Movida Participações (MOVI3) Q2 2025 earnings summary

Executive summary

• Net income rose 59% year-over-year to R$68 million in 2Q25, with record EBITDA of R$1.4 billion, up 20%.

• Net revenue reached R$3.68 billion, a 7.1% increase, driven by higher daily rates and GTF expansion.

• ROIC hit 12.7%, the highest in two years, exceeding the average cost of debt by 3.1 p.p.

• Operational efficiency, pricing strategies, and customer-centric innovations drove margin expansion and profitability.

• Recognized for best NPS in the car rental sector and RA 1000 seal, with 322,000 new customers in 1H25 (+25% YoY in June).

Financial highlights

• Net revenue: R$3.68B (+7.1% YoY); EBITDA: R$1.38B (+20% YoY); EBIT: R$785M (+25.2% YoY); net income: R$68M (+59.1% YoY).

• Net debt: R$15.8B; net debt/EBITDA improved to 2.9x, lowest in eight quarters.

• Free cash flow from rental activities: R$1.6B in 2Q25, up 309% sequentially.

• EBITDA margin in RAC was 68.7% and in GTF 76.1% for 2Q25.

• Used Cars: 25,917 units sold in 2Q25, net revenue R$1.8B, EBITDA margin stable at 1.1%.

Outlook and guidance

• Focus remains on price recovery in RAC, premium pricing in GTF, and capital allocation to GTF for earnings predictability.

• Continued operational efficiency, cost reduction, and productivity in Used Cars expected to drive future results.

• Revenue backlog in GTF at R$7.0B supports growth in coming quarters.

• No significant debt maturities until end of 2026, supporting financial stability.

• Anticipates further expansion in right spread, targeting 4.5%-6% in the next 12 months.