Fintech PR
PagBank posts record quarter with net income (Non-GAAP) of 542 million BRL (+31% y/y)
In acquiring, record TPV of 124 billion BRL, three times the industry’s growth; in banking, record revenue of 434 million BRL, +41% higher than the same period in 2023
SÃO PAULO, Aug. 21, 2024 /PRNewswire/ — PagBank (NYSE: PAGS), a complete digital bank in financial services and payments solution, announces its results for the second quarter of 2024 (2Q24). Among the key highlights of the period, the company recorded a record net income (Non-GAAP) of 542 million BRL (+31% y/y). Net income in a GAAP basis, also a record, was 504 million BRL (+31% y/y).
After almost two years as CEO of PagBank, Alexandre Magnani celebrates the record numbers, the result of the strategy implemented and executed since the beginning of 2023: “We have nearly 32 million clients. These figures consolidate PagBank as a solid and complete bank, reinforcing our purpose of facilitating the financial life of people and businesses in a simple, integrated, secure and accessible way,” says the CEO.
In acquiring, the TPV registered was a record, reaching 124.4 billion BRL, an annual growth of +34% (+11% t/t), more than three times the industry’s growth. This figure was driven by growth in all segments, especially in Micro and Small Enterprises (MSMEs), which accounted for 67% of TPV, and new business growth verticals, especially online, cross-border and automation, which already account for a third of TPV.
In digital banking, PagBank reached 76.4 billion BRL in cash-in (+52% y/y), contributing to the record volume of deposits, which reached a total of 34.2 billion BRL, up an impressive +87% y/y and 12% q/q. This reflects the +39% y/y growth in PagBank checking accounts and the higher volume of investments raised in CDBs issued by the bank, which grew +127% in the last twelve months.
“This month, we received the AAA.br rating from Moody’s, with a stable outlook, the highest level on the local scale. In less than a year, both S&P Global and Moody’s have given us the highest rating on their local scale: triple-A. At PagBank, our customers have the same solidity as the country’s largest financial institutions but with better returns and terms. This is only possible because we have a lean cost structure and the agility of a fintech,” says Magnani.
In 2Q24, the credit portfolio grew +11% y/y to 2.9 billion BRL, leveraging low-risk, high-engagement products such as credit cards, payroll deduction loans and anticipation of FGTS anniversary withdrawals while resuming other credit lines.
According to Artur Schunck, CFO of PagBank, the acceleration in volumes and revenues, combined with cost and expense discipline, were the main drivers of the record results. “We have managed to balance growth and profitability. Revenue growth has accelerated in recent quarters and our investments in expanding commercial teams, marketing activities and improving customer service have not impacted profit growth, giving us the impetus to raise our TPV and Non-GAAP net income guidance,” said Schunck.
As the first half of 2024 draws to a close, the company has raised its TPV and Non-GAAP net income guidance for the year. For TPV, the company now expects growth of between +22% and +28% year-over-year, significantly higher than the guidance of between +12% and +16% provided at the beginning of the year. For Non-GAAP net income, the company now expects growth of between +19% and +25% y/y, higher than the guidance of between +16% and +22% provided at the beginning of the year.
Other Highlights
Total Revenue and Income in 2Q24 was 4.6 billion BRL (+19% y/y), driven by solid growth in higher-margin financial services revenues. The number of clients reached 31.6 million, bolstering PagBank’s position as one of the largest digital banks in the country.
PagBank has been working on launching new products and services that will expand its increasingly complete portfolio of solutions to make it easier for its customers to do business. The digital bank has just launched the service of anticipating receivables from other POS, with same-day deposit to the account for customers with a PagBank domicile. This August, eligible customers can count on this service in their bank account.
“This will be a new way for merchants to access their receivables centrally. It will allow them to view and forecast all sales from any acquirer in the PagBank application, without having to access multiple applications,” Magnani explains. According to the CEO, in this first phase of the product, the company offers features such as self-service contracting, same-day disbursement for PagBank customers, and customized negotiations by acquirer and amount.
Another feature that has just been made available is the multiple payment of boletos. This allows several payments to be made simultaneously in a single transaction, reducing the time needed to process each boleto individually. The solution mainly benefits PF (individual) or PJ (business) account users who want to pay several bills at once. In addition to these launches, there are many more to come.
“For our 6.4 million merchant and business customers, these and other competitive advantages, such as zero fees for new merchants, on-the-spot prepayments to PagBank accounts, express POS delivery and Pix acceptance, are key differentiators. We are focused on attracting and retaining customers and encouraging them to use PagBank as their main bank, thereby generating more value for the company and contributing to our sustainable growth,” added Alexandre Magnani, CEO of PagBank.
To access PagBank’s full balance sheet for 2Q24, click here.
Important Note Regarding Forward-Looking Statements
This document contains certain forward-looking statements. Forward-looking statements are not historical facts or related to future events and are subject to risks and uncertainties. There can be no assurance that the forward-looking statements contained in this press release will be realized or achieved. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether due to new information, future events or otherwise.
About PagBank
PagBank promotes innovative solutions in financial services and means of payment, automating the purchase, sale, and transfer process to leverage individuals’ and enterprises’ businesses simply and securely. A company of the UOL Group – leader of the Brazilian Internet – PagBank acts as an issuer and acquirer, offering digital accounts and providing complete solutions for online and face-to-face payments (by mobile devices and POS devices).
PagBank also has a wide variety of means of payment, such as credit and prepaid cards, bank transfers, payments by billet, and balance in the account, among others. PagBank (PagSeguro Internet Payment Institution S.A) is regulated by the Central Bank of Brazil as an electronic money-issuing payment institution, issuer of post-paid instruments and acquirer, having partnerships with the leading credit card issuers. Its parent company, PagSeguro Digital, is listed in the U.S. (NYSE: PAGS) and regulated by the Securities and Exchange Commission (SEC). The distribution of investment funds is carried out by BancoSeguro S.A., authorized by the Central Bank of Brazil, the Securities and Exchange Commission, and affiliated with ANBIMA.
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Fintech PR
Nium Expands Across Australia and New Zealand, Driven by Increased Adoption from Financial Institutions and Spend Management Platforms
Spend management platform, RedOwl, joins as latest partner;
Nium has seen monthly payment volume grow by 3X over the last twelve months, in the Oceania region
SYDNEY, Sept. 17, 2024 /PRNewswire/ — Nium, the global leader in real-time cross-border payments, today announced that its monthly payment volume grew by 3X in Oceania, over the last year. This growth has been driven by a surge in adoption from financial institutions and spend management platforms, with AI platform, RedOwl, being the latest partner to join the Nium network. RedOwl’s immediate goal is to bring AI to corporate cards, joining spend management category leaders Weel and Budgetly, who have turned to Nium for white-label card issuing and cross-border payouts.
RedOwl is bringing the power of AI into payment rails, championing intelligence and real-time decision making when it comes to card related payments. “We chose Nium because of their unparalleled infrastructure and expertise in powering modern payments. Their solutions allow us to enter the market faster and deliver greater value to our customers,” said Jitto Arulampalam, Co-founder and CEO at RedOwl.
Budgetly has been a Nium customer since 2020. The company tapped Nium to provide more convenience and control to its SME clientele through the provision of pre-paid cards for expense management processes. “Partnering with Nium has been a game-changer for Budgetly,” said Simon Lenoir, CEO and Founding Director at Budgetly. “Through Nium, we recently launched our international bill payment solution, offering our customers the ability to make payments effortlessly via one portal. This partnership has allowed us to scale rapidly and offer seamless experiences for our customers.”
“The spend management industry is booming in Australia, with businesses increasingly turning to Nium for its white-label card issuing and cross-border payment solutions,” said Anupam Pahuja, EVP and GM for APAC, Middle East, and Africa at Nium. “Our platform solves complex payment problems across a wide range of verticals, including travel, payroll, insurance, and e-commerce. Our card issuance solution has already issued over 75 million cards globally, supporting major global brands. This, along with Nium’s extensive geographical coverage and B2B infrastructure focus, positions the company as a critical enabler for businesses looking to scale in Australia, New Zealand, and beyond.”
In addition to its success in Australia, Nium recently achieved another critical milestone by registering as a Financial Service Provider in New Zealand. This pivotal step marks the company’s entry into the dynamic financial landscape of New Zealand, allowing it to extend its comprehensive suite of financial solutions to local businesses. Nium expects that its offerings will range from virtual accounts and global payouts to debit and prepaid cards, enabling businesses to streamline operations and improve their financial efficiency.
“Becoming a registered Financial Service Provider in New Zealand reaffirms our commitment to delivering innovative financial solutions globally,” continued Pahuja. “Our presence in New Zealand, alongside our established operations in Australia, positions us as a key player in the region’s financial ecosystem, empowering businesses to thrive through our technology.”
Since its founding ten years ago, Nium has raised over $300 million USD (up to Series E). In October 2023, Nium celebrated its Centaur status, reaching $100 million USD in aggregate net revenue — a milestone achieved by only 1% of startups globally. This achievement underscores Niums rapid growth and leadership in enabling seamless global financial services for businesses.
About Nium
Nium, the global leader in real-time, cross-border payments, was founded on the mission to deliver the global payments infrastructure of tomorrow, today. With the onset of the global economy, its payments infrastructure is shaping how banks, fintechs, and businesses everywhere collect, convert, and disburse funds instantly across borders. Its payout network supports 100 currencies and spans 220+ markets, 100 of which in real-time. Funds can be disbursed to accounts, wallets, and cards and collected locally in 40 markets. Nium’s growing card issuance business is already available in 34 countries. Nium holds regulatory licenses and authorizations in more than 40 countries, enabling seamless onboarding, rapid integration, and compliance – independent of geography. The company is co-headquartered in San Francisco and Singapore.
Media contacts:
Anjali DMello,
+6591812542,
[email protected]
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View original content:https://www.prnewswire.co.uk/news-releases/nium-expands-across-australia-and-new-zealand-driven-by-increased-adoption-from-financial-institutions-and-spend-management-platforms-302250573.html
ANAHEIM, Calif., Sept. 17, 2024 /PRNewswire/ — Fractal EMS Inc. (“Fractal”), a leading provider of advanced solar and storage controls, has announced a groundbreaking partnership with Gold Electronic Equipment Inc. (“Gold”), a leading high-tech company specializing in R&D, active balancing technology and manufacturing of the battery management system (BMS). A signing ceremony and celebration was held on September 9th at the RE+ clean energy conference in Anaheim, California. The new partnership will provide a cybersecure American BMS to customers worldwide (“Fractal BMS”).
The Fractal BMS provides a 3-level BMS architecture (module, rack and system). The design of the Fractal BMS has been finalized, featuring an American-sourced chip, printed circuit board assembly (PCBA), and cybersecurity, ensuring compliance with U.S. policies for sourcing and critical infrastructure protection. The Fractal BMS has the option to provide active cell balancing to maximize each battery cell’s useful capacity and life.
“Other companies proposing an American BMS have not addressed the cybersecurity concerns of the BMS. Some companies are licensing a foreign BMS or only providing a top-level device, neither of which cure cybersecurity threats and vulnerabilities. We are thrilled to collaborate with Gold to bring this advanced American BMS to the market. This partnership underscores our commitment to innovation, security, and supporting American technology,” said Daniel Crotzer, CEO at Fractal EMS.
Fractal BMS is scheduled for UL testing in late October 2024 and aims to become the gold standard for BESS deployments to mitigate risks associated with Foreign Entities of Concern (FEOC) and known cyber vulnerabilities in programmable devices. The American BMS will be available to battery manufacturers globally, offering a reliable and secure solution for battery management needs.
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View original content:https://www.prnewswire.co.uk/news-releases/gold-and-fractal-ems-announce-a-partnership-for-an-american-bms-302250787.html
NEW YORK, Sept. 17, 2024 /PRNewswire/ — Ascenda, the global premium rewards network, today announced it has expanded its rewards network in order to enable fintech and banking clients’ customers to redeem their reward points in partnership with Uber. These credits will appear in users’ Uber wallets, and can be applied towards the cost of any of their products.
Uber is available in over 70 countries and powers over 30 million rideshares each day. With a global presence, the ability for millions of customers to earn Uber credits aims to deliver more engagement across Uber Rides, Uber Eats, and any other Uber offering in respective local markets.
“We’re committed to adding value for our users, with ease and flexibility at the forefront of our customer experience,” said Jenna Brown, Head of Uber for Business UK. “Our partnership with Ascenda will help us deliver this value to Uber users worldwide.”
“We’re building the most comprehensive consumer engagement ecosystem in the market,” said Josh Berwitz, CCO of Ascenda. “This exciting partnership with Uber enables us to bring tangible rewards and redemption experiences at scale, delivering compelling value and stronger relationships between our financial service clients, our rewards partners, and consumers.”
About Ascenda
Ascenda powers the growth of financial service brands and merchants globally with premium rewards propositions that accelerate customer acquisition, increase usage, and drive retention. Its best-in-class customer engagement platform is simple to deploy and powered by a unique global network of premium content that unlocks exceptional end-user value.
For more information, please visit ascenda.com.
About Uber
Uber’s mission is to create opportunity through movement. We started in 2010 to solve a simple problem: how do you get access to a ride at the touch of a button? More than 49 billion trips later, we’re building products to get people closer to where they want to be. By changing how people, food, and things move through cities, Uber is a platform that opens up the world to new possibilities.
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View original content:https://www.prnewswire.co.uk/news-releases/ascenda-partners-with-uber-for-first-of-a-kind-points-redemption-for-consumers-worldwide-302250605.html
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