One hour after reporting $133 million in Q4 2022 Adjusted Net Income Nu Holdings (NU), a Brazilian digital financial services platform, filed an amended report announcing Adjusted Net Income of just $113.8 million. Unlike subsequent news releases, the amended filing does not prominently highlight the correction or reconcile the discrepancy.

DuDil contacted Nu Holdings, asking whether the $19.2 million error was first discovered in the hour between the original and amended filings and, if so, whether the cause of the error has been identified and remedied.

The company told us this:

"Shortly after issuing our earnings documents on Tuesday, we identified a typing error on the Press Release, affecting only the metric Adjusted Net Income, in the fifth bullet. This mistake only happened in the above-mentioned Press Release, which was immediately corrected and reissued. All other filed materials, including earnings presentation and earnings release, presented the correct number. It is important to mention that, as Adjusted Net Income is a Non-Gaap measure, there were no corrections to be made on the financial statements as well."

Warren Buffett’s Berkshire Hathaway owns approximately 2.3% of Nu Holdings.

The bank’s shares have lost nearly half their value since going public in 2021.

It’s not the first Brazilian fintech backed by Berkshire Hathaway to disappoint. In April 2020, we published an Exclusive Report detailing a soon-to-be-filed merchant lawsuit alleging significant off-balance sheet liabilities at StoneCo (STNE), a Brazilian digital payments firm.

StoneCo shares are down 76% since.