XP Inc. Releases Interim Financial Statements for June 2025 with Strong Financial Performance

XP Inc. released unaudited interim condensed consolidated financial statements for Q2 2025, showing an increase in total assets and financial assets compared to the previous year-end. The review by PricewaterhouseCoopers found no significant issues. Analysts rate XP stock a Hold with a $19.00 price target. XP operates in the financial services industry, offering investment management and brokerage services.

XP Inc. released unaudited interim condensed consolidated financial statements for Q2 2025, showcasing robust growth in total assets and financial assets compared to the previous year-end. The review by PricewaterhouseCoopers found no significant issues, affirming the company's financial health. Analysts maintain a Hold rating with a $19.00 price target.

Financial Performance Highlights

- Client Assets: XP Inc. reported client assets of BRL 1.9 trillion, a 17% year-over-year (YoY) growth, with total advisers at 18,200 [1].
- Gross Revenues: Gross revenues marked BRL 4.7 billion, a 4% YoY growth, supported by a focus on evolving client experience and product offerings [1].
- Profitability: The company achieved the highest net income in its history, reaching BRL 1.321 billion, an 18% YoY growth, with ROE expanding to 24.4% [1].
- Retail Strategy: Retail revenues grew by 9% YoY, with equities contributing to this growth. The company aims to achieve BRL 20 billion in retail net new money per quarter this year [1].
- Wholesale Bank: Corporate revenues posted a 14% increase YoY, while issuer services experienced a 30% decrease due to tough comps from the previous year [1].

Analysts' Perspective

Analysts rate XP stock a Hold, reflecting a balanced view of the company's performance and growth prospects. The $19.00 price target suggests that analysts expect the stock to trade in line with its peers in the financial services industry, considering the current market conditions and regulatory uncertainties.

Looking Ahead

XP Inc. continues to balance capital generation, dividend/buyback policies, and growth strategies. The company's focus on channel diversification and new product offerings in the retail segment, coupled with increased capacity in the wholesale bank, positions it well to navigate potential regulatory changes and market volatility.

References

[1] https://www.ainvest.com/news/xp-q2-2025-unraveling-contradictions-capital-generation-dividends-growth-guidance-2508/
[2] https://www.morningstar.com/news/business-wire/20250818037397/xp-inc-reports-second-quarter-2025-results