By Brazil Stock Guide – Banco Bradesco S.A. (B3: BBDC4; NYSE: BBD) reported a recurring net income of R$ 6.2 billion ($1.1 billion) in the third quarter of 2025, an increase of 18.8% year-on-year, supported by resilient credit growth, stable delinquency, and strict cost management. Total revenues rose 13.1% to R$ 35 billion, while the return on average equity (ROAE) reached 14.7%, reflecting gradual improvement in profitability.
The loan book hit R$ 1.03 trillion, up 9.6% year-on-year, led by personal loans and small- and medium-enterprise financing. The share of secured credit lines climbed to 59.5%, signaling a conservative risk posture. The 90-day NPL ratio remained steady at 4.1%, while SME delinquency improved by 0.6 percentage points. Bradesco reinforced provisions for specific wholesale cases and John Deere Bank exposures.
Net interest income grew 16.9% to R$ 18.7 billion, as the average spread widened from 8.8% to 9.0%. Fee income advanced 6.9%, boosted by card services, consortia, and asset management. Insurance results also remained robust, contributing R$ 5.7 billion to operating income.
Operating expenses rose 9.6%, but personnel and administrative costs increased only 5.5%, and just 2.5% excluding profit-sharing—below inflation. The efficiency ratio hovered around 50%, underscoring tight expense control even as the bank continued to invest in technology and its new “Principal” offices network.
Bradesco Seguros delivered R$ 2.5 billion in 3Q25 profit and R$ 7.3 billion in the first nine months of 2025, with a 21.5% ROAE. The insurer’s operating result rose 21.7% year-on-year, aided by a 5.9-point drop in loss ratio and better financial returns. The group’s technical provisions exceeded R$ 435 billion, and total financial assets surpassed R$ 458 billion, confirming its leadership in the regional market.
Technology remains central to Bradesco’s transformation. The bank’s AI assistant BIA, now powered by generative AI, serves 100% of clients with 87% resolution rates, integrated into journeys like Pix Inteligente on WhatsApp. Internally, “BIA Corporativa” supports all employees, streamlining internal workflows and automating responses.
The bank’s Tier 1 capital ratio stood at 13.4%, with core capital at 11.4%, comfortably above regulatory minimums. Bradesco reaffirmed its 2025 guidance: credit growth of 4–8%, service revenue expansion of 5–9%, and insurance operations growth of 9–13%, all in line with its revised July forecast. Through September, the bank had already achieved 9.6% loan growth and 21.7% insurance gains.
In September, Bradesco’s healthcare subsidiary Atlântica Hospitais expanded its partnership with Rede D’Or São Luiz S.A., incorporating Hospital Glória D’Or into its network. The move reinforces Bradesco’s position in the health ecosystem, where it holds a 49.99% stake, aligned with its long-term diversification and value-chain integration goals.
The bank reached 100% of its R$ 350 billion sustainable-finance goal ahead of schedule, channeling funds to renewable energy, social housing, and inclusive credit. Management emphasized its strategy of decarbonizing the portfolio while expanding green financing capacity.
Bradesco projects Brazilian GDP growth of 2.0% in 2025, expecting Selic cuts from early 2026 as inflation decelerates and fiscal stimulus wanes. The bank sees external risks tied to U.S. monetary policy and geopolitical tensions but remains confident in domestic consumption resilience.
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