Marcopolo (POMO4) Q1 2026 earnings summary

Executive summary

• Net revenue for Q1 2026 was BRL 1.6552 billion, a 1.3% decrease year-over-year, while net income rose 8.8% to BRL 264.6 million, with international operations contributing BRL 596 million, up 4.6% year-over-year.

• EBITDA increased 16.3% to BRL 304.8 million (margin 18.4%), and net margin improved to 16.0% from 14.5% in Q1 2025.

• Production for the Brazilian market declined 5.1%, with total production at 2,997 units, down 9.0% year-over-year; exports from Brazil rose 7.2%, but international operations saw a 33.5% decrease.

• Marcopolo Australia reported net revenue of BRL 372 million, up 68% year-over-year, and Volgren delivered strong results.

• The company maintained resilience amid macroeconomic and geopolitical challenges, with expectations for volume recovery in Q2 2026.

Financial highlights

• Gross profit totaled BRL 373.4 million (margin 22.6%), down 2.8% year-over-year.

• EBITDA margin was 18.4% (reported), 15.7% (adjusted for non-recurring items); net income margin improved to 16%.

• Return on invested capital reached 24.7%; return on equity was 32.8%.

• Net debt/EBITDA ratio stood at 0.2x, indicating a strong balance sheet.

• Earnings per share for Q1 2026 was BRL 0.213, down from BRL 0.216 in Q1 2025.

Outlook and guidance

• Order backlog and government programs support improved volumes in coming quarters, with significant deliveries planned for 2H26 and 2027.

• Expectation of volume growth in coach buses and Road to School program from Q2 2026 due to fleet renewal needs and incentives.

• City bus segment remains challenging, with gradual recovery tied to economic conditions and fuel prices.

• Australia expected to maintain high revenue levels due to a strong backlog.

• Investments will focus on industrial efficiency and R&D, with continuous cost monitoring.