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PagSeguro Digital Ltd. (PAGS) is a financial technology company based in Brazil, focused on providing innovative and affordable financial solutions to consumers, individual entrepreneurs, micro-merchants, and small and medium-sized enterprises (SMEs). The company offers a comprehensive digital ecosystem that combines payments and financial services, empowering underserved segments with mobile-first solutions. PAGS sells digital banking services, payment solutions, and card issuance products.
- Payments - Operates as a full acquirer and cross-border payment service provider, offering point-of-sale (POS) devices and supporting multiple payment methods and cash-out options.
- POS Devices - Provides entry-level devices like the Minizinha, enabling merchants to accept card payments.
- Banking - Offers free digital accounts under the PagBank brand, providing functionalities such as bill payments, mobile phone top-ups, wire transfers, and more.
- Digital Accounts - Includes features like peer-to-peer cash transfers, prepaid, debit, and credit cards, loans, and investments.
- Card Issuance - Issues prepaid, cash, debit, and credit cards to enhance its financial ecosystem.
- Early Payment of Receivables - Provides merchants with the option of early payment of receivables to meet working capital needs.
| Name | Position | External Roles | Short Bio | |
|---|---|---|---|---|
Luis Frias ExecutiveBoard | Chairman of the Board, Principal Executive Officer | Publisher of Grupo Folha; Founder of UOL | Founder of UOL and PAGS; expanded UOL into fintech; continues to lead Grupo Folha and UOL. | |
Alexandre Magnani Executive | Chief Executive Officer | None | Joined PAGS in 2015; led sales and financial services; oversaw record growth in TPV and PagBank deposits. | View Report → |
Artur Schunck Executive | Chief Financial Officer, Chief Accounting Officer, Investor Relations Officer | None | Joined PAGS in 2015; managed finance, treasury, and credit products; became CFO in 2020. | |
Ricardo Dutra da Silva Executive | Principal Executive Officer | None | Joined PAGS in 2017; led the convergence of PagBank and PagSeguro brands; oversaw the granting of a brokerage license and initiatives to improve profitability. | |
Cleveland Prates Teixeira Board | Board Member | Managing Partner of Microanalysis Consultoria Econ\u00f4mica; Coordinator at FIPE | Joined PAGS in 2019; expert in economics, regulation, and competition; teaches at FGV-SP and coordinates courses at FIPE. | |
Eduardo Alcaro Board | Vice Chairman of the Board | CFO of UOL EdTech | Joined PAGS in 2017; previously held executive roles including CFO and Chief Business Development Officer; now Vice Chairman of the Board. | |
Marcia Nogueira de Mello Board | Board Member, Audit Committee Member | President of the Board of Smartbank; Consulting Board Member at DMCard; Mentor at Quintessa | Joined PAGS in 2020; recognized for promoting gender diversity; serves on audit committee and holds leadership roles in financial and social impact organizations. | |
Maria Carolina Ferreira Lacerda Board | Board Member, Chairwoman of the Audit Committee | Board Member at China Three Gorges Brasil, IHS Towers, Rumo S.A., Hypera Pharma | Joined PAGS in 2023; experienced in investment banking and corporate governance; serves on multiple boards and audit committees. | |
Maria Judith de Brito Board | Board Member | Principal Executive Officer of Grupo Folha; Vice Chairman of UOL's Board | Joined PAGS in 2017; recognized for promoting gender diversity on the board; has held leadership roles at Grupo Folha and UOL since the 1990s. |
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Despite reporting strong net income growth, your Return on Average Equity remains below 15% with a conservative capital structure; what factors are constraining further ROAE expansion, and how do you plan to enhance shareholder returns, possibly through changes in your capital allocation strategy?
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Given recent regulatory scrutiny in Brazil's gambling industry, can you provide more details on your exposure to gaming clients and explain the potential risks to your TPV and bottom line if there are adverse changes in this sector?
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With the SELIC rate increasing faster than expected and each 100 basis points potentially adding BRL 300 million to your financial expenses over 12 months, how confident are you in your ability to pass these costs onto clients without impacting TPV growth or causing higher customer churn, especially among MSMBs?
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Your prepayment portfolio is growing at a faster rate than your TPV, indicating increased reliance on prepayment income; how sustainable is this growth considering potential interest rate fluctuations and credit risks, and could this heightened reliance pose a risk if market dynamics change?
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In your strategy to expand within the LMEC segment without buying market share, how are you balancing the need for growth in the competitive online space with maintaining profit margins, and what measures are in place to ensure that new large merchants contribute positively to your bottom line?
Notable M&A activity and strategic investments in the past 3 years.
| Company | Year | Details |
|---|---|---|
Netpos Serviços de Informática S.A. | 2023 | In a completed acquisition on July 18, 2023, PagSeguro Digital Ltd. acquired the remaining 90% of Netpos shares for a total cash consideration of R$32 million, achieving 100% ownership; the deal included detailed purchase price allocation for key assets such as customer portfolio, software, non-compete agreement, and goodwill, aligning with PagSeguro’s strategy to expand its digital ecosystem. |
Recent press releases and 8-K filings for PAGS.
- PagSeguro Digital Ltd. announced its third share repurchase program with an authorization to buy back up to US$200 million in outstanding Class A common shares, effective immediately and without a fixed expiration date.
- The announcement noted that the previous program, initiated in August 2024, successfully repurchased US$200 million in Class A common shares, and stated that the repurchases would comply with Rule 10b-18 under the Securities Exchange Act.
- PagBank recorded a net revenue of R$4.9 billion in Q1 2025, marking a 13% YoY increase.
- The company achieved a recurring net income of R$554 million, representing a 6% YoY growth.
- The strong performance was announced by PagSeguro Digital Ltd amidst challenging macroeconomic conditions.