Minerva (BEEF3) Q3 2025 earnings summary

Executive summary

• Achieved record net revenue of R$15.5 billion and EBITDA of R$1.4 billion in 3Q25, with net income of R$120 million and free cash flow of R$2.5 billion, reflecting strong operational performance and successful integration of new assets ahead of schedule.

• Export markets contributed 61% of gross revenue in 3Q25, with Asia and NAFTA as key destinations, supported by global beef supply constraints and strong demand.

• Maintained strong global market positioning, leveraging geographic diversification and market arbitrage.

• Continued focus on sustainability, publishing the 14th sustainability report and advancing ESG initiatives, including 100% compliance in Paraguay's socioenvironmental audit and expansion of carbon-neutral protocols.

• Integration of new South American assets completed ahead of schedule, driving operational synergies, cost dilution, and improved profitability.

Financial highlights

• Net revenue reached R$15.5 billion in 3Q25, up 82.5% year-over-year and 11.5% sequentially, with LTM net revenue at R$51.3 billion.

• EBITDA for 3Q25 was R$1.4 billion, a 70.8% increase year-over-year, with an 8.9% margin; LTM adjusted EBITDA reached R$4.7 billion.

• Net income for the quarter was R$120 million; LTM net income at R$763.3 million.

• Free cash flow in 3Q25 was R$2.5 billion, with LTM free cash generation at R$2.9 billion.

• Net debt reduced to R$11.8 billion, with net leverage/EBITDA at 2.5x, the lowest since 2022.

Outlook and guidance

• 2025 net revenue guidance of R$50–58 billion reaffirmed, with current results already within range.

• EBITDA for 2025 expected to exceed R$5 billion, with leverage projected below 2.5x.

• Free cash flow for 2025 forecasted at R$1.5 billion, surpassing initial expectations.

• Integration of new assets concluded in September, with 4Q25 expected to be the first normalized quarter post-integration.

• Continued optimism for South American beef exporters due to global supply constraints and strong demand in Asia and the U.S.