BTG Pactual reports record total revenues and adjusted net income of R$17.2bn and R$8.3bn in 2022, respectively

SÃO PAULO, Feb. 13, 2023 /PRNewswire/ --  BTG Pactual (BPAC11) posted 2022 total revenues of R$17.2bn, up 24% year on year (y/y). Adjusted net income was R$8.3bn in 2022, up 28% y/y, while return on adjusted equity (ROAE) came in at 20.8% in 2022. 4Q22 revenues was R$3.6bn, up 4% y/y, and adjusted net income amounted to R$1.8bn, in line with 4Q21 levels.

Adjusted for a non-recurring provision, which impacted 4Q22 as a subsequent event, revenues were R$18.4bn in 2022, and R$4.8bn in 4Q 2022, up 33% y/y and 38% on an annual basis, respectively. Net income adjusted by non-recurring provision totaled R$8.9bn in 2022, and R$2.3bn in 4Q22, up 37% and 33% in the same comparison. Adjusted for the one-off provision, ROAE was 22.1% in 2022.

BTG Pactual reported strong growth driven by client activity. Net New Money totaled R$254bn in 2022, with R$1.3tn in assets under management and administration. NNM was R$68bn in 4Q 2022.

Investment Banking once again led the industry rankings and, despite a tough macroeconomic scenario, posted R$485mn revenues in Q4 (+17% y/y). Annual revenues were R$1.8bn, the second best ever, with strong contributions from DCM and M&A, with both posting record revenues.

Corporate & SME Lending revenues were of R$2.7bn in 2022, up 5% y/y. 4Q 2022 revenues were of R$105mn, hit by the aforementioned non-recurring provision. Adjusted by the one-off event, revenues would have risen 31% on a quarterly basis to R$1.2bn. The credit portfolio ended 2022 at R$144.3bn (+35.3% y/y).

Sales & Trading had a strong revenue contribution from client franchises and ended 2022 with revenues of R$5.3bn (+23.8% y/y). 4Q 2022 revenues were R$1.1bn. BTG Pactual allocated risk efficiently with VaR of 0.27% in the quarter.

In Asset Management, Assets under Management (AuM/AuA) ended 2022 at R$707.3bn. NNM was R$33bn in the quarter, and R$133.8bn in 2022, while revenues were R$429.2mn in Q4 (+19% y/y). 2022 revenues were an annual record for Asset Management, at R$1.6bn (+31% y/y).

As for Wealth Management & Consumer Banking, Wealth under Management (WuM) totaled R$546bn, with quarterly NNM of R$35bn, and R$119.8bn in 2022. Wealth Management & Consumer Banking again posted record revenues in 4Q 2022 of R$686.1mn (+53% y/y), while annual revenues were R$2.5bn (+66% y/y).

Basel ratio ended the quarter at 15.1%, liquidity coverage ratio (LCR) was 233%.