Banco Bradesco S.A. (NYSE:BBD) Q2 2024 Earnings Conference Call August 5, 2024 9:30 AM ET
Company Participants
Marcelo Noronha - CEO
Andre Carvalho - IR
Cassiano Scarpelli - Director Vice President
Andre Rodrigues Cano - Executive Vice President
Ivan Gontijo - CEO, Bradesco Seguros SA
Conference Call Participants
Renato Meloni - Autonomous
Eduardo Rosman - BTG
Thiago Batista - UBS
Bernardo Guttmann - XP Investimentos
Brian Flores - Citi
Yuri Fernandes - JP Morgan
Tito Labarta - Goldman Sachs
Mario Pierry - Bank of America
Pedro Leduc - Itau BBA
Eduardo Nishio - Genial Investimentos
Carlos Gomez-Lopez - HSBC
Marcelo Noronha
Good morning, ladies and gentlemen. I am Marcelo Noronha. I am here speaking from Cidade de Deus, the headquarter of Bradesco Bank, for the presentation of the results on the second quarter 2024.
Now, the time is 10.31 a.m. And it's a pleasure for me to be with you again this morning, this beautiful sunny morning in the town of Osasco in Sao Paulo. And we are here to talk about our results for the second quarter, which hit BRL4.7 billion of net income, growing 12% quarter-on-quarter, meaning that the second vis-a-vis the first quarter of the year, with this ROI that you see here in the screen. And here we have six topics that summarize our net income or summarize what happened in the second quarter of 2024. It could also be the summary and the conclusions that will lead us straight into our Q&A.
First of all, we had a solid and safe profitability growth. And here I'm referring to our loan portfolio and the mix that I am about to show you in a moment. We also posted an evolution of net NII driven by client NII quarter-on-quarter and also the reduction in control of loan loss provision expenses. We increased the expanded portfolio in all segments, including in the wholesale bank with emphasis on SME and MSME and individuals. But please note that we are not growing above market rates. We are growing in-line with the market.
We had improvement in NPL in all segments, and also we posted growth in the coverage ratio. Operating expenses are growing in-line with our expectations, and naturally with a lot of discipline, we were able to accelerate our footprint, as we've been saying to you before. And finally, we were able to maintain the solid performance in the insurance segment. And further on, I will give you more details about every one of these topics.