NU just reported Q4 earnings. There’re a lot of exciting news IMO, though the market decided to punish the stock with a 7.8% drop in AH. In the full press release, here are some highlights:
- Total customers grew $4.5 million and reached 114.2 million customers. YoY growth is 21.62%, which is pretty impressive given the company size, though the YoY and QoQ rates are gradually slowing.
- Revenue grew 24% YoY to $2989.3 million, and the growth was 50% YoY in a FX-neutral basis. The QoQ revenue growth on a FX-neutral basis in the trailing 4 quarters have been 14.73% → 12.00% → 7.66% → 9.01%. So we can see the nice rebound after QoQ growth tanked in Q3.
- GAAP Net Income grew 53.12% YoY to $552.6 million, and the growth was 85.31% YoY on a FX-neutral basis.
- ARPU grew 20% YoY and 4.9% QoQ to $10.7 on a FX-neutral basis.
With this trend, I think NU can deliver at least 35% - 40% topline growth in 2025 on a FX-neutral basis. And the appreciation of Brazilian Real to USD in Q1 could be an additional tailwind to NU. I’ll hold my position in NU and expect it to have good return in the rest of 2025.
Long NU 9%.
Luffy