RIO DE JANEIRO, BRAZIL – Bankruptcy petitions increased 18.4 percent in October compared to September. On the same comparison basis, petitions filed seeking financial restructuring and restructuring petitions granted have increased by 52.3 and 45.3 percent, respectively. Court decreed bankruptcies also increased by 45.3 percent in the monthly variation. The data are from Boa Vista Central Credit Protection Service (SCPC).
According to the company, the new figures represent the end of the deceleration pace the indicator had been showing in the 12-month cumulative analysis.
During this time, petitions filed for financial restructuring showed a 17.2 percent increase, as did petitions granted (14.9 percent). Bankruptcy petitions filed increased by 8.3 percent, while bankruptcies ordered by courts declined by 2.9 percent, maintaining the comparative basis.
The increase observed in bankruptcies decreed after two months of downfall also points to a worsening in companies’ solvency indicators over the past month.
The bankruptcy and financial restructuring indicator is built based on the monthly data recorded in the SCPC (Central Credit Protection Service), sourced from bankruptcy courts and federal and state Court Gazettes.
Source: Estadão Conteúdo