Movida Participações (MOVI3) Q1 2025 earnings summary

Executive summary

• Achieved record net revenue of R$3.57B in 1Q25, up 18% year-over-year, with EBITDA of R$1.34B (+26.3% YoY) and EBIT of R$766M, both at all-time highs.

• Net income rose 61.5% to R$78.5M, marking the highest quarterly net income in the past 10 quarters.

• Strategic focus on price recovery, capital allocation to higher-yield segments, and operational efficiency drove profitability and margin expansion.

• Operational performance improved across all business lines, with profitability indicators outpacing fleet growth.

• ROIC reached 12.4% in 1Q25, up 1.9 p.p. from 1Q24 and 3.4 p.p. above average cost of debt.

Financial highlights

• Rental car average daily rate increased 21% YoY to R$158; rental revenue up 26%.

• EBITDA margin reached 70.3% (+2.0 p.p. YoY), with margin expansion in both RAC (65.3%) and GTF (76.2%).

• Used Cars: 24,784 vehicles sold (+7% YoY), net revenue R$1.7B (+10.7%), EBITDA margin stable at 1.1%.

• Net debt at R$15.9B; net debt/EBITDA improved to 3.01x–3.07x, with average debt maturity of 3.5 years.

• Cash position exceeded R$3.0B, covering debt payments through mid-2026.

Outlook and guidance

• Management expects further margin expansion and continued focus on operational efficiency and deleveraging.

• Cash outflows for supplier payments expected to decrease in 2Q25, supporting improved cash dynamics.

• Leverage expected to decline through operational cash generation and lower supplier payment concentration.

• No significant changes anticipated in depreciation rates for rental or GTF segments.

• Ongoing focus on RAC price recovery, higher GTF pricing, and Used Cars productivity.