Nu Holdings Ltd - Ordinary Shares Class A

Record profitability + strong scale economics (Q2’26): - Net income: $1.1B (first time in company history), +49% YoY, +17% QoQ. - Gross revenue: ~$5.9B (+39% YoY); gross profit: $2.4B (+43% YoY; +25% QoQ). - Efficiency ratio ~19.5% (management expects ~20% average for full year, with Q2 affected by marketing/real estate timing). - Mix: credit + fees + float all growing in absolute dollars; credit normalization supported margin/revenue diversification.

Risk-adjusted profitability at a “new level” (and why it’s likely sustainable): - Risk-adjusted NIM: 12.4% (up from 9.5%), driven by: - Credit income acceleration (bridge said +178 bps contribution Q2 vs +152 bps in Q1), - Lower cost of credit (bridge +115 bps; majority from expected seasonality + disciplined underlying credit, not one-offs), - Float/funding broadly neutral. - Management’s stance: not calling it a guaranteed floor, but expects risk-adjusted NIM to remain “in the same region” going forward.

Credit quality: “no evidence of broad deterioration,” but seasonality + mix remain key: - NPL / delinquency seasonal pattern continued: - 15–90 day delinquency: 4.8% (improved 16 bps QoQ), - 90+ delinquency: 6.9% (up 35 bps QoQ) attributed to migration/seasonality. - Provisioning discipline: - Allowance increased $6.1B → $6.6B largely from portfolio growth (IFRS9 ECL recognized at origination), - Allowances built at ~113% of new 15+ delinquency formation; coverage over 90+ = 244% (~2.5x cushion). - Desenrola (Brazil renegotiation): impact on cost of credit ~~5% (and some effect on risk-adjusted NIM), while underlying performance was still the main driver.