Grupo Multi (MLAS3) Q3 2025 earnings summary

Executive summary

• Net revenue in 3Q25 reached R$1,069.5 million, up 15.0% from 2Q25 and 32.0% year-over-year, driven by strong Corporate segment performance and improved profitability focus in retail segments.

• Gross profit rose to R$268.1 million (+16.0% vs. 2Q25, +34.6% vs. 3Q24), with gross margin at 25.1%.

• EBITDA was R$67.5 million, up 119.1% from 2Q25 and 1,507.1% from 3Q24, with EBITDA margin at 6.3%.

• Net income totaled R$65.6 million, a 231.8% increase from 2Q25 and reversing prior losses, with net margin at 6.1%.

• Operational efficiency improved, with operating expenses at 20.0% of net revenue, a reduction of 3.0 p.p. vs. 2Q25 and 5.9 p.p. vs. 3Q24.

Financial highlights

• Net revenue for 9M25 was R$2,762.9 million, up 13.9% year-over-year.

• Gross profit for 9M25 was R$680.4 million (+21.8% YoY), with gross margin at 24.6%.

• Net debt at quarter-end was R$30.8 million, down 80.5% from 2Q25, with cash and equivalents of R$470.3 million.

• Leverage (Net Debt/EBITDA LTM) dropped to 0.22x from 2.10x in 2Q25.

• Operating cash flow in 3Q25 was R$131.7 million, more than double 2Q25.

Outlook and guidance

• Focus on operational efficiency, portfolio optimization, inventory reduction, margin recovery, expense control, and disciplined capital management.

• Monetization strategies and funding from BNDES are planned for the second half of 2025, including a new innovation financing contract of up to R$294.1 million.

• Active portfolio management includes the sale of the pet hygiene mats business and a new exclusive partnership for Cuisinart products.