Caixa Seguridade Participações (CXSE3) Q2 2025 earnings summary

Executive summary

• Celebrated 10th anniversary with institutional campaigns, cashback, prize draws, and discounts, reinforcing market leadership and customer focus.

• Achieved managerial net income of BRL 1.04 billion in 2Q25, up 35.2% year-over-year, with a record ROE of 69.6%.

• Operating revenue reached BRL 1.4 billion in 2Q25, a 28.5% increase year-over-year; 6M25 revenue grew 18.8%.

• Distributed BRL 960 million in dividends for 2Q25, with a payout ratio above 92%.

• Launched new products and digital sales journeys, enhancing operational efficiency and customer experience.

Financial highlights

• Accounting net income for 2Q25 was BRL 1.03 billion, up 57.3% year-over-year; 6M25 accounting net income rose 37.7%.

• Written premiums totaled BRL 2,382 million in 2Q25, with Mortgage (+12%), Home (+22%), and Assistance (+62%) segments showing strong growth.

• Operating margin for insurance business increased 66.7% year-over-year, reaching BRL 1,245 million in 2Q25.

• Financial result accounted for 32% of net income, up 30.6% year-over-year, supported by higher SELIC rates.

• Combined Ratio (IC) improved by 9.9 p.p. to 57.6% in 2Q25; Administrative expense ratio improved by 0.3 p.p. to 10.2%.

Outlook and guidance

• Expectation of robust growth in credit letters and premium bonds, supported by high interest rates and product strategy.

• Management expects continued growth in core segments, leveraging digital channels and incentive campaigns.

• Focus on efficiency and cost control, with ongoing digitalization and streamlined sales journeys.

• Continued emphasis on bundled insurance and monthly payment modalities to drive long-term premium growth.

• Private pension growth to be impacted by IOF tax changes, with an estimated 15-25% effect on gross funding.