- Inter&Co (INTR, Financial) reports a 57% year-over-year growth in net income for Q1 2025.
- Total client base expanded to 37.7 million, with 21.6 million active clients and a 57.2% activation rate.
- Return on Equity improved to 12.9%, with a reduction in non-performing loans to 4.1%.
Inter&Co Inc. (INTR) has reported a remarkable 57% increase in net income, reaching R$287 million for the first quarter of 2025. This growth demonstrates the company's effective execution of its digital banking strategy in the Brazilian market.
The total client base for Inter&Co expanded to 37.7 million, with 21.6 million active clients, and an activation rate of 57.2%, reflecting strong engagement with their financial services. Their focus on the digital super app strategy appears to be resonating well with Brazilian customers.
Key performance metrics showed notable improvements. The Return on Equity (ROE) increased to 12.9%, up from 9.2% in the first quarter of 2024, indicating enhanced capital efficiency and profitability. The Efficiency Ratio improved to 48.8%, showing a 1.3 percentage point betterment from the previous quarter, reflecting successful cost control measures.
Further emphasizing the company's financial robustness, the ratio of non-performing loans (NPLs) over 90 days decreased to 4.1%, a reduction of 0.8 percentage points year-over-year. This improvement underscores better credit quality management amid rapid client base expansion.
Inter&Co attributed its success partly to its strong performance in peer-to-peer payments through Pix in Brazil, a significant increase in the usage of its Loop loyalty program, and a record usage of credit products. Additionally, the company introduced a new Private Payroll offering, highlighting their commitment to innovative, low-cost, and scalable digital solutions.
