XP Inc. (XP) Q2 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good evening, everyone. I appreciate you all joining us today for the second quarter 2025 earnings call. So half a year is already behind us, but there's much more to come. We are still working hard, I would say in an obsessive way to keep evolving our client's journey, experience and product offering. 2025 has demonstrated to be more challenging than we estimated, demanding more efforts from all our teams to keep growing our business in a profitable way. As a result, we are continuously increasing our profitability. Now, analyzing the main KPIs. The first one is client assets AUM and AUA for which we posted 1.9 trillion reais at 17% growth year over year. Total advisors accounted for 18.2 thousand represent flat figures year over year. And on active clients, we posted 4.7 million clients with 2% growth year over year. During the quarter, gross revenues marked 4.7 billion reais, with a 4% growth year over year. EBT year over year is 5% lower, reaching 1.3 billion, mainly because last year we had positive impacts from overhead, turning this quarter not like for like. And on the bottom line, It's another record. We achieved the highest net income in our history, reaching R$1,321,000,000. It represents an 18% year-over-year growth. On profitability, we achieved 24.4% ROE during the quarter, a 223 bps expansion versus second quarter 24. 10 out of 11 quarters posting consecutive growth. This means 10 out of 11 quarters posting consecutive growth. On capital ratio, we printed a comfortable level at 20.1%. It represented an increase of 110 bps quarter over quarter. Regarding diluted EPS, we posted 22% growth year-over-year, another quarter in which it grew faster than net income, driven by our Share-by-back program execution. As we speak, we still have a Share-by-back progr...