Nu Holdings Ltd. (NYSE: NU)

Nu Holdings Ltd. is a digital financial services platform that provides a comprehensive suite of products and services across the Five Financial Seasons of spending, saving, investing, borrowing, and protecting. The company operates in Brazil, Mexico, and Colombia, delivering fully digital solutions through its mobile application to individual consumers and small and medium-sized enterprises. Nu Holdings Ltd. focuses on creating accessible, affordable, and easy-to-use financial products to empower customers in their daily lives, leveraging its proprietary technology and data-driven approach to serve an underbanked population in Latin America.

Nu Holdings Ltd. generates revenue through interest income and service fees derived from its diverse product offerings across retail credit, SME credit, payments, customer assets, insurance brokerage, e-commerce marketplace, and acquiring and services fees. The company earns revenue from credit card financing, personal loans, payroll loans, FGTS-backed loans, and other borrowing solutions, as well as from interchange fees on debit, prepaid, and credit card transactions. Additional revenue streams include brokerage fees on securities and investment funds, commissions from distributing life and property & casualty insurance policies, fees from gross merchandise volume in its marketplace, and discount rates on merchant transactions. The company serves individual consumers and SMEs seeking low-cost, transparent, and convenient financial services through its digital platform.

Nu Holdings Ltd. operates through the following segments:

• Retail Credit for Individuals: This segment includes interest income net of funding costs and credit charges from secured and unsecured personal loans, auto loans, credit card financing, and revolving credit. Nu Holdings Ltd. offers personal unsecured loans, payroll deductible loans, FGTS-backed loans, and credit card financing and revolving products under this segment. The segment also encompasses Pix financing, Boleto financing, purchase financing, and cash-in financing solutions that enable customers to use their credit card limits for various transactions.

• Credit to SMEs: This segment provides interest income net of funding costs and credit charges from secured and unsecured loans to small and medium-sized enterprises. Nu Holdings Ltd. offers Nu Business Accounts, Nu Business Prepaid and Credit Card, and Working Capital solutions tailored for entrepreneurs and their businesses. The segment supports business checking accounts, business prepaid cards, unlimited wire transfers, and the ability to issue boletos to receive payments from customers, all free of charge.

• Customer Assets: This segment generates revenue from customer assets, including brokerage fees on securities, private pensions, savings accounts, and investment funds, as well as interest revenue net of yields on customer deposits. Nu Holdings Ltd. offers Nu Personal Accounts, Nu Business Accounts, Money Boxes (Caixinhas), and investing solutions through its Nu Investimentos platform. The segment also includes NuCrypto, a custodial wallet for buying and selling cryptocurrencies with on-chain transfers via the Nu app.

• Insurance Brokerage: This segment earns commissions from the distribution of Life and Property & Casualty (P&C) insurance products. Nu Holdings Ltd. provides brokerage of life, mobile, home, and financial protection insurance policies through its partnership with Chubb. The segment includes NuLife, a life insurance product launched in August 2020, as well as mobile insurance, auto and "Vidas Juntas" insurance, and other customizable insurance solutions accessible through the Nu app.

• E-Commerce Marketplace: This segment derives fees from gross merchandise volume through Nu Shopping, an integrated marketplace within the Nu app. Nu Holdings Ltd. partners with well-known e-commerce retailers in Brazil such as Casas Bahia, Hopper, and Epay to offer goods and services via the platform. The segment provides cashback deals, discount coupons, and a seamless and secure payment experience using NuPay, with extended credit limits and flexible payment plans in up to 24 installments.

• Acquiring and Services Fees: This segment includes discount rates on merchant transactions and account-related transaction fees. Nu Holdings Ltd. earns revenue from its acquiring services, which facilitate payment processing for merchants. The segment supports NuPay, a disruptive product enabling customers to make online purchases and pay for services within the Nu app through partner merchants, offering increased purchasing power and improved checkout conversion by eliminating the need to type credit card information.

Nu Holdings Ltd. holds a leading position in the Latin American digital financial services industry, serving as the largest private financial institution in Brazil by number of customers and a top issuer of new credit cards in Mexico and Colombia. The company benefits from a concentrated banking sector with high fees and limited competition, allowing it to gain market share through superior technology, lower operating costs, and a customer-centric model. Its competitive advantages include a proprietary cloud-based core banking platform (NuCore), advanced data science and machine learning algorithms under the NuX credit engine, and a self-reinforcing business model driven by organic customer acquisition, high engagement, and low-cost funding from organically grown deposits.

Nu Holdings Ltd. serves 131 million customers across Brazil, Mexico, and Colombia as of December 31, 2025, comprising individual consumers and small and medium-sized enterprises. In Brazil, the company serves 113 million customers, representing approximately 62% of the population aged 18 and above. In Mexico, Nu Holdings Ltd. serves 14 million customers, and in Colombia, it has surpassed 4 million customers. The customer base includes individuals across all social classes and ages, with a strong appeal to younger generations, as well as entrepreneurs and SMEs seeking accessible financial solutions for business operations and cash flow management.