Dimed (PNVL3) Q1 2026 earnings summary

Executive summary

• Gross revenue for 1Q26 grew 15.8% year-over-year to R$1.57 billion, with retail sales up 15.1% and digital channels reaching 28.5% of retail revenue.

• Adjusted EBITDA rose 25.6% to R$81.2 million, with margin improving to 5.2%.

• Adjusted net income increased 38.1% to R$38.5 million, with margin at 2.4%.

• Market share in the South/Southern Region reached 13.3%, marking the 24th consecutive quarter of gains.

• Opened 5 new stores and relocated 3, totaling 661 stores at quarter-end.

Financial highlights

• Retail gross margin held at 29.4%, stable year-over-year.

• Free cash flow was R$12.4 million, marking the fifth consecutive quarter of positive cash generation.

• Net debt/EBITDA ratio decreased to 0.88x, the lowest in recent quarters.

• Consolidated EBITDA (proxy): R$68.2 million, up from R$53.3 million year-over-year.

• Earnings per share: R$0.22 basic and diluted, up from R$0.17.

Outlook and guidance

• New growth cycle for 2026–2030 initiated, targeting R$11.5–12 billion in revenue and 950–1,000 stores by 2030.

• EBITDA margin guidance between 6.7%–7% for the period.

• Management does not expect material impact from ongoing Brazilian tax reform in 2026.

• Strategic focus on digitalization, private label expansion, and operational efficiency.

• Emphasis on store productivity and a balanced financial structure to support the 2030 plan.