Brazil's StoneCo beats estimates as third-quarter profit surges on financial services performance

StoneCo

10/11/2023 21:08

SAO PAULO, Nov 10 (Reuters) - Brazilian financial tech
firm StoneCo  STNE.O  saw its adjusted net profit in the third
quarter more than quadruple, it reported on Friday, landing
above analysts' estimates off the back of solid growth in its
financial services segment.
    The company's adjusted net profit came in at 435 million
reais ($88.56 million), while analysts polled by LSEG expected
362.7 million reais. 
    "This quarter's strong results demonstrate discipline and
focus in executing our strategy," said Chief Executive Pedro
Zinner, adding the firm showed "consistent" growth and was
looking to further consolidate its services going forward.
    The firm reported revenue of 3.1 billion reais, in line with
estimates and up 25.2% year-on-year, boosted by a 29% increase
in revenues from its financial services segment, the firm's main
business. 
     Stone's payments processed (TPV) in the micro-, small- and
medium-sized companies segment totaled 89.6 billion reais, up
20% from a year earlier and above the firm's top-end projection
of 88 billion reais.
    Its take-rate for the segment stood at 2.49% in the three
months ended in September, compared with 2.48% in the previous
quarter. 

($1 = 4.9120 reais)

 (Reporting by Andre Romani; Writing by Peter Frontini; Editing
by Kylie Madry)
 ((Peter.Siqueira@thomsonreuters.com; +55 11 56447727;))