PSSA3 after 2Q26: insurance ROAE above 30% while Porto Bank credit losses reshape group profit
How to read Porto’s second-quarter package — R$889m recurring net income (+1% YoY), 22% ROAE, R$11bn recurring revenue, Porto Seguro combined ratio at 85%, Porto Saúde profit +36%, and Porto Bank profit −32% on ~R$868m credit losses plus tighter 2026 loss guidance.
PSSA3 after 2Q26: insurance ROAE above 30% while Porto Bank credit losses reshape group profit
On 6 August 2026, Porto Seguro S.A. (B3: PSSA3; the listed entity for the Porto group) released 2Q26 results for the period ended 30 June 2026. The group spans insurance, health, banking, services, and a large treasury book — so the consolidated headline is always a blend. Recurring net income was R$ 889 million (+1.2% year on year). Recurring ROAE was 22% (down 2.3 percentage points but still the eighth consecutive quarter above 20%, per company materials). Recurring total revenue reached about R$ 11 billion (+11%). Statutory net income was R$ 879.4 million (+0.2%), with press coverage noting operating income near R$ 1.09 billion (−5.3% YoY) as credit losses rose to about R$ 867 million (+66.7%).
The educational frame is vertical attribution: Porto Seguro (insurance) printed ROAE near 33% on stronger loss ratios; Porto Saúde grew lives and profit; Porto Bank grew revenue but profit fell 32% on provisioning — and management raised its 2026 credit-loss guidance for the Bank vertical. Readers who compared HAPV3’s MLR-heavy 2Q26 or BBSE3’s pension-and-insurance mix will recognize the same lesson: in Brazilian financial conglomerates, one vertical’s credit or medical-loss cycle can flatten group ROAE even when another vertical looks pristine.
Consolidated snapshot
| Metric (2Q26) | Result | vs 2Q25 |
|---|---|---|
| Total revenue (recurring) | ~R$ 11.0 bn | +11% |
| Recurring net income | R$ 889 m | +1.2% |
| Recurring ROAE | 22% | −2.3 pp |
| Statutory net income | R$ 879.4 m | +0.2% |
| Operating income (press) | ~R$ 1.09 bn | −5.3% |
| Credit losses (press) | ~R$ 867 m | +66.7% |
| Clients (group) | 18.9 m | +1.2 m |
| Businesses (group) | 36.9 m | +5.9 m |
1H26 on the recurring view: net income about R$ 1.8 billion (+8% YoY) and ROAE 23% (−0.7 pp vs 1H25), so the first half still grew despite the Bank drag in 2Q26.
Company materials adjust recurring profit for items including a R$ 185 million deferred-tax reversal tied to the ISAR merger in 1Q26 and ongoing cash tax benefits from CDF goodwill amortization — worth separating when you compare quarters to statutory IFRS lines in the CVM file.
Porto Seguro: premiums accelerate, combined ratio improves
The insurance vertical remained the profitability anchor:
| Porto Seguro (2Q26) | Result | YoY |
|---|---|---|
| Revenue | R$ 5.9 bn | +8.5% |
| Net income | R$ 455.8 m | +4.9% |
| ROAE | 32.9% | +1.8 pp |
| Amplified combined ratio | 85% | −0.4 pp |
| Loss ratio | 49% | −1.4 pp |
Premium growth was broad: auto about +7.9%, property & casualty about +12.4%, life about +5.8% (presentation figures). Management linked the combined-ratio improvement mainly to lower sinistrality, with auto loss ratio down 1.8 pp and P&C down 2.9 pp year on year in the quarterly product bridge.
For underwriting literacy, the amplified combined ratio at 85% is the line that tells you pricing and claims are working; it is not the same metric as Bank stage-3 exposure or health medical-loss ratio — Porto reports all three, and they should not be averaged mentally into “one loss ratio for the group.”
Porto Saúde: lives up 20%, loss ratio still near 77%
Health was the growth vertical on membership and revenue:
| Porto Saúde (2Q26) | Result | YoY |
|---|---|---|
| Total revenue | R$ 2.3 bn | +14.4% |
| Net income | R$ 143.9 m | +36.4% |
| Health insured lives | 904 k | +20.3% |
| Health loss ratio | 76.9% | −0.4 pp |
| Health + dental loss ratio | 76.9% | −0.4 pp |
Dental lives also rose (company disclosure: +176 k in the quarter, part of +329 k total health-and-dental beneficiaries). Issued health premium was about R$ 2.24 billion (+14.8% YoY). Profit grew faster than revenue, but 76.9% medical loss still leaves little room for administrative slippage — the same structural tension visible at other listed health names, without implying relative quality between issuers.
Porto Bank: revenue growth vs credit-loss shock
Porto Bank illustrated why conglomerate investors must read provision lines before celebrating top-line momentum:
| Porto Bank (2Q26) | Result | YoY / trend |
|---|---|---|
| Net income | R$ 137.8 m | −32% |
| ROAE | 16.3% | vs 24.8% in 1Q26 |
| Total revenue (vertical) | ~R$ 1.94 bn | +11% (presentation) |
| Efficiency index | 25.4% | −4.0 pp vs 2Q25 |
| Over-90-day arrears (company) | 6.9% | vs 7.2% in 2Q25 |
| Stage-3 share | 15.1% | vs 13.8% in 1Q26 |
Press accounts attributed much of the group’s operating-income decline to credit losses near R$ 867 million — up sharply year on year — even as retained premium and earned premium in insurance and health grew high single digits to low double digits. Presentation slides showed Bank quarterly profit stepping down from R$ 204 million in 2Q25 to R$ 138 million in 2Q26, with ROAE sliding from the high twenties to 16.3%.
Management revised 2026 guidance for the Bank vertical in August:
| Guidance line | Prior range | Revised range |
|---|---|---|
| Credit losses (R$ bn) | 2.7–3.1 | 3.1–3.5 |
| Total vertical revenue (R$ bn) | 7.5–7.9 | 7.7–8.1 |
| Vertical loss ratio | 50.5–54.5% | 50–54% |
The credit-loss range move is the binding message for 2H26 modeling: revenue guidance inched up, but expected losses moved up more — consistent with a bank that is still growing fee-based and card revenue while absorbing a heavier provision cycle.
Treasury, services, and what still props up ROAE
Outside the three main P&L verticals:
- Treasury revenue from the financial investment portfolio (excluding pension and ALM sleeves) was R$ 475.2 million in 2Q26 — a material consolidated line when Selic and spread products favor fixed-income books.
- Porto Serviço contributed about R$ 50 million of net income (+11% YoY per company blog), tied to assistance and partnership products.
- Digital service penetration continued to climb: 73% of client interactions and 54% of broker interactions through digital channels in 2Q26 (presentation series).
These lines help explain how group ROAE can remain above 20% while Bank profit halves sequentially: insurance ROAE near 33% and investment income still matter at the holding level.
How to read the next filing
- Split recurring vs statutory net income before comparing to sell-side models — 1Q26 tax and merger adjustments still echo in year-to-date bridges.
- Track Bank credit losses against the new R$ 3.1–3.5 billion full-year band, not just over-90 arrears (which actually improved slightly YoY on company data).
- Watch health loss ratio near 77% against membership growth — volume gains can mask margin pressure for several quarters.
- In insurance, monitor whether combined ratio near 85% holds if auto competition intensifies; P&C growth at +12% is the mix lever that helped 2Q26.
Where to see this on the explorer
- PSSA3 company page — filings, documents, and context
- Blog index
- Company list
Sources
- Porto Seguro S.A. — Quarterly information for the period ended 30 June 2026, disclosed 6 August 2026 (CVM)
- Porto — 2Q26 earnings release and investor presentation, August 2026
- Porto corporate blog — 2Q26 highlights (August 2026)
- Contemporaneous press on statutory income, operating income, and credit losses (August 2026)
- PSSA3 on the explorer
Disclaimer
This article is for informational and educational purposes only. It is not investment advice. Recurring figures, vertical ROAE, and loss-ratio definitions follow Porto’s earnings materials and may differ from statutory IFRS lines in CVM filings. Refer to official documents and, if needed, a licensed professional.
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