MAHLE Metal Leve (LEVE3) Q1 2026 earnings summary

Executive summary

• Net operating revenue for Q1 2026 was BRL 1,256.4 million, down 0.8% year-over-year, with stable gross margin at 27.0% and net margin at 17.0%.

• Net income rose 34.9% year-over-year to BRL 214.2 million, driven by improved financial results and operational efficiency.

• EBIT margin improved to 17.3%, and EBITDA margin to 19.9%, reflecting productivity gains and disciplined cost management.

• Leadership transition completed, with Eduardo Luiz Spilla appointed CEO and Sergio Pancini de Sá joining the Board.

• Launched MAHLE chargeBIG EV charging solution and opened a Global Competence Center for Air Conditioning Compressors in Brazil.

Financial highlights

• Gross profit reached BRL 339.8 million, with gross margin stable at 27.0%.

• EBIT increased 7.5% to BRL 217.2 million; EBITDA grew 5.2% to BRL 249.4 million.

• Net finance income surged to BRL 75.8 million, mainly due to favorable FX and derivatives results.

• Earnings per share reached BRL 1.58073, up 35% year-over-year.

• Capital expenditures totaled BRL 11.9 million, representing 0.9% of net sales revenue.

Outlook and guidance

• Management remains confident in the long-term strategy, emphasizing R&D, innovation, and operational efficiency.

• The company aims to balance OEM and Aftermarket segments and expand its solutions portfolio.

• Expectation of 5% growth in light vehicle sales in Brazil for 2026, outpacing the market projection of 2.8%.

• Anticipated 2%-3% increase in vehicle production in Brazil by year-end, with positive trends in light vehicles but continued challenges in heavy vehicles.

• Heavy vehicle market expected to stabilize or improve in the second half of the year due to government incentives.