Bradesco(BBD) - 2025 Q4 - Annual Report

Financial Performance - Banco Bradesco reported a net income of R$23.9 billion for 2025, representing a year-over-year increase of 36.4%[16] - Net income for 2025 reached R$23,924,636, a significant increase of 36.2% compared to R$17,542,153 in 2024[78] - Total comprehensive income for 2025 was R$24,979,324, compared to R$14,131,735 in 2024, showing an increase of 76.5%[78] - Basic earnings per common share improved to R$2.13 in 2025, up from R$1.55 in 2024, reflecting a growth of 37.4%[76] - Net interest income rose to R$73,269,592 in 2025, a 8.6% increase from R$67,454,564 in 2024[76] - Fee and commission income increased to R$31,073,646 in 2025, up 9.2% from R$28,336,487 in 2024[76] - The insurance services result improved to R$11,331,343 in 2025, up from R$8,942,260 in 2024, indicating a growth of 26.7%[76] Asset and Liability Management - Total assets increased to R$2,330,327,216 in 2025, up from R$2,069,484,362 in 2024, representing a growth of 12.6%[75] - Total liabilities increased to R$2,151,378,586 in 2025, compared to R$1,900,541,870 in 2024, marking a rise of 13.2%[75] - Deposits from customers increased to R$721,274,151 in 2025, up 12.0% from R$644,338,463 in 2024[75] - Total deposits amounted to R$728.0 billion, reflecting a 12.2% increase year-over-year[17] Capital and Equity - The bank's Tier I capital ratio improved to 13.2%, up by 0.8% from the previous year[16] - The organization employed 82,095 individuals, maintaining a stable representation of women in leadership roles at 18.2%[32] - The company acquired treasury shares amounting to R$222,621 thousand in 2025, reflecting a strategic move to manage equity[81] - Interest on equity payments totaled R$14,499,273 thousand in 2025, consistent with the company's commitment to return value to shareholders[81] Technology and Innovation - The implementation of technology initiatives led to a 43% reduction in lead time and a 118% increase in productivity in product deliveries[18] - The bank's digital platform BIA Clients achieved an 87% resolution rate in chat interactions, enhancing customer service efficiency[19] - The company was awarded the Gold category in the Digital Transformation Brazil Award for its case on AI and customer centrality[71] Social Responsibility and Sustainability - Bradesco allocated R$381.9 billion to socio-environmental sectors, surpassing its goal of R$350 billion by 109% for the 2021-2025 period[37] - In 2025, Bradesco invested R$1.4 billion in social projects, with R$1.2 billion for activity expenses and R$258 million for infrastructure and educational technology[65] - Over 42,000 students will benefit from Bradesco's school network, which spans from early childhood education to high school and technical professional education[66] - Bradesco's sustainability efforts have been recognized in major national and international indexes, including the Dow Jones Sustainability Index[39] - The company has established Ecora, a carbon credit certification initiative, to enhance Brazil's carbon market infrastructure[38] Market Position - The bank's market value stood at R$178.7 billion as of the end of 2025[16] - Bradesco's shares accounted for 3.9% of Ibovespa as of December 31, 2025, indicating strong market presence[50] - Bradesco Asset Management was recognized as the best fund manager for the sixth time, highlighting its leadership in the investment sector[68] Regulatory Compliance and Governance - The organization is listed in Level 1 of Corporate Governance of B3, reflecting its commitment to good governance practices[46] - The consolidated financial statements were approved by the Board of Directors on February 04, 2026, indicating ongoing compliance with regulatory requirements[90] Financial Instruments and Risk Management - Financial assets are classified into three categories: measured at amortized cost, fair value through other comprehensive income (FVOCI), and fair value through profit or loss (FVTPL)[123] - Expected credit losses on loans and advances decreased from R$30,176,989 thousand in 2023 to R$28,677,857 thousand in 2025, indicating improved asset quality[83] - The Organization expects no credit losses for Brazilian government bonds over the next 12 months, indicating a strong credit risk assessment[160] - The effective interest rate method is used to recognize income from financial assets and costs from liabilities, incorporating all relevant transaction costs[167]