expected the increase to add about 0.9 percentage points to its common equity ratio 5. The ratio stood at 12.1 percent at the end of September 2026 1.

Some projects still wait on approvals 7. The annual report says the Mater Dei hospital deal depends on suspensive terms, including regulatory conditions 7. The third quarter report says the remaining Bradsaude portion is under review by regulators 1.

The annual report lists what may shape later results: the Brazilian economy, legal and regulatory developments, inflation, exchange and interest rates, and acquisitions 7. Brazil's central bank decisions on interest rates feed directly into the bank's interest income, as 2025 showed 7.