Dimed (PNVL3) Q3 2025 earnings summary

Executive summary

• Achieved 14.3% year-over-year retail gross revenue growth in 3Q25, reaching R$1.47 billion, with record productivity and positive free cash flow for the third consecutive quarter.

• Digital sales accounted for 26.4% of retail revenue, growing 42.4% year-over-year, with the app driving 54.1% of digital sales.

• Private label sales grew 32.6% year-over-year, now representing 7.3% of retail sales and 37.6% share in the southern region.

• Opened 51 new stores in the last 12 months, totaling 651 units, and maintained market leadership in the South with 22 consecutive quarters of share gains.

• Same-store sales rose 9.1% year-over-year, with mature stores averaging R$811,000/month.

Financial highlights

• Adjusted EBITDA reached R$79.9 million in 3Q25, up 11.3% year-over-year, with a 5.4% margin.

• Adjusted net income was R$34.3 million (2.3% margin), the highest nominal and percentage result of 2025.

• Free cash flow generation was R$16.0 million, with operating cash flow over R$73 million and a 6-day improvement in the cash conversion cycle.

• Net debt/EBITDA improved to 1.0x, with the lowest leverage in the sector and average debt cost at CDI -1.3%.

• Retail gross margin stood at 29.9%, stable or slightly improved year-over-year, despite GLP-1 pressure.

Outlook and guidance

• Optimistic for Q4, historically the strongest quarter, and for 2026, with continued focus on digital, private label, and generics.

• Plans to expand in the South, especially interior markets, and maintain disciplined capital allocation.

• Expect gradual margin improvement and sustainable growth in sales and profitability.