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Guararapes Confecções (GUAR3) investor relations material
Guararapes Confecções Q3 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Achieved record third quarter results in 3Q25, with historic EBITDA and net income, reflecting ongoing transformation, operational excellence, and strategic leadership changes since 2023.
Nine consecutive quarters of apparel same-store sales growth and eight quarters of apparel gross margin expansion, driven by synergy between Fashion and Financial Services.
Strategic pillars include customer experience, footprint expansion, brand revitalization, operational efficiency, financial services development, and capital structure optimization.
Financial highlights
Consolidated EBITDA reached R$402 million (16.4% margin, up 1.2 p.p. YoY), a record for the period; adjusted EBITDA up 14.8% YoY.
Net income for 3Q25 was R$74 million, up 63% YoY; year-to-date net income reached R$190 million, reversing a prior year loss.
Apparel net revenue grew 7.6% YoY to R$1.5 billion, with SSS up 7.3% and gross margin at 57.3% (+2.5 p.p. YoY).
Financial Services EBITDA was R$119 million (+6.5% YoY); net revenue from Financial Services grew 9.2%.
Free cash flow for 3Q25 was R$47 million, with CAPEX of R$158 million (6.4% of revenue), focused on store openings, technology, and factory upgrades.
Outlook and guidance
Management targets further gross margin improvement, ongoing investments in factory efficiency, data analytics, and pricing strategies.
Plans to accelerate store expansion to 15-20 new stores per year and continue renovations to enhance customer experience and drive SSS growth.
Continued focus on expanding the financial services portfolio, leveraging low customer acquisition costs and a robust loyalty program.
Ongoing investments in digital transformation, ESG initiatives, and operational excellence to support long-term growth.
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