Caixa Seguridade (CXSE3), the insurance arm of Caixa Econômica Federal, has reported a net managerial profit of R$ 1 billion for the first quarter of 2025, marking a 9.2% increase compared to the same period last year. This positive performance was accompanied by the announcement of R$ 930 million in dividends, which represents 92.1% of the adjusted managerial profit for the quarter. The dividend payment is set for August 15, 2025, based on the shareholding position as of August 1, 2025, with shares trading ex-dividends starting August 4, 2025. The value per share will be R$ 0.31.
In the insurance sector, premiums issued totaled R$ 2.3 billion during the quarter. Notably, the housing segment saw a growth of 12.4%, while the residential sector surged by 26.5%, and the assistance branch experienced an impressive increase of 52.6%. According to the company, the strong performance in housing insurance aligns with the expansion of Caixa's mortgage portfolio. The residential sector has set a record for premiums for the fourth consecutive quarter, reaching R$ 267.8 million.
On the pension front, contributions rose by 8.5% compared to the first quarter of 2024, reaching R$ 179 billion in reserves—a 12.1% increase over the past year. During this quarter, improvements were made to the products offered, including the acceptance of pension plans as collateral for personal loans and the launch of sophisticated funds aimed at the private market. The Prev Mulher product was also revamped, now including coverage for transgender women and support services.
The consortium segment demonstrated remarkable performance, with the volume of letters traded reaching R$ 5.5 billion, a 37.8% increase compared to the first quarter of the previous year. Real estate credit letters accounted for 73.5% of this total, reflecting a 50.7% year-on-year increase. The stock of letters reached R$ 36.6 billion, generating R$ 259.6 million in revenue from administration fees, which is a 34.3% growth on the same basis of comparison. In terms of capitalization, the resources raised amounted to R$ 423 million, an 8.7% increase over the same quarter in 2024. The monthly payment modality stood out, increasing by 55.5%, boosting operational margins by 30.7%.
The "Sales Team" program, aimed at commercial incentives, concluded the quarter with 4,198 partners and 23,309 employees qualified. The engagement generated by this initiative contributed R$ 614.6 million in revenue for the distribution segment, a 13.1% increase year-on-year. Insurance represented 64% of these revenues, while accumulation products accounted for 36%.
The consolidated financial result, which considers Caixa Seguridade's proportional participation in controlled companies, showed growth, reflecting the positive impact of the rising Selic rate and improved portfolio performance against the CDI. This component constituted 30.5% of the net profit for the quarter, with Caixa Vida e Previdência contributing 53.7% of the total.
Analysts from BB Investimentos provided a mixed analysis of Caixa Seguridade's results, deeming the first quarter of 2025 performance as "neutral." Despite the company achieving a 10.5% growth in operational revenues and a net managerial profit of R$ 1 billion (+9.2% year-on-year), the results were negatively impacted by a decline in lender insurance, which affected brokerage revenue. Analysts noted that the consistency in the growth of accumulation businesses, such as private pensions, consortia, and capitalization, is a positive aspect. They also highlighted the importance of the housing segment and advancements in other insurance branches, such as the residential sector, which continue to support the company’s positive performance.
However, the significant drop in lender insurance issuances was a crucial factor that limited overall performance. BB Investimentos pointed out that the loss ratio for the quarter was 24.6%, an increase of 3.0 percentage points compared to the previous year, primarily due to the rise in the lender branch and increased provisions related to legal proceedings.
BTG Pactual emphasized that, despite the robust growth in operational revenues and net profit for Caixa Seguridade, the impact of the decline in lender insurance issuances was substantial, leading to a more cautious outlook for the short term. They noted that the higher loss ratio, particularly in the lender segment, could pressure future results. The bank maintained a neutral recommendation for Caixa Seguridade shares, with a target price of R$ 18.00 for the end of 2025, suggesting a potential appreciation of 15.9%.
XP Investimentos positively assessed the advancements in the housing segment, which significantly contributed to the company’s performance. The firm also highlighted improvements in the financial results of holdings, which helped offset the decline in lender insurance issuances. However, they cautioned that the increase in the loss ratio, especially in the lender segment, could pose risks in upcoming quarters.
Overall, Caixa Seguridade's performance in the first quarter of 2025 reflects a mixed bag of growth and challenges. While the company has shown resilience in certain segments, the decline in lender insurance and rising loss ratios warrant close monitoring as it navigates the evolving economic landscape.
