EZTEC Empreendimentos e Participações S.A. (EZTC3) Q2 2025 earnings summary

Executive summary

• Achieved record launches in 1H25, totaling BRL 1.106 billion in PSV, up 20% from 2022 and 12% above all 2023 launches, with net sales reaching BRL 867 million, the highest first-half in company history and up 8% year-over-year.

• Net income for 1H25 was BRL 241.5 million (consolidated), up 63% year-over-year, with gross margin at 40.7% and net margin at 31.1%, both at three-year highs.

• ROE/ROAE improved to 10.3%–11.8% in June 2025, up significantly from the prior year.

• Three new projects launched in 2Q25: Lume House (17% sold), Alt Studios (38% sold), and Moved Osasco (44% sold), with strong sales velocity.

• One-off land sale in Praia Grande contributed BRL 40 million to revenue, boosting quarterly results.

Financial highlights

• Net revenue for 2Q25 was BRL 449.3 million, up 44.3% sequentially and 8% year-over-year; 1H25 net revenue reached BRL 760.5 million, up 16% year-over-year.

• Gross profit for 1H25 was BRL 306.3 million, with gross margin at 40.7% in 2Q25 and adjusted margin above 38%.

• Net profit for 2Q25 was BRL 139.9 million, up 48.7% sequentially and 57.8% year-over-year; 1H25 net profit was BRL 234 million, up 61% year-over-year.

• Earnings per share for 1H25 was BRL 1.07, compared to BRL 0.67 in 1H24.

• Dividend payout for 2Q25 was BRL 66 million, representing 50% of adjusted net profit.

Outlook and guidance

• Management expects continued strong sales and launch activity, supported by a robust landbank and diversified product mix, with upcoming launches including Blue Marine and further phases in Osasco.

• Dividend payout is targeted at 50% of profit, with flexibility to adjust based on future performance.

• Internal consensus for 2025: net revenue BRL 1.54–1.72 billion, net margin 20.3–31.2%, and net income BRL 318–474 million.

• Management anticipates continued strong cash generation and operational performance, focusing on the middle-income segment.