ITAÚ UNIBANCO - MATERIAL FACT - PROJECTIONS 2023

Rhea-AI Summary

Itaú Unibanco Holding S.A. has announced its projections for 2023, focusing on key financial metrics.

Key Highlights:

• Total credit portfolio expected to grow between 6.0% and 9.0%.
• Financial margin with clients projected to increase by 13.5% to 16.5%.
• Estimated financial margin with the market between R$ 2.0 bn and R$ 4.0 bn.
• Cost of credit projected between R$ 36.5 bn and R$ 40.5 bn.
• Commissions and fees growth forecasted at 7.5% to 10.5%.
• Non-interest expenses expected to grow between 5.0% and 9.0%.
• Consolidated efficiency ratio estimated below 40%.
• Effective tax rate expected between 28.5% and 31.5%.

Positive

• Total credit portfolio growth forecast of 6.0% to 9.0%.
• Financial margin with clients projected to grow between 13.5% and 16.5%.
• Financial margin with the market estimated between R$ 2.0 bn and R$ 4.0 bn.
• Forecasted growth in commissions and fees between 7.5% and 10.5%.
• Non-interest expenses expected to grow between 5.0% and 9.0%.
• Consolidated efficiency ratio projected to remain below 40%.

Negative

• Cost of credit projected between R$ 36.5 bn and R$ 40.5 bn, indicating potential financial pressure.

SÃO PAULO, Feb. 7, 2023 /PRNewswire/ -- Itaú Unibanco Holding S.A. ("Company" or "Itaú Unibanco"), in compliance with Article 157, Paragraph 4 of Law 6,404/76 and Resolution no. 44/21 of the Brazilian Securities and Exchange Commission, informs its stockholders and the market in general that as of this date it has released its projections for the year 2023 in accordance with the provision in item 11 ("Projections") of the Reference Form.

guidance 2023	consolidated
total credit portfolio1	growth between 6.0% and 9.0%
financial margin with clients	growth between 13.5% and 16.5%
financial margin with the market	between R$ 2.0 bn and R$ 4.0 bn
cost of credit2	between R$ 36.5 bn and R$ 40.5 bn
commissions and fees and results from insurance operations3	growth between 7.5% and 10.5%
non-interest expenses	growth between 5.0% and 9.0%	consolidated efficiency ratio below 40% and below 38% in Brazil
effective tax rate	between 28.5% and 31.5%
(1) Includes financial guarantees provided and corporate securities;  (2) Composed of result from loan losses, impairment and discounts granted; (3) commissions and fees (+) income from insurance, pension plan and premium bonds operations (-) expenses for claims (-) insurance, pension plan and premium bonds selling expenses.

It's worth mentioning that the company considers, for management purposes, a cost of capital of around 14.5% per year.

Information on outlooks for the business, projections and operational and financial goals are solely forecasts, based on management's current outlook in relation to the future of Itaú Unibanco. These expectations are highly dependent on market conditions, general economic performance of the country, of the sector and the international markets. Therefore, our effective results and performance may differ from those forecasted in this prospective information.

RENATO LULIA JACOB

Group Head of Investor Relations and Marketing Intelligence

CNPJ 60.872.504/0001-23
A Publicly Listed Company
NIRE 35300010230

View original content:https://www.prnewswire.com/news-releases/itau-unibanco---material-fact--projections-2023-301741325.html

SOURCE Itaú Unibanco Holding S.A.

FAQ

What are Itaú Unibanco's projections for 2023?

Itaú Unibanco projects a total credit portfolio growth of 6.0% to 9.0%, with a financial margin with clients growth of 13.5% to 16.5%.

What is the expected cost of credit for Itaú Unibanco in 2023?

The cost of credit for Itaú Unibanco is projected to be between R$ 36.5 bn and R$ 40.5 bn.

What is the forecast for non-interest expenses for Itaú Unibanco in 2023?

Non-interest expenses are expected to grow between 5.0% and 9.0%.

What is the effective tax rate projection for Itaú Unibanco in 2023?

The effective tax rate for Itaú Unibanco is forecasted to be between 28.5% and 31.5%.

How is the consolidated efficiency ratio expected to perform for Itaú Unibanco in 2023?

The consolidated efficiency ratio is projected to remain below 40%.