SÃO PAULO, May 15, 2026, 05:08 (BRT)
- Nu Holdings’ first-quarter managerial revenue topped $5 billion—a new high. Net income came in at $871.4 million.
- Nubank pulled in roughly 4 million new customers for the quarter, lifting its total worldwide above 135 million.
- Risk stayed front and center, with higher credit-loss allowances and early delinquencies drawing attention, though Brazil’s rate-cut cycle might still give some relief.
Nu Holdings Ltd. reported quarterly revenue topping $5 billion on its managerial reporting basis—a first for the Nubank parent—drawing renewed focus on its credit growth after a rapid Q1. Net income climbed to $871.4 million, compared to $557.2 million a year ago, according to the filing.
Brazil’s central bank is trimming rates even as inflation hovers near the upper end of its target—raising the stakes. For a digital lender pushing cards and unsecured loans, cheaper funding could help both the bottom line and stressed borrowers, provided credit losses don’t outpace revenue growth.
Traders on Polymarket are mostly betting on more easing, pricing the odds of a Brazil rate cut this June at around 83%. The “No Change” option lags behind, sitting close to 18%. It’s not official guidance, but that’s where sentiment stands as the market sizes up the scenario for lenders like Nu. Polymarket
Nu’s customer base swelled by roughly 4 million last quarter, pushing its global total past 135 million as of March’s end. In Brazil, the figure topped 115 million, with Mexico accounting for over 15 million and Colombia close to 5 million. The company also flagged that Mexico hit break-even and now ranks as its third-biggest market for financial-institution customers.
David Vélez, the founder and CEO, described it as “another strong quarter.” He noted a bigger customer base, revenue clearing $5 billion, net income landing at $871 million, and a 29% return on equity. ROE, or return on equity, tracks profit relative to shareholder capital. Nu International
Nu’s numbers come with an accounting twist. Managerial revenue hit $5.32 billion, yet IFRS revenue—the official figure under international accounting standards—stood at $4.97 billion. The company attributes the difference to its use of non-IFRS managerial results, which it says better reflect operating drivers and are reconciled back to IFRS in its statements.
Nu reported net interest income of $3.25 billion. Net interest margin jumped to 21.1%, with the credit portfolio expanding more quickly than liabilities. Deposits stood at $42.4 billion. The credit portfolio hit $37.2 billion, split between $24.3 billion in credit cards and just under $10 billion in unsecured loans.
The picture wasn’t as strong on the credit side. Credit-loss allowances climbed to $1.79 billion, marking a 33% jump from the last quarter. The ratio of loans overdue by 15 to 90 days—a key gauge for early trouble—ticked up 89 basis points to 5.0%. As for loans more than 90 days late, those dipped to 6.5%, according to the company.
Chief Financial Officer Guilherme Lago told analysts the company is sticking to an “extremely conservative” approach on provisions, adding that this quarter’s allowances aren’t about any darker outlook for the credit cycle. Instead, he pointed to seasonality, portfolio expansion, and a heavier mix of higher-yield, higher-loss products—things like cards and unsecured loans. Investing.com
Investors had a mixed response. According to MarketBeat, first-quarter EPS landed at 18 cents, missing the 20-cent consensus, but revenue managed to beat forecasts. Nu’s shares in New York were last seen at $12.93 post-results, finance data showed.
Nu’s expanding customer base intensifies its rivalry with established players. According to S&P Global, Itaú Unibanco holds the top spot as Latin America’s largest lender by assets, with BBVA’s Mexican arm coming in sixth—highlighting the contrast between Nu’s customer scale and the heftier traditional balance sheets.
Nu continued to pour funds into artificial intelligence, along with a cautious expansion in the U.S. Its AI Private Banker tools now reach over 15 million active users each month. On U.S. investment, the company expects spending in the market to remain under 100 basis points of its consolidated efficiency ratio for both 2026 and 2027.
The danger? That upbeat outlook on credit might not hold up. Should Brazil’s inflation force a slower pace of rate cuts, or if provisions don’t drop after their typical first-quarter spike, Nu’s high-growth credit strategy could be in for a tougher margin squeeze later in the year.
