Mills Locação, Serviços e Logística (MILS3) Q1 2025 earnings summary

Executive summary

• Net revenue reached BRL 412.4 million in 1Q25, up 16.8% year-over-year, driven by rental revenue growth and expansion in Heavy and Intralogistics segments.

• Adjusted EBITDA rose 21.4% to BRL 206.5 million (50.1% margin), reflecting operational efficiency and disciplined cost management.

• Cash net income was BRL 93.6 million (22.7% margin); net income totaled BRL 67.9 million (16.5% margin).

• Recognized with the 2025 IAPA/YEP Sustainability Award for ESG excellence.

• Distribution of interest on equity for 1Q25 totaled BRL 13.7 million.

Financial highlights

• Net revenue grew 16.8% year-over-year to BRL 412.4 million in 1Q25, mainly from rental revenue expansion.

• Adjusted EBITDA increased 21.4% to BRL 206.5 million, with a 50.1% margin.

• Adjusted operating cash flow rose 29.9% to BRL 151 million; EBITDA-to-cash conversion at 73%.

• CapEx was BRL 171.2 million, with 95.3% allocated to rental assets.

• Leverage (Net Debt/Adjusted EBITDA) at 1.4x; gross debt at BRL 1.8 billion; cash position at BRL 716 million.

Outlook and guidance

• CapEx for 2025 expected to be lower than 2024, with investments concentrated in 1Q and 2Q.

• No change in 2025 outlook; disciplined capital allocation continues amid challenging macroeconomic conditions.

• Focus remains on sustainable growth, operational excellence, and expansion in Heavy Rental and Intralogistics, with secured revenue for 2025 through new agreements.