Banco Bradesco S.A.’s American Depositary Shares (BBDO) are rising in U.S. trading as investors digest a stronger-than-expected first-quarter earnings update alongside a renewed capital return program. The move follows Bradesco reporting recurring net profit of 5.86 billion reais for the quarter ended March 31, a 39% year-over-year increase and above consensus estimates, and unveiling a fresh share buyback authorization.

Beyond the profit beat, Bradesco pointed to improving profitability as its turnaround continues. Return on average equity rose to 14.4% in the first quarter, up 4.2 percentage points from the same period a year earlier, reinforcing the view that margins and efficiency are stabilizing after a challenging period marked by higher costs and weaker results.

In a separate filing, Bradesco announced a new buyback program for up to 106.6 million shares (covering both common and preferred stock) to be executed through November 2026. For equity investors, the combination of accelerating earnings and an extended buyback window signals management confidence in the sustainability of the earnings recovery and provides an incremental, price-insensitive source of demand for the shares.