Shares of Bank Bradesco SA (NYSE:BBD) tumbled 6.25% in after-hours trading on Wednesday, following the release of the company's disappointing third-quarter financial results. The Brazilian banking giant's earnings report fell short of analysts' expectations on both the top and bottom lines, sparking a sell-off among investors.
Bank Bradesco reported quarterly earnings of $0.09 per share, missing the analyst consensus estimate of $0.11 by 18.18%. While this represents a 12.5% increase from the $0.08 per share earned in the same period last year, it wasn't enough to satisfy market expectations. More alarmingly, the company's quarterly sales came in at $2.939 billion, significantly below the analyst consensus estimate of $6.220 billion by a staggering 52.75%. This also marks a 21.96% decrease compared to sales of $3.766 billion in the same quarter of the previous year.
The substantial miss on revenue and the decline in year-over-year sales are likely to raise concerns among investors about Bank Bradesco's growth trajectory and its ability to navigate the current economic environment. As one of Brazil's largest banks, Bradesco's performance is often seen as a barometer for the country's financial sector. The after-hours plunge suggests that investors are reassessing their outlook on the stock, and the market will be watching closely for any guidance or commentary from management regarding these results and future expectations.
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