In this issue of our newsletter, you’ll find a retrospective of 2022 for Nubank: a challenging year for the entire industry, which we tackled successfully while delivering growth and profitability, innovating, and reinforcing our leadership.

Additionally, you can read about our latest announcements, such as our product expansion and further capitalization in Mexico; a record in Pix, the Brazilian instant payment (IP) ecosystem in which Nubank has 23% of the market share, and more.

While 2022 presented macroeconomic challenges for the global markets (war, interest rate hikes to fight inflation, and fears of recessions), Nubank began the year with a strong capital position from the IPO and grew to consolidate its position as one of the largest and fastest-growing digital financial services platforms worldwide, as well as the sixth-largest financial institution in Latin America in number of active customers.

The company was able to register growth and its first profitability at the Holding level by continuing to focus on executing and delivering best-in-class products and services while maintaining a low-cost operational platform. ​​”I’m extremely proud of our focus on execution, keeping true to our long-term business plan while beating market expectations in a challenging environment, delivering trust and results for all our stakeholders: from customers to shareholders. 2022 has been a breakthrough year for Nubank”, says David Vélez, founder and CEO.

Over the past 12 months, the company launched more than 25 new products and features, making big breakthroughs in its multi-product, multi-segments, and multi-country strategy. Money Boxes (Caixinhas) represent an innovative approach to saving and investing, attracting over 4.2 million customers to seek higher returns on funds that were previously in their regular accounts. Our investment offering, focused on removing intermediaries, was a highlight on its own, attracting more than 6 million investor clients and more than US$ 19.6 billion in assets under custody, making Nubank the largest digital investment platform in all of Latin America. 

Nubank has reached over 1 billion Pix transactions per month (23% of all Pix transactions in the country), breaking records in the new Brazilian instant payment system that is rapidly outpacing cash.The company also took its first steps in Crypto and Marketplace, bringing in new customers from all financial backgrounds, and fostering to cross-sell.  

The Insurance portfolio also continued to grow with both life and mobile insurance products, as well as the offering for Small and Medium Enterprises (SMEs), a segment that has been growing 114% YoY, already adding 2.3 million customers. Regarding personal loans, Nubank took the first steps to offer secured products using as collateral the investments made in the locked deposits (Resgate Planejado) feature.

Internationally, our operations in Mexico and Colombia keep expanding. We’re closing the year announcing that Nu Mexico launched the waitlist for its digital account and debit card products, aiming to expand its portfolio and customer base. The company’s investments in the country – Nu’s second largest operation – now amount to US$1.3 billion, after a recent announcement of an equity capitalization of US$330 million. 

With a low-cost structure (on average 85% below that of incumbent banks), strong capital position, and liquidity, the company will double the focus on efficiency and scalability for 2023. “We are still in the early stages of our long-term journey, but this year has been fundamental to unlocking the next decade of growth,” says David.

Mexico expansion. Nu Mexico launched the waitlist for its digital savings account “Cuenta Nu” and debit card, which will enable local deposits and further customer growth. Nu currently serves over 3 million people in the country with its credit card and has recently announced an equity capitalization of US$330 million, which will be invested to finance the expansion of the company’s portfolio, increase penetration across market segments, and strengthen its operations and long term commitment in Mexico.
 

New operating model. We continue implementing our new operating model, which streamlines our business organizations into Global Platforms & Products, and Local Markets teams to keep driving further operating leverage and growth. This model amplifies customer centricity across all markets while enabling product scalability and platform efficiency. Complementary, we opened our new office space in São Paulo, Spark, which was designed to foster team integration in the hybrid work model. 

Pix record. In October, Nu registered a record of 1 billion Pix transactions, holding 23% of the market share of all transfers made in Brazil. Nu offers innovative options like payment automatization and the possibility of using credit card limits to pay for transactions.

Efficiency. David decided to terminate his variable compensation award to support Nubank’s efficiency program, contributing to aggregate savings of 356M USD (in the upcoming seven years). “My decision is largely motivated by the change in the macroeconomic scenario since the agreement was established in 2021, and this adjustment will make a meaningful contribution to the continuous improvement of our results,” said David.

FIFA World Cup 2022™. As an Official Regional Supporter of the tournament, Nubank became one of the top-10 most remembered brands of the FIFA World Cup 2022™ and reached more than 91 million people with our campaigns and influencer initiatives during the tournament. Among the multiple marketing actions Nu promoted, we took 17 customers from Brazil to watch matches in Qatar. They report that our products made the trip easier to enjoy.

Awards and recognitions.

Our unparalleled customer service keeps on receiving praise. Nu won the Reclame Aqui award for the sixth time in a row, taking the prize in all three categories it was running for. Colombian magazine Portafolio granted Nu Colombia first place for Customer Service in their prestigious award. Also, Nubank won as NPS Champion of Bank Accounts/Digital Wallets in a report that ranks the companies with the highest levels of customer satisfaction in Brazil.

And on the innovation front, our Diversity & Inclusion Director Helena Bertho was awarded a Prêmio Caboré, a prestigious award that recognizes communications, marketing, and media professionals.

Open Finance in Brazil. Less than two months after joining Open Finance (a Central Bank system that allows data sharing between institutions with customer consent), more than 2 million customers have already agreed to share their data with Nubank. This paves the way to an even more personalized financial experience, now with alerts for when any account linked to a customer’s CPF (national registration number) goes into overdraft.

Gamified credit building. Customers can now build credit history and limit through a gamified experience, which rewards those who use their credit cards responsibly. The financial education experience has been a Nubank innovation since 2021, and the updated user experience aims to make it even more intuitive to build financial autonomy.

Safety as a priority. Nubank Celular Seguro insurance now offers added protection for fraudulent digital transactions. The feature is under testing and offers coverage for values transacted under coercion or if the mobile is stolen.

• David spoke about the decision and timing of the IPO last year and how the company is well-capitalized to face a challenging environment. Read in Estadão and Neofeed. In Colombia, he spoke to Valora Analitik about the local market, as well as the company’s plans for the medium and long term.
   
• Reuters explains the Contingency Share Award that David decided to terminate and how that move will support Nubank’s efficiency program, in an article syndicated by outlets in Brazil.
   
• More than half of the Mexican population does not have a savings account, which presents an opportunity for Cuenta Nu and our debit card in the country, as reported by El Economista and Reuters. Additionally, the equity capitalization of US$330 million positions Nubank as one of the largest foreign investors in the country and Nu Mexico as one of the best-capitalized financial institutions in the country, shows Forbes.
   
• Two months after joining Open Finance, Nubank already has the consent of 2 million customers to access their data from other institutions. Estadão E-Investidor shows how our personalization tools based on that can help customers avoid extra fees.
   
• E-Investidor also highlighted our Pix innovations, such as the possibility to schedule a transaction, in an article about the record Nu beat in October, with 1 billion transfers in a month.
   
• Canaltech announced the coverage expansion of our mobile insurance as one more step in a list of actions aiming to improve customers’ sense of security, including more recently Modo Rua.
   
• Bruno Magrani, Nu’s Public Policy Senior Director and president of the Zetta association, co-authored an op-ed in Folha about the role of fintechs in promoting responsible access to credit. 

(Articles in this section may be subject to a paywall and available to subscribers only, depending on the news outlet.)

Thank you for reading! Please send any feedback through this form.

You can contact our press team through the email press@nubank.com.br and follow our press releases here.