StoneCo Ltd. reported its fourth‑quarter and full‑year 2025 results on March 2, 2026. Revenue for the quarter ended December 31, 2025 was $689.78 million, a 13 % year‑over‑year increase that fell short of the $717.93 million consensus estimate by 3.92 %. Basic earnings per share were $0.50, beating the $0.48 consensus by 3.46 % and lifting the company’s adjusted basic EPS to R$2.87 for the quarter.
For the full year, StoneCo generated R$14.15 billion in revenue, up 17.5 % from the previous year. Adjusted gross profit reached R$6.32 billion, a 13.5 % rise, while adjusted net income from continuing operations hit R$2.61 billion, an 18.6 % increase. Adjusted basic EPS for the year rose 33.6 % to R$9.71, reflecting stronger margin performance and a higher mix of high‑margin payments and banking services.
The results were driven by continued growth in the company’s core payments and credit businesses. Credit portfolio size expanded to R$2.84 billion at year‑end, but the higher exposure also pushed non‑performing loans (NPLs) 15‑90 days to 4.43 %. A one‑time impairment of R$157.8 million was recorded on the sale of Linx, which reduced net income but did not materially affect operating cash flow. The company’s adjusted gross margin held at 19.0 % in Q4, flat against the 19.1 % in the same period a year earlier, indicating stable pricing power amid rising provisioning costs.
Management guided for 2026 with adjusted gross profit between BRL 6.6 billion and BRL 7 billion and adjusted basic EPS between BRL 10.8 and BRL 11.4. The outlook reflects confidence in continued demand for payments and banking services, while acknowledging the need to manage credit risk and provisioning. The earnings call also marked a leadership transition: former CEO Pedro Zinner stepped down to become non‑executive chairman, and Mateus Scherer was announced as the new CEO, signaling a renewed focus on bundled offerings and disciplined growth.
Investors reacted cautiously to the earnings release. The profit miss, combined with the higher credit provisioning and the Linx impairment, tempered enthusiasm for the company’s upside. Management’s forward guidance and the CEO transition, however, suggest a clear strategic direction and a commitment to maintaining profitability as the company scales its payments and credit businesses.
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