Stoneco ( (STNE) ) has released its Q1 earnings. Here is a breakdown of the information Stoneco presented to its investors.
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StoneCo Ltd., a prominent financial technology company, provides comprehensive payment, banking, credit, and software solutions to merchants across various channels.
In its first quarter of 2025, StoneCo reported a robust financial performance with significant year-over-year growth in key metrics, despite facing challenges from a high-interest rate environment in Brazil. The company achieved a total revenue of R$3.67 billion, marking a 19% increase compared to the same period last year.
Key financial highlights include an 18.7% increase in adjusted gross profit to R$1.64 billion and a 23.1% rise in adjusted net income to R$554.4 million. The adjusted basic earnings per share also saw a notable increase of 35.6% year-over-year, reaching R$1.97 per share. StoneCo’s financial services segment, particularly its payments and credit solutions, drove much of this growth, alongside a substantial expansion in its active client base.
Despite a sequential decline in some metrics due to seasonal factors and increased costs, StoneCo’s strategic initiatives, such as repricing efforts and share buybacks, have positively impacted its financial standing. The company also reported a significant increase in its software segment revenue, driven by a growing client base and higher average transaction values.
Looking ahead, StoneCo remains optimistic about achieving its full-year guidance, with management focusing on enhancing client engagement and optimizing its pricing strategies to navigate the challenging economic landscape.