BANK BRADESCO current report, Q2 FY2026

Business Context and Reporting Period

Company: Banco Bradesco S.A. (Bank Bradesco)
Filing Type: Form 6-K (Report of Foreign Private Issuer)
Reporting Period: Six months ended June 30, 2026 (1H26)
Accounting Standards: International Financial Reporting Standards (IFRS)

Bradesco reported consolidated financial results for the first half of 2026 against a backdrop of moderate Brazilian economic activity. The Central Bank of Brazil maintained the Selic rate at 14.25% at the end of the period. The bank highlighted the consummation of the incorporation of Bradesco Gestão de Saúde S.A. (BGS) into Bradsaúde S.A., resulting in a 91.35% ownership stake. The organization continues to drive its "AI Empowered Banking" strategy, with over 800 AI use cases deployed.

Key Financial Metrics

Metric (R$ thousands) Six Months Ended June 30, 2026 Six Months Ended June 30, 2025
Net Income (Consolidated) 12,476,353 11,814,927
Net Income (Attributable to Parent) 12,317,787 11,671,550
Net Interest Income 37,700,845 38,854,127
Net Fee and Commission Income 15,789,954 15,034,068
Insurance Services Result 6,166,157 5,943,538
Expected Credit Losses (Loans) (15,776,105) (15,147,784)
Total Assets 2,468,826,550 2,330,327,216
Shareholders' Equity (Parent) 181,281,460 178,415,153
Book Value Per Share (Common) R$17.15 N/A
Earnings Per Share (Common) R$1.11 R$1.05
Earnings Per Share (Preferred) R$1.22 R$1.16

Balance Sheet Highlights (June 30, 2026 vs. June 30, 2025)

  • Total Deposits: R$782.5 billion (+21.9%)
  • Securities Portfolio: R$961.1 billion (+18.9%)
  • Expanded Loan Portfolio: R$1,136.6 billion (+11.6%)
  • Allowance for Expanded Loans: R$58.1 billion (+2.5%)
  • Tier I Capital Ratio: 12.8%

Material Changes vs. Prior Period

  • Profitability Growth: Net income attributable to shareholders increased by approximately 5.6% year-over-year, driven by growth in fee income and insurance results, partially offset by a decline in net interest income.
  • Deposit Mix Shift: While total deposits grew significantly, demand deposits ("À Vista") decreased by 26.2% and savings accounts ("Poupança") decreased by 3.1%, while time deposits ("A Prazo") increased by 8.8%.
  • Loan Portfolio Expansion: The loan portfolio grew 11.6%, with corporate loans growing faster (14.1%) than individual loans (8.4%).
  • Corporate Restructuring: The bank completed the incorporation of BGS into Bradsaúde, consolidating its healthcare segment under a single entity.

Guidance, Outlook, and Risks

Management Commentary: Management emphasized the resilience of the labor market and the success of the AI Empowered Banking strategy, which reduced development lead times by 48% compared to 2024. The bank projects GDP growth of 2.0% for 2026, lower than the 2.3% observed in 2025.

Capital and Dividends:

  • The Board approved a capital increase of up to R$10 billion, with controlling shareholders committing to a minimum of R$8 billion.
  • Interest on Shareholders' Equity (JCP) for the first half of 2026 was approved at R$3.5 billion (R$0.315 per common share).
  • A supplementary JCP payment of R$6.5 billion was approved for September 2026 to facilitate the capital increase subscription.

Risks and Contingencies:

  • Legal Provisions: The bank maintains provisions for labor (R$4.4 billion), civil (R$7.0 billion), and tax (R$5.9 billion) lawsuits. Contingent liabilities classified as possible losses total R$51.8 billion, primarily related to tax proceedings.
  • Macroeconomic Risks: Risks include inflationary pressures from the Middle East conflict, climate factors, and the conduct of monetary policy in the US and Europe.
  • Tax Reform: The implementation of the new Consumption Tax (IBS/CBS) is ongoing, with rates for financial services set to increase progressively from 2027. The bank states it cannot yet reliably estimate the full impact.

Investor Verification Checklist

  • Capital Increase Execution: Verify the final subscription amount and timing of the R$10 billion capital increase approved in July 2026.
  • Healthcare Segment Integration: Monitor the operational and financial synergies resulting from the Bradsaúde consolidation.
  • Tax Reform Impact: Track regulatory updates regarding the IBS/CBS tax reform and its specific impact on Bradesco's fee income and net margins starting in 2027.
  • Credit Quality: Review the evolution of the allowance for expected credit losses (ECL) given the high interest rate environment and economic moderation.
  • Dividend Policy: Confirm the payment schedule for the approved R$3.5 billion JCP and the supplementary R$6.5 billion payment.