Business

Brazilian Stone has a 30% rise in net profit in the 3rd quarter; and increases its offer for retail software platform Linx

Fourth largest acquirer in the country, the company wants to be seen as a payment solutions company, which is not afraid of innovations like PIX

Photo: Stone/Facebook.
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  • The company’s volume of payments more than doubled, to BRL 69.7 billion;
  • Even excluding the effect of COVID-19 emergency aid on this processing, the increase in the company’s TPV was 47.6%, to BRL 48.1 billion.

Payments processor Stone disclosed a 30.2% rise in net income for 2020’s third quarter last week, reaching BRL 249 million, with a strong expansion in its active customer base: 40.9% over the third quarter of 2019, to 582,900. The company, which today is the fourth largest acquirer in the Brazilian market, wants to be identified more and more as a payment solution company, which is not afraid of innovations such as PIX, Brazil’s instant payments system which will be officially launched next November 16.

READ ALSO: Cielo predicts Brazilian Central Bank to authorize the use of WhatsApp in payments in November

It is in this context that the company is working to complete the purchase of the retail software platform Linx. Therefore, also in the last week, the company gave up receiving a fine of BRL 112.5 million related to possible rejection by the shareholders of exemption from listing on the Novo Mercado and other conditions, after receiving a document of the regulation superintendence of B3, the Brazilian Stock Exchange, about the topic. Stone also decided to raise the cash portion of the offer, by BRL 0.50, to BRL 32.06 per Linx share.

READ ALSO: PIX’s testing phase begins on Tuesday with 5% of bank customers

The company’s volume of payments more than doubled, to BRL 69.7 billion. Even excluding the effect of COVID-19 emergency aid on this processing, the increase in the company’s TPV was 47.6%, to BRL 48.1 billion.”During the third quarter, we have rolled out our ABC platform to all our banking clients and expect to do the same for all acquiring clients during the fourth quarter. The new ABC dashboard is simple and easy to use, offering our clients key features such as acceptance of all payments methods, prepayments, credit, wire transfers, boleto issuance, and bill payments, pre-paid cards, payment links, and a virtual shop. In mid-November, we will enable our clients to accept PIX transactions directly on the POS, using a dynamic QR code, bringing more security and convenience to retailers”, wrote the company’s CEO, Thiago Piau, on the investor’s relations webpage.

“The number of transactions in our banking platform multiplied by impressive 8x in the third quarter compared with the second quarter of 2020 and our credit portfolio more than doubled in the same period, surpassing BRL1 billion,” stressed Piau.

Stone’s result came out two days after Cielo, the largest company in the sector in Brazil, reported a 71.5% drop in third-quarter earnings and a 3.6% decline in the volume of payments processed.

Translated and co-writen by LABS

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