9M14 Institutional Presentation

Transcription

1 9M14 Institutional Presentation 1

2 Brazilian Credit Market 70% 60% 50% 40% 30% 31.2% 35.5% GDP and Credit Growth YoY 53.9% 49.0% 45.4% 40.7% 43.9% 56.4% 57.2% 49.0% 8.5% 19.1% Loans/ GDP by Type of Financial Institution 53.9% 56.4% 57.2% 8.8% 8.8% 9.1% 15.0% 18.8% 19.2% 20% 10% 21.4% 25.8% 28.9% 33.1% 0% sep/14 Credit/GDP Growth sep/14 Public Private National Foreign Credit Portfolio Growth Daycoval and Financial System (%) Financial Total de System Crédito do Total Sistema Credit Financeiro-R$ - Thousand mil 113% 28% 31% 12% 15% 1% 53% 42% 21% 19% 18% 19% 15% 12% 7% -1% sep/14 Daycoval Sistema Financeiro 2,600 2,100 1,600 1, ,715 2, % 9.7% 2, % 2, % 8.2% 8.4% 1, % 8.0% 7.9% 7.3% sep/14 Sistema Financeiro Veículo Consignado 11% 9% 7% 5% 3% 1% Source: Brazilian Central Bank (Banco Central do Brasil BCB) and Daycoval. 2

3 Historic Developments Begin building commercial banking portfolio Issuance of USD225mn in Eurobonds Upgrade to BBB- by Fitch Upgrade to Bovespa s Level 2 of Corporate Governance Second issuance of Letras Financeiras 1 Beginning of activities in Brazil through Daycoval DTVM Beginning of auto loan activities Issuance of USD300mn in Eurobonds Inauguration of Daycoval s 1 st branch I.P.O. Issuance of BRL410mn in convertible bonds Maison Bancaire is founded by Salim Dayan in Lebanon Creation of the Daycoval Asset Management Beginning of payroll-deduction activities Note: 1. Letras Financeiras are a type of local market Bonds issued exclusively by financial institutions. Upgrade to Baa3 by Moody s Issuance of USD300mn in Eurobonds Daycoval is the first bank to issue public Letras Financeiras 1 Issuance of USD500mn in bonds 4º Issuance of Local Bonds (Letras Financeiras) of R$ 350mn 3

4 Corporate Governance Board of Directors Board of Executive Officers Estrutura Capital Acionária Structure - 3T14-3Q14 (%) (%) Capital Structure Sep /14 (%) Name / Title Years at Daycoval Salim Dayan, Executive Officer 20 Carlos Moche Dayan, Executive Officer 18 Morris Dayan, Executive Officer 19 Ricardo Gelbaum, Investor Relations Officer 2 Albert Rouben, Officer 20 Regina Maciel Nogueira, Officer 21 Nilo Cavarzan, Officer 9 Alexandre Rhein, Officer 8 Alexandre Teixeira, Officer 7 1.3% 1,3% 1.8% 1,8% 25.7% 25,7% 71.2% 71,2% Acionistas Controladores (Família) Controlling Shareholders (Family) Diretores/ Conselheiros + Daycoval Expert Officers/Directors + Daycoval Expert Tesouraria Treasury Free-Float Free-Float Total Shares Common Shares Preferred Shares Free-Float 248,355, ,869,792 87,485,997 63,896,336 4

5 Five Pillars Daycoval seeks to be recognized as an economically strong, socially responsible and environmentally sustainable company. Daycoval s sustainability project was translated in welldefined strategies, and started to be applied as a strategic plan. The plan is based in five great pillars. Efficiency Knowledge Quality of Life Sustainability Social Assistance 5

6 Key Figures 3Q14 Total Assets Expanded Loan Portfolio Funding Shareholder s Equity R$ 17,801.0 million R$ 11,626.6 million R$ 12,881.4 million R$ 2,480.7 million Basel Index III 18.8 % (Tier 1) Recurring 3Q13 2Q14 3Q14 9M13 9M14 Net Income R$ (mn) ROAE 9.9% 10.1% 12.7% 10.9% 11.4% ROAA 1.7% 1.5% 1.9% 1.9% 1.7% NIM-AR 12.6% 12.8% 12.3% 12.7% 12.4% Efficiency Ratio 36.2% 37.4% 39.2% 35.7% 37.1% 6

7 Additional Information Brazilian Central Bank Ranking Jun /2014 Daycoval Ranking Private Banks Public and Private Banks Net Income 13 th 18 th Shareholders Equity 15 th 20 th Total Deposits 21 st 29 th Total Assets 19 th 24 th Number of branches 9 th 18 th Rating: Investment Grade by Moody s and Fitch Ratings. Investment Grade Global Scale Long Term Baa3 Short Term Prime-3 National Scale Long Term Aa1 Short Term BR1 Stable Investment Grade Global Scale Long Term BBB- Short Term F3 National Scale Long Term AA (bra) Short Term F1+(bra) Stable Global Scale Long Term BB+ Short Term B National Scale Long Term braa Short Term bra-1 Stable Low Risk Mid-Term (+) Index March 2014 April 2014 May 2014 October

8 Distribution: 216 points of Sale 88 exchange bureaus/exchange correspondents 40 Daypag Offices throughout São Paulo State 39 Branches SÃO PAULO SP HD Av. Paulista 49 stores operating throughout Brazil 8

9 Expanded Loan Portfolio : Significant growth of 24.0% over the past 12 months Expanded Loan Portfolio - R$ Million Expanded Loan Portfolio (R$ mn) 3Q14 2Q14 Chg. % 3Q13 Chg. % Companies 4, , % 4, % Receivables Purchas e 1, , % % Avals and Sureties % % Total Expanded Companies 6, , % 5, % Total Payroll Loans 4, , % 2, % Total Auto Loans % % Total DCC/Other % % Total Expanded Loan Portfolio 11, , % 9, % Breakdown Loan Portfolio 3Q14 Expanded Loan Portfolio (R$ mn) 8,829 8,756 10,412 11,627 4,062 6, M14 9

10 Companies Portfolio: Working Capital and Guarantee Account together represent 62% of the portfolio Highlights Focus on companies with annual revenues between R$ 10 mm and R$ 300 mn Wide range of quickly approved products Short duration credit portfolio: 90 days (48% of the portfolio) Diversification of clients and sectors: : 10 largest clients represent 5.8% of the credit portfolio No segment represents more than 10% of the credit portfolio Diversification Strategy Companies Portfolio - R$ Mn Portfolio de Middle Market - (R$ MM) 6,579 6,165 6,323 5,630 4,177 2, M14 Breakdown Loan Portfolio 3Q14 Collateral Companies Portfolio Geographic Geographic Distribution Geographic Distribution 6% 10% 10% 14% 14% 16% 16% 6% 54% 54% Southeast Southeast Northeast Northeast South South Mid-west Mid-west North North 10

11 Companies Portfolio: Diversification of the sectorial breakdown Breakdown Companies R$(mn) 3Q14 Chg. % x 2Q14 Chg. % x 3Q13 Working Capital 2, % 23.3% Guaranteed Account 1, % 3.0% Receivables Purchase 1, % 55.3% Trade Finance Cross % 12.2% Avals and Sureties Selling % -13.6% BNDES % -8.2% Total Companies 6, % 17.8% Sectors Breakdown 3Q14 Concentration by Sector Commerce 18.8% Food and Cereal Wholesaler 2.3% Export and import soybeans in bulk 0.9% Food and Beverages 0.9% Services 32.7% Highway Transportation 4.2% Real Estate Development 3.7% Holding Company 2.7% Industry 42.9% Sugar and Alcohol Mill 5.0% Inner Tubes 1.7% Auto parts and Accessories 1.6% Wholesaler of pharmaceuticols, perfumes and cosmetics 0.8% Air Passenger Transportation 1.8% General Electronic Products 1.5% New Vehicles 0.7% Civil Construction 1.5% Light Vehicles 1.4% Others 13.2% Others 18.8% Others 31.7% 11

12 Companies Portfolio: The 50 largest customers represented only 13.4% in 3Q14 Credit Concentration Sep-12 Sep-13 Sep-14 Largest debtor 2.6% 1.4% 1.0% 10 Largest debtor 9.3% 7.6% 5.8% 20 Largest debtor 12.7% 10.5% 8.6% 50 Largest debtor 18.9% 15.8% 13.4% 100 Largest debtor 24.9% 21.0% 18.2% Loan Portfolio Outstanding Operation (September/14) Monthly average number of operations Maturity of 49% over the next 90 days 12

13 Daycred Payroll Loans: Balance of R$ 4,189 million Payroll Portfolio (R$ mn) Total Payroll Loan(*) - R$ Million Breakdown Payroll Loan (*) R$ 4,189 mn 3,000 3,455 3,865 4,017 4,189 3Q13 4Q13 1Q14 2Q14 3Q14 (*) Includes credit assignment in all of the quarters (R$ 5.7 million in 3Q14) Breakdown of the Credit Portfolio Origination of Payroll Loan(*) R$ 911 mn Origination of Refinancing - R$ 562 mn Net Origination of Payroll Loans R$ 349 mn Payroll Origination R$ (mn) Originação de Refinanciamento (REFIN) Originação Líquida do Consignado- (R$ MM) (R$ MM) Q13 4Q13 1Q14 2Q14 3Q14 3Q13 4Q13 1Q14 2Q14 3Q14 3Q13 4Q13 1Q14 2Q14 3Q14 13

14 Daycred Auto Loans: Growth of 2% in the quarter Carteira de Veículos (R$ MM) Total Auto Loans R$ mn Carteira de Veículos (R$ MM) Loans Auto - Outstanding Operation -R$ Million Maturity of 97% over the next 3 years 3Q13 4Q12 4Q13 1Q13 1Q14 2Q13 2Q14 3Q13 4Q13 3Q14 Auto Auto Loan Loan Portfolio Origination Liquidity of Auto Loans Portfolio 3Q14 Origination Auto Loans- 3Q14 (*) Liquidity of the Auto Loans Portfolio Oct-08 to sept-14 R$ % Accum. PMTs received in advance 570,013, % 40% PMTs received on date of maturity 195,327, % 54% PMTs received with delay of 30 days 396,488, % 81% PMTs received with delay of 60 days 92,678, % 88% PMTs received with delay of 90 days 42,277, % 91% PMTs received with delay of 120 days 16,847, % 92% PMTs received over 120 days 30,305, % 94% PMT s overdue 82,129, % 100% Liquidity of the Auto Loans Portfolio 1,343,937, % Outstanding PMT s Total Amount 1,426,066, % (*) We have not financed motorcycles since October

15 Funding : Growth of 16.1% in the quarter and 31.8% compared to 3Q13 Funding (R$ mn) 3Q14 2Q14 Chg. % 3Q13 Chg. % Deposits 3, , % 3, % Letter of Credit - LCI + LCA % % Total Deposits + LCI + LCA 4, , % 3, % Individuals % % Institutional 2, , % 2, % Institutional - Public Offerings % % Local Bonds (Letras Financeiras) 3, , % 2, % Bonds 2, , % 1,298.8 n.a. Bonds Issued Abroad (Private Placement) n.a. 0.0 n.a. Foreign Issuances 2, , % 1, % Foreign borrowings 1, , % 1, % Domestic onlendings % % Borrowing and Onlending 1, , % 1, % Total 12, , % 9, % Diversified funding sources, with broad access to all available markets: Domestic and international Retail and institutional Bank and capital markets Focus on stable and recurring funding sources available in the market: Daycoval never used the government emergency credit line called DPGE, for instance Focus on unsecured funding without providing collateral or selling credit portfolio Funding R$ Million 14% 12,881 17% 10,277 13% 23% 14% 8,579 17% 14% 23% 23% 7,861 14% 14% 14% 29% 14% 23% 21% 28% 14% 26% 5,241 4% 29% 14% 21% 28% 13% 26% 4% 13% 59% 51% 41% 35% 61% 59% 51% 41% 35% 61% M M14 Total Deposits + LCA + LCM Local Bonds Foreign Issuances Borrowing and Onlending Total Deposits + LCA + LCM Local Bonds Foreign Issuances Borrowing and Onlending 15

16 Long Term Funding: Growth of 24.0% in the quarter and 37.1% compared to 3Q13 Total Deposits x Long Term Funding R$ Million Date of Transactions Maturity Amount (US$ mm) Syndicated Loan (IFC) June/2010 June/14 (due of last tranche) 165 Eurobond March/2010 March/ Syndicated Loan (IIC) November/2010 November/15 (due of last tranche) Eurobond January/2011 January/ Syndicated Loan (IFC) July/2013 July/2018 (due of last tranche) 275 Bonds March/2014 March/ Total Deposits Breakdown 3Q14 (%) Segregação dos Depósitos Totais 3T14 Long Term Funding 3Q14 (%) 7% 7% 5% 5% 3% 3% Corporate + Demand Deposits Corporate + Demand Deposits Investment Investment Funds Funds 39% 39% 13% 33% 33% LCA LCA + LCM + LCM Financial Financial Institutions + + Interbank Deposits Deposits Individuals Institutional 21% 35% 44% Local Bonds Foreign Issuances Borrowing and Onlending 16

17 Liquidity: Cash of R$ 3.0 billion Outstanding Operations (Loan Portfolio) 3Q14 - % Outstanding Operations (Funding) 3Q14 - % Maturity of 57% over the next 12 months Maturity of 54% over the next 12 months Loan Portfolio by Segment Average term to Maturity (1) days Companies 191 Trade Finance 105 Payroll Loans 765 Auto Loans 440 DCC + Other 178 BNDES 506 Total Loan Portfolio 459 (1) From September 30,2014 Funding Average term to Maturity (1) days Total Deposits 121 Interbank Deposits 185 Local Bonds (letras financeiras) 495 (LCA) Letter of Credit Agribusiness 99 LCI (Letter Home Mortgage) 201 Foreign Issuances 859 Borrowing and Onlending (2) 349 Bonds Issued Abroad (Private Placement) 150 BNDES 509 Total Funding 462 (1) From September 30,2014 (2) Funding with not liquidity to criteria weighting 17

18 Service and Product Revenues: Totaled R$ 26.8 million in 3Q14 and R$ 73.5 million in 9M14 Asset Management (R$ mn) Exchange Bureaus - Operations x Volume (R$ mn) 1,907 1,753 1,757 1,158 1, sep/14 - Asset managing 41 funds; - Funds managed or administered totaling R$ 1,756.7 million. - Gross revenues from investment fund management of R$ 2.8 million in 3Q14 and R$ 8.2 million in 9M14. In the third quarter, approximately prepaid cards, cash and remittance operations expressed in different currencies, for a turnover of R$ million. 18

19 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 1Q11 2Q11 3Q11 4Q11 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 1Q14 2Q14 3Q14 LLP and Provision (*) : Reduction of provision of 28% in the quarter to segment Companies 5.2 Total Provision / Loan Portfolio (1) (%) Total Provision / Loan Portfolio(%) Q13 4Q13 1Q14 2Q14 3Q % 12% 47% % 24% 27% 9921% % 53% % Balance and Estabilishment 15% of Provision (1) (R$ mn) % % % % M13 9M14 Companies Payroll Auto Loans + DCC Retailers % % 13% 16% 72% 71% M13 9M1 Companies Payroll Auto Loans + DCC Retailers Evolution LLP / Portfolio by Segment (%) Total Middle Market Provision(%) Companies Portfolio Provision (1) (%) Total Payroll Payroll Provision Provision(%) (%) Total Auto Provision (%) (1) Includes Receivables purchase (*) Unconsolidated 19

20 Quality of Loan Portfolio (*) : the rate of overdue more than 90 days remained stable in the quarter Overdue Loans (1) 3Q14 2Q14 Chg. % 3Q13 Chg. % Overdue Loans more than 90 days past due- R$mn % % Companies Portfolio % % Payroll % % Auto % % DCC + Other % % LLP Balance / Overdue Loans > 90 days (%) 407.1% 431.5% 184.1% Overdue Loans > 90 days/loan Portfolio 1.0% 1.0% 2.8% Companies Portfolio 1.3% 1.2% 4.4% Payroll 0.4% 0.3% 0.4% Auto 1.6% 1.5% 1.6% Past due operations more than 90 days (1) Includes Receivables purchase (*) Unconsolidated 20

21 Quality of Loan Portfolio (*) : The LLP balance/portfolio E-H, maintained 100% coverage Loan Portfolio E-H - R$ mn M13 9M14 Companies (1) Payroll Auto DCC + Other (1) Total Total 91.5% 105.3% 115.4% 97.0% 101.5% 90.9% 99.9% Recovered Loans - R$ mn M13 9M14 Companies Retail Total (1) Includes Receivables purchase (*) Unconsolidated Write-offs - R$ mn M13 9M14 Companies (1) (114.2) (85.3) (75.9) (103.1) (259.9) (184.1) (283.0) Retail (1) (105.7) (95.1) (64.3) (83.6) (119.9) (86.7) (95.6) Total (219.9) (180.4) (140.2) (186.7) (379.8) (270.8) (378.6) % Recovered Loans/Write-offs of previous period % 2942% % 19% 20% 28 15% 19% 20% 100% 42.3% 14.6% 19.2% 19.8% 27.6% 26.3% 95% 25.2% % 34 26% 25% M13 9M M13 9M % Recovered Loans - Recovered R$ mn Loans % Recovered - R$ mn Loans/Write-offs of previous period % Recovered Loans/Write-offs of previous period % 85% 80% 75% 70% 65% 60% 55% 50% 45% 40% 35% 30% 25% 26% 25% 20% 15% 10% 05% 00% 100% 95% 90% 85% 80% 75% 70% 65% 60% 55% 50% 45% 40% 35% 30% 25% 20% 15% 10% 05% 00% 21

22 Recurring Efficiency Ratio : Increase in expenses in line with portfolio growth Recurring Efficiency Ratio (R$ mn) 3Q14 2Q14 Chg. % 3Q13 Chg. % 9M14 9M13 Chg. % Total Personnel Expenses (exclude IFP) (52.1) (47.4) 9.9% (39.7) 31.2% (142.8) (120.5) 18.5% Administrative Expenses (exclude IFP) (53.4) (43.7) 22.2% (45.7) 16.8% (140.3) (125.2) 12.1% Total Personnel and Administrative Expenses (105.5) (91.1) 15.8% (85.4) 23.5% (283.1) (245.7) 15.2% Total Personnel Expenses IFP (3.9) (3.7) 5.4% (3.8) 2.6% (11.3) (9.7) 16.5% Administrative Expenses IFP (2.3) (2.6) -11.5% (2.7) -14.8% (7.2) (8.5) -15.3% Personnel and Administrative Expenses IFP (6.2) (6.3) -1.6% (6.5) -4.6% (18.5) (18.2) 1.6% Commission Expenses (Total) (65.8) (70.1) -6.1% (49.0) 34.3% (197.0) (135.4) 45.5% Payroll (51.3) (56.5) -9.2% (37.2) 37.9% (156.5) (101.3) 54.5% Auto Loans (8.3) (7.9) 5.1% (8.0) 3.8% (23.9) (23.4) 2.1% Direct Credit to Consumer (DCC) + Others (1.1) (0.9) 22.2% (0.8) 37.5% (2.7) (2.2) 22.7% Daytravel (5.1) (4.8) 6.3% (3.0) 70.0% (13.9) (8.5) 63.5% Total (177.5) (167.5) 6.0% (140.9) 26.0% (498.6) (399.3) 24.9% Recurring Efficiency Ratio (%) 39.2% 37.4% 1.8 p.p 36.2% 3.0 p.p 37.1% 35.7% 1.4 p.p Recurring Efficiency Ratio (considering Profit Sharing) (%) 41.4% 39.5% 1.9 p.p 37.6% 3.8 p.p 39.3% 37.6% 1.7 p.p Índice Recurring de Eficiência Efficiency Recorrente% Ratio % Q13 4Q13 1Q14 2Q14 3Q14 9M13 9M14 22

23 Capital Structure: Low leverage of 4.7 times Basel Index III % (1) Tier I Main changes established by Circular Instruction 3644/14 of the Central Bank: Payroll and Auto Loans are weighted at 75%, independent of the maturity of the operation; Retail exposure limit goes to R$1,500 thousand (Individual) and R$3,000 thousand (micro and small company); Payroll loans with federal government bodies now have 50% credit risk mitigation. Shareholders Equity (R$ mn) Change in Shareholders Equity 9M14 (1) Basel Index 3 minimum 11% required by the Central Bank. 23

24 Profitability: Recurring Return on Average Equity (ROAE) of 12.7% in the quarter Lucro Líquido Recorrente - (R$ MM) Recurring Net Income (R$ mn) Lucro Net Líquido Income - (R$ (R$ MM) mn) M13 9M14 Breakdown of Recurring Net Income (R$ mn) 3Q14 2Q14 3Q13 9M14 9M13 Accounting Net Income Mark-to Market of the hedge of external Funding net of Income Tax (27.0) 3.3 (18.1) (27.7) (22.7) M13 9M14 Adjusted Net Income Return on Average Equity (ROAE) Adjusted and Recurring-(% p.a.) Return on Average Equity Recurring (ROAE) - % Return on Average on Average Asset (ROAA) Assets Adjusted Recurring and Recurring-(% (ROAA) p.a.) Adjusted Net Interest Margin and Recurring (NIM-AR)-(% - % Net Interest Margin Recurring (NIM-AR) (*) p.a.) - % Q13 4Q13 1Q14 2Q14 3Q14 9M13 9M14 3Q13 4Q13 1Q14 2Q14 3Q14 9M13 9M14 3Q13 4Q13 1Q14 2Q14 3Q14 9M13 9M14 (*) Methodology includes exchange-rate variations on liability operations, receivables purchase and excludes the result of property protection operations, DAYC4 swaps and matched operations repurchase agreements-tri-party repos outstanding. 24

25 Banco Daycoval: Credit Highlights Growth capacity with reduced costs Recognized as one of the best Brazilian Middle Market Banks Conservative profile and solid capital structure Experienced management team compromised with corporate governance Strict credit policy Access to diversified funding sources Low leverage level 25

26 Peer Analysis (1) 3Q14 Loan Portfolio / Shareholders' Equity - times 2,481 1,449 Shareholders Equity (R$ Million) 2,128 1,273 3, Expanded Loan Portfolio / Shareholders Equity times Daycoval Bic Banco ABC Pine Indusval Sofisa Pan Daycoval Bic Banco ABC Pine Indusval Sofisa Pan Basel Index (%) 18.8 Basel Index (%) Daycoval Bic Banco ABC Pine Indusval Sofisa Pan Itaú Bradesco (1) Source: Bank s reports as of September 2014 TIER I TIER II 26

27 Peer Analysis (1) 3Q14 Loan Portfolio (R$ Million) Expanded Loan Portfolio Loan Portfolio (R$ Million) (R$ Million) 19,284 19,284 16,562 16,562 11,626 12,349 11,626 12,349 9,800 9,800 57% 78% 57% 78% 3,992 43% 3,992 1,909 43% 1,909 22% 22% Daycoval Bic Banco ABC Pine Indusval Sofisa Pan Daycoval Bic Banco ABC Pine Indusval Sofisa Pan Retail Loan for Companies Retail Loan for Companies Loan Loss Provisions / Credit Portfolio (%) Growth of Total Credit Portfolio YoY- (%) Loan Loss Provision / Credit Portfolio (%) (4.2) (2.3) Daycoval Bic Banco ABC Pine Indusval Sofisa Pan Itaú Bradesco Daycoval Bic Banco ABC Pine Indusval Sofisa Pan Itaú Bradesco (1) Source: Bank s reports as of September

28 Peer Analysis (1) 3Q14 Net Income (R$ million) Q14 Net Income (R$ Million) Net Income (R$ million) M14 Net Income - (R$ Million) (7.1 ) 23.3 Daycoval ABC Pine Indusval Sofisa Daycoval ABC Pine Indusval Sofisa 1.8% 9M14 Net Income / Loan Porfolio - (%) Net Income / Loan Portfolio - (%) 1.2% 0.9% (0.2)% 0.2% Daycoval ABC Pine Indusval Sofisa (1) Source: Bank s reports as of September

29 Peer Analysis (1) 3Q14 Net Interest Margin (NIM)- % Net Interest Margin (NIM) (%) (2) (2) Daycoval Bic Banco ABC Pine Indusval Sofisa Itaú Bradesco Return on Average assets (ROAA) - % Return on Average Assets (ROAA) - (%) Return Return on Average Average - Equity Equity Efficiency Ratio (ROAE) (ROAE) - % - (%) Efficiency Ratio - (%) - % (2) (2) Daycoval ABC Pine Itaú Bradesco Sofisa Daycoval ABC Pine Itaú Bradesco Sofisa Daycoval ABC Pine Itaú Bradesco Sofisa (1) Source: Bank s reports as of September 2014 (2) NIM-AR: Methodology includes exchange-rate change on passive operations, receivables purchase and excludes the result of property protection operations, DAYC4 swaps,. 29

30 Peer Analysis (1) 9M14 Net Interest Margin (NIM)- % Margi Net Interest Margin (NIM) (%) (2) (2) Daycoval Bic Banco ABC Pine Indusval Itaú Bradesco Return on Average Equity (ROAE) - % Return on Average Assets (ROAA) - (%) Return on Average assets (ROAA) - % Return on Average Equity (ROAE) - (%) (2) (2) Daycoval ABC Pine Itaú Bradesco Sofisa Daycoval ABC Pine Itaú Bradesco Sofisa (1) Source: Bank s reports as of September 2014 (2) NIM-AR: Methodology includes exchange-rate change on passive operations, receivables purchase and excludes the result of property protection operations, DAYC4 swaps,. 30

31 Capital Markets Stock Buy-Back 2014 Stock Buy Back Opening Date Closing Date Shares 1 st Program 01/22/14 07/10/14 6,359,800 2 nd Program 07/10/14 Opening 4,880,000 Shareholder Compensation Date of Payment Interest on Shareholders' Equity Value Value per Share (in R$) 04/15/2014 ISE 29,109, /15/2014 ISE 31,415, /15/2014 ISE 30,383, Total ,908,

32 Exchange Coupons June and September Closing Curves 4,00 3,50 Curvas de Juros - Taxas dos FRAs Bond Região 2019 Bond Region ,00 2,50 Bond Região 2015 Bond Region 2015 Bond Região 2016 Bond Region ,00 1,50 1,00 0,50 Tx FRAs - 30/06/ /30/2014 Tx FRAs - 30/09/ /30/2014 0,

33 Exchange Coupons June / July / Aug / Sep / Oct Closing Curves 4,00 3,50 Curvas de Juros - Taxas dos FRAs Bond Região 2019 Bond Region ,00 2,50 Bond Região 2015 Bond Region 2015 Bond Região 2016 Bond Region ,00 1,50 1,00 0,50 Tx FRAs - 30/06/ /30/2014 Tx FRAs - 31/07/ /31/2014 Tx FRAs - 29/08/ /29/2014 Tx FRAs - 30/09/ /30/2014 Tx FRAs - 28/10/ /28/2014 0,

34 Balance Sheet Assets 3Q14 2Q14 3Q13 Current Assets Cash and Cash Equivalents Interbank Investments Securities and Derivatives Interbank Accounts Interbranch Accounts Lending Operations Other Receivables Other Assets Long-Term Assets Interbank Investments Securities and Derivatives Lending Operations Other Receivables Other Assets Permanent Investments Property and Equipment in Use Intangible Total Assets Liabilities 3Q14 2Q14 3Q13 Current Liabilities Deposits Money Market Funding Funds from Acceptance and Issuance of Securities Interbank Accounts Interbranch Accounts Borrowings and Onlendings Derivatives Provisions of Insurance and Pension Plans Other payables Long-term Liabilities Deposits Funds from Acceptance and Issuance of Securities Borrowings and Onlendings Derivatives Other Payables Deferred Income Minority Interest Shareholders Equity Capital of Brazilian Residents Capital Increase Capital Reserves Revaluation Reserves Profit Reserves Adjustments of Shareholders' Equity Evaluation Securities and Derivatives Available for Sale (12.661) (4.948) (15.610) Retained Earnings ( - ) Treasury Stocks (29.506) (44.521) (4.003) Total Liabilities

35 Income Statement Income Statement 3Q14 2Q14 Var. % 3Q13 Var. % 9M14 9M13 Var. % Income from Financial Intermediation ,9% ,5% ,3% Lending Operation ,9% ,6% ,8% Securities Operations ,2% ,5% ,0% Derivatives ( ) n.a (33.200) n.a. (18.962) n.a. Foreign Exchange Operations n.a ,4% ,4% Expenses of Financial Intermediation ( ) ( ) 109,0% ( ) 127,5% ( ) ( ) 45,9% Funding Expenses ( ) ( ) 129,0% ( ) 194,9% ( ) ( ) 77,3% Borrowing and Onlendings ( ) (13.964) n.a. (26.512) n.a. ( ) ( ) 49,5% Operations Sale or Transfer of Financial Assets - - n.a. (5.312) n.a. - (18.453) n.a. Loan Losses Provisions ( )- ( )- -14,0% ( )- -18,2% ( )- ( )- 0,3% Gross Profit from Financial Intermediation ,5% ,9% ,3% Other Operating Income (Expenses) ( )- (29.556)- n.a ( )- 0,3% ( )- ( )- -53,0% Income from Services Provided ,9% ,6% ,0% Income from Insurance ,1% 659 0,9% ,0% Personnel Expenses (56.020) (51.086) 9,7% (43.440) 29,0% ( ) ( ) 18,3% Other Administrative Expenses ( ) ( ) 4,4% (97.445) 24,7% ( ) ( ) 28,0% Tax Expenses (23.266) (22.626) 2,8% (20.609) 12,9% (68.633) (61.721) 11,2% Other Operating Income ,6% ,6% n.a. Other Operating Expenses (40.744) (44.083) -7,6% (33.582) n.a. ( ) (58.343) n.a. Income from Operation ,0% ,9% ,7% Non-operating Expenses (4.331)- (2.276)- 90,3% n.a. (9.844)- (3.617)- 172,2% Income before Taxes and Minority Interest ,3% ,1% ,6% Income and Social Contribution Taxes (20.630) (33.369) -38,2% (6.761) n.a. (86.090) (57.504) 49,7% Provision for Income Tax (33.966) n.a. (37.377) n.a. (71.245) ( ) -37,8% Provision for Social Contribution Tax (20.574) n.a. (22.736) n.a. (43.011) (68.959) -37,6% Deferred Taxes (49.247) n.a n.a n.a. Profit-Sharing (9.687) (9.122) 6,2% (5.621) 72,3% (28.056) (22.130) 26,8% Minority Interest (15)- (15) - 0,0% (11) - 36,4% 0,0% (44)- (35)- 25,7% 0,0% Net Income ,6% ,6% ,8% Interest on Shareholders Equity (30.384) (31.416) -3,3% (31.287) -2,9% (90.909) (85.987) 5,7% Earnings per Share 0,21 0,27 n.a. 0,17 n.a. 0,75 0,68 n.a. Number of Shares n.a n.a n.a. 35

36 9M14 Institutional Presentation Investor Relations Ricardo Gelbaum +55 (11) Erich Romani +55 (11) Patricia Meirelles +55 (11) Susie Cardoso +55 (11) "This material may include estimates and forward-looking statements. These estimates and forward-looking statements are to a large extent based on current expectations and projections about future events and financial trends that affect or may come to affect the Bank's business. Many important factors may adversely affect the results of Banco Daycoval as described in management's estimates and forward-looking statements. These factors include, but are not limited to, the following: the performance of the Brazilian and international economies; fiscal, foreign-exchange and monetary policies; increasing competition in the companies segment; Banco Daycoval's ability to obtain funding for its operations; and changes to Central Bank rules and regulations. The words "believe," "may," "could," "seek," "estimate," "continue," "anticipate," "plan," "expect" and other similar words are used to identify estimates and projections. Considerations involving estimates and forward-looking statements include information relating to results and projections, strategies, competitive positioning, the industry environment, growth opportunities, the effects of future regulation, and the effects of competition. Such estimates and projections are valid only at the time of writing. Daycoval does not undertake to publish updates or review any of these estimates in response to new information, future events or other factors. In light of the risks and uncertainties involved, the estimates and forward-looking statements contained herein may not materialize. Given these limitations, shareholders and investors should not make decisions based on the estimates, projections and forward-looking statements contained in this material." 36