Financial Data and Key Metrics Changes - In Q4 2025, revenues reached $4.9 billion, up 45% year-over-year, with gross profit nearly $2 billion, reflecting a 38% increase year-over-year [8][9] - Net income increased by 50% year-over-year to $895 million, achieving a record return on equity (ROE) of 33% [9][38] - The efficiency ratio improved to 19.9%, falling below 20% for the first time in company history, indicating better operating leverage [35] Business Line Data and Key Metrics Changes - The total portfolio reached $32.7 billion, up 40% year-over-year, driven by credit cards and unsecured lending [23] - Credit card balances increased by 12.2% quarter-over-quarter, marking the strongest quarterly growth since Q4 2023 [23] - Unsecured lending surpassed $8 billion, with record high originations of $4 billion in Q4 2025 [24] Market Data and Key Metrics Changes - In Brazil, Nubank became the largest private financial institution by customer count, reaching 113 million customers with an activity rate of 86% [13] - In Mexico, customer count reached 14 million, with significant progress in the banking license process [13] - In Colombia, customer count surpassed 4 million, with a notable increase in approval rates for the subscription-based credit card [14] Company Strategy and Development Direction - The company aims to transition from a Latin American leader to a global digital banking platform, focusing on winning in core markets and strengthening foundations for international expansion [16][18] - Key priorities include deepening leadership in Brazil, expanding share of wallets, and enhancing the affluent segment through products like Ultravioleta [17] - AI is viewed as a critical enabler for revenue growth and operational efficiency, with plans to expand its application across various products [18] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the scalability of the operating model, emphasizing strong capital buffers and a disciplined approach to growth [41][42] - The company anticipates an investment year in 2026, focusing on operational foundations for global expansion and AI adoption [36] - Management noted that while there may be upward pressure on the efficiency ratio in the short term due to investments, the long-term outlook remains positive [37] Other Important Information - The company introduced a new managerial reporting framework to enhance visibility into performance metrics and value creation [4][20] - A one-off expense of approximately $25 million related to a sector-wide deposit insurance fund was recorded, which is not indicative of the company's financial health [28] Q&A Session Summary Question: AI Disruption Risk - Management acknowledged that AI presents both challenges and opportunities, emphasizing that Nubank is well-positioned to leverage AI for revenue and cost efficiencies [44][52] Question: Loan Growth Impact from Clip Increases - Management indicated that unused credit limits increased significantly, contributing to credit card growth, and noted that benefits from credit limit increases are expected to unfold over time [54][56] Question: Efficiency Ratio Pressures - Management discussed potential upward pressure on the efficiency ratio due to investments in returning to office policies, AI, and global expansion efforts [66][68] Question: Tax Rate Clarification - The lower effective tax rate was attributed to a non-recurring increase in deferred tax assets and ongoing benefits from technology investment tax breaks [74][78] Question: Provision Expenses and NPLs - Management clarified that the increase in credit loss allowances was driven by growth rather than asset quality deterioration, with stable NPL metrics across regions [82][86] Question: Secure Loans and Client Mix - Management expressed optimism about public payroll loans and the potential for private payroll loans, while also highlighting ongoing efforts to improve offerings for affluent customers [95][100]

Earnings Presentation Q4 2025 Feb 25, 2026 Q4'25 Results 1 Welcome Guilherme Souto Investor Relations Officer Q4'25 Results 3 Disclaimer Q4'25 Results 2 David Vélez Founder, Chief Executive Officer and Chairman Chief Financial Officer Guilherme Lago This presentation speaks at the date hereof and the Company is under no obligation to update or keep current the information contained in this presentation . Any information expressed herein is subject to change without notice . Any market or other third -party ...