Background: Schizophrenia is a severe and chronic psychiatric disorder with significant cognitive deficits, which are considered structural markers for the disease. Language disturbances have an important role in patients' social functioning and interpersonal relationships. Objectives: Evaluate the capacity to understand pragmatic language in schizophrenic patients, through the comprehension of nonliteral meaning in metaphors and the ability to use contextual clues to better understand their meanings. Methods: Thirty patients were evaluated using Abbreviated Intelligence Scale (WASI), Interpretation of Metaphors subtest of the Montreal Communication Evaluation Battery (MAC). Results: The linear regression model showed that schizophrenic patients presented below average performance in the interpretation of metaphors task, with tendency to concrete interpretations. Variables such as IQ, WASI Vocabulary subtest and years since onset influenced the patients' pragmatic language skills. This relation was not found for family history. Existence of the metaphor in native colloquial language (Portuguese) and being given alternatives to choose from, enhanced patients' performance. Discussion: Results corroborate findings regarding this population's difficulties in the language cognitive domain. Development of interventions aiming comprehension of pragmatic language could help ease patients' social difficulties, especially if started early at onset. Also, better understanding of this deficit can help create rehabilitation strategies.