Business
StoneCo Reports Second Quarter 2023 Results
Strong Revenue Growth and Profits Above Expectations R$3 billion in Revenues, R$447 million in Adjusted EBT and R$322 million in Adjusted Net Income,a year
About this update from Stoneco Ltd.
[{"type":"text","content":"Strong Revenue Growth and Profits Above Expectations R$3 billion in Revenues, R$447 million in Adjusted EBT and R$322 million in Adjusted Net Income,a year over year growth of 28%, 489% and 477%, respectively GEORGE TOWN, Grand Cayman, Aug. 16, 2023 (GLOBE NEWSWIRE) -- StoneCo Ltd. (Nasdaq: STNE, B3: STOC31) (“Stone” or the “Company”) today reports its financial results for its second quarter ended June 30, 2023. Operating and Financial Highlights for 2Q23 Note about our non-IFRS Adjusted P&L metrics: as anticipated in our 4Q22 Earnings announcement, from 1Q23 onwards we no longer adjust the expenses related to share-based compensation, which may affect the comparability of our current Adjusted results to our Adjusted numbers prior to 1Q23. To allow for better understanding of our business performance trends, the tables in this Earnings Release will make reference to our Adjusted P&L metrics including share-based compensation expenses (i.e. not adjusting those expenses out), both in 1Q23 and in prior periods for comparability purposes. MAIN CONSOLIDATED FINANCIAL METRICS Table 1: Main Consolidated Financial Metrics Main Consolidated Financial Metrics (R$mn)2Q231Q232Q22Δ y/y %Δ q/q % 1H231H22y/y %Total Revenue and Income2,954.82,711.72,304.128.2%9.0% 5,666.44,374.429.5%Adjusted EBITDA1,498.81,251.41,026.546.0%19.8% 2,750.21,830.150.3%Adjusted EBT447.0324.075.8489.3%38.0% 771.0144.7433.0%Adjusted Net Income322.0236.655.8476.9%36.1% 558.698.4467.8%Adjusted Net Cash4,327.23,988.82,754.457.1%8.5% 4,327.22,754.457.1% Total Revenue and Income reached R$2,954.8 million, growing 28.2% year over year. This was primarily driven by (i) 32.0% increase in financial services platform revenues, which reached R$2,551.2 million mainly due to above-market TPV growth in our MSMB segment and higher take rate; and (ii) 9.2% increase in software platform revenues, which reached R$382.9 million due to organic growth in our Core POS and ERP solutions.Adjusted EBITDA in 2Q23 was R$1,498.8 million, up 46.0% year over year and 19.8% quarter over quarter. Adjusted EBITDA Margin increased 4.6 percentage points sequentially to 50.7% mainly due to higher sequential Total Revenue and Income, excluding other financial income and continued realization of operating leverage across costs and expenses.Adjusted EBT in 2Q23 was R$447.0 million, up 489.3% year over yea...