Grazziotin (CGRA4) Q1 2026 earnings summary

Executive summary

• Net income rose 17.98% year-over-year in 1Q26, driven by a 30.9% increase in equity income, mainly from Grato Agropecuária and Grazziotin Financeira.

• Retail sales declined 9% year-over-year, but EBITDA surged 85.12% due to store network adjustments and improved operational efficiency.

• Grazziotin and Pormenos brands saw sales growth of 20.6% and 2.4%, respectively, benefiting from the conversion of GZT stores.

• Grato Agropecuária improved margins through lower soybean costs and operational efficiency.

Financial highlights

• Consolidated net revenue: R$132.1 million in 1Q26, down from R$135.4 million in 1Q25.

• Gross margin increased by 2.2 p.p. to 47.27%.

• EBITDA margin rose 5.5 p.p. to 11.6% (consolidated), with EBITDA up 85.12% year-over-year.

• Net income reached R$5.2 million, up 17.98% year-over-year.

• Cash and equivalents at R$156.4 million, down 24% from 1Q25, mainly due to dividend payments.

Outlook and guidance

• Management remains confident in the business model, focusing on operational improvements, financial discipline, and sustainable results.

• Continued attention to credit policy, product mix, and regional adaptation of store formats.