MAHLE Metal Leve (LEVE3) Q1 2026 earnings summary

Executive summary

• Net operating revenue reached BRL 1,256.4 million in Q1 2026, a 0.8% year-over-year decrease, with stable gross margin at 27.0% and net margin at 17.0%.

• Net profit 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%, reflecting productivity gains and disciplined cost management.

• Leadership transition completed, with Eduardo Luiz Spilla succeeding Sergio Pancini de Sá as CEO, ensuring strategic continuity.

• Strategic expansion into electro-mobility, including the launch of MAHLE chargeBIG and a global competence center for compressors.

Financial highlights

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

• Net income totaled BRL 214.2 million, up 34.9% year-over-year.

• EBIT increased 7.5% to BRL 217.2 million; EBITDA margin at 19.9%.

• Net finance income surged to BRL 75.8 million from BRL 12.1 million in Q1 2025.

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

Outlook and guidance

• Management expects 5% growth in Brazil's light vehicle sales 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.

• Heavy vehicle market expected to stabilize or improve in H2 2026 due to government incentives.

• Focus remains on R&D, innovation, and operational efficiency to support long-term strategy.

• Management highlights ongoing market challenges, including global economic uncertainty and inflation.