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Stock impact report

Santander Brasil cuts costs, credit card risk amid coronavirus [Reuters]

Banco Santander, S.A. Sponsored ADR (Spain) (SAN) 
Company Research Source: Reuters
Santander Brasil cuts costs, credit card risk amid coronavirus SAO PAULO (Reuters) - Banco Santander Brasil SA’s ( SANB11.SA ) chief executive, Sergio Rial, on Tuesday said the bank is implementing a series of measures aimed at helping it weather the coronavirus crisis, such as reducing credit card risk and cutting technology spending. Rial said in an interview with Reuters that he cannot yet foresee the pandemic’s full impact on the bank’s results, although loan delinquencies and losses are likely to go up after a forecast-beating first quarter that sent its shares soaring. Still, he does not see the 90-day default rate for banks in Brazil spiking above the previous record of 5%. Currently, 3% of Santander’s outstanding loans are more than 90 days past due. The Brazilian unit of Spain’s Banco Santander SA ( SAN.MC ) plans to keep operating costs growth below inflation in 2020. Rial said the bank has instituted a hiring freeze and cut capital expenditures on technology by 30% this Show less Read more
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