Nu Holdings Q1 EPS Misses, Revenue Hits Record

Nu Holdings Ltd., the Latin American digital banking firm known as Nubank, released first-quarter financial results on Thursday that showed earnings per share of $0.18, missing Wall Street's consensus estimate of $0.20 by $0.02. Revenue reached a record $5.32 billion, surpassing expectations of $5.06 billion, while net income hit $871 million.

The company reported its customer base expanded to more than 135 million, including 115 million in Brazil and 15 million in Mexico, with monthly activity at 83 percent. Management attributed credit metrics to seasonality, portfolio growth and product mix, maintaining conservative provisioning aligned with internal targets. Efficiency improved to a record low reported ratio of 17.6 percent, though executives projected a full-year 2026 figure around 20 percent due to investments in return-to-office costs, artificial intelligence and international expansion.

During the earnings conference call, leaders highlighted long-term opportunities in Mexico, small and medium enterprise banking in Brazil, and the U.S. market. They emphasized ongoing AI integration in products, underwriting and operations. The firm also noted conditional approval for a...