Nu Holdings, owner of Nubank, has joined the ranks of Latin America’s most profitable banks. The group posted roughly US$1.1bn in second-quarter 2026 net income, according to company results and market data. The Nubank unit now serves nearly 118 million people in Brazil — more than half the country’s population — showing how a once-niche fintech has become a mass-market bank.
Profit engine shifts from sign-ups to monetisation
Nu’s second-quarter net income passed US$1bn for the first time. It rose about 49% year on year, lifting return on equity to 33%, according to company results and market data. Gross revenue grew roughly 39% to nearly US$5.9bn. Gross profit climbed around 43% to US$2.4bn, showing operating leverage as the model scales.
One analyst summary captured the shift clearly: Nu Holdings growth is now less about adding users and more about extracting value from a vast, highly engaged base.
The group added about 4 million customers in the quarter, taking its global total to roughly 139 million — up around 13% year on year. Brazil, however, is close to saturation. Nu estimates that about 118 million Brazilians hold an account, equivalent to more than half the country’s 213 million people. Activity, not sign-ups, is now the main driver. Nubank’s monthly activity rate in Brazil passed 86% for the first time. The overall group rate rose to about 83.5%, meaning most customers use their accounts regularly rather than leaving them dormant.
Revenue per customer is rising accordingly. Monthly average revenue per active customer reached about US$17.10 — up roughly 22% year on year on a currency-neutral basis, per company metrics. Monthly cost to serve an active customer stayed close to US$1. In annual terms, that implies about US$205 of revenue against roughly US$12 of servicing cost per active customer. This spread, supported by a risk-adjusted margin above 12%, gives Nu ample room to invest in new products and markets without eroding returns.
The balance sheet is following the income statement. On a currency-neutral basis, Nu’s credit portfolio rose about 37% year on year to roughly US$39.4bn. Deposits increased about 18% to around US$45.3bn. Management and external analysts note that credit growth now matters as much as customer growth, given the size of the Brazilian book and the potential for cyclicality. Recent results suggest credit costs remain contained. The bank is gaining share from incumbents without a spike in impairment charges.
Mexico and Colombia: the next test for Nu Holdings growth?
With Brazil approaching full penetration, the investment story turns to Mexico and Colombia. Nu ended the quarter with about 15.8 million customers in Mexico, rising to roughly 16 million in July, and more than 5 million in Colombia. In Mexico, Nu now reaches about 16.5% of adults — similar to where Brazil stood around 2020, according to company benchmarks. The crucial detail is monetisation. Mexican cohorts show monthly average revenue per active customer of about US$12.30 at a stage when Brazilian cohorts generated around US$5.60. That gap suggests Nu is learning to cross-sell faster and design products better for new markets.
Management argues that Brazil went from roughly 16% of adults to more than half of all Brazilians in about six years, with profitability following as monetisation deepened. If Mexico and Colombia trace even part of that path, they could sustain double-digit customer growth and high returns for several years. Both markets have strong incumbent banks and distinct regulatory dynamics, so duplication of the Brazilian playbook is not guaranteed. Investors will track whether activity rates and revenue per active customer in those markets continue to rise without a disproportionate increase in credit loss.
Valuation now reflects the shift to mature profitability. Nu’s shares trade near US$15, implying around 23 times trailing earnings and closer to 17 times forward earnings, according to equity research and market data. That gap shows how the market is pricing in ongoing profit growth. Earnings per share rose about 47% over the past year. Several broker notes argue that the current multiple looks moderate relative to the growth rate and returns.
For investors, Nu Holdings growth now hinges on three numbers: revenue per active customer, activity rate, and credit portfolio expansion. If Mexico and Colombia keep moving towards Brazil-style engagement while credit discipline holds, Nu could consolidate its move from dominant Brazilian fintech to regional Latin American bank. The next few quarters will show whether that trajectory holds as the group scales beyond a billion-dollar profit run rate.
Quick answers
Nu Holdings posted approximately US$1.1bn in net income for the second quarter of 2026, a rise of about 49% year on year, lifting return on equity to 33%.
Nubank serves nearly 118 million people in Brazil — equivalent to more than half of the country’s 213 million population — with a monthly activity rate above 86%.
Nu ended Q2 2026 with about 15.8 million customers in Mexico and more than 5 million in Colombia, aiming to replicate the Brazilian monetisation model where monthly revenue per active customer eventually exceeded US$17.
