AGI Inc

Performance Evolution

Our second-quarter performance reaffirmed many of the strengths of our business model. Even as the payroll lending market navigated a period of structural change, we sustained high origination volumes and continued to gain share in our core segments, a direct result of the operational speed and competitive advantage of our hybrid, 100% proprietary platform relative to other market players. An additional driver was our Private Payroll loan portfolio, which posted its strongest single-quarter growth on record in 2Q, underpinned by consistently better credit quality metrics that reinforce the profitability and durability of this expansion.

Importantly, the recovery was broad-based across virtually every leading operating indicator. Gross credit origination exceeded R$7 billion, while customer acquisition reached an all-time high. Private Payroll originations doubled compared with the previous quarter, unsecured Personal Loan originations increased by more than 80%, and fee revenues grew 34.6% quarter over quarter. Together, these indicators reinforce our view that Agi’s operating engine has returned to strong growth.

This resilience was tested by the rollout of Desenrola 2.0, a Brazilian federal government program, in May. The program introduced system-wide changes to payroll lending, mainly additional steps for contract formalization, as well as a reduction in payroll credit limits relative to clients’ monthly income (from 45% to 40%) and an extension of maximum contract terms (from 96 to 108 months). We view these shifts as a net positive: they reward the scale and agility on which Agi competes best. Despite the industry-wide disruption, our origination remained above R$7 billion, net origination increased 15.0% quarter over quarter, and growth accelerated across several priority products, leading to an additional 60bps of market share in INSS Payroll Credit in the quarter alone, bringing our total share to 9.60%. We consider this a significant achievement and clear evidence of our ability to adapt faster than the competition.

Fee revenues reached R$135.6 million in the second quarter, increasing 34.6% quarter over quarter and providing one of the clearest indications of the recovery in business activity. Because fee revenues are recognized without the provisioning dynamics associated with credit growth, they provide a more immediate view of operating momentum. One indirect impact of Desenrola 2.0 was that fee revenues originated from Operational Cost Reimbursements related to external portability decreased in the quarter, as other financial institutions faced greater challenges in their origination efforts. While this shift is highly beneficial to our credit portfolio health and customer retention, it created a temporary headwind for our fee revenues, highlighting the organic growth capacity of this line. Looking ahead, Agi+ is expected to become an additional driver of recurring fee revenue from the third quarter onward.

Agi exits the second quarter from a position of strength. Having navigated the most significant regulatory transition the industry has seen in years – while simultaneously gaining market share and improving credit quality – we enter the second half of 2026 with clear operating momentum and a widening competitive moat. With Agi+ and our proprietary investment platform now live, we are positioned to convert this foundation into accelerating growth and profitability, compounding long-term value for our shareholders.

earnings release