Banco do Brasil misses profit estimates as defaults spike

SAO PAULO, Aug 10 (Reuters) - Banco do Brasil SA missed second-quarter profit estimates on Thursday, as a jump in defaults forced the country's largest state-controlled bank to keep loan-loss provisions at high levels.

Brasilia-based Banco do Brasil earned 2.649 billion reais ($839 million) in net income, excluding one-time items last quarter, up 5.3 percent from the prior three months. The number came in below the average consensus estimate of 2.959 billion reais compiled by Thomson Reuters from analysts.

($1 = 3.1556 reais) (Reporting by Guillermo Parra-Bernal. Editing by Jane Merriman)