Cyrela Brazil Realty S.A. (CYRE3) Q2 2025 earnings summary

Executive summary

• Demonstrated strong operational and financial resilience amid a challenging macroeconomic environment, with high Selic rates and geopolitical tensions.

• Launched 17 projects in Q2 2025, with PSV/VGV between BRL 2.9 billion and R$4.1 billion; H1 launches totaled up to R$9.0 billion, up over 180% year-over-year.

• Contracted sales in Q2 ranged from BRL 2.2 billion to R$3.3 billion, up over 31% year-over-year; H1 sales reached up to R$6.3 billion, up 39% year-over-year.

• Maintained robust sales speed (SOS/VSO) at 52.3% and inventory at market value of R$13.4 billion.

• Net income for Q2 2025 was BRL 388 million, and for H1 2025 was BRL 715 million.

Financial highlights

• Q2 net revenue was BRL 2.1 billion, up 13% year-over-year; H1 2025 revenue totaled BRL 4.1 billion, up 18%.

• Gross margin for Q2 was 32.7%; H1 gross margin was 32.6%.

• Return on equity (ROE) for the last 12 months was 19.5%.

• Net debt-to-equity ratio at 12.7%, with net debt at BRL 1.3 billion.

• Cash consumption in Q2 ranged from BRL 292 million to R$392 million, mainly due to land bank investments and operational activities.

Outlook and guidance

• Management remains confident in the strategy focused on premium/differentiated projects and unique customer experience for sustainable long-term results.

• Cash consumption expected to remain high in H2 2025 due to land bank investments; year-end cash position projected below initial expectations.

• Additional dividend payout to be considered at year-end, depending on capital structure and cash performance.