XP (XP) Q1 2025 earnings summary

Executive summary

• Achieved record client assets of BRL 1.8 trillion, up 13% YoY, with 4.7 million active clients (+2% YoY) and 18,100 advisors (+2% YoY).

• Gross revenues reached BRL 4.6 billion, up 7% YoY, and EBIT grew 16% YoY to BRL 1.3 billion.

• Record net income of BRL 1.236 billion, up 20% YoY, with diluted EPS up 24% YoY.

• ROE expanded to 24.1%, up 340 bps YoY, and capital ratio improved to 19%.

• Retail segment led growth, with fixed income becoming the largest contributor for the first time.

Financial highlights

• Net new money was BRL 24 billion, up 79% YoY; retail net new money hit BRL 20 billion (+54% YoY).

• Retail revenues grew 10% YoY to BRL 3.4 billion, driven by strong fixed income activity.

• Corporate and industry services revenue increased 11% YoY to BRL 562 million.

• Efficiency ratio improved to 25.2%–34.1%, the lowest ever, reflecting strict expense control.

• EBT margin expanded 220 bps YoY to 29.1%.

Outlook and guidance

• Confident in delivering at least 10% revenue growth for 2025, with stronger growth expected in the second half.

• New BRL 1 billion share buyback program announced, targeting BIS ratio between 16% and 19% in 2026.

• Payout ratio expected to remain above 50% for 2025–2026.

• Retail, especially fixed income and new verticals (credit cards, insurance, consortium), expected to drive growth.

• ROE and ROT expected to continue rising as risk-weighted assets grow slower than net income.