DALLAS, July 18, 2025 (GLOBE NEWSWIRE) -- NDBT (North Dallas Bank & Trust Co.), an independent community bank established in 1961, today announced net earnings for three months of $2,102,943 or $0.82 per share, and net earnings for six months of $3,410,659 or $1.33 per share, for the periods ending June 30, 2025. Earnings were prepared internally without review by the company’s independent accountants. Financial results are the results of past performance, events and market conditions, and are not a guarant ...

Financial Data and Key Metrics Changes - In 2024, adjusted net income reached BRL2.2 billion, exceeding guidance of BRL1.9 billion, despite macroeconomic headwinds and over BRL100 million in negative impacts from accounting changes [15][18] - Adjusted net margin was 18.4% in Q4 2024, up 1 percentage point year-over-year [18] - Total revenues for Q4 2024 increased by 11% year-over-year, driven by active client base growth and higher monetization [19] Business Line Data and Key Metrics Changes - MSMB card TPV reached BRL403 billion in 2024, a 15% year-over-year growth, while total MSMB TPV reached BRL454 billion, a 22% increase [10] - The MSMB take rate was 2.55% in 2024, exceeding guidance of 2.49% [13] - The credit portfolio grew to BRL1.2 billion, significantly above the BRL800 million target, with non-performing loans over 90 days at a controlled 3.61% [13][34] Market Data and Key Metrics Changes - Retail deposits closed 2024 at BRL8.7 billion, surpassing guidance of BRL7 billion, reflecting strong performance in bundled payments and banking offerings [11] - The banking active client base increased by 46% year-over-year to 3.1 million clients [28] Company Strategy and Development Direction - The company aims to establish Stone accounts as the primary financial hub for clients, focusing on enhancing the value proposition with a comprehensive product ecosystem [11][12] - The strategy includes a shift towards using deposits to fund operations, which is expected to reduce funding costs and improve capital structure [30][31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continuing to outpace market growth and expanding share in the MSMB payments market [10] - The company remains focused on delivering sustainable long-term value creation despite potential macroeconomic challenges [65] Other Important Information - The company introduced gross profit as a key performance measure, which reached BRL1.7 billion in Q4 2024, growing 13% year-over-year [21] - A goodwill impairment charge of BRL3.6 billion was recognized for the software cash-generating units, which is a non-cash accounting adjustment [42] Q&A Session Summary Question: Performance of banking solutions and room for improvement - Management highlighted that deposit growth is outpacing TPV due to successful bundling of payments and banking solutions, with ongoing development of new products [68][70] Question: View on dividends given excess capital - Management indicated that while they have returned over BRL2 billion in share buybacks, they are not committing to specific targets for capital allocation at this time [76][78] Question: Details on price increases and guidance on EPS - Management confirmed that a substantial repricing initiative was executed at the beginning of Q1 2025, with adjustments based on yield curve projections [89][92] - The decision to guide basic EPS instead of diluted EPS was made to avoid volatility and complexity in calculations [94][96] Question: Potential sale of the Software business - Management stated that no offers met their intrinsic value for the software assets, and they will focus on maximizing value through cross-selling financial services [112][114]