CAIXA announces record net income of R$21.1 billion in 2019, a 103% growth year-over-year

Brazil - Português

4Q19 net income reached R$4.9 billion

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Feb 19, 2020, 10:55 ET

BRASÍLIA, Brasil, Feb. 19, 2020 /PRNewswire/ -- CAIXA ECONÔMICA FEDERAL ("CAIXA" or "Bank"), the largest Brazilian bank in terms of number of clients, announces its consolidated results for the fourth quarter of 2019 (4Q19) and full-year results.

RESULTS HIGHLIGHTS (4Q19 AND 2019):

Net income of R$21.1 billion in 2019, an increase of 103.3% compared to 2018.
Recurring net income of R$14.7 billion in 2019, an increase of 20.6% over 2018.
ROE of 25.0% in 4Q19, an increase of 7.3 pp compared to 3Q19.
Recurring ROE of 17.5% in 4Q19, an increase of 3.5 pp over 3Q19.
More than R$15.5 billion in asset sales in 2019.
IHCD repayment of R$11.4 billion in 2019.
Execution of R$9.5 billion in partnerships for the insurance and capitalization sectors.
63.5% reduction in the overdraft interest rates in 2019, with a minimum of 4.95% p.m.
25.7% reduction in the RR housing loan fees to individuals in 2019, with a minimum of 6.50% p.a.
29.7% reduction in the RR housing loan fees for corporations in 2019, with a minimum of 6.50% p.a.
New IPCA Real Estate Credit line, with rates starting at 2.95% p.a. + IPCA.
Hiring of 2,311 new employees, mainly PwDs.
More than 60 million people received the FGTS immediate withdrawal and the PIS payment totaling R$28.9 billion, the largest payment ever (position 02/14/2020).
109.9% growth in SBPE real estate credit contracts and 30.2% in FGTS contracting in 4Q19, compared to 4Q18.
69.7% growth in payroll loans in 4Q19, compared to 4Q18.
Reduction of 11.0% in loans to companies of 4Q19, compared to 4Q18.
4Q19 delinquency rate of 2.17%, a reduction of 0.21 pp compared to 3Q19.
Growth of 18.7 pp in ALL coverage in 4Q19, compared to 3Q19.
Basel Ratio of 19.0% in 4Q19, compared to 20.1% in 3Q19, a decrease of only 1.2 pp, despite the repayment of R$11.4 billion in IHCD.

4Q19 EARNINGS CALL AND WEBCAST: February 20, 2020, 11:00 a.m. (US EDT), Phone: +1 (412) 317-6346, Code: CAIXA and/or webcast on https://webcastlite.mziq.com/cover.html?webcastId=8858621a-aa60-4ea9-a9b3-9d656a37d8d4

4Q19 DISCLOSURE DOCUMENTS: 4Q19 earnings release, presentation and full financials already available: http://www.caixa.gov.br/site/english/financial-information/Paginas/default.aspx

About Caixa Econômica Federal (www.caixa.gov.br): CAIXA is the largest Brazilian bank in number of clients (103,3 million) and with 102,0 million debit cards. The Bank is responsible for 38,1% of national savings and 69,2% of housing loans.

Contact: Investor Relations, [email protected]

SOURCE CAIXA ECONÔMICA FEDERAL