Kepler Weber (KEPL3) Q4 2025 earnings summary

Executive summary

• 2025 marked the company's centennial, with strong client engagement, technological innovation, and industry recognition despite a challenging agribusiness environment and macroeconomic headwinds.

• Net revenue reached R$1.49 billion in 2025, down 7.3% year-over-year, with international business and services partially offsetting declines in domestic segments.

• EBITDA totaled R$231.9 million (margin 15.6%), down 29.4% from 2024, and net income was R$156.3 million (margin 10.5%), down 21.5%.

• International Business achieved record net revenues, up 19.4% in 2025, with Argentina contributing significantly.

• Dividend distribution was R$145 million, representing a 92.8% payout ratio on a cash basis.

Financial highlights

• 4Q25 net revenue was R$398.7 million, with EBITDA of R$67.5 million (16.9% margin) and net income of R$64.8 million (16.2% margin).

• Gross profit was R$362.2 million, a 24.7% decrease year-over-year, with gross margin at 24.3%.

• Operating expenses (SG&A) totaled R$203 million, stable year-over-year, with a BRL 5.6 million reduction in Q4 versus Q4 2024.

• Cash and equivalents at year-end were R$316.4 million, with net cash position close to equilibrium.

• CAPEX reached R$71.2 million, up 50.5% from 2024, focused on modernization, new products, and IT.

Outlook and guidance

• 2026 is expected to remain challenging, with revenue stability or a possible single-digit negative variation and margin pressure, especially in the Farms segment.

• Strategic focus remains on operational efficiency, cost discipline, and portfolio diversification under the KW 2030 plan.

• International business is expected to maintain 2025 levels, with optimism in Argentina, Bolivia, and Venezuela.

• CapEx for 2026 is expected to be slightly lower, focused on modernization and new products.

• Backlog orders carried into 2026 posted single-digit percentage growth compared to 2025.