Revenue Growth

FY 2025

at least 10% growth "

around 10% growth " "

no change

Net New Money

Per quarter

retail net new money of around BRL 20 billion per quarter "

around BRL 20 billion per quarter " "

no change

Capital Distribution

FY 2025

plans to return more than 50% of net income "

dividends and share buyback with combined volumes above 50% of net income " "

no change

Fee-Based Model Growth

FY 2025

no prior guidance

growth from 3–4% of AUC to 7–8% by end of FY 2025 "

no prior guidance

Capital Management Metrics

FY 2025

no prior guidance

BIS ratio between 16–19% and CET1 ratio at 18.5% " "

no prior guidance

EBT Margin

FY 2026

targeting an EBT margin of 30% or higher by FY 2026 "

margin continues to improve but is noted as still below medium-term guidance "

lowered

Retail Net New Money

In Q3 2024, XP noted BRL 20 billion as a good retail level " " ; in Q4 2024, the BRL 20 billion target was achieved and reaffirmed " " ; and in Q1 2025, growth was maintained with retail net new money hitting BRL 24 billion while targeting BRL 20 billion per quarter. " "

In Q2 2025, XP reiterated its goal of achieving BRL 20 billion per quarter, while noting that a more favorable macro environment (such as interest rate cuts) could accelerate this target. " "

The topic has been consistently emphasized with continued confidence, even as macro uncertainties are highlighted as potential accelerators.

Channel Expansion

Recent periods showed evolution from a predominantly IFA-based model to include internal advisers and RIA channels, with Q3 2024 highlighting multichannel distribution " and Q4 2024 and Q1 2025 emphasizing a focus on internal teams and B2B growth. " "

Q2 2025 continued the focus on diversifying channels through investing in internal advisers and enhancing channel productivity. "

Channel expansion remains a core pillar, with a gradual shift toward higher-quality, technology-enabled channels and diversification to drive net new money.

Innovative Product Offerings

Q3 2024 and Q4 2024 stressed the value of new fixed income products and cross‐sell initiatives " " , while Q1 2025 highlighted rapid growth in fee-based products like FX, digital accounts, and consortiums. "

In Q2 2025, XP reinforced its fixed income platform strength and launched innovative instruments (e.g. Boundary PAC structure notes) along with cross‐sell initiatives, notably in retail. " " "

The emphasis on innovation is consistent, with an evolving product mix aimed at differentiating XP from banks and boosting cross‐sell opportunities.

New Vertical Expansion

Past periods (Q3 2024 and Q4 2024) discussed expanding into derivatives, corporate securities, FX, insurance, and credit card businesses " " " ; Q1 2025 further detailed vertical expansion in credit cards, insurance, and retirement plans. " "

Q2 2025 maintained the focus by emphasizing new verticals such as enhanced insurance, retirement products, and global investment offerings through new vertical initiatives. " "

XP continues to diversify its revenue streams by deepening and broadening its vertical offerings, supporting long‑term growth.

Operational Efficiency and Expense Management

Q3 2024 highlighted record-low efficiency ratios and cost discipline " ; Q4 2024 noted steady efficiency improvements with controlled SG&A increases " ; and Q1 2025 showcased margin expansion with disciplined expense management. "

In Q2 2025, XP reported an improved efficiency ratio (34.5%) and balanced higher SG&A (especially in marketing and technology) with ongoing investments. " "

The focus on cost control remains constant, with continued improvements in operational efficiency despite strategic spending to support growth.

Fixed Income Revenue Dynamics and Margin Pressures

Q3 2024 emphasized solid fixed income growth and attractive take rate improvements " " ; Q4 2024 detailed market‑making capacity and mark‑to‑market effects " " ; Q1 2025 noted fixed income surpassing equities but with margin challenges. " "

In Q2 2025, fixed income revenues grew 20% YoY despite slight QoQ declines due to high Selic rates, with margin pressures partly attributed to product mix dynamics. " "

The focus remains on fixed income as a key revenue driver, although high interest rates continue to pressure margins, prompting ongoing adjustments in product mix and strategy.

Capital Efficiency, ROE, and Shareholder Returns

Q3 2024 reported strong ROTE and a commitment to high payout ratios " " ; Q4 2024 showed ROE improvement with significant dividends and buybacks " ; Q1 2025 demonstrated robust ROE growth and attractive buyback programs. " "

Q2 2025 continued this trend with a reported ROE of 24.4%, strong capital ratios (BIS ratio, CET1), and an ongoing share buyback program supporting shareholder returns. "

The company has maintained consistently strong capital metrics and shareholder return policies, reflecting robust profitability and disciplined capital allocation.

Corporate and B2B Channel Performance Challenges

Q3 2024 provided positive corporate performance with no explicit challenges " , while Q4 2024 and Q1 2025 mentioned strong corporate results alongside ongoing B2B productivity issues. " "

In Q2 2025, XP noted a significant decline in corporate net new money and highlighted lower productivity in the B2B channel, underscoring emerging challenges in these areas. " " "

Previously steady, corporate and B2B performance is now facing challenges that contrast with earlier periods, prompting a renewed focus on quality and productivity enhancements in these channels.

Competitive Landscape and Macroeconomic Pressures

Q3 2024 mentioned rising competition from large banks due to high interest rates and attractive tax‑exempt products " ; Q4 2024 discussed competitive positioning and corporate restructuring to counter these challenges " " ; Q1 2025 provided limited commentary on these factors.

In Q2 2025, XP explicitly cited increased market aggression (e.g. lower fees by competitors), negative net new money in corporate/institutional segments, and a tougher macro environment with potential regulatory changes. " " "

While always a factor, competitive and macroeconomic pressures are receiving heightened attention in Q2 2025, reflecting a more cautious and defensive sentiment amid explicit challenges.

Independent Financial Advisors (IFA) Channel and Commission Costs

Q3 2024 discussed rising commission ratios amid ongoing numbers adjustments " ; Q4 2024 focused on transitioning IFAs to an employee model to boost quality " ; Q1 2025 emphasized quality over quantity with modest commission cost volatility. " "

In Q2 2025, XP reported gradual productivity improvements in the IFA channel and noted dilution of commission costs, suggesting a positive long‑term trend. "

The IFA channel continues to evolve from a quantity‑driven to a quality‑focused model, with expectations that commission costs will improve as channel productivity benefits accrue.

Credit Revenue Growth Sustainability

Q3 2024 emphasized a disciplined, collateral‑backed credit strategy with margin loan operations replacing lower NII loans " " ; Q4 2024 highlighted robust retail and corporate credit growth with low ECL ratios " " ; Q1 2025 showcased strong retail credit and fixed income contributions. " " "

In Q2 2025, XP underlined the sustainability of credit revenue growth through recurring securitization of receivables and a focus on selling originated credit, despite some companies shifting funds to banks with credit reciprocity. " "

Credit revenue growth remains sustainable, driven by a disciplined, collateralized approach; however, the environment forces XP to adapt to fund flows affected by competitive credit offerings.

Macroeconomic Environment and Interest Rate Dependencies

Q3 2024 noted high rates and tax-exempt incentives challenging competitive positioning " ; Q4 2024 provided detailed insights on how high Selic rates affect AUC and asset allocation " " ; Q1 2025 included indirect references to the high interest environment impacting inflows. "

In Q2 2025, XP explicitly discussed the adverse effects of the highest Selic rates in almost 20 years on client behavior and investment durations, along with the potential for improved net new money if rates fall, and anticipated tax regulation effects. " " " "

The macroeconomic and interest rate narrative is longstanding but has become more pronounced in Q2 2025, with companies preparing for shifts if rates decline, highlighting both challenges and potential upside.