The earnings call highlighted PagSeguro's strong financial performance with record TPV and revenue growth, significant improvements in net income and EPS, and robust growth in the banking segment. However, there were challenges noted in the decrease of active merchants and the impact of rising interest rates on financial expenses. Overall, the company demonstrated resilience and a strong strategic direction.

Company Guidance

During the Q3 2024 earnings call for PagSeguro Digital, the executives highlighted several key metrics reflecting the company's strong performance and strategic direction. The total revenue for the quarter rose by 20% year-over-year, reaching BRL 4.8 billion, while net income grew by 30% to BRL 572 million on a Non-GAAP basis. This growth was driven by a 37% increase in Total Payment Volume (TPV) to BRL 136 billion, marking record volumes in both the MSMB and LMEC segments. The company also achieved a Return on Average Equity (ROAE) of close to 15%, a 182 basis points increase. Additionally, PagBank's client base expanded to 32 million, with a significant contribution from 2 million new clients over the last 12 months. The banking segment demonstrated robust growth, with a 52% increase in banking revenue and a 30% year-over-year rise in the credit portfolio to BRL 3.2 billion. The company maintained a strong financial position with a Basel Index of 31% and successfully executed a buyback program, reinforcing its commitment to shareholder value creation. Overall, the guidance for 2024 remains positive, with expectations to meet or exceed the top range of projected results despite macroeconomic challenges.

Record TPV and Revenue Growth

PagSeguro reached a record TPV of BRL 136 billion, a 37% increase year-over-year, and total revenue grew 20% year-over-year to BRL 4.8 billion, marking the highest quarterly performance in the company's history.

Net Income and EPS Growth

The company achieved its highest quarterly net income of BRL 572 million, a 30% year-over-year growth, and a diluted EPS growth of 31%.

Strong Banking Segment Performance

Banking revenue grew 52% year-over-year, driven by interest income and client engagement, with a gross profit margin of 68%.

Improved Asset Quality

NPL90 improved significantly from 10.7% to 2.5% over the last 12 months.

Robust Deposit Growth

Total deposits increased 59% compared to Q3 2023, reaching BRL 34.2 billion.

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Pagseguro Digital (PAGS) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

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PAGS Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Aug 30, 2018	2018 (Q2)	- / 0.12	―	―	―	―
Nov 29, 2018	2018 (Q3)	- / 0.12	0.086	41.73% (+0.04)	―	―
Feb 21, 2019	2018 (Q4)	- / 0.16	0.119	32.41% (+0.04)	―	―
May 14, 2019	2019 (Q1)	- / 0.17	0.124	34.67% (+0.04)	―	―
Aug 15, 2019	2019 (Q2)	- / 0.17	0.12	43.13% (+0.05)	―	―
Nov 19, 2019	2019 (Q3)	- / 0.19	0.122	59.97% (+0.07)	―	―
Feb 27, 2020	2019 (Q4)	- / 0.21	0.157	31.20% (+0.05)	―	―
May 28, 2020	2020 (Q1)	- / 0.18	0.167	10.00% (+0.02)	―	―
Aug 27, 2020	2020 (Q2)	- / 0.15	0.172	-13.82% (-0.02)	―	―
Nov 18, 2020	2020 (Q3)	- / 0.17	0.195	-15.01% (-0.03)	―	―

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

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PAGS Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Nov 13, 2024	$8.09	$7.82	-3.34%
Aug 20, 2024	$14.59	$12.47	-14.53%
May 23, 2024	$12.27	$12.27	0.00%
Feb 28, 2024	$13.83	$13.92	+0.65%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

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