Allpark Empreendimentos Participações e Serviços (ALPK3) Q2 2023 earnings summary

Executive summary

• Q2 net revenue reached a third consecutive quarterly record of R$334.7M, up 22.3% YoY; adjusted EBITDA rose 68.9% to a record R$65.5M, while net loss narrowed 59% to R$14.9M.

• At June-end, the portfolio comprised 654 operations and 451,300 parking spaces across 84 cities and 17 Brazilian states; churn was 0.38%.

Financial highlights

• Managerial cash gross profit reached a record R$87.2M, up 28.0% YoY; cash gross margin was 26.0%, versus 24.9%.

• Adjusted EBITDA margin rose to 19.6% from 14.2%; reported EBITDA was R$80.7M, up 51.8%, with a 24.1% margin.

• Adjusted FFO was R$35.9M, 4.7x 2Q22, with a 10.7% margin; the measure excludes IFRS 16 and IFRIC 12 effects and non-cash or non-recurring items.

• H1 revenue was R$640.2M, up 23.7%; H1 net loss was R$45.2M versus R$79.6M in the prior-year period.

Outlook and guidance

• Management expects revenue growth, cost control and lower financial leverage to support further net-result recovery in coming quarters.

• Three of 11 airport parking contracts under the CCR agreement were operating; five operations, adding 510 spaces, were expected by year-end.

• Digitalization remains a strategic focus, with plans to expand the Zul+ app and broader AutoTech services; AutoTech revenue more than doubled in Q2.