Banco BMG S A : Comunicado ao Mercado

BMGB B3 LISTED N1

INSTITUTIONAL PRESENTATION

3Q23

Agenda

Bmg

Strategy and Products

Corporate Governance

Ratings

Bmg at-a-glance

Products and services

RETAIL

payroll

Relationship channels

anytime, anywhere,

any device

Clients

checking

credit

account personal virtual piggy

credit bank

investments

		means of
cashback	payment
life	credit
credit
health	derivatives
consortium	capital
guarantee	markets

help! stores

digital bank

bank

agencies

correspondents

WhatsApp

13.2 million

CLIENTS1

57% with products of

credit (SCR)

22% with insurance

products

call center

1. Bacen methodology of total clients
and clients with credit (SCR - Credit	3
Information System).

Solidity and tradition

					2022
					Benefit Payroll
			2016	2018	Card
			Digital Bank	Product allows the
1930	1998	2005	Franchises
User friendly	expansion of
Foundation	Payroll Loan	Payroll Credit	Distribution
Relationship and	customer
		Card
	Precursor of third-	channel	relationship
	Pioneering and	self-service
	party correspondent	asset light with
	leader
	banks channel	standardization in
	2012-2016		the quality of
		formalization
	JV with Itaú

2023

Complete Bank

Products and

services focused

on the 50+

consignable

public

4

Operations evolution

		Credit portfolio	R$ Billion
		22.9		23.9	25.0	24.7	24.1
																2.4
																		2.3				2.2
								2.4
		2.2
									6.3
									6.5
									6.8
		5.8			5.8
		14.5		15.1		15.7	15.1	14.6
		3Q22	4Q22	1Q23	2Q23		3Q23
					Retail - Payroll loan			Retail - Others		Wholesale
		Net interest margin	R$ Million and % a.a.
2190		15.2%	15.8%	15.5%	15.4%	15.8%
2160
2130
2100
2070
2040
2010
1980		7.9%		7.3%		6.5%				7.5%
1740
1710
1950																		6.3%
1650
1920
1890
1860
1830
1800
1770
1680
1620
1590
1560
1530
1500																					1,133
1230
1470
1440								1,068	1,082	1,093
1170
1410
1380
1350		961
1080
1320
1290
1260
1200
1140
1110
1050
1020
990
960
930
900
870
840
810
780
750
720
690
660
630
600
570
540
510
480
450
420																					554
150
390		510		512		467	460
120
90
360
330
300
270
240
210
180
60
30
0		3Q22	4Q22	1Q23	2Q23		3Q23
								NIM				NIM adjusted to the cost of credit

10,00%

-10,00%

-30,00%

-50,00%

-70,00%

-90,00%

-110,00%

-130,00%

-150,00%

Funding R$ Billion

28.3 30.1 30.4 31.2 31.6

27.5

29.3

29.6

30.4

30.9

3Q22		4Q22	1Q23		2Q23	3Q23
		Market funding		Subsidiaries

Recurring results R$ Million and % a.a.

	12.1%	13.5%	12.8%	12.5%	13.5%
240									10,00%
160	5.7%	7.7%	2.4%	-1.5%	7.6%
-30,00%
200									-10,00%
			73				72	-70,00%
120									-50,00%
53
80		23				-90,00%
40
									-110,00%
0									-130,00%
					(14)
-40								-150,00%
		3Q22	4Q22		1Q23	2Q23		3Q23
		Recurring net income		Recurring ROAE (%)		Basel ratio (%)	5

Diversification of the credit portfolio

Credit Portfolio (R$ Million)	3Q23	2Q23	Δ%	3Q22	Δ%
Consignable
14,601	15,092	-3.3%	14,486	0.8%
Retail (Individuals)	3,672	3,573	2.8%	2,835	29.5%
Wholesale	2,157	2,342	-7.9%	2,178	-1.0%
Other portolios1	3,081	2,931	5.1%	3,009	2.4%
Run off - partnership with retailers2	639	712	-10.4%	416	53.4%
Total Credit Portfolio	24,149	24,651	-2.0%	22,924	5.3%

	Retail
	(Individuals)
	15%
	Wholesale
	9%
Consignable	Other
Portfolios
Products	13%
60%
	Run off
	3%

1. Other Portfolios refer to payroll loan in the United States and retail companies| 2. Run off Portfolio refers substantially to the traditional credit card portfolio in partnership with retailers (which was	6
reclassified to run off in 3Q23 with retroactive effects to ensure better comparability) and legacy payroll loan.

Quality of portfolio

Default rate
6,0%		4.9%	5.3%	5.5%	5.6%
5,0%	4.3%
4,0%					4.4%
3,0%
2,0%
	3Q22	4Q22	1Q23	2Q23	3Q23
		Over90	Over90 - running bank

	Over90 by segment										High quality portfolio AA-A
16.8%	16.6%	15.0%
						13.9%
									11.9%
														91.7%	90.9%	90.7%	90.8%	90.3%
			8.8%	9.2%
							7.4%
6.2%								6,1%
1.9%	2.2%	2.5%		3.0%	3.0%
0.0%	0.0%	0.3%		0.1%	0.4%
		3Q22	4Q22	1Q23	2Q23	3Q23
	3Q22	4Q22		1Q23	2Q23	3Q23
		Consignable		Retail			Wholesale			Other Portfolios					7

Payroll products

payroll credit card + benefit payroll card + payroll loan

Origination: Quarterly released amount1 (R$ million)		Credit portfolio2 (R$ million)
2,060																14,486	15,091	15,701	15,092	14,601
																		4,635
					1,490													4,831	4,725	3,921		3,145
			397
				1,162										2,008	2,261		2,510
											1,011		914	1,566
938			166		924
	676				199
										82				163
						376											9,058	8,910		8,946
725		648				305				289			8,741	8,800
		587		537	558
		3Q22	4Q22		1Q23	2Q23		3Q23		3Q22	4Q22		1Q23	2Q23	3Q23
																					Payroll Credit Card		Benefit Payroll Card		Payroll Loan
		Payroll Credit Card		Benefit Payroll Card		Payroll Loan

Payroll Loan: recurring assignment strategy

In 3Q23, R$667 million was assigned without retention of risks and benefits

Characteristics	Average interest rate:		Payroll credit cards:		91% of the portfolio concentrated
of the portfolio	2.9% p.m.		4.7 million		in federal risk
1. It considers only the new resource released to the client, it does not considervs. refinanced53% emamounts4T19. It considers origination via withdrawal and purchase | 2. Includes balance of purchases to be invoiced.	8

Retail (Individuals)

direct debit loan + traditional credit card + FGTS anticipation

Origination: Quarterly released amount1 (R$ million)		Credit portfolio2 (R$ million)
					906									3,415	3,573	3,672
												3,025
829	750	747			2,835		975	957
130	712			991
167	107		122	142		1,042	988	514	488	437
				366
											491
383	395		340	301		442
				2,111	2,278
					410					1,352	1,546	1,910
279	248	285	269
		3Q22	4Q22	1Q23		2Q23	3Q23		3Q22	4Q22	1Q23		2Q23	3Q23
			FGTS Anticipation			Tradicional Credit Card			FGTS Anticipation			Traditional Credit Card
			Direct Debit Loan								Direct Debit Loan

Characteristics	Average interest rate:		Traditional credit cards:		89% of direct debit loan portfolio
of the portfolio	7.5% p.m.		910 thousand		receives the benefit through Bmg

vs. 53% em 4T19	9
1. It considers only the new resource released to the client, it does not consider refinanced amounts. Origination of traditional credit card equivalent to purchases| 2. Includes purchases to be invoiced for card products.

Bmg Seguridade

Premiums sold (R$ million)

Mass insurance: life and credit insurance and property and casualty insurance

Large Risk Insurance: Surety, P&C, D&O

and E&O

240		218
	185

Issued	95
Premiums
(R$ million)	57

2Q23 3Q23

Issued Premiums

(R$ million)

128

49

69

3Q22 2Q23 3Q23

Insured 4.6

Portfolio1million

Acting via coinsurance agreement with Generali and independently for other channels

19 19 21

3Q22 2Q23 3Q23

Retained Issued

3Q23 Equity equivalence: R$ 17 million

1. clients or contract objects.	10