Romi (ROMI3) Q1 2026 earnings summary

Executive summary

• Order backlog increased 8.5% sequentially to R$814.2 million, driven by B+W Machines, despite a challenging economic environment and year-over-year declines in order entry.

• Diversification into machine rental and fintech (PRODZ) contributed to results, with 81 new machines rented in 1Q26.

• Gross margin improved by 0.7 percentage points year-over-year, reflecting operational efficiency and solution diversification.

• B+W Machines delivered projects on time, grew order backlog by 16.1% year-over-year, and showed strong margin gains.

• Castings and Machining unit faced demand challenges in wind, automotive, and agricultural sectors.

Financial highlights

• Net operating revenue for Q1 2026 was R$221.0 million, down 19.1% year-over-year.

• Adjusted EBITDA was R$7.4 million (margin 3.3%), down 59% year-over-year.

• Adjusted net income was R$2.4 million, down 75.8% year-over-year, with a net margin of 1.1%.

• Gross margin reached 25.1%, up 0.7 percentage points year-over-year.

• Net cash position was negative R$172.2 million as of March 31, 2026; cash and equivalents were R$383.5 million.

Outlook and guidance

• Management remains confident in maintaining a sustainable business pace through innovation, digital technologies, and team training, with a focus on productivity recovery and new product generations.

• Forward-looking statements highlight risks and uncertainties, with future results potentially differing materially from current projections.