Banco Pine SA, a Brazilian mid-sized lender specialized in corporate credit, trimmed estimate for lending growth and profitability this year as an economic downturn in Latin America’s largest economy drove management to seek more cautious goals for 2014. In a securities filing, São Paulo-based Pine cut the loan book growth guidance for this year to a range between zero and 5 percent, from a prior guidance of 8 percent to 12 percent made available in Febraury. Recurring return on equity, a gauge of profitability, was revised down to a range between 10 percent and 13 percent, compared with February’s guidance of 13 percent to 15 percent.
The bank maintained the estimates for growth in gross interest income and in non-interest expenses unchanged.
The decision came in the wake of “the intensification in the conservativeness of the management of the bank’s business during the first half of this year,” the filing said.