Marcopolo (POMO4) Q3 2026 earnings summary

Executive summary

• Q3 revenue was R$2,293.5 million, down 8.5% YoY; EBITDA fell 34.7% to R$274.1 million and net income fell 43.4% to R$186.5 million.

• Consolidated production declined 25.2% YoY to 3,085 units amid lower Brazilian and international deliveries.

• Lower volumes, operating deleverage, raw-material inflation and FX pressure weighed on profitability; restructuring and cost adjustments are underway.

Financial highlights

• Q3 revenue comprised R$1,212.4 million domestic, R$377.8 million exports from Brazil (up 3.0% YoY), and R$703.2 million international operations (down 21.4%).

• Gross profit was R$464.8 million, down 30.5% YoY; gross margin was 20.3% versus 26.7%.

• EBITDA was R$274.1 million, with a 12.0% margin versus 16.8%; excluding R$19.9 million in restructuring costs, EBITDA was R$294.0 million and margin 12.8%.

• Net income was R$186.5 million, with an 8.1% margin versus 13.2%; 9M26 revenue was R$6,322.0 million and net income R$722.4 million.

Outlook and guidance

• No sustained recovery in sales or production is expected in late 2026 or early 2027; concentrated Q3 sales and Move II advance purchases reduced backlog visibility and may moderate subsequent demand.

• Caminho da Escola Phase 13 production began in Q4 2026 and is expected to support light-model volumes; 11 approved models represent potential sales of 5,210 units, with another 2,000 awaiting a court decision.

• Further cost-base adjustments may continue in Q4 in Brazil, with targeted adjustments possible internationally; management sees potential for margins to improve from Q3 levels but issued no margin guidance.

• Australia volumes in 2027 are projected below 2026 after recent tenders conclude; Bogotá tender production and deliveries are scheduled to begin in 1H27.