trending Market Intelligence /marketintelligence/en/news-insights/trending/7mzusg32z20tc62j5yhz7q2 content
Log in to other products

Login to Market Intelligence Platform


Looking for more?

Contact Us

Request a Demo

You're one step closer to unlocking our suite of comprehensive and robust tools.

Fill out the form so we can connect you to the right person.

If your company has a current subscription with S&P Global Market Intelligence, you can register as a new user for access to the platform(s) covered by your license at Market Intelligence platform or S&P Capital IQ.

  • First Name*
  • Last Name*
  • Business Email *
  • Phone *
  • Company Name *
  • City *
  • We generated a verification code for you

  • Enter verification Code here*

* Required

Thank you for your interest in S&P Global Market Intelligence! We noticed you've identified yourself as a student. Through existing partnerships with academic institutions around the globe, it's likely you already have access to our resources. Please contact your professors, library, or administrative staff to receive your student login.

At this time we are unable to offer free trials or product demonstrations directly to students. If you discover that our solutions are not available to you, we encourage you to advocate at your university for a best-in-class learning experience that will help you long after you've completed your degree. We apologize for any inconvenience this may cause.

In This List

Despite higher provisions, Daycoval's Q1 profit sees 35.2% increase

Street Talk - Ep. 64: Coronavirus jumpstarts digital adoption

Street Talk Podcast

Street Talk - Ep. 63: Deal talks continue amid bank M&A freeze, setting up for strong Q4

Street Talk Podcast

Street Talk - Ep. 62: 'Brutal' outlook for oil demand offers banks in oil patch no relief

Amid Q1 APAC Fintech Funding Slump, Payment Companies Drove Investments

Despite higher provisions, Daycoval's Q1 profit sees 35.2% increase

Banco Daycoval SA's net income for the first quarter rose 35.2% as a rise in the bank's gross profit from financial intermediation offset higher loan-loss provisions and personnel expenses.

The Brazilian lender booked net income of 165.4 million reais during the quarter, compared to the 122.3 million reais earned a year ago.

During the three-month period, the bank posted a mark-to-market impact of 1.9 million reais on its external hedge funding and a positive impact of about 600,000 reais from exchange variation. Adjusted for these items, recurring net income for the quarter was at 164.1 million reais, 42.0% higher than the 115.6 million reais in the year-ago period.

The bank's net interest margin hit 12.4% during the quarter, slightly lower than the 12.8% in the linked quarter but higher than the 11.0% in the year-ago period.

Daycoval's gross profit from financial intermediation was at 416.9 million reais, up 69.1% from the 246.5 million reais in the prior-year period. Income from financial intermediation inched 4.9% higher to 910.9 million reais from 868.4 million reais in the first quarter of 2017. Expenses from financial intermediation saw a 20.6% drop to 494.0 million reais.

However, the bank's loan-loss provisions registered a 20.3% increase, as they soared to around 162.0 million reais in the three-month period from about 134.7 million reais in the same period last year.

The lender held about 15.00 billion reais in its loan portfolio for the quarter, up 16.6% from about 13.00 billion reais in the year-ago period. The expansion was driven by an increase of 26.6% in loans to companies and 5.2% in auto loans.

Loans 90 days past due represented 1.8% of the bank's loans in the first quarter, higher than the 1.1% in the linked quarter and 1.2% in the prior-year period.

Return on average equity hit 21.8% in the quarter compared to 18.3% in the year-ago period. Return on average assets was at 2.8% in the period, higher than the 2.2% recorded during the previous year.

As of May 9, US$1 was equivalent to 3.60 Brazilian reais.