THEBanking, a full digital bank in financial services and payment methods, announces the results of the third quarter of 2024 (3Q24). Among the main highlights of the period, the Company recordednet revenue of R$4.8 billionin 3T24 (+20% year-over-year). PagBank also achieved arecurring net income, a record in the history of the institution, ofR$ 572 million(+30% y/y), with anet accounting profit, also remember, ofR$ 531 million (+29% a/a).
Alexandre Magnani, CEO of PagBank, celebrates the impressive results: “In this quarter, we presented growth in payments more than twice as high as the card market and we also had growth in banking revenues of 52%, demonstrating the strength of our value proposition for our customers. We achieved all this by presenting a solid balance sheet and generating increasing returns for our shareholders with growth in earnings per share of 31%”.
In the acquisition, theTPVregistered fromR$ 136.3 billionIt is a new record for the company, with an annual growth of 37% (+10% quarter-over-quarter). The value was driven by the increase across all segments, especially among micro, small, and medium entrepreneurs (MSMEs), who account for 65% of GMV. In the new growth verticals of the business, highlight for the operationsonline, cross-borderand automation, which already represent a third of the total TPV.
In the digital banking sector, PagBank achieved a record volume ofdeposits, with a total ofR$ 34.2 billion, an impressive 59% increase year-on-year, reflecting the growth in PagBank account balances and the greater volume of investments captured in CDBs issued by the bank.
“We have one andrevenue expansion at a quite significant speed, with an adequate margin for the business. We made significant investments in processes, innovation, and service quality, and benefited from a reduction in funding costs, which gives us greater competitiveness in the market.“,points out Gustavo Sechin, Director of IR, ESG, Market Intelligence and Economics at PagBank.
Another highlight of 3Q24, thecredit portfoliorecorded a 30% y/y expansion, reachingR$ 3.2 billion, using low-risk, high-engagement products as levers, such as credit cards, payroll loans and early withdrawal of FGTS anniversary funds.
It also contributed to this growth the gradual resumption of other credit lines, such as working capital loans for small and medium-sized enterprises, expansion of current credit card limits, and special limits for clients with a better credit risk profile. The Company believes these are the pillars of future credit portfolio growth.
According to Artur Schunck, CFO of PagBank, the acceleration of volume and revenues, combined with discipline in costs and expenses, were the main pillars for the record results.“We managed to balance growth with profitabilityand we gained traction in all segments of activityWe built operational leverage, reduced funding costs through deposit growth, and improved risk management. This performance makes us confident to deliver the expected result for the year, says a CFO.
Other highlights
A net revenuein 3Q24 wasR$ 4.8 billion(+20% y/y), driven by strong growth in acquiring and even greater growth in banking activities (+52% y/y).
The digital bank recorded a margin increase in financial services (+68% Q3 2024). We reached the mark of32.1 million customers, reinforcing PagBank’s position as one of the largest financial institutions in the country.
PagBank has been working on launchingnew products and servicesthat will expand the portfolio of solutions to make their clients' financial lives easier. As theMultiple Card, which came to bring together credit and debit functions in a single product, generating more practicality for PagBank customers, and the3% cashbackon the first card statement, which is being offered to customers who make purchases using the credit function.
“We offer simple, accessible and digital solutions that make our customers’ financial lives easier and that is why engagement with our payment and banking products and services has grown so much. Our vision for the future is to build an interface that brings together all the information and features that are important for the customer’s financial life.”, comments Magnani.
Still aiming to generate great movement in negotiations with customers, PagBank is offering this Black Friday month, special and very advantageous conditions that should move the market and attract new customers, such as: Machine with super discount, advance FGTS withdrawal, INSS Consigned loan, transfer of Variable Income assets, in addition to cashback when taking out Life and Home Insurance.
To access PagBank's complete balance sheet for 3Q24,Click here.
