Slide 1: Form 6-K Report of Foreign Private Issuer
United States Securities and Exchange Commission Washington, D.C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934 For the month of October 2023 Commission File Number 132-02847 INTER & Co, INC. (Exact name of registrant as s
Slide 2: 3Q23 Earnings Presentation
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 3Q23 Earnings Presentation November 6th, 2023
Slide 3: Forward-looking statements
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 This report may contain forward-looking statements regarding Inter, anticipated synergies, growth plans, projected results and future strategies. While these forward-looking statements reflect our Management’s good faith beliefs, they involve known a
Slide 4: Agenda
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Agenda 1. CEO Overview 2.Banking Credit & Funding Capabilities 3.Transactional Platform 4.Financial Performance 3
Slide 5: Agenda: CEO Overview
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Agenda 1. CEO Overview 2.Banking Credit & Funding Capabilities 3.Transactional Platform 4.Financial Performance 4
Slide 6: Another record-breaking quarter
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 “Another record-breaking quarter” - João Vitor Menin 5
Slide 7: Building & scaling the platform
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Building & scaling the platform Foundations for profitability Leveraging the successful strategy 2021 Until 2022 Inflection point 2023 Onwards 172 100 162 Solid upward performance Net Revenue1 (100 index) Gross Loan portfolio (100 index) Net Income -
Slide 8: Self-fulfilling ecosystem creating a virtuous cycle
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Self-fulfilling ecosystem creating a virtuous cycle Innovative DNA Most Complete Product Offer Best-in- Class UX Sustainable Profitability Scaling Gains Net Income Revenues Growth Best-in-Class Financial Super App Win-Win Model Increasing # of Client
Slide 9: Another record-breaking quarter
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Another record-breaking quarter Operational Leverage Record low Efficiency Ratio 52.4% +96 bps QoQ improvement Bottom Line Delivering EBT2 R$145mm Vs. -70mm 3Q22 Increasing Total Gross Revenue Revenue Growth R$2.1bn +39% YoY Return on Equity Boosting
Slide 10: Agenda: Banking Credit & Funding Capabilities
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Agenda 1. CEO Overview 2.Banking Credit & Funding Capabilities 3.Transactional Platform 4.Financial Performance 9
Slide 11: Accelerating loan growth while focusing on higher ROE products
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Accelerating loan growth while maintaining focus on higher ROE products Note: All definitions are in the Glossary section of this Earnings Presentation. Note 1: All-in loan rate excluding real estate removes real estate loan revenue and portfolio. No
Slide 12: NPL trends
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 3 4 5 6 7 8 9 10 11 12 3.4% 3.8% 3.8% 4.1% 4.4% 4.7% 4.7% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4.5% 4.5% 4.3% 4.1% 4.3% 4.2% 4.2% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 NPL > 90 days1 In % NPL 15 to 90 days1 In % Note 1: Considering Gross Loan Portfolio, w
Slide 13: Improving cost of risk while increasing coverage ratio
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Coverage Ratio In % 4.8% 5.1% 5.0% 4.5% 5.6% 6.2% 5.9% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 126% 129% 141% 132% 131% 130% 132% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 Cost of Risk1 In % Note: All definitions are in the Glossary section of this Earnings Pres
Slide 14: Strong deposits franchise outpacing market growth
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 27%, 2.1 35% 6.7 32% 9.9 25% 11.6 24% 10.4 23% 11.0 23% 11.7 22% 12.3 22%, 2.3 9% 4.8 11% 6.9 13% 10.5 16% 9.6 14% 11.7 14% 13.0 13% 15.1 12%; 1.7 6%; 1.7 8%, 3.6 9% 6.2 9% 6.9 9% 6.6 8% 7.0 8% 7.5 10%; 0.9 26%; 1.1 26%; 2.6 31%; 4.2 29%; 3.8 30%; 4.
Slide 15: Low cost of funding continues to be strong competitive advantage
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Low cost of funding continues to be strong competitive advantage Avg. CDI of Quarter All-in Cost of Funding All-in Cost of Funding % of CDI 7.6% 10.3% 12.4% 13.5% 13.7% 13.7% 13.7% 13.3% 4.6% 5.6% 7.1% 7.9% 7.5% 8.1% 8.0% 8.2% 60.0% 54.9% 57.3% 59.0%
Slide 16: Agenda: Transactional Platform
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Agenda 1. CEO Overview 2.Banking Credit & Funding Capabilities 3.Transactional Platform 4.Financial Performance 15
Slide 17: Client acquisition cost and active clients
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Client Acquisition Cost In R$, quarterly + 2.0 mm + 1.6 mm +2.2 mm + 1.9 mm Third consecutive quarter adding 1 mm new active clients 55% 50% 45% 49% 44% 27% 32% 45% 50% 55% 51% 56% 73% 68% 29.0 32.1 28.3 30.4 29.8 27.1 25.9 1Q22 2Q22 3Q22 4Q22 1Q23 2
Slide 18: Strong TPV acceleration, shift to credit and PIX
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 0 1 2 3 4 5 6 7 8 9 10 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Th ou sa nd s 62% 62% 61% 58% 55% 54% 54% 55% 54% 53% 51%38% 38% 39% 42% 45% 46% 46% 45% 46% 47% 49% 8 9 12 14 14 16 17 19 18 20 21 37 58 80 94 97 118 138 158 163 1
Slide 19: Enhancing performance across all business verticals
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 2.4 4.2 3Q22 3Q23 1.1 1.6 3Q22 3Q23 2.2 2.9 3Q22 3Q23 x Enhancing performance across all business verticals Inter Shop Inter Insurance Inter Invest Active Clients In Million é 40%é 33% ˜R$870 million GMV 8.7% Net Take Rate +344mm Consortium 3Q23 R$83
Slide 20: Replicating our business model in the US
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 - - 6 9 14 20 18 10 26 42 49 68 115 149 2 4 8 26 41 66 85 20 20 20 11 30 56 84 142 221 272 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 Remittances Gift Cards Global Account Lending PipelineProduct Rollout Invest Broker Dealer Global App Credit Card AuC & Depo
Slide 21: Agenda: Financial Performance
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Agenda 1. CEO Overview 2.Banking Credit & Funding Capabilities 3.Transactional Platform 4.Financial Performance 20
Slide 22: Solid revenue growth driven by fee income expansion
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 70% 65% 74% 75% 65% 64% 65% 67% 69% 70% 65%30% 35% 26% 25% 35% 36% 35% 33% 31% 30% 35% 417 467 607 731 834 877 850 1,002 1,024 1,150 1,265 544 636 837 1,100 1,281 1,461 1,540 1,704 1,800 1,939 2,143 0 5 0 10 0 0 15 0 0 2 0 0 1Q21 2Q21 3Q21 4Q21 1Q22
Slide 23: Sequential expansion of gross margin per active client
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Sequential expansion of gross margin per active client ARPAC and CTS Evolution In R$, Monthly 12 11 17 12 16 17 13 13 15 17 18 16 15 23 22 28 32 30 30 32 34 35 32 32 37 44 46 47 45.9 47 46 46 48 28 28 31 34 34 32 29 31 29 30 31 16 17 14 21 18 16 16 1
Slide 24: Resilient NIM as consequence of ROE-driven underwriting
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Resilient NIM as consequence of ROE-driven underwriting 6.4% 7.2% 7.3% 6.9% 7.0% 6.4% 7.2% 7.4% 8.1% 7.8% 7.3% 8.1% 8.3% 8.0% 8.1% 7.4% 8.4% 8.7% 9.5% 9.2% 0. 0% 1.0 % 2. 0% 3. 0% 4. 0% 5. 0% 6. 0% 7. 0% 8. 0% 9. 0% 10. 0% 2Q21 3Q21 4Q21 1Q22 2Q22 3Q
Slide 25: Expense control continues to be a top priority
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 % YoY +4% -9% +0% -6% % QoQ +7% +19% -5% +4% Data processing5 Advertising & marketing Other3 M&A2 Expense control continues to be a top priority Total Expenses +3% +6% Expenses Excl. M&A & SBC +14% -1% D&A +19% +12% Personnel4 Share-based comp.2 Expe
Slide 26: Continuous improvements in operational leverage
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Continuous improvements in operational leverage Revenue vs. Expenses In %, index in a 100 basis 114 119 115 137 140 158 172 100 89 89 95 108 96 91 9899 117 120 163 117 127 143 86 80 87 89 88 80 83 7 0 10 0 13 0 16 0 19 0 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23
Slide 27: Fee covering a significant percentage of SG&A base
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Fee covering a significant percentage of SG&A base 125 165 159 183 290 316 295 327 313 348 447 320 391 387 603 558 557 592 685 596 575 614 39% 42% 41% 30% 52% 57% 50% 48% 52% 60% 73% 5% 15% 25% 35% 45% 55% 65% 75% - 200 400 600 800 1,000 1,200 1Q21 2
Slide 28: Record profitability ever
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 -111 -100 12 -70 -20 6 80 145 -2.6% -1.4% 0.8% -1.7% 1.6% 1.4% 3.6% 5.7% -10.0% -8.0% -6.0% -4.0% -2.0% 0.0% 2.0% 4.0% 6.0% -115 -65 -15 35 85 135 185 Record profitability ever Note 1: Adjusted Net Income for the third quarter of 2022 is presented fo
Slide 29: First quarter ever creating organic capital
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 First quarter ever creating organic capital 32.9% 29.8% 24.1% 23.0% 22.8% 23.7% 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 Tier I Ratio In % Source: 3Q23 Banco Inter Bacen GAAP Financial Statements. • Capital ratio comprised exclusively of high-quality core Tier
Slide 30: Closing Remarks
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Closing Remarks 29
Slide 31: Unique business model built to last
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 30 Unique business model built to last Funding, CTS and Fee Income as key competitive advantages Delivering disruptive growth, leading strong market share gains Technology and UX continued to differentiate us “Another record-breaking quarter” Balance
Slide 32: Q&A
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Q&A
Slide 33: Appendix
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Appendix 32
Slide 34: Balance Sheet and Income Statement
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Balance Sheet (In R$ Million) Income Statement (In R$ Million) Variation % 3Q23 3Q22 ∆YoY Income Statement Interest income from loans 1,107 788 40% Interest expenses (770) (580) 33% Income from securities and derivatives 482 347 39% Net interest inco
Slide 35: Glossary of operational definitions
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Glossary of operational definitions Activation Rate: Number of active clients at the end of the quarter Total number of clients at the end of the quarter Active clients: We define an active client as a customer at any given date that was the source o
Slide 36: Glossary of financial measures reconciliation
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Glossary of financial measures reconciliation Administrative efficiency ratio: Administrative expenses + Depreciation and amortization Net Interest Income + Net result from services and comissions + Other revenue − Tax expense Annualized interest rat
Slide 37: Glossary of financial measures reconciliation
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Glossary of financial measures reconciliation Coverage ratio: Provision for expected credit loss Overdue higher than 90 days Earning portfolio (IEP): Earnings Portfolio includes “Amounts due from financial institutions” + “Loans and advances to custo
Slide 38: Glossary of financial measures reconciliation
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3 Glossary of financial measures reconciliation NPL > 90 days: Overdue higher than 90 days Loans and Advance to Costumers + Loans to Sinancial institutions NPL formation: Overdue balance higher than 90 days in the current quarter – Overdue balance high
Slide 39: O N | Q
E A R N I N G S P R E S E N T A T I O N | 3 Q 2 3
Slide 40: Signature
SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. INTER & Co, INC. By: /s/ Santiago Horacio Stel Name: Santiago Horacio Stel Title: Senior Vice President