SÃO PAULO, Feb. 10, 2020
/PRNewswire/ -- We present below the differences between our
financial statements in BRGAAP and in International Financial
Reporting Standards – IFRS.
As from January 1st,
2018, IFRS 9 came into effect, the accounting standard that
replaces IAS 39 in the treatment of Financial Instruments. The new
standard is structured to encompass the pillars of classification,
measurement of financial assets and impairment and was applied
retrospectively by Itaú Unibanco Holding.
The complete consolidated financial statements under IFRS from
January to December 2019 are
available at our website:
www.itau.com.br/investor-relations.
Comparison between BRGAAP1 and IFRS
|
|
|
|
|
R$ million
|
|
Balance
Sheet
|
BRGAAP
|
Adjustments
and
Reclassifications 2
|
IFRS
|
BRGAAP
|
Adjustments
and
Reclassifications 2
|
IFRS
|
|
Dec/31/2019
|
|
|
Dec/31/2018
|
|
|
Total
Assets
|
1,738,713
|
(101,232)
|
1,637,481
|
1,649,614
|
(96,817)
|
1,552,797
|
|
Cash, Compulsory
Deposits and Financial Assets At Amortized Cost 3 4
6
|
1,164,753
|
3,535
|
1,168,288
|
1,172,276
|
(12,837)
|
1,159,439
|
|
(-) Provision for
Expected Loss at Amortized Cost5
|
(38,888)
|
2,859
|
(36,029)
|
(33,326)
|
(47)
|
(33,373)
|
|
Financial Assets at
Fair Value Through Other Comprehensive Income
4
|
166,676
|
(89,930)
|
76,746
|
105,065
|
(55,657)
|
49,408
|
|
(-) Expected Loss at
Fair Value Through Other Comprehensive Income
5
|
(3,162)
|
3,076
|
(86)
|
(3,441)
|
3,356
|
(85)
|
|
Financial Assets at
Fair Value Through Profit or Loss 4
|
345,677
|
(22,748)
|
322,929
|
315,383
|
(28,737)
|
286,646
|
|
Tax
Assets7
|
56,835
|
(7,875)
|
48,960
|
50,242
|
(7,412)
|
42,830
|
|
Investments in
Associates and Joint Ventures, Goodwill, Fixed Assets,
Intangible Assets, Assets Held for Sale and Other
Assets
|
46,822
|
9,851
|
56,673
|
43,415
|
4,517
|
47,932
|
|
|
|
|
|
|
|
|
Total
Liabilities
|
1,595,865
|
(107,849)
|
1,488,016
|
1,505,490
|
(103,159)
|
1,402,331
|
|
Financial Assets at
Amortized Cost 3 6
|
1,265,471
|
(105,641)
|
1,159,830
|
1,220,233
|
(100,499)
|
1,119,734
|
|
Financial Assets at
Fair Value Through Profit or Loss 4
|
48,008
|
21
|
48,029
|
27,675
|
36
|
27,711
|
|
Provision for
Expected Loss (Loan Commitments and Financial Guarantees)
5
|
959
|
3,181
|
4,140
|
1,265
|
2,527
|
3,792
|
|
Provision for
Insurance and Pension Plan
|
217,216
|
1,118
|
218,334
|
199,995
|
1,192
|
201,187
|
|
Provisions
|
21,454
|
-
|
21,454
|
18,613
|
-
|
18,613
|
|
Tax Liabilities
7
|
13,870
|
(5,979)
|
7,891
|
10,915
|
(5,631)
|
5,284
|
|
Other
Liabilities
|
28,887
|
(549)
|
28,338
|
26,794
|
(784)
|
26,010
|
|
Total
Stockholders' Equity
|
142,848
|
6,617
|
149,465
|
144,124
|
6,342
|
150,466
|
|
Non-controlling
Interests
|
10,861
|
1,679
|
12,540
|
12,367
|
1,317
|
13,684
|
|
Total Controlling
Stockholders' Equity 8
|
131,987
|
4,938
|
136,925
|
131,757
|
5,025
|
136,782
|
|
1BRGAAP represents accounting
practices in force in Brazil for financial institutions, according
to regulation of the Central Bank of Brazil;
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|
2Resulted from reclassification of
assets and liabilities and other effects from the adoption of
IFRS;
|
|
|
|
|
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3Resulted from the elimination of
transactions between parent company and exclusive funds
(particularly PGBL and VGBL funds), which are consolidated under
IFRS;
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4Refer to reclassification of
financial assets between measurement categories at fair value and
amortized cost;
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5Application of criterion for
calculation of Expected Loss as set forth by IFRS;
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6Difference in accounting,
particularly from Foreign Exchange Portfolio, which are now be
presented as net effect between Assets and Liabilities;
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7Difference in accounting,
particularly deffered taxes, which are now accounted for as net
effect between Assets and Liabilities in each one of the
consolidated companies;
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8Reconciliation of Controlling
Stockholders' Equity is presented in the following
table.
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Below is the reconciliation of Results to Stockholders' Equity,
with the conceptual description of major adjustments.
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R$ million
|
|
Reconciliation
|
Stockholders
Equity
|
Result
*
|
|
Dec/31/2019
|
4th
Q/19
|
3rd
Q/19
|
4th
Q/18
|
jan-dec/19
|
jan-dec/18
|
|
BRGAAP -
Values Attributable to Controlling
Stockholders
|
131,987
|
7,482
|
5,576
|
6,206
|
26,583
|
24,977
|
|
(a)Expected
Loss - Loan and Lease Operations and Other Financial
Assets
|
1,716
|
1,569
|
(240)
|
559
|
1,178
|
380
|
|
(b)Adjustment
to Fair Value of Financial Assets
|
(1,936)
|
(250)
|
(108)
|
(42)
|
(239)
|
(303)
|
|
(c)Acquisition
of Interest in Porto Seguro Itaú Unibanco Participações
S.A.
|
439
|
(1)
|
(1)
|
(1)
|
(4)
|
(7)
|
|
(d)Criteria for Write-Off of Financial
Assets
|
1,927
|
(36)
|
(190)
|
(38)
|
(289)
|
(30)
|
|
(e)Financial
Lease Operations
|
193
|
(61)
|
(30)
|
(29)
|
(172)
|
(149)
|
|
(f) Other
adjustments
|
2,599
|
(29)
|
158
|
(2)
|
56
|
39
|
|
IFRS - Values
Attributable to Controlling Stockholders
|
136,925
|
8,674
|
5,165
|
6,653
|
27,113
|
24,907
|
|
IFRS - Values
Attributable to Minority Stockholders
|
12,540
|
41
|
340
|
204
|
700
|
732
|
|
IFRS - Values
Attributable to Controlling Stockholders and Minority
Stockholders
|
149,465
|
8,715
|
5,505
|
6,857
|
27,813
|
25,639
|
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* Events net of tax
effects
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Differences
between IFRS and BRGAAP Financial Statements
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(a) In the
adoption of IFRS 9, there was a change in the calculation model of
incurred loss (IAS 39) to expected loss, considering
forward-looking information. On BRGAAP, the concept of Expected
Loss is used, pursuant to BACEN Resolution No.
2,682/99.9
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(b) Under
IFRS, stocks and quotas classified as permanent investments were
measured at fair value and its gains and losses were recorded
directly in Result. Additionally, there was a change in the model
of classification and measurement of financial assets due to the
new categories introduced by IFRS 9.
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(c) Under
IFRS, the effect of accounting at fair value of the acquisition of
interest in Porto Seguro Itaú Unibanco Participações S.A. was
recognized.
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(d) Criterion
for write-off of financial assets on IFRS considers the recovery
expectative.
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(e) Under IFRS
(IAS 17) the financial lease operations are recorded as Fixed
Assets, as a contra-entry of Other Financial Liabilities.
Under BRGAAP, as from September 30th, 2015, the
consideration of these transactions are now recorded in result, in
accordance with CMN Resolution No. 3,617/08.
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(f) Other
Adjustments is mainly composed of reversal of Amortizations of
Goodwill under BRGAAP.
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9
More details in the Complete Financial Statements for January to
December, 2019.
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For comparison purposes, we present on the table below the
Result and Recurring Result in IFRS and BRGAAP.
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|
R$ million
|
|
Recurring
Result
|
4th
Q/19
|
4th
Q/18
|
|
BRGAAP
|
IFRS
|
Variation
|
BRGAAP
|
IFRS
|
Variation
|
|
Result -
Attributable to Controlling Stockholders
|
7,482
|
8,674
|
1,192
|
6,206
|
6,653
|
447
|
|
(-) Non-Recurring
Events (*)
|
186
|
2,240
|
2,054
|
(272)
|
(164)
|
107
|
|
Revaluation of the
tax credit balance
|
2,303
|
2,024
|
(279)
|
-
|
-
|
-
|
|
Constitution of
provision for loan losses
|
(2,453)
|
(338)
|
2,115
|
-
|
-
|
-
|
|
Gain due to the
primary issuance of XP Investimentos shares
|
1,974
|
1,974
|
-
|
-
|
-
|
-
|
|
Civil, Fiscal and
Labor contingencies
|
(1,307)
|
(1,307)
|
-
|
-
|
-
|
-
|
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Goodwill
Amortization
|
(155)
|
6
|
161
|
(171)
|
-
|
171
|
|
Liability Adequacy
Test
|
9
|
66
|
57
|
(85)
|
(148)
|
(62)
|
|
Impairment, mainly
related to technology
|
(37)
|
(37)
|
-
|
(18)
|
(18)
|
-
|
|
Other
|
(148)
|
(148)
|
-
|
2
|
2
|
-
|
|
Recurring Result -
Attributable to Controlling Stockholders
|
7,296
|
6,434
|
(862)
|
6,478
|
6,817
|
339
|
|
* Net of tax
effects
|
|
|
|
|
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|
The tables in this report show the figures in million.
Variations and summations, however, were calculated in units.
São Paulo, February
10th, 2020.
Alexsandro
Broedel
Group Executive Finance Director and Head
of Investor Relations
Itaú Unibanco - Corporate Communication, (11) 5019-8880 / 8881 -
imprensa@itau-unibanco.com.br
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SOURCE Itaú Unibanco Holding S.A.