Financial Data and Key Metrics Changes - The company reported total gross revenues of BRL 15 billion, marking a 45% year-on-year growth, while net revenues grew 31% year-on-year to reach BRL 8.4 billion [13] - The net interest income increased by 41% year-on-year, driven by strong performance in payroll loans, credit cards, mortgages, and home equity loans [13] - The company achieved a net income of BRL 1.3 billion, surpassing a 15% return on equity (ROE) in the last quarter [18] Business Line Data and Key Metrics Changes - The loan portfolio grew by 36% year-on-year, with mortgages increasing by 48% and home equity loans by 35% [9] - The private payroll loans portfolio reached nearly BRL 2 billion, with around 400,000-500,000 clients, showcasing the strength of digital distribution [6] - Credit card volume grew by 29%, with a focus on reshaping the client base from pure transactors to more engaged users [6][9] Market Data and Key Metrics Changes - The company processed 32,000 financial transactions per minute, totaling almost 1 billion transactions in December, reflecting high client engagement [3] - The transaction volume through Pix reached around BRL 1.5 trillion for the year, leading to a market share of 8.5% [5] - The funding franchise grew by 32% year-on-year, reaching nearly BRL 73 billion, driven primarily by time deposits [11] Company Strategy and Development Direction - The company aims to replicate the success of Pix in other products, with home equity already ahead of Pix in market share [7] - The strategy focuses on continuous innovation across seven verticals, enhancing client value and profitability [8] - The management emphasizes the importance of technology and AI to improve efficiency and operational leverage [24][68] Management's Comments on Operating Environment and Future Outlook - The management expressed confidence in achieving growth targets for 2026, with expectations of continued loan growth and efficiency improvements [22][68] - The company anticipates a cost of risk between 5.5% and 6% for 2026, with a focus on maintaining asset quality [51] - The management highlighted the resilience of their funding strategy, even in a high-interest-rate environment [12] Other Important Information - The company maintained a healthy funding mix, with a cost of funding at 65.6% of CDI, an improvement from the previous quarter [12] - The efficiency ratio improved from 48.4% to 45.5%, reflecting operational leverage and cost optimization efforts [17] Q&A Session Questions and Answers Question: Concerns about efficiency ratio progress - The management acknowledged the slower progress in efficiency and emphasized ongoing efforts in technology and innovation to improve this metric [21][24] Question: Future dividend payments strategy - The company plans to maintain a 20% payout ratio for dividends, as long as it does not impact growth execution [25][26] Question: Fee income growth expectations - The management noted that fee income growth was impacted by increased expenses but expects initiatives to reengage clients to drive future growth [32][36] Question: Provisioning and asset quality concerns - The management confirmed that asset quality is performing as planned and that the increase in Stage Three formation was anticipated due to the maturation of certain products [47][49] Question: Competitive advantage in private payroll loans - The management highlighted their strong client base, low funding costs, and the non-cannibalization of other revenues as key competitive advantages in the private payroll segment [74][76]

Financial Data and Key Metrics Changes - The company reported total gross revenues of BRL 15 billion, reflecting a 45% year-on-year growth, while net revenues grew 31% year-on-year to BRL 8.4 billion [13] - Net interest income increased by 41% year-on-year, driven by strong performance in payroll loans, credit cards, mortgages, and home equity loans [13] - The efficiency ratio improved from 48.4% to 45.5%, indicating better operational leverage [17] Business Line Data and Key Metrics Changes - The loan portfolio grew by 36% year-on-year, with mortgages increasing by 48% and home equity loans by 35% [9] - The private payroll loans portfolio reached nearly BRL 2 billion, with around 400,000-500,000 clients, showcasing rapid product scaling [6] - Credit card volume grew by 29%, with interest-earning products now representing over 23% of the credit card portfolio, up from 19% last year [6][9] Market Data and Key Metrics Changes - The company processed 32,000 financial transactions per minute, totaling almost 1 billion transactions in December, with a significant increase in daily logins to over 21.5 million [3][4] - The transaction mix is evolving, with credit card transactions outpacing debit card transactions, positively impacting interchange fee income [5] - The company achieved a Pix market share of 8.5%, with ongoing efforts to replicate this success in other products [7] Company Strategy and Development Direction - The company is focused on continuous innovation across its seven verticals, which are interconnected to enhance client value and profitability [8] - The management emphasized the importance of technology and AI in improving efficiency and reducing costs, with plans for hyper-personalization and enhanced customer experience [70] - The company aims to maintain a balanced ratio of secured and unsecured loans while deepening credit penetration [9] Management's Comments on Operating Environment and Future Outlook - The management expressed confidence in achieving further growth in 2026, with expectations of continued loan growth and NIM expansion [19][66] - The company anticipates a cost of risk between 5.5% and 6% for 2026, with a focus on maximizing risk-adjusted NIM [50][66] - Management acknowledged the competitive landscape but highlighted their advantages in client base, funding costs, and digital distribution channels [73] Other Important Information - The company maintained a strong NPS of 85 points, indicating high customer satisfaction [4] - The average balance per active client reached BRL 2,100, with total funding growing by 32% year-on-year [11] - The company is preparing for an Investor Day on May 11th, where further insights into future strategies will be shared [20] Q&A Session Summary Question: Concerns about efficiency ratio progress - Management acknowledged the slower progress in efficiency but highlighted significant improvements in ROE and client growth, reaffirming commitment to the 60/30/30 plan [21][22] Question: Future dividend payments strategy - The company plans to maintain a 20% payout ratio for dividends, balancing growth and capital needs [25][27] Question: Fee income growth expectations - Management noted that fee income growth was impacted by accounting changes and competitive pressures but expects initiatives to drive future growth [31][36] Question: Provisioning and asset quality concerns - Management clarified that asset quality metrics are performing as expected, with adjustments made for more conservative risk assessments [46][49] Question: Private payroll loan growth and competition - The company is optimistic about the private payroll loan segment, leveraging its distribution channels and competitive advantages to sustain growth [58][73]

Financial Data and Key Metrics Changes - The company reported a net loss of ARS 50.3 billion in Q3 2025, significantly impacted by high real interest rates and tight monetary policy [3][4][6] - Net financial income declined by 43% sequentially due to increased funding costs and local market volatility [6] - The CET1 ratio was 13.2% at the end of the quarter, improving to 14.5% in October [5] Business Line Data and Key Metrics Changes - Loan growth was solid, up 8% in real terms, primarily driven by the corporate segment, while retail lending slightly declined [4] - The NPL ratio rose to 3.9%, mainly due to retail loans, but the NPL share of individuals remains below the retail loan share [4][5] - Deposit growth was strong, increasing by 15% quarter on quarter and over 40% year on year, with dollar deposits reaching a record high [4] Market Data and Key Metrics Changes - The company anticipates real loan growth of 35%-40% for the full year 2025, led by corporate lending [7] - NIM is projected to be between 15%-18% for the full year, reflecting the impact of high interest rates [8] - The company expects an NPL ratio between 4.7%-5.1% and a net cost of risk of 5.8%-6.3% for the full year [8] Company Strategy and Development Direction - The company is focused on enhancing customer engagement and expanding cross-sell opportunities, particularly through its super app and Invertir Online [5] - Strategic initiatives are aimed at unlocking the full value of the franchise and returning to profitability [2][5] - The company plans to tap into international markets for funding if conditions allow, indicating a strategy to increase leverage [82] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the post-election environment, noting early signs of stabilization and improving confidence [2][3] - The company is preparing for a gradual recovery in loan demand, particularly from corporates and SMEs, as economic conditions improve [31] - Management acknowledged the challenges faced in Q3 but emphasized a focus on controlling costs and investing in business growth [5][6] Other Important Information - The political landscape in Argentina is shifting, with significant changes expected in governance and economic reforms following the recent elections [10][11] - The company is open to strategic alliances and partnerships to adapt to the evolving market conditions [67][68] Q&A Session Summary Question: Long-term growth expectations and segment growth - Management indicated that loan growth is expected to be led by corporates and SMEs, with retail lending picking up later in 2026 as economic conditions improve [31][32] Question: ROE expectations for next year - Management expects ROE to be in the high single digits or low double digits for 2026, depending on the pace of economic recovery and regulatory changes [51][52] Question: Corporate vs. retail loan mix - The company aims for a balanced loan mix, with corporate loans currently exceeding 50% of the total, and expects retail loans to increase as consumer confidence improves [58][59] Question: Asset quality and NPL dynamics - Management anticipates that NPLs may peak in Q4 2025, with gradual improvement expected as macroeconomic conditions stabilize [76][77] Question: Liquidity conditions and growth constraints - Management noted that liquidity conditions are improving post-elections, with expectations for increased deposit growth and a focus on capturing stable deposits [86]

Financial Data and Key Metrics Changes - The company reported a net loss of ARS 50.3 billion in Q3 2025, significantly impacted by high real interest rates and tight monetary policy [4][5] - Net financial income declined by 43% sequentially, with the peso NIM falling to 11.7% and total NIM to 10.8%, down 1,100 and 1,000 basis points respectively [7][9] - The CET1 ratio reached 13.2% at quarter end and improved to 14.5% in October, supported by lower deferred asset tax deductions [6] Business Line Data and Key Metrics Changes - Loan growth was solid, up 8% in real terms, primarily driven by the corporate segment, while retail lending declined slightly due to tightened origination standards [5] - The NPL ratio rose to 3.9%, mainly due to the retail segment, although the NPL share of individuals remains below the retail loan share [5][56] - Deposit growth was strong, increasing by 15% quarter on quarter in real terms and over 40% year on year, with dollar deposits reaching a record high, up 31% sequentially [5] Market Data and Key Metrics Changes - The company anticipates real loan growth of 35%-40% for the full year 2025, led by corporate lending, with retail gradually resuming growth as disposable income improves [9] - Deposits are forecasted to grow 30%-35%, with further share gains in US dollar-denominated deposit balances [9] Company Strategy and Development Direction - The company is focused on controlling costs, with a 2% decline quarter on quarter and a 12% decline year to date in real terms [6] - Strategic initiatives include scaling the super app, enhancing customer engagement, and expanding cross-sell opportunities, particularly at Invertir Online [6] - The company is committed to returning to profitability and delivering long-term value, supported by the expected easing of monetary conditions [3][4] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about post-election stabilization, with improving confidence and declining interest rates [4] - The company expects a gradual improvement in asset quality, with NPLs projected to peak in Q4 2025 [56] - Future ROE is anticipated to range between negative 5% and 0% for the full year, with expectations for improvement in 2026 as economic conditions normalize [10][41] Other Important Information - The political landscape in Argentina is changing, with a shift towards a more fragmented political environment, which may impact economic reforms [12][18] - The company is open to strategic alliances and partnerships to enhance its competitive position in the market [53] Q&A Session Summary Question: Long-term growth expectations and segment growth - The company guided for real loan growth of 35%-40% this year, with expectations for corporate lending to lead growth and retail to pick up later [30][31] Question: ROE expectations for next year - The company expects ROE to be in the high single digits or low double digits for next year, depending on the pace of economic recovery [41][42] Question: Balance between corporate and retail loans - The company aims for a balanced loan mix, with corporate loans currently exceeding 50% of the mix, expecting retail to catch up as conditions improve [44][46] Question: Asset quality dynamics and NPL expectations - The company anticipates that NPLs may peak in Q4 2025, with a coverage ratio expected to remain between 110-120% [55][57] Question: Liquidity conditions and growth constraints - The company sees a rebound in money demand post-elections, which should support deposit growth and mitigate liquidity constraints [62]

Core Insights - Naver, South Korea's largest internet company, is set to acquire Upbit, the country's biggest cryptocurrency exchange, through a landmark share swap, potentially transforming the financial landscape in South Korea [1][2]. Group 1: Acquisition Structure - The acquisition is structured as a stock swap between Naver Financial and Dunamu, Upbit's operator, allowing Naver to gain ownership without immediate capital outlay [2][3]. - Both companies have established task forces to finalize the terms, including the valuation ratio for Dunamu's unlisted shares, with formal board approval being the last step before closing the deal [3]. Group 2: Strategic Objectives - Naver aims to create a "super app" that integrates its ecosystem—covering e-commerce, payments, maps, email, and search—with Upbit's crypto trading infrastructure, enhancing user experience across services [4][6]. - The partnership also aims to develop a won-pegged stablecoin initiative, leveraging Upbit's crypto expertise and Naver's consumer reach to drive adoption domestically and expand internationally [5].