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 February 2024 Commission File Number 132-02847 INTER & Co, INC. (Exact name of registrant as
Slide 2: 4Q23 Earnings Presentation
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 4Q23 Earnings Presentation
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 | 4 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
Slide 4: Achieving growth & profitability
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Achieving growth & profitability Fi na nc ia ls 1 O perational Note 1: Definitions are in the Glossary section of this Earnings Presentation. Note 2: “Profit / (loss) before income tax” in the Income Statements of the IFRS Financial Statements. 3 Inc
Slide 5: Agenda
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Agenda 1. CEO Overview 2. Business Updates 3. Financial Performance
Slide 6: Agenda: CEO Overview main topics
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 • 603030 Update • Inter’s Ecosystem • Next Steps AGENDA 1.CEO Overview 2. Business Updates 3. Financial Performance Main topics
Slide 7: Year 1/5: Check! 60/30/30 announcement
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Year 1/5: Check! Inter&Co | 2023 Investor Day 6 60/30/30 announcement in January 2023
Slide 8: We delivered outstanding results significantly ahead of schedule
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 We delivered outstanding results significantly ahead of schedule Total Clients Efficiency Ratio Return on Equity What we achieved in 1 year 4Q23 Our 5-year north star By 2027 ~60MM ~30% ~30% 30MM 51% 9% 7 Where we started 3Q22 Year 0 Year 1 Year 5 23
Slide 9: Unmatched Financial Super App with broadest product offering
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Banking Global Loyalty Credit Insurance Shopping Investments 8 Unmatched Financial Super App with broadest product offering
Slide 10: Accelerating product adoption, benefiting from the power of our ecosystem
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 12.7 MM Pix 5.3 MM Inter Loop 1.0 MM Meu Porquinho 1.2 MM FGTS 14.8 MM Deposits1 7.1MM Debit Card1 5.8MM Bill Payment (Boleto)1 3.9 MM Credit Cards1 3.0 MM CDB1,2 2.3 MM Top-Ups1 1.4 MM Savings Dep.1 1.1 MM Cards Insurance1 9 Active Clients per Produ
Slide 11: Strongly positioned for 2024 and beyond
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Strongly positioned for 2024 and beyond Dilution of Expense Base Shifting ROE Loan Mix 2019 2020 2021 2022 2023 ROE Higher Engagement Improving Asset Quality Lowering BR and US Interest Rates 10 Investing Phase Compounding Phase Inflection point En d
Slide 12: Agenda: Business Updates
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 1. CEO Overview 2.Business Updates 3. Financial Performance • Clients & Engagement • Business Verticals • Innovation • Marketshare AGENDA Main topics
Slide 13: Continuing to increase activation while lowering CAC
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Continuing to increase activation while lowering CAC Client Acquisition Cost In R$, quarterly 55% 50% 45% 49% 44% 27% 32% 37% 45% 50% 55% 51% 56% 73% 68% 63% 29.0 32.1 28.3 30.4 29.8 27.1 25.9 24.6 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 Marketing Co
Slide 14: Consistent PIX and credit volume growth
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 55% 54% 53% 51% 51% 45% 46% 47% 49% 49% 19 18 20 21 24 158 163 177 198 230 178 181 197 219 253 0. 0 10. 0 20 .0 30 .0 40 .0 50 .0 60 .0 70 .0 4Q22 1Q23 2Q23 3Q23 4Q23 Debit Credit PIX Massive transactional platform: R$ 1 trillion run rate TPV +25% +3
Slide 15: Enhancing performance across business verticals
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Enhancing performance across business verticals Shopping Insurance Investments Note 1: Number of transactions through Inter Shop during the quarter. 2.4 3.0 1.0 1.5 2. 0 2. 5 3. 0 3. 5 4Q22 4Q23 Active Clients In Million é 25% ~92 billion AuC +38% Yo
Slide 16: Global: high growth vertical driving engagement
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 15 Global: high growth vertical driving engagement within wealthier clients > 2 million Global Clients ~3x More products adoption1 Note 1: Global Clients use 3.0 times more products when compared to active clients average. Note 2: Amount included in
Slide 17: Loop: strategy to create connection and loyalty between verticals
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 16 Loop: powerful strategy to create connection and loyalty between verticals • Credit Card Bills • “Conta com Pontos” (Balance Earns Points) • Missions Accomplishments ~60% Inter Loop clients spends more than regular clients1 Robust Structure for Se
Slide 18: Unique combination of innovation & efficiency
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 17 Loop Auto Loan Overdraft Buy Now Pay Later PIX Crédito Meu Porquinho Global Super App US Securities International Card Mortgage FGTS Loan Home Equity Global Account Top-Ups Marketplace Life Insurance Duo Gourmet Retirement Plan Gift Card Home Brok
Slide 19: High growth potential, benefiting from strong primary bank relationships
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 18 High growth potential, benefiting from our strong primary bank relationships Sources: Banco Central do Brasil for Bank Account, Pix, Payroll and Credit Card; Caixa Economica Federal for FGTS; Abecip for Home Equity and Inter&Co for FGTS anticipati
Slide 20: Agenda: Financial Performance
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 1. CEO Overview 2. Business Updates 3.Financial Performance • Credit Portfolio • Asset Quality • Funding • Revenues • Expenses • Bottom line AGENDA Main topics
Slide 21: Accelerating loan growth while maintaining focus on higher ROE products
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 28% 26% 21% 19% 20% 19% 20% 20% 19% 20% 24% 14% 8% 6% 7% 7% 7% 7% 7% 7% 21% 19% 20% 20% 17% 20% 20% 20% 18% 17%3% 6% 3% 4% 5% 6% 6% 10% 18% 17% 14% 12% 14% 12% 12% 12% 12% 2% 4% 3% 2% 3% 3% 3% 3% 2% 16% 22% 27% 28% 30% 29% 29% 29% 31% 30% 17,2 22,7 2
Slide 22: ROE-driven loan portfolio growth
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 ROE-driven loan portfolio growth 4Q23 Gross Loan Portfolio Growth and Balance In % YoY and in R$ Billion• Strong growth in FGTS and Home Equity, higher ROE products • Reacceleration of Credit Card loans as new collection strategies and limit allocati
Slide 23: NPL 15 to 90 days and NPL > 90 days
E A R N I N G S P R E S E N T A T I O N | 4 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% 4.6% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 4.5% 4.5% 4.3% 4.1% 4.3% 4.2% 4.3% 4.0% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 NPL > 90 days1 In % NPL 15 to 90 days1 In % Note 1: Considering Gro
Slide 24: Improving cost of risk with stable coverage ratio
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Coverage Ratio2 In % 4.8% 5.1% 5.0% 4.5% 5.6% 6.2% 5.9% 5.2% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 Cost of Risk 126% 129% 141% 132% 131% 130% 132% 132% 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 Cost of Risk1 In % Note: All definitions are in the Glos
Slide 25: Leading funding franchise in Brazil
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 30%, 2.1 47% 6.7 43% 9.9 36% 11.6 33% 14.4 33% 11.0 33% 11.7 31% 12.3 33% 14.4 32%, 2.3 33% 4.8 30% 6.9 32% 10.5 38% 16.3 35% 11.7 36% 13.0 38% 15.1 38% 16.3 25%; 1.7 12%; 1.7 16%, 3.6 19% 6.2 19% 8.1 20% 6.6 20% 7.0 19% 7.5 19% 8.1 13%; 0.9 8%; 1.1
Slide 26: 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 | 4 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 10.3% 12.4% 13.5% 13.7% 13.7% 13.7% 13.3% 12.2% 5.6% 7.1% 7.9% 7.5% 8.1% 8.0% 8.2% 7.2% 54.9% 57.3% 59.0% 54.8
Slide 27: Record revenues driven by NII growth
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 70% 65% 74% 75% 65% 64% 65% 67% 69% 70% 65% 67%30% 35% 26% 25% 35% 36% 35% 33% 31% 30% 35% 33% 417 467 607 731 834 877 850 1,002 1,024 1,150 1,265 1,313 544 636 837 1,100 1,281 1,461 1,540 1,704 1,800 1,939 2,143 2,197 0 5 0 10 0 0 15 0 0 2 0 0 1Q21
Slide 28: Strong unit economics metrics showcasing the power of our business model
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Strong unit economics metrics showcasing the power of our business model ARPAC and CTS Evolution In R$, Monthly 16.1 16.6 12.8 13.5 14.9 17.1 17.9 17.7 28.1 31.6 30.1 29.7 32.1 33.6 35.0 33.4 45.6 47.3 45.9 46.9 45.9 46.1 47.7 45.9 33.6 32.2 28.6 30.
Slide 29: Expanding risk-adjusted 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 | 4 Q 2 3 Expanding risk-adjusted NIM as consequence of ROE-driven underwriting • Second highest risk- adjusted NIM since 2021 28 2.9% 3.9% 3.4% 4.4% 3.8% 4.1% 3.9% 4.3% 3.4% 4.6% 3.9% 5.1% 4.4% 4.8% 4.6% 5.0% 2. 0% 2. 5% 3. 0% 3. 5% 4. 0% 4. 5% 5. 0% 5. 5% 6.
Slide 30: Impressive results on expenses
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 % YoY -8% -10% +1% -23% % QoQ +2% +2% -5% +39% Data processing5 Advertising & marketing Other3 M&A2 Impressive results on expenses, which continues to be a top priority in 2024 Total Expenses -3% +3% Expenses Excl. M&A & SBC -27% +1% D&A +10% +9% Per
Slide 31: Powerful combination of revenue growth and expense control driving efficiency
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Powerful combination of revenue growth and expense control driving efficiency Revenue vs. Expenses In %, index in a 100 basis 114 119 115 137 140 158 172 179 100 89 89 95 108 96 91 98 100 99 117 120 163 117 127 143 150 86 80 87 89 88 80 83 84 7 0 10
Slide 32: Fee revenue continues 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 | 4 Q 2 3 Fee revenue continues covering a significant percentage of SG&A base 125 165 159 183 290 316 295 327 313 348 447 437 320 391 387 603 558 557 592 685 596 575 614 628 39% 42% 41% 30% 52% 57% 50% 48% 52% 60% 73% 70% 5% 15% 25% 35% 45% 55% 65% 75% - 200
Slide 33: Stellar year in profitability with run rate net income
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 (179) 440 -350 -250 -150 -50 50 150 250 350 450 550 (14) 352 -350 -250 -150 -50 50 150 250 350 450 550 2022 2023 Note 1: Adjusted Net Income for the third quarter of 2022 is presented for illustrative purposes only and does not reflect our actual res
Slide 34: Closing Remarks
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Closing Remarks
Slide 35: Year 1/5: Check!
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Record low Efficiency Ratio 51.4% Delivering Net Income R$160mm 30.4mm Growing Total Clients Year 1/5: Check! 2019 2020 2021 2022 2023 Inflection point Dilution of Expense Base Shifting ROE Loan Mix Continuous Improvement in Engagement Improving Asse
Slide 36: Appendix
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 35 Appendix
Slide 37: Stable Tier I capital
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Stable Tier 1 capital 29.8% 24.1% 23.0% 22.8% 23.7% 23.0% 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 Tier I Ratio In % Source: 3Q23 Banco Inter Bacen GAAP Financial Statements. • Capital ratio comprised exclusively of high-quality core Tier I capital • Several op
Slide 38: Balance Sheet and Income Statement
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Balance Sheet (In R$ Million) Income Statement (In R$ Million) 37 Variation % 4Q23 4Q22 ∆YoY Income Statement Interest income from loans 1,279 871 47% Interest expenses (752) (591) 27% Income from securities and derivatives 349 396 -12% Net interest
Slide 39: Non-IFRS measures and KPIs
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 Non-IFRS measures and KPIs 38 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 of any
Slide 40: Non-IFRS measures and KPIs
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 39 Card+PIX TPV: PIX, debit and credit cards and withdrawal transacted volumes of a given period. PIX is a Central Bank of Brazil solution to bring instant payments among banks and financial institutions in Brazil. Card+PIX TPV per active client: Car
Slide 41: Non-IFRS measures and KPIs
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 40 Gross loan portfolio: Loans and Advance to Customers + Loans to financial institutions Gross merchandise volume (GMV): Gross merchandise value, or GMV, for a given period as the total value of all sales made or initiated through our Inter Shop & C
Slide 42: Non-IFRS measures and KPIs
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3 41 Risk-Adjusted NIM 2.0: Net interest income − Impairment losses on Minancial assets x 4 Average of 2 Last Quarters Earning Portfolio (Loans to Minancial institutions + Securities + Derivatives + Net loans and advances to customers) SG&A: Administra
Slide 43: O N | Q
E A R N I N G S P R E S E N T A T I O N | 4 Q 2 3
Slide 44: 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