Oi (OIBR4) Q3 2025 earnings summary

Executive summary

• Severe financial distress deepened in 2025 amid limited cash generation, substantial obligations and difficulties executing the restructuring plan; court-supervised provisional operations continued.

• The court confirmed bankruptcy on 25 Aug 2026, after the reporting period, with provisional continuation of operations; shares were suspended and delisted from B3.

• PwC issued an adverse review conclusion, finding use of the going-concern basis inappropriate and stating that material liquidation-basis adjustments could not be quantified.

Financial highlights

• Consolidated 9M revenue was R$2.076bn, down 18% YoY; gross loss was R$967m versus R$913m a year earlier.

• Consolidated 9M operating loss before financial result and taxes reached R$4.042bn, versus R$1.161bn a year earlier; equity-method loss was R$3.913bn.

• Consolidated 9M financial result was a R$31.346bn loss versus R$14.154bn income in 9M 2024; reversal of debt-novation adjustments drove a roughly R$30bn negative impact.

• Consolidated 9M net loss was R$33.998bn versus R$12.517bn net income; diluted EPS was -R$105.04 versus R$210.12.

• Q3 consolidated revenue was R$685m and net loss R$34.819bn; Q3 financial loss was R$30.757bn.

Outlook and guidance

• Priorities included preserving liquidity, maintaining essential services, reducing costs and pursuing orderly asset sales; cash-generation constraints limited execution of the restructuring plan.

• The court-approved R$4.5bn V.tal sale was suspended by appellate orders; the competitive sale of Oi Soluções attracted no bids.

• The R$60.1m sale of the telephone-services unit to Método was approved, with regulatory and other closing conditions still outstanding at the reporting update.

• In July 2026, judicial management reported cash availability falling from R$88.1m to R$19.6m by month-end, warning of possible operational unsustainability from 1 Aug 2026.