Moura Dubeux Engenharia (MDNE3) Q1 2026 earnings summary

Executive summary

• Achieved record net profit of R$156 million in Q1 2026, up 120.9% year-over-year, with a net margin of 25% and ROAE of 27.2%.

• Launched R$1.3 billion in projects in Q1 2026, more than tripling Q1 2025 volume, with R$5.5 billion in launches over the last 12 months.

• Net revenue reached R$628 million in Q1 2026, up 43% year-over-year, with gross margin at 40%.

• The company maintains a cautious, balanced approach to growth between condominium and development models.

• Operational efficiency gains and a conservative capital structure supported by a successful equity offering.

Financial highlights

• Net sales in the last 12 months reached R$4 billion, with 71% from condominiums and 29% from development.

• Adjusted EBITDA for Q1 2026 was R$168.4 million, with a margin of 26.8%; last 12 months totaled R$770 million, up 17% year-over-year.

• Gross profit for Q1 2026 was R$251.2 million, up 69% year-over-year, with a gross margin of 40%.

• Net debt reduced to R$83.6 million, with a net debt/equity ratio of 4%.

• Free cash flow (excluding dividends and follow-on) was negative R$122 million in Q1 2026.

Outlook and guidance

• Guidance for 2026 remains unchanged, with expectations to deliver on previously announced targets.

• Management emphasizes disciplined, balanced growth, operational efficiency, and risk control.

• Cash burn is expected in 2026 due to growth and land payments, with cash generation projected to strengthen from 2027 onward.

• Inventory and landbank support sustained growth, with R$10.4 billion in landbank and deliveries scheduled through 2030.

• Dividend payout is expected to reach R$150 million in 2026, with potential for higher payouts if leverage remains low.