Brasília – Federal state-owned companies saw profits of BRL 24.6 billion (USD 6.5 billion) in Q1 2019, up 57.5% from a year ago. The numbers are from the Federal State-Owned Enterprises Report released this Thursday (1) by Brazil’s Ministry of Economy Secretariat for Coordination and Governance of State-Owned Enterprises.
Banco do Brasil, Caixa Econômica Federal, Brazilian Development Bank (BNDES), Eletrobras, and Petrobras concentrate over 90% of the total assets and 93% of net worth of state-owned companies.
Among the groups tracked, the highest percentual growth was seen in BNDES (pictured), which came from a BRL 2.1 billion (USD 554 million) profit in Q1 2018 to a BRL 11.1 billion (USD 2.9 billion) in Q1 2019, up 437%.
The sale of Transportadora Associada de Gás S.A. (TAG) caused the number of state-owned companies to slide from 134 to 133. After the bulletin’s publication, there was still another reduction of the number of state-owned enterprises, which are now 130.
Last year, federal corporation profited almost BRL 70 billion (USD 18 billion), up 147% from 2017.
Employees
Year-on-year, Q1 2019 saw a reduction of 2,400 employees in the state-owned companies. Most of them were at Correios (1,721) and Banco do Brasil (402). Part of the cut results from the implementation of voluntary dismissal programs. It’s estimated that this saved up BRL 1.1 billion (USD 290 million) in the payroll.
With information from the ANBA newsroom. Translated by Guilherme Miranda
