Caixa's profit grows 7,9% in the first half of the year.
The result was R$ 3,4 billion and stemmed mainly from a 46,1% increase in financial credit revenues and a 12% increase in service and fee revenues; the expanded loan portfolio reached a 19,3% market share, with a balance of R$ 552,1 billion, a 28% growth in 12 months.
Kelly Oliveira – Reporter for Agência Brasil
Caixa Econômica Federal reported a net profit of R$ 3,4 billion in the first half of 2014, a 7,9% increase compared to the same period last year. The result stemmed mainly from a 46,1% increase in financial credit revenues – reflecting a 28% growth in the loan portfolio over 12 months, a 45,5% increase in earnings from securities and financial instruments, and a 12% increase in service and fee revenues, influenced by the increased volume of business with clients, the bank reported.
The expanded loan portfolio reached a 19,3% market share, with a balance of R$ 552,1 billion, a growth of 28% in 12 months.
Caixa also reported that it remained the leader in housing credit, with a 67,6% market share. The outstanding balance of the portfolio exceeded R$ 303,5 billion, an increase of 27,3% compared to the first half of 2013. The housing segment represents 55% of the bank's total credit portfolio.
Within the scope of the "Minha Casa, Minha Vida" (My House, My Life) Program, R$ 16,4 billion was contracted during the period, totaling 210,4 housing units. Of this amount, 32% was allocated to families with incomes up to three minimum wages.
In the first half of 2014, R$ 14,1 billion was contracted for sanitation and infrastructure operations, including R$ 2,3 billion for basic sanitation; R$ 2,9 billion for energy and logistics financing; R$ 3,8 billion for urban mobility operations; and R$ 5,1 billion for urban infrastructure. With disbursements reaching R$ 9,6 billion, the balance of these operations totaled R$ 46,2 billion, a 52,4% increase compared to the same period of the previous year.
Caixa (a Brazilian bank) contracted R$ 2,1 billion in rural credit in the first half of 2014, approximately R$ 1,9 billion more than in the same period of the previous year. Agricultural operating and investment loans totaled R$ 1,2 billion, and livestock operating and investment loans totaled R$ 786 million.
The bank's loan default rate reached 2,77%, an increase of 0,1 percentage point in the quarter. "The fluctuation stems from the slowdown in the rate of expansion of the loan portfolio and the increase in participation in segments with higher profitability and, consequently, higher risk, as foreseen in the bank's planning," says Caixa.