BB Seguridade Participações (BBSE3) Q1 2026 earnings summary

Executive summary

• Managerial net income reached R$2.2 billion in 1Q26, up between 11% and 11.5% year-over-year, driven by strong investment income, operational efficiency, and improved operating results across key subsidiaries.

• Growth was led by Brasilprev (+R$136.5 million), Brasilcap (+R$33.8 million), BB Corretora (+R$26.4 million), and Brasilseg (+R$4.9 million).

• Despite a challenging macroeconomic environment, robust results were achieved in pensions, premium bonds, and insurance, with notable market share gains in pensions.

• Operational discipline and strategic execution since late 2025 contributed to resilience and growth.

Financial highlights

• Managerial net income grew to R$2.22 billion from R$1.996 billion in 1Q25, a 16% increase, with consolidated net investment income rising 58.5% YoY to R$507.1 million.

• Operating net income grew 2.2% year-over-year, supported by higher management fees, improved brokerage revenues, and a lower loss ratio.

• Pension plan reserves reached R$484.2 billion, up 10.2% YoY.

• Premium bonds collections increased 7.6% YoY to R$1.8 billion, with lottery prizes paid surging 54.6% YoY to R$24 million.

• Total retained insurance premiums were R$3.6 billion, flat year-over-year.

Outlook and guidance

• Premiums written and pension plan reserves are tracking within 2026 guidance ranges, with expectations to stay at the top end.

• Guidance for 2026 indicates PGBL and VGBL pension plan reserves and premiums written are expected to grow by 8–11%.

• Non-interest operating result (ex-holding) is expected to range from -7% to -3%, but exceeded guidance due to improved loss ratios and higher pension contributions.

• Cautious outlook maintained due to climate risks (El Niño) and macroeconomic uncertainties, especially for rural and home insurance.

• Investment income for 2026 expected to be neutral, with offsetting effects from interest rates and inflation.