Itaúsa (ITSA4) Q3 2024 earnings summary

Executive summary

• Recurring net income reached R$3.9 billion in 3Q24, up 13% year-over-year, driven by strong results across all portfolio companies and improved holding financial results from liability management.

• Portfolio market value rose to R$142.4 billion, a 30% increase from September 2023, with a holding discount of 19.7%.

• Recurring ROE for 9M24 was 17.8%, up 2.0 p.p. from 9M23.

• A 5% bonus share issuance and R$425 million in interest on capital were announced, with payment by April 2025.

Financial highlights

• 3Q24 recurring net income: R$3,883 million (+13% YoY); 9M24: R$11,101 million (+23% YoY).

• Net income (including non-recurring): R$3,819 million in 3Q24 (-6.6% YoY); 9M24: R$11,056 million (+5.5% YoY).

• Market capitalization at R$114.3 billion (+30% YoY); holding discount at 19.7%.

• Dividend yield for the last 12 months: 6.6%; total earnings distributed R$7.6 billion.

• Total assets: R$95.9 billion (+8.1% YoY); shareholders' equity: R$86.5 billion.

Outlook and guidance

• Management expects continued value creation through active portfolio management, liability optimization, and focus on sustainable growth.

• Confidence in liquidity and capital structure to support business continuity and obligations.

• Liability management strategy is expected to further reduce debt costs and extend maturities, supporting liquidity and dividend predictability.