02/27/2024 – 18:56
XP announced net profit of R$1.040 billion in the fourth quarter of 2023, a 33% increase compared to the same period in 2022 and a 4% drop compared to the immediately previous quarter. Profit before taxes (EBT) was R$995 million, an annual growth of 35% and a drop of 14% in the quarterly comparison.
In 2023, XP ended with a net profit of R$3.9 billion, an increase of 10% compared to the previous year and at the low end of the guidance of R$3.8 billion to 4.4 billion.
“Despite the challenging scenario of recent years in the macro context, we had a good year at XP in 2023. We took advantage of the opportunity to raise the level of some practices in the company, such as governance, management and expense control, for example.
In this sense, our business model has proven its resilience, and we are prepared and well positioned for the next growth cycle that is announced”, said XP CEO, Thiago Maffra, in the results release.
Return on equity rose to 21.1% in the fourth quarter from 18.1% in the same quarter of 2022 and fell from 22.6% in the second quarter.
Gross revenue totaled R$4.3 billion, representing annual growth of 29% and a quarterly drop of 1%.
Retail revenues rose 24% in 12 months to R$3.1 billion, and fell 1% in the quarter. According to the earnings release, retail revenue was impacted by positive seasonality in card revenue, which grew 18% versus the previous quarter, partially offset by a sequential decline in Fixed income revenue, along with the absence of related revenues. to Expert in the quarter.
Within retail revenues, the fixed income area recorded revenues of R$690 million, an increase of 76% in twelve months and a drop of 4% compared to the third quarter. Variable income had revenues of R$1.180 billion, an increase of 19% compared to the fourth quarter of 2022 and 4% compared to the third quarter.
Outside of retail, revenue from large companies and capital markets totaled R$508 million in the fourth quarter, a 2% drop compared to the previous quarter and an 85% growth compared to the same period last year, due to strong activity in debt securities structuring (DCM) and strong contribution from mergers and acquisitions (M&A).
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