Post on 15-Oct-2021
Institutional Presentation
3rd QUARTER OF 2020
This presentation may contain certain forward-looking statements and
information pertaining to Banco Santander (Brasil) S.A. (“Santander
Brasil”) and its subsidiaries, which reflect the current views and / or
expectations of Santander Brasil and its management regarding its
business performance and future events.
Forward-looking statements include, without limitation, any statement
that may predict, forecast, indicate or imply future results, performance
or achievements, and may contain words such as “believe”, “anticipate”,
“expect”, “estimate”, “could”, “forecast”, “potential”, “will likely result”, or
other words or expressions of similar meaning.
Such statements are subject to several risks, uncertainties and
assumptions. We caution that a number of important factors may cause
actual results to differ substantially from the plans, objectives,
expectations, estimates and intentions expressed herein.
We do not undertake any obligation to update or revise any forward-
looking statements, whether as a result of new information, future events
or otherwise. In no event shall Santander Brasil, or any of its subsidiaries,
affiliates, shareholders, directors, officers, employees or agents be liable
to any third party (including investors) for any investment or business
decision or action taken in reliance on the information and statements
contained in this presentation or for any consequential, special or similar
damages.
In addition to factors identified elsewhere in this presentation, the
following factors, among others, may cause actual results to differ
materially from the forward-looking statements or historical
performance: changes in the preferences and financial condition of
our consumers and competitive conditions in the markets in which
we operate, changes in economic, political and business conditions
in Brazil; government interventions, resulting in changes in the
Brazilian economy, taxes, tariffs or regulatory environment; our
ability to compete successfully; changes in our business; our ability
to successfully implement marketing strategies; our identification of
business opportunities; our ability to develop and introduce new
products and services; changes in the cost of our products and
operating costs; our level of indebtedness and other financial
obligations; our ability to attract new customers; inflation in Brazil;
the devaluation of the Brazilian Real against the U.S. Dollar and
interest rate fluctuations; current or future changes in laws and
regulations; and our ability to maintain existing business
relationships and create new relationships.
DISCLAIMER
AGENDA
1 INDUSTRY OVERVIEW: MACROECONOMY AND FINANCIAL SYSTEM
2 SANTANDER BRASIL
PROFILE
4 OUR
BUSINESSES
5 FINANCIAL
HIGHLIGHTS
3 CORPORATE
STRATEGY6
APPENDICES
4
-2.60
6.09
-10.02
-30
-20
-10
0
10
20
Industrial production Retail sales Volume of services
KEY ASPECTS OF THEBRAZILIAN MARKET
Sources: Brazilian Central Bank and IBGE. ¹ Latest available data
GRADUAL ECONOMIC RECOVERY WEIGHED DOWN BY THE COVID-19 GLOBAL CRISIS
GDP (%)
2015 3Q201
LOWEST LEVEL IN HISTORY
SELIC RATE (%)
ANCHORED EXPECTATIONS
INFLATION (%)
FREE FLOATING EXCHANGE RATE
FX (BRL/USD)
ECONOMIC ACTIVITY PERFORMANCE (%)
SOCIAL INDICATORS
+212MM3Q20 BRAZILIAN
POPULATION ESTIMATE
14.4%AUG-20
UNEMPLOYMENT RATE
+110 bps
AUG-20 vs. 2Q20
+257 bps
AUG-20 vs. 3Q19
-3.55 -2.20
14.25
2.00
10.67
3.14
3.905.64
5
50
60
70
80
90
100
-11
-8
-5
-2
1
4
Primary balance Gross debt
17.215.5
CHARACTERISTICS OF THEBRAZILIAN MARKET
LAYING THE GROUNDWORK FOR THE ECONOMIC REBOUND
ADMINISTRATIVE REFORM TO IMPROVE PUBLIC
SECTOR EFFICIENCY
DECOUPLE AND DE-INDEX PUBLIC SPENDING;
RESTRUCTURE SOCIAL WELFARE BY REFINING THE
“BOLSA FAMÍLIA” PROGRAM
CONTINUITY OF THE FISCAL REGIME (VIA SPENDING
CAP), CURBING MANDATORY EXPENSES
TAX REFORM IN ORDER TO SIMPLIFY TAXES
AND LEVERAGE PRODUCTIVITY
CREATION OF INCENTIVES TO INCREASE
NATIONAL SAVINGS
TEMPORARY MEASURES TO COUNTER THE
ECONOMIC IMPACT OF COVID-19
CONTINUED LIQUIDITY IN THE GLOBAL ECONOMY
ACCELERATION OF THE PRIVATIZATION AND
CONCESSION PROGRAM TO ATTRACT INVESTMENT
PRIMARY BALANCE AND GROSS DEBT (% of GDP)
Dec-16 Jun-20 Dec-16 Sep-20
Sources: Brazilian Central Bank and Santander. 1 Considering Gross Fixed Capital Formation over 12-month rolling GDP
BRAZIL RISK(CDS 5 years, bps)
INVESTMENT1
(% of GDP)
102 253
6
Deposits4;
38.0%
AuM
(Anbima);
53.4%
Other5;
8.6%
339 371 407 407 414 355
19.2% 19.6% 19.4%17.2% 16.0%
10.3%
Dec-15 Dec-16 Dec-17 Dec-18 Dec-19 Sep-20
Reserve Requirement (R$ Billion)
Reserve Requirement/Total Deposit⁴
56%
46%44%
54%
Public banks Private banks
SOLID NATIONAL FINANCIAL SYSTEM
¹ As disclosed by each institution, as of September 2020. ² Brazilian Central Bank, as of June, 2020. ³ Brazilian Central Bank, as of September 2020. 4 Total deposit considers demand, savings and time deposits. 5 Including debentures, real estate credit notes (LCI), agricultural credit notes (LCA), financial bills, secured real estate notes (LIG) and structured transaction certificates (COE)
BRAZILIAN MARKET PROFILE
5 LARGEST BANKS
CONCENTRATED
72%Loans¹
71%Deposits¹
SOLID
BIS RATIO²: 16.3%,
ABOVE THE 10.25%
REQUIRED BY THE
BRAZILIAN CENTRAL
BANK
COVERAGE RATIO³:
271.6%
TOTAL LOAN SHARE
Dec-15 Sep-20
TOTAL LOANSEP-20
R$ 3,809Bi+5.1% QoQ
TOTAL FUNDINGSEP-20
R$ 9,103Bi+5.0% QoQ
7
97.5
83.4
Sep
-16
Jan
-17
May-1
7
Sep
-17
Jan
-18
May-1
8
Sep
-18
Jan
-19
May-1
9
Sep
-19
Jan
-20
May-2
0
Sep
-20
Business Confidence Index Consumer Confidence Index
47.5
27.6
19.8
Jul-
16
Oct
-16
Jan
-17
Ap
r-17
Jul-
17
Oct
-17
Jan
-18
Ap
r-18
Jul-
18
Oct
-18
Jan
-19
Ap
r-19
Jul-
19
Oct
-19
Jan
-20
Ap
r-20
Jul-
20
Household debt ratio Without mortgage loans Mortgage loans
2.4%
2.3%
2.6%
1%
2%
3%
4%
5%
Sep
-16
Dec-1
6
Mar-
17
Jun
-17
Sep
-17
Dec-1
7
Mar-
18
Jun
-18
Sep
-18
Dec-1
8
Mar-
19
Jun
-19
Sep
-19
Dec-1
9
Mar-
20
Jun
-20
Sep
-20
Total Public Private
2.4%
3.1%
1.6%1%
2%
3%
4%
5%
Sep
-16
Dec-1
6
Mar-
17
Jun
-17
Sep
-17
Dec-1
7
Mar-
18
Jun
-18
Sep
-18
Dec-1
8
Mar-
19
Jun
-19
Sep
-19
Dec-1
9
Mar-
20
Jun
-20
Sep
-20
Total Individuals Corporate
BRAZILIAN FINANCIAL SYSTEM PROFILE
CONFIDENCE INDEX (POINTS) HOUSEHOLD DEBT (%)
PROVISION FOR LOAN LOSSES RATE – BY SEGMENT | BY INSTITUTION
Sources: Brazilian Central Bank and FGV/IBRE
AGENDA
1 INDUSTRY OVERVIEW:MACROECONOMY AND FINANCIAL SYSTEM
2 SANTANDER BRASIL
PROFILE
4 OUR
BUSINESSES
5 FINANCIAL
HIGHLIGHTS
3 CORPORATE
STRATEGY6
APPENDICES
9
SANTANDER BRASIL’S CONSOLIDATED FOOTPRINT IN THE BRAZILIAN MARKET
1970
CONSOLIDATION OF DIFFERENT BRANDS
INTEGRATION OF PLATFORMS
COMMERCIAL TRANSFORMATION
NPS
PROFITABILITY AMONG THE BEST IN THE INDUSTRY
A NEW WAY OF DOING BUSINESS
1997 1998 2000 2007 2009 2014 2016 2017 2018 2019 2020
SANTANDER GROUP STARTS OPERATING IN
BRAZIL¹ THROUGH A
REPRESENTATIVE OFFICE
ACQUISITION OF BANCO GERAL DO COMÉRCIO
ACQUISITION OF BANCO
NORDESTE S.A.
ACQUISITION OF THE MERIDIONAL CONGLOMERATE
ACQUISITION OF BANESPA
(PRIVATIZATION)
ACQUISITION OF BANCO REAL
INITIAL PUBLIC
OFFERING (IPO)
89% ACQUISITION OF
GETNET
ACQUISITION OF BANCO
BONSUCESSO CONSIGNADO
VOLUNTARY EXCHANGE
TENDER OFFER (“OPA”)
ACQUISITION OF SUPERDIGITAL
70% ACQUISITION OF
RETURN
51% ACQUISITION
OF LOOP
100% ACQUISITION OF GETNET
100% ACQUISITION OF RETURN
ACQUISITION OF OLÉ
CONSIGNADO
60% ACQUISITION
OF TORO²
¹ In 1982 opened its first branch. ² Pending regulatory approvals
10
BANK WITH STRONG PRESENCE IN BRAZIL
¹ Considers disbursement in renewable energy, sustainable agribusiness, Prospera Santander Microfinance, Project Finance (renewable energy), other socio environmental businesses, student financing (undergraduate medicine), ESG Linked-Loan; participation in structuring and advisory of Green Bonds/Transition Bonds; and advisory in Project Finance (renewable energy). ² Source: 2017 GDP by Geographical Region – IBGE
~ R$ 104BIMARKET CAPITALIZATION
•OPERATING IN ALL BRAZILIAN STATES
•9.86% FREE FLOAT
•45.1K EMPLOYEES
SEP/20
R$ 397BILOAN PORTFOLIO
•R$ 165BI INDIVIDUALS
•R$ 58BI CONSUMER FINANCE
•R$ 53BI SMEs
•R$ 121BI CORPORATE
88.1%LOAN PORTFOLIO/ FUNDING FROM CUSTOMERS
27.3MMACTIVE CUSTOMERS
•6.0MM LOYAL CUSTOMERS (+8%)
•15.2MM DIGITAL CUSTOMERS (+13%)
R$ 19.3BISOCIO-ENVIRONMENTAL BUSINESS MADE VIABLE¹
NORTHEAST
• 14.5% OF GDP²
• 9.3% OF SANTANDER BRANCHES
• 2 AGRI BRANCHES
• 77 PROSPERA BRANCHES
SOUTHEAST
• 52.9% OF GDP²
• 69.8% OF SANTANDER BRANCHES
• 3 AGRI BRANCHES
• 12 PROSPERA BRANCHES
SOUTH
• 16.4% OF GDP²
• 17.0% OF SANTANDER BRANCHES
• 9 AGRI BRANCHES
• 2 PROSPERA BRANCHES
MID-WEST + NORTH
• 15.6% OF GDP²
• 7.2% OF SANTANDER BRANCHES
• 26 AGRI BRANCHES
• 8 PROSPERA BRANCHES
11
CORPORATE GOVERNANCE
STRUCTURE
SHAREHOLDERS MEETING
FISCAL COMMITTEE
BOARD OFDIRECTORS (BOD)
ADVISORY COMMITTEES TO THE BOARD
EXECUTIVE COMMITTEE
• EXECUTIVE COMMITTEE:
COMPOSED OF CEO AND EXECUTIVE VICE-PRESIDENTS
• EXECUTIVE OFFICERS
BOD
Comitês de Assessoramento ao CA
AuditNomination
and Governance
CompensationRisks and
ComplianceSustainability
# Members 9 3 3 3 4 6
Independent Directors
5 1 2 2 2 1
Non-independente Directors
4 - - - 1 -
Independent Members
- 2 1 1 1 2
Non-independente Members
- - - - - 3
• FIVE OF THE NINE MEMBERS OF THE BOARD OF DIRECTORS ARE INDEPENDENT, INCLUDING THE CHAIRMAN
• THE POSITIONS OF CHAIRMAN OF THE BOARD OF DIRECTORS AND CHIEF EXECUTIVE OFFICER MAY NOT BE HELD BY THE SAME PERSON
• BALANCE OF KNOWLEDGE AND RELEVANT EXPERIENCE
• 33% WOMEN ON THE BOARD OF DIRECTORS
ABOUT THE BOARD OF DIRECTORS (“BOD”)
12
DIGITAL TRANSFORMATION SUPPORTING OUR FUTURE
SIMPLIFICATION OF PROCESSES
AND TOOLS AND BROADER
RANGE OF PRODUCTS AND
SERVICES
SHARE OF
DIGITAL
TRANSACTIONS
87%
+21p.p.
3Q15 vs. 3Q20
E-COMMERCE
SALES+9.5X
8M16 vs. 8M20
SECURE AND EFFICIENT SALES PLATFORMS
COMBINED WITH ONGOING IMPROVEMENT IN
CUSTOMER SERVICE
GENTE LAUNCH
OUR ARTIFICIAL INTELLIGENCE, AVAILABLE FOR OUR CUSTOMERS BY WHATSAPP, IB, MOBILE E SANTANDER WAY
68%OF INTERACTIONS
HAVE LED TO A CONCLUSIVE
OUTCOME
76 POINTS
NPS IN MOBILE BANKING AMONG
INDIVIDUALS
13
1%7%
11%18%
24%
LARGEST DEBTOR
10 LARGEST
20 LARGEST
50 LARGEST
100 LARGEST
SOLID RISK CULTURE
GROUPRISKS ARE CALIBRATED IN THE GROUP, ENABLING BUSINESS CONTINUITY AND PREDICTABILITY IN THE FACE OF DIVERSE HISTORY
MANAGEMENT AND CONTROL OF THE ACTUAL LOCAL RISK PROFILE ENSURE THE MODEL’S ROBUSTNESS
GLOBAL RISK CONTROL PLATFORMS
1st
LINE OF DEFENSE
ALL BUSINESS UNITS AND SUPPORT AREAS
• PART OF SANTANDER´S DAILY BUSINESS
• GENERATED, OWNED AND MANAGED BY THE BUSINESS
2nd
LINE OF DEFENSE
RISK CONTROL AND COMPLIANCE
• ENSURING THAT THE RISKS ARE MANAGED IN
ACCORDANCE WITH THE AGREED RISK APPETITE
3rd
LINE OF DEFENSE
INTERNAL AUDIT
• REVIEW OF CONTROLS, PROCESSES AND MANAGEMENT
LOAN CONCENTRATION
SANTANDER BRASIL RISK
SEP-20
CREDITRISK
LIQUIDITY RISK
OPERATIONAL RISK
MONEY LAUNDRY
PREVENTION
MODEL RISK
COMPLIANCE LEGAL
REPUTATIONAL RISK
CONDUCT RISK
STRUCTURAL RISK
MARKET RISK
STRATEGIC RISK DATA
PROCESSESGOVERNANCE
METHODOLOGY
14
WE ARE PART OF A LARGE GROUP
SUBSIDIARY MODEL WITH LIQUIDITY AND CAPITAL
AUTONOMY LIMITS THE POSSIBILITY OF CONTAGION
BETWEEN GROUP UNITS, REDUCING SYSTEMIC RISK
DIVERSIFIED PRESENCE ACROSS THREE REGIONS ALLOWS FOR BETTER AND
FASTER EXECUTION
NORTH AMERICA
U.S. AND MEXICO
SOUTH AMERICA
BRAZIL, ARGENTINA, CHILE,
URUGUAY AND ANDEAN
REGION
EUROPE
SPAIN, PORTUGAL, POLAND,
UNITED KINGDOM AND
SANTANDER CONSUMER
FINANCE
UNDERLYING ATTRIBUTABLE PROFIT DISTRIBUTION ASSIGNED BY
GEOGRAPHIC REGION | 9M20
BRAZIL
CONTRIBUTED TO 30% OF GROUP’S 9M20
RESULTS
EUR million 9M20
ASSETS 1,514,242
CUSTOMERS LOAN
(NET)910,714
TOTAL EQUITY 91,310
UNDERLYING
ATTRIBUTABLE
PROFIT3,658
BRANCHES 11,520
EMPLOYEES 192,578
LOYAL
CUSTOMERS
(MILLION)22.1
20%
NORTH
AMERICA
41%SOUTH
AMERICA1
39%
EUROPE
¹ Includes 3% regarding other Latam
AGENDA
1 INDUSTRY OVERVIEW:MACROECONOMY AND FINANCIAL SYSTEM
2 SANTANDER BRASIL
PROFILE
4 OUR
BUSINESSES
5 FINANCIAL
HIGHLIGHTS
3 CORPORATE
STRATEGY6
APPENDICES
16
OUR STRATEGIC PRIORITIES ARE BASED ON FOUR PILLARS
STRONG CORPORATE
CULTURE
ENGAGED PEOPLE
ABILITY TO ATTRACT,
DEVELOP AND RETAIN
TALENTS. ENGAGING OUR
PEOPLE TO PROVIDE A
STATE-OF-THE-ART
CUSTOMER SERVICE
PREFERENCE
AND LOYALTY
CUSTOMER-FOCUSED
PROVIDE SUITABLE
OFFERS TO MEET
CUSTOMERS’ NEEDS,
WHILE DELIVERING A
STATE-OF-THE-ART
CUSTOMER SERVICE
EXPERIENCE
RECURRENCE AND CAPITAL
DISCIPLINE
CREATING SHAREHOLDER
VALUE
MAINTAIN LIQUIDITY
AND CAPITAL
DISCIPLINE TO
GENERATE
SUSTAINABLE AND
PROFITABLE RESULTS,
WITH SOLID RISK
MANAGEMENT AND
RIGOROUS COST
CONTROL
BUILDING A SUSTAINABLE
BUSINESS
RESPONSIBLE BANKING
DOING BUSINESS
WHILE
CONTRIBUTING TO
THE ECONOMIC
AND SOCIAL
PROGRESS OF
COMMUNITIES
OUR PURPOSE IS TO HELP PEOPLE AND
BUSINESSES PROSPER
OUR SHAREHOLDERS
OURCUSTOMERS
OURCOMMUNITIES
OURPEOPLE
17
OURPEOPLE
A CULTURE THAT SUPPORTS
HIGHLIGHT FOR THE
2nd CONSECUTIVE YEAR
BEST COMPANY IN THE FINANCIAL SECTOR
ETHNIC-RACIAL
WE ARE AMONG THE 30BEST COMPANIES
TO WORK FOR
ETHNIC-RACIAL
WOMAN
OUR PEOPLE
27%WOMEN IN THE
EXECUTIVE LEADERSHIP POSITIONS
25%BLACK
EMPLOYEES
WE VALUE DIVERSITY
RECOGNIZE OUR TALENT
5.2%PEOPLE WITH
DISABILITIES OF TOTAL EMPLOYEES
35 years oldEMPLOYEE AVERAGE AGE
18
CUSTOMER-FOCUSED BUSINESS MODEL
SERVICECUSTOMER JOURNEY
DIGITALIZATIONSATISFACTION
CONTINUOUS BUSINESS
IMPROVEMENT
SERVICE SPECIALIZATION
• SPECIALTY STORES
SIMPLIFYING PROCESSES AND
SERVICES
• -11% LEAD TIME TO
ORIGINATE MORTGAGE
LOANS (YoY)
APPROPRIATE OFFERS FOR
CUSTOMER PROFILE
• INNOVATION
PIONEERS IN PUBLICLY DISCLOSING THE NPS
• 61.8 POINTS (+3.8 POINTS YoY)
• ~ 5MM REQUESTS PER QUARTER
LEADERS IN SATISFACTION, ACCORDING TO IBOPE¹
IMPLEMENTATION OF DISRUPTIVE TECHNOLOGIES
• ONE PAY-FX BLOCKCHAIN
COMMERCIAL STRATEGY REALIGNMENT
• 13% GROWTH IN PHYSICAL CONTRACTS AND 44% IN DIGITAL CONTRACTS IN 9M20.
NPS
• PART OF THE ORGANIZATION’S KPIS
EXECUTIVE EXPERIENCE IN BUILDING HIGH SATISFACTION LEVELS
RAPID ADAPTATION TO A NEW WAY OF WORKING
• DIGITAL CHANNELS
• PRODUCTIVITY CULTURE OF BRANCHES CLUSTERS
1INCREASE CUSTOMER SATISFACTION
2SUSTAINABLE EXPANSION OF OUR CUSTOMER BASE
3MARKET SHARE GROWTH IN STRATEGIC PRODUCTS AND SERVICES
¹ As of first half of 2020. Since 2014, IBOPE has carried out Santander’s Benchmark project, whose main objective is to gauge customers’ satisfaction and willingness to recommend
the bank and its direct competitors. The survey is based on a quantitative methodology, with interviews conducted through the “CATI” technique (computer assisted telephone
interviewing), using a list provided by IBOPE. Sample: 5,870 interviews/year
OURCUSTOMERS
19
CREATING SHAREHOLDER VALUE OURSHAREHOLDERS
ROBUST ECOSYSTEM
AS A VALUE
GENERATION TOOL
• CROSS-SELL
• NEW INITIATIVES
• WHOLESALE ENHANCEMENT
(i) CAPITAL MARKETS
(ii) ENERGY AND COMMODITIES
DESKS
SOLID BALANCE
SHEET AND ASSET
QUALITY
• FOCUS ON LOWER RISK
PRODUCTS
• INDIVIDUALS COLLATERALIZED
LOAN PORTFOLIO+ PAYROLL
LOANS/ INDIVIDUALS LOAN
PORTFOLIO IN SEP-20
68%
PREDICTIVE RISK MODELS THAT
ENABLE FAST ADJUSTMENT TO
DIFFERENT CIRCUMSTANCES
OPERATIONAL
EXCELLENCE BY
INDUSTRIALIZING THE
VALUE CHAIN
• LOWER UNIT COST PER
SERVICE
• DIGITAL TRANSFORMATION
-93%REWORK IN BUSINESS ACCOUNT OPENINGS AT OUR BRANCHES
SUSTAINABLE RESULTS AND SOLID PROFITABILITY
¹
¹ Pending regulatory approvals
20
¹Considers disbursement in renewable energy, sustainable agribusiness, Prospera Santander Microfinance, Project Finance (renewable energy), other socio environmental businesses, student financing (undergraduate medicine), ESG Linked-Loan; participation in structuring and advisory of Green Bonds/Transition Bonds; and advisory in Project Finance (renewableenergy). ² Considering ESG-linked loans, green loans, renewable energy project finance and green bond issuance. 3 Volume underwritten by Santander relative to the total volume underwritten on B3
OURCOMMUNITIES
SUSTAINABLE BUSINESSES THAT DELIVER RESULTS, NOW AND IN THE FUTURE
“PLANO AMAZÔNIA”
3 LARGEST PRIVATE BANKS IN THE COUNTRY
PLAN FOCUSED ON SUSTAINABLE DEVELOPMENT IN THE AMAZON REGION
40%GREEN AND
TRANSITION
BONDS
40%PROJECT FINANCE
9%MICROFINANCE
4%DISTRIBUTED
GENERATION
7%OTHERS
R$ 19.3 BiENABLED IN SOCIAL
AND ENVIRONMENTAL
BUSINESSES¹
SOCIAL ACTIONS
DONATION MARATHON FOR THE “MÃES DA FAVELA” PROJECT
R$ 7.2 MM RAISED
26,000 FAMILIES HELPED
“AMIGO DE VALOR” PROGRAM – FOR CHILDREN AND ADOLESCENTS AT RISK
START OF THE 2020 CAMPAIGN
RELAUNCH OF
THE ETHICAL
FUND
WHOLESALE GREEN
FINANCING
R$ 16 Bi²
PIONEERS IN THE
CBIOS MARKET
SUSTAINABLE
LINKED BONDS
COORDINATION OF THE
SECOND OPERATION IN THE
WORLD DEAL WORTH
USD 750 MM
WATER AND
SANITATION
WE LAUNCHED A
R$ 5 Bi CREDIT LINE FOR
NEW INVESTMENTS IN THIS
SEGMENT
80% NEW CBIOS
MARKET SHARE 3
AGENDA
1 INDUSTRY OVERVIEW:MACROECONOMY AND FINANCIAL SYSTEM
2 SANTANDER BRASIL
PROFILE
4 OUR
BUSINESSES
5 FINANCIAL
HIGHLIGHTS
3 CORPORATE
STRATEGY6
APPENDICES
22
Vehicles;
90%
Others;
10%Leasing/Vehicles; 2%
Credit Card;
20%
Payroll
Loans; 28%Mortgage
Loans; 25%
Agricultural
loan; 5%
Personal Loans
and Others; 21%
SCALABLE AND DIVERSIFIED BUSINESS MODEL ACROSS ALL OPERATING UNITS
COMMERCIAL BANKING
B R O A D P O R T F O L I O O F P R O D U C T S A N D S E R V I C E S | S A N T A N D E R E C O S Y S T E M
CONSUMER FINANCE WHOLESALE BANKING
INDIVIDUALS SMEs“SANTANDER
FINANCIAMENTO”CORPORATE SCIB
CORPORATE
SMEs
CONSUMER FINANCE
INDIVIDUALS
TOTAL CREDIT PORTFOLIOR$ BILLION
INDIVIDUALSCONSUMER
FINANCE CORPORATE AND SMEs
PRODUCT AND SEGMENT BREAKDOWN (share in total loans)
SEP-20
Leasing/Vehicles; 2%Agricultural Loan; 3%
Foreign Trade;
22%
Onlending; 6%
Mortgage Loans;
1%
Working
Capital and
Others; 65%45% 42%
17%15%
11%13%
27% 30%
331.6 397.4
0%
20%
40%
60%
80%
100%
120%
Sep-19 Sep-20
23
MORE THAN 27.3MM ACTIVE CUSTOMERS S E R V E D B Y O U R B U S I N E S S
As of september 2020. ¹ Average number of account holders per hour who enter our stores in Brazil and perform banking transactions through an ATM or Teller. Peak Day: 5th business day. 2 9M20 vs. 9M19
6.0MMLoyal customers
+8% YoY
15.2MMDigital customers
+13% YoY
CREDIT AND DEBIT CARDS OLÉ
CONSIGNADO (PAYROLL LOANS) CONSUMER
FINANCE PAYROLL AND SAVINGS ACCOUNTS LENDING PRODUCTS
INVESTMENTS “CONSÓRCIO”
CAPITALIZATION INSURANCE
GETNET AND SUPERDIGITAL
CUSTOMIZED PRODUCTS CAPITAL MARKETS
ADVISORY
PRODUCT PORTFOLIO COMPLETE SERVICE INFRASTRUCTURE
PHYSICAL
• 1MM CURRENT ACCOUNT HOLDERS AT OUR STORES DURING PEAK DAY1
• 56% CHANNEL SALES
DIGITAL
• +40% E-COMMERCE SALES YoY²
• 37% CHANNEL SALES
REMOTE
• 3.2MM CALLS MADE TO THE CALL CENTER / MONTH
• 8% CHANNEL SALES
24
SEGMENTATION TAILORED TO THE REALITY OF OUR CUSTOMERS
¹ It includes R$ 30,000 in investments
SANTANDER | PRIVATE BANKING
SANTANDER | SELECT
SANTANDER | VAN GOGH
SANTANDER
INDIVIDUAL SEGMENTATION
INVESTMENTS ABOVE R$ 5 MM
MONTHLY INCOME ABOVE R$ 10,000¹ OR R$ 300,000 IN INVESTMENTS
MONTHLY INCOME FROM R$ 4,000 TO R$ 10,000 OR R$ 40,000 IN INVESTMENTS
MONTHLY INCOME BELOW R$ 4,000
25
ENCOURAGING ENTREPRENEURSHIP IN THE COUNTRY
NEGÓCIOS DIRECTUP TO R$ 300K
IN REVENUE
NEGÓCIOS AGÊNCIAUP TO R$ 3MM
IN REVENUE
EMPRESAS POLOUP TO R$ 30MM
IN REVENUE
EMPRESAS NÚCLEO
UP TO R$200M IN
REVENUE
83
%O
F S
ME C
USTO
MER
BA
SE¹
SMEs
POSITIONING SERVICE MODEL
• FULL BANKING OFFER
• FOCUS ON LONG-TERM &
CASH MANAGEMENT
PRODUCTS
SPECIALIZED
SUPPORT
• FULL BANKING OFFER
• FOCUS ON
COLLATERALIZED
PRODUCTS AND SERVICES
DEDICATED SPACE AND
MANAGER
• FOCUS ON CREDIT
PRODUCTS AND
TRANSACTIONALITY: PIX,
GETNET, CARDS, CASH
RETAIL STORE
• DIGITAL PACKAGE
• FOCUS ON
TRANSACTIONALITY: PIX,
GETNET, CARDS
REMOTE MANAGER
SPECIALTY STORESSEGMENT-TARGETED
OFFERS
INTERNET BANKINGDIGITAL 78% OF CUSTOMERS
USE THE APP AND IB
+R$ 9.9BIFROM GOVERNMENT PROGRAMS ALLOCATED TO SMES THROUGH SEP-20
¹ Negócios MEI comprises companies up to R$ 81k in revenue
26
COMERCIALIZADORA DE ENERGIA
R$ 100 MMIN 2020
COMMODITIES
+6XPOTENTIAL
RESULT
IN 5 YEARS
PROJECT FINANCE
LEADERS17 YEARS OF OPERATION
¹ Brazilian Central Bank
+ TRANSACTIONALITY
PORTFOLIO MANAGEMENT
FOCUS ON PROFITABILITY
WE HAVE RESTRUCTURED THE
SEGMENT OVER THE LAST 3 YEARS:
HR MARKETPLACE
SXGETNET
CARDS PAYROLL
BENEFITS
CROSS-SELL
WE ARE THE LARGEST FX
PLATFORM IN THE COUNTRY¹
CORPORATE & SMEs
PIONEERS IN FULLY DIGITAL FX CONTRACTING
INDIVIDUALS
ONE PAY FX
WHOLESALE ALL EFFORTS ALIGNED TO ENHANCE TRANSVERSAL OPPORTUNITIES WITHIN OUR BUSINESS
+R$ 220 Bi IN PROJECT INVESTMENTS
+R$ 1 Bi IN EQUITY INVESTMENTS IN RENEWABLE ENERGY PROJECTS
+250 PROJECTS ADVISED OVER THE LAST 9 YEARS
LAUNCHED IN 2019, WE ARE THE LARGEST AGRICULTURAL COMMODITIES DESK IN BRAZIL
IN LINE WITH OUR MISSION TO BE THE GO-TO BANK FOR AGRIBUSINESS
TOP 5 IN BRAZIL IN JUST ONE YEAR
PROPRIETARY BUSINESS WITH INTELLIGENT USE OF CAPITAL
27¹ As of September-2020. ² Source: Brazilian Central Bank and Santander. Considering the market share in vehicle financing to individuals
SANTANDER FINANCIAMENTOSA HISTORY-MAKING FINANCING UNIT
PIONEERS IN
FULLY DIGITAL
FINANCING
NOTEWORTHY
OPERATIONS IN
GOODS AND
SERVICES
LEADERSHIP IN
THE AUTO
MARKET 2.9xEBT GROWTH8M16-8M20
+80%AUTO LOAN
PORTFOLIO GROWTH 2016-2020
25.3%MARKET SHARE²
AUG-20
+18 p.p. HIGHER THAN THE MARKET
WE HAVE EXCEEDED THE PRE-PANDEMIC LEVEL, ACHIEVING RECORD
AUDIENCE AND LEADS
CROSS-SELLING
OPPORTUNITY: 18K ACCOUNT
OPENINGS/MONTH¹ AND
ESTIMATE OF 350K
ACCOUNTS NEXT YEAR
AUDIENCE/MONTH
360 kVEHICLES LISTED
2 MMLEADS GENERATED
248 k/monthFINANCING SIMULATIONS
15 kDEALERS
CUSTOMERS
NPS 83
281 Santander estimate for card market growth in 3Q20
GETNETSIX YEARS OF CONSTANT EVOLUTION
ACTIVE BASE 851 K 20%17%
CAGR 2014-3Q203Q20 YoY
TURNOVER R$ 69 Bi 29%32%
COST PER
TRANSACTION R$ 0.33 -18%(R$ 0.01)
+3XHIGHER THAN
THE MARKET¹
15%2020E
3%2013
MARKET SHARE
22%3Q20
11%3Q19
DIGITAL/TOTAL TURNOVER (%)
ACTIVE
BASE
2014
BANKING +
ADQUIRING SERVICES DIVERSIFICATION DIGITALIZATION
MULTISERVICE
PLATFORM
BUILDING THE
COMMERCIAL MODEL
REINFORCING THE
INTEGRATED ACCOUNT
2015-2016 2017-2018 2019-2020 2020-2021
MARKETPLACE
DIGITAL STORE
GETPAY
QR CODE
DIGITAL POS
PROFITABILITY
SUPERGET
DIGITAL PLATFORM
EFFICIENCY
INTEROPERABILITY
QUALITY
MULTICHANNEL SUPPLY CHAIN
SUPERGET – PAYMENT
ACCOUNT + PREPAID
ONE-STOP-SHOP
GETNET – SCD
+EFFICIENT
IN THE MARKET
29¹ Product penetration rate
CARDSREVAMPED STRATEGY TO GROW WITH PROFITABILITY
2xTURNOVER
IN 5 YEARS
+91%RISE IN TRANSACTIONS
IN 5 YEARS
+50%CREDIT CARD BASE
GROWTH IN 5 YEARS
68%ACCOUNT HOLDERS
32%SINGLE-PRODUCT
CUSTOMER
SANTANDER WAY
T H E B E S T D I G I TA L S E L F - S E R V I C E A N D
PAY M E N T S E X P E R I E N C E
4 PILLARS
S E L F - S E R V I C E
S A F E T Y
R E L A T I O N S H I P
P A Y M E N T S
8 MM ACTIVE USERS
73%PPR¹
82 PTSNPS
60 MM HITS/MONTH
LEVER TO EXPAND THE
CUSTOMER BASE
SANTANDER ACCOUNT HOLDERS
+2x MORE PROFITABLE THAN
SINGLE-PRODUCT CUSTOMERS
+78%INDIVIDUALS PORTFOLIO
GROWTH IN 5 YEARS
VS +56% MARKETGROWTH
30¹ Brazilian Central Bank, as of August, 2020
PAYROLL LOANSA LONG-TERM JOURNEY WITH THE CUSTOMER
ORIGINATION BREAKDOWN 8M20
61%13%
26%
Private“INSS”
(Social
Security)
Public
PORTFOLIO
MARKET SHARE
11.4%¹(+630bps IN 5 YEARS)
240%PORTFOLIO
GROWTH
VS 52% MARKET GROWTH
IN 5 YEARS
20.5%ORIGINATION
MARKET SHARE¹
ORIGINATION
85% OF NEW
LOANS ARE
SIGNED DIGITALLY
CROSS-SELLING
OPPORTUNITY
15 K ACCOUNTS OPENED/MONTH
MARKET LEADER IN
OFFERS TO PRIVATE
COMPANIES SEGMENTS
88POINTS
NPS
31¹ Brazilian Central Bank, 8M20. ²Abecip, in 8M20
MORTGAGEPIONEERS IN DIGITAL OFFERS
11%
INDIVIDUALS ORIGINATION
MARKET SHARE
+6.1p.p.¹
+50%
INDIVIDUALS PORTFOLIO
+4.3xGROWTH IN
ORIGINATION VS. MARKET GROWTH¹
8M20 VS. 8M17
MORTGAGE IN 3 YEARS
END-TO-END
DIGITAL
EXPERIENCE
ONLINE AND IMMEDIATE RESPONSE TO LOAN REQUESTS
ONLINE MONITORING OF THE ENTIRE PROCESS, FROM
LOAN APPLICATION TO DISBURSEMENT
NPS 75
-50% LEAD TIME VS. PREVIOUS PROCESS
AFTER SALESLOAN SIGNINGORIGINATION
HOME-EQUITY
YOUR PROPERTY AS THE
GUARANTEE OF THE BEST RATE
GET CASH TODAY AND REPAY
IT IN UP TO 20 YEARS
“USECASA”
346712
2019 2020
ORIGINATION | YTD (R$MM)
+106%
32.5%ORIGINATION MARKET SHARE2
ORIGINATION
RANKINGR$ 2Bi
IN ORIGINATION IN SEPTEMBER-20
1st PRIVATE BANK TO
REACH THIS LEVEL
32
OFFER ADVISORY
BROKERAGE TORO+PI
• PORTFOLIO REPOSITIONING WITH
OPEN ARCHITECTURE AND
DIVERSIFICATION
• QUICK AND SIMPLE EXPERIENCE
• ASSERTIVE AND PERSONALIZED
RECOMMENDATION THAT TAKES
INTO ACCOUNT THE CUSTOMER
PROFILE
• SPECIALIZED CHANNEL
• INNOVATIVE SOLUTIONS
• EXPERT DESK WITH SOLUTIONS
FOR ALL EQUITY INVESTOR PROFILES
• NEW PLATFORM TO NAVIGATE
THROUGH AN OCEAN OF
INVESTMENT ASSETS
+32%RETAIL
INVESTMENTS
BALANCE
IN 3 YEARS
11%AMBITION FOR
THE BANK’S TOTAL
MARKET SHARE
IN 3 YEARS
FULL RANGE OF INVESTMENTS
33¹ Febraban. ² September-20 vs. September-15
COUNTRYSIDE EXPANSIONCOMMITTED TO BEING THERE FOR OUR CUSTOMERS
Sep-15R$6 Bi
Sep-20R$ 22 Bi
2022R$ 30 Bi
CAGR: 30%
40
AGRI
300
AGRI
STORES
AGRI ORIENTED
BRANCHES
RETURN IN LESS
THAN 18 MONTHS
WE GROW
267%VS 29% MARKET GROWTHIN 5 YEARS2
PORTFOLIO1
PROSPERA SANTANDER
MICROFINANCE
99
PROSPERA
STORES
540 K
CUSTOMERS
PORTFOLIO OF
R$ 1.1 BiAND AMBITION OF
+2xIN 3 YEARS
AGENDA
1 INDUSTRY OVERVIEW:MACROECONOMY AND FINANCIAL SYSTEM
2 SANTANDER BRASIL
PROFILE
4 OUR
BUSINESSES
5 FINANCIAL
HIGHLIGHTS
3 CORPORATE
STRATEGY6
APPENDICES
35
(R$ million) 9M20 9M19 % 12M 3Q20 2Q20 % 3M
Net Interest Income 38,707 35,328 9.6% 12,432 13,620 -8.7%
Fees 13,331 13,882 -4.0% 4,746 4,102 15.7%
Total Revenues 52,038 49,209 5.7% 17,179 17,722 -3.1%
Allowance for Loan Losses -9,674 -9,116 6.1% -2,916 -3,334 -12.5%
General Expenses -15,858 -15,561 1.9% -5,375 -5,191 3.6%
Others -8,470 -8,872 -4.5% -2,472 -3,142 -21.3%
Profit Before Taxes 18,036 15,661 15.2% 6,415 6,055 5.9%
Taxes and Minority Interest -6,385 -4,837 32.0% -2,513 -2,159 16.4%
Net Income w/o extraordinary provision 11,651 10,824 7.6% 3,902 3,896 0.2%
Extraordinary Allowance for Loan Losses -3,200 - - - -3,200 -
Taxes 1,440 - - - 1,440 -
NET PROFIT 9,891 10,824 -8.6% 3,902 2,136 82.7%
RESULT
36
NIIIMPACTED BY THE MIX
(R$ million) 9M20 % 12M % 3M
Customers 32,395 0.8% -4.5%
Product NII 31,116 3.3% -4.4%
Volume 384,197 20.5% 1.3%
Spread 10.8% -1.8 p.p -0.7 p.p
Working Capital 1,280 -36.1% -7.0%
Market activities 6,312 96.9% -26.7%
Net Interest Income 38,707 9.6% -8.7%
NET INTEREST INCOME (R$ million)
MARKET
NII
CUSTOMERS
NII
10,927 11,029 10,533
1,1022,591
1,899
12,02813,620
12,432
3Q19 2Q20 3Q20
32,123 32,395
3,205 6,312
35,328 38,707
9M19 9M20
10%3%
-9%
37¹ Includes debentures, FIDC, CRI, international distribution promissory notes, promissory notes, acquiring activity-related assets, as well as sureties and guarantees
PORTFOLIOHIGHLIGHTED BY THE REBOUND IN RETAIL
(R$ million) Sep/20 % 12M % 3M
Individuals 165,044 11.6% 5.1%
Consumer finance 57,971 5.1% 2.2%
SMEs 53,335 40.5% 14.6%
Corporate 121,034 33.5% -1.3%
Total 397,385 19.8% 3.8%
Other transactions1 93,935 21.9% 12.0%
Expanded portfolio 491,319 20.2% 5.3%
CREDIT PORTFOLIO (R$ billion)
20%
4%
INDIVIDUALS
COLLATERALIZED LOAN
PORTFOLIO+ PAYROLL
LOANS/ INDIVIDUALS LOAN
PORTFOLIO
44.6% 41.0% 41.5%
16.6%14.8% 14.6%
27.3% 32.0% 30.5%
11.4% 12.2% 13.4%
331.6 382.9 397,4
Sep-19 Jun-20 Sep-20
CorporateConsumerFinance
SMEsIndividuals
68%
38
¹ Based on Brazilian Central Bank’s criteria
R$ 46.7 Bi
>50%COLLATERALS
73%
27%
PORTFOLIO BREAKDOWN
5.1%NPL FROM 15 TO 90 DAYS
90%RATED¹ AA-C
PORTFOLIO SEP-20
DEFERRED LOAN PORTFOLIO IMPROVING EXPECTATIONS
IndividualsCorporate & SMEs
INDIVIDUALS
R$ 3.2 Bi AMORTIZED3Q20 VS 2Q20
39
¹ Including debentures, real estate credit notes (LCI), agricultural credit notes (LCA), secured real estate notes (LIG) and structured transaction certificates (COE)
FUNDINGSHOWS GROWTH IN DEPOSITS
(R$ million) Sep/20 % 12M % 3M
Demand deposits 43,414 95.6% 9.9%
Savings deposits 59,443 25.6% 6.6%
Time deposits 275,249 48.5% 7.2%
Financial Bills 17,915 -48.3% -20.2%
Others¹ 55,037 3.4% -5.3%
Funding from customers 451,058 31.6% 4.3%
- Reserve requirement -56,379 -20.9% -1.3%
Others 92,036 10.2% 0.5%
Total Funding - balance 486,715 37.1% 4.6%
Assets under management
(AuM)380,899 11.6% 4.7%
Total Funding + AuM 867,614 24.6% 4.6%
342.8
432.3 451.1
Sep-19 Jun-20 Sep-20
FUNDING FROM CUSTOMERS (R$ billion)
32%
4%
40
FEESSUPPORTED BY HIGHER TRANSACTIONALITY
(R$ million) 9M20 % 12M % 3M
Cards 4,080 -12.2% 17.6%
Current account 2,908 1.8% 8.4%
Insurance 2,210 -3.3% 4.2%
Asset management 740 -8.3% 15.6%
Lending operations 1,049 3.2% 23.1%
Collection services 1,086 -4.2% 7.6%
Securities brokerage and
placement 838 8.3% 65.4%
Others 420 15.7% 36.2%
Total 13,331 -4.0% 15.7%
4,730
4,102
4,746
3Q19 2Q20 3Q20
13,882 13,331
9M19 9M20
FEES (R$ million)
0% -4%
16%
41
5.7%5.2%
6.0%
4.2%4.6%
4.1% 3.9% 4.1%
2.7%3.1%
1.7% 1.9% 1.6% 1.1% 1.2%
Sep-19 Dec-19 Mar-20 Jun-20 Sep-20
181%
272%
307%
Sep-19 Jun-20 Sep-20
1.5%1.3%
1.6%1.2%
0.9%
4.1% 4.0% 4.0%
3.5%3.0%3.0% 2.9% 3.0%
2.4%2.1%
Sep-19 Dec-19 Mar-20 Jun-20 Sep-20
NPL INDICATORS COVERAGE RATIO
FROM 15 TO 90 DAYS OVER 90 DAYS OVER 90 DAYS
Individuals Total Coporate & SMEs
LOAN PORTFOLIO QUALITYINDICATORS UNDER CONTROL
42
ALLOWANCE FOR LOAN LOSSES (R$ million) | COST OF CREDIT
LOAN PORTFOLIO QUALITYINDICATORS UNDER CONTROL
Provisions for loan losses Recovery of written-off loans Cost of credit Cost of credit w/o extraordinary provision
(571) (711) (837)
3,723 4,045 3,754
3,152 2,916
3Q19 2Q20 3Q20
3,200
6,534
(1,607) (2,061)
10,723 11,735
9M19 9M20
3.3% 4.0%
3.0%
3,200
12,874
9,116
3.4%6.0%
2.6%
3.1%
43
DILIGENT COST MANAGEMENT UNDERPINS EFFICIENCY
4,652 4,540 4,692
606 651 683
5,258 5,191 5,375
3Q19 2Q20 3Q20
13,781 13,899
1,779 1,959
15,561 15,858
9M19 9M20
2,308 2,436
2,232 2,256
4,540 4,692
2Q20 3Q20
38.4%
35.7%36.6%
3Q19 2Q20 3Q20
2%
4%
2%
GENERAL EXPENSES (R$ million)
Administratives
Expenses
Personnel
Expenses
ADMINISTRATIVES AND PERSONNEL
EXPENSES COMPOSITION (R$ million)
3% 1%
EFFICIENCY RATIO EVOLUTION
Administratives and Personnel Expenses
Depreciation and amortization
6,734 7,058
7,047 6,841
13,781 13,899
9M19 9M20
44
SOLID
BALANCE SHEET
LOAN PORTFOLIO/ FUNDING FROM CUSTOMERS BIS RATIO
96.7%88.6% 88.1%
Sep-19 Jun-20 Sep-20
16.2%
14.4% 14.9%
14.0%11.9% 12.3%
Sep-19 Jun-20 Sep-20
BIS ratio CET1
45
1.8%
1.6% 1.6%
3Q19 2Q20 3Q20
21.1%
21.9%21.2%
3Q19 2Q20 3Q20
INDICATORS
w/o extraordinary provision
0.9%
12.0%
EFFICIENCY RATIO
ROAA ROAE
-1.8 ppYoY
-0.2 ppYoY
-1.7 ppYoY
+0.1 ppYoY
RECORRENCE RATIO
38.4%
35.7%36.6%
3Q19 2Q20 3Q20
90.0%
79.0%88.3%
3Q19 2Q20 3Q20
46
OUR CULTURE OF SPEED AND INNOVATION ENABLES US TO SUPPORT CUSTOMERS, EMPLOYEES AND SOCIETY, WHILE
DELIVERING VALUE TO SHAREHOLDERS
• OUR EFFECTIVE PERCEPTION OF CYCLES GIVES US THE ABILITY TO
CAPTURE MARKET OPPORTUNITIES IN ADVANCE
• STRONG COMMERCIAL ACTIVITY DRIVEN BY THE ENGAGEMENT OF OUR
EMPLOYEES AND UNPARALLELED SOLUTIONS
• PERPETUAL EVOLUTION OF OUR RISK MANAGEMENT ALLOWS US TO
MAINTAIN LOAN QUALITY INDICATORS AT OUTSTANDING LEVELS
• CONTINUOUS RELENTLESS QUEST FOR OPERATIONAL EFFICIENCY AND
PROFITABILITY
AGENDA
1 INDUSTRY OVERVIEW:MACROECONOMY AND FINANCIAL SYSTEM
2 SANTANDER BRASIL
PROFILE
4 OUR
BUSINESSES
5 FINANCIAL
HIGHLIGHTS
3 CORPORATE
STRATEGY6
APPENDICES
48
Type of DepositsAllocation
RateMandatory Allocation Remuneration
(maximum rates)Before 2008
Financial Crisis
During
the CrisisCurrent
Demand Deposit
Reserve Requirement 45% 42% 21% Cash deposit in Bacen -
Reserve Requirement - Additional 8% 5% 0% - -
Rural Loan 25% 30% 27.5% Allocate 27.5% for Rural Loan 8% p.a.
Microcredit 2% 2% 2% Allocate 2% for microcredit 4% p.m.
Free Funding 20% 21% 49.5%
Savings Deposit
Real Estate Financing 65% 65% 65% Allocate 65% for real estate financing TR +12%¹ p.a.
Reserve Requirement 20% 20% 20% Cash deposit in Bacen TR + 6.17% p.a. or 70%² of Selic
Reserve Requirement - Additional 10% 10% - Mandatory allocation was extinguished -
Free Funding 5% 5% 15%
Time Deposit
Reserve Requirement 15% 14% 17% Cash deposit in Bacen Selic
Reserve Requirement – Additional 8% 4% - Mandatory allocation was extinguished -
Free Funding 77% 82% 83%
RESERVE REQUIREMENT
1 Referring to the maximum effective cost regulated in Severance Indemnity Fund for Employees (FGTS) operations. 2 If the Selic rate target is equal or less than 8.5%, remuneration
will be TR (Brazilian Reference Rate) +70% of the current Selic Rate
49
CARDS GETNETMORTGAGES
¹ Source: ABECS – Monitor Bandeiras
ORIGINATION BY DISTRIBUTION
60% 61% 58% 51% 53%
13% 11% 8% 10% 9%
14% 17% 20% 28% 25%
13% 12% 14% 12% 13%
3Q19 4Q19 1Q20 2Q20 3Q20
Digital Brokers
Transfers to Homebuilders Branches
LOAN TO VALUE
49% 49% 50% 51% 51%
63% 63% 63% 68% 65%
Sep-19 Dec-19 Mar-20 Jun-20 Sep-20
Origination (quartely average)
Loan Portfolio
TURNOVERR$ billion
TRANSACTIONSmillion
40.1 44.3 38.2 31.740.6
18.322.3
19.215.6
21.2
58.466.6
57.447.3
61.7
3Q19 4Q19 1Q20 2Q20 3Q20
Debit Credit
377 386 325 274 330
324 323292
267347
700.8 708.4617.4
541.1
677.7
3Q19 4Q19 1Q20 2Q20 3Q20
Debit Credit
TRANSACTIONSmillion
TURNOVER R$ billion
279 312 308 249 301
354 418 375
289 392
632.7730.0 683.4
538.4692.9
3Q19 4Q19 1Q20 2Q20 3Q20
Debit Credit
11.3% 11.5%12.5%
13.1%
Market Share in Turnover¹
32.0 36.5 36.7 34.1 42.0
19.9 24.6 22.5
18.4
26.7 51.9
61.1 59.252.5
68.7
3Q19 4Q19 1Q20 2Q20 3Q20
Debit Credit
Simple | Personal | Fair
Our purpose is to help people and
businesses prosper
Investor Relations (Brazil)
Av. Juscelino Kubitschek, 2,235, 26th floor
São Paulo | SP | Brasil | 04543-011
Telefone: 55 11 3553 3300
E-mails: ri@santander.com.br
acionistas@santander.com.br
Our culture is based on the belief that everything we do should be: