SIMPAR (SIMH3) Q3 2025 earnings summary

Executive summary

• Achieved record adjusted EBITDA of R$3.1 billion in 3Q25, up 14.2% year-over-year, with margin expanding 2.1 p.p. to 27.5%.

• Net revenue reached R$11.3 billion, up 5.5% YoY; net revenue from services grew 8.4% YoY to R$9.1 billion.

• Adjusted net loss was R$119.3 million, impacted by higher interest rates and increased net debt.

• Strong operational efficiency and cost control across all subsidiaries, with EBITDA per employee up 25% YoY.

• Sale of 100% of Ciclus Rio for R$1.1 billion, pending closing conditions, aligns with strategic portfolio management.

Financial highlights

• Gross revenue (excluding construction) was R$12.4 billion, up 5% YoY; consolidated net revenue reached R$11.3 billion, up 6% YoY.

• Adjusted EBITDA margin reached 27.5%, up 2.1 p.p. YoY; adjusted EBIT rose 8.5% YoY to R$1.94 billion.

• Net CAPEX fell 40% YoY to R$1.1 billion; EBITDA/Net CAPEX ratio improved to 2.4x (9M25 annualized).

• Consolidated net debt (ex-BBC) was R$41.4 billion; leverage (Net Debt/EBITDA) reduced to 3.5x from 3.7x YoY.

• Productive ROIC (ex-BBC) reached 13.9%, up 1.5 p.p. YoY.

Outlook and guidance

• Focus remains on operational efficiency, cost control, and maximizing value from existing assets.

• Strategy includes further optimization of excess invested capital and disciplined capital allocation.

• Guidance for port operations in 2026 includes revenue of R$330–400 million and EBITDA of R$180–240 million.

• Group aims for zero holding-level debt within five years, leveraging mature businesses and lower CapEx needs.

• CS Infra expects strong EBITDA contribution in 2026 as several assets become fully operational.