Brazilian broker XP beats revenue estimates on client asset boost
May 15 (Reuters) - XP Inc on Monday beat estimates for first-quarter revenue, helped by growth in client assets and active customers at the largest new-age Brazilian digital broker.
The company said its total client assets rose 9% to 954 billion reais ($190.67 billion) in the quarter ended March 31, while active clients jumped 13% from a year earlier.
Its clients largely remained undeterred by a looming recession and the market turmoil triggered by the collapse of two regional U.S. banks that sparked wide-ranging investor fears around the stability of the economic system.
U.S.-listed shares of XP were up 2% in extended trading after results. They rose 2.7% this year, after shedding nearly half their value last year amid turmoil in the global capital markets triggered by geopolitical tensions and rapidly rising interest rates.
The company's net revenue was flat at 3.13 billion reais, as net inflow slumped, compared with analysts' average estimate of 3.08 billion reais, according to Refinitiv IBES data.
Separately, Hedge fund and tech investor Tiger Global on Monday revealed that it bought 7.3 million shares of XP in the first quarter in a quarterly filing with the U.S. Securities and Exchange Commission.
($1 = 5.0033 reais) (Reporting by Manya Saini in Bengaluru; Editing by Shinjini Ganguli)
