TOTVS (TOTS3) Investor Day 2025 summary

Strategic vision and AI integration

• AI is positioned as a transformative force, with a focus on agentic automation, hybrid human-digital models, and automation to boost productivity and efficiency, especially for SMBs.

• AI strategy leverages deep functional expertise and proprietary data to develop specialized, high-value agents and SLMs for industry-specific needs, expanding the addressable market and enhancing competitiveness.

• Cloud migration is a critical enabler for AI adoption, with integrated AI agents accessible through the proprietary cloud platform, multiplying market size by up to 16 times.

• AI is embedded across ERP, CRM, and marketing automation, blurring front and back office boundaries and creating new opportunities for integrated solutions.

• Commitment to an open ecosystem and marketplace, empowering partners and clients to develop and deploy AI agents within a secure environment.

Product and business development / Business model evolution and market expansion

• Continuous evolution from single-product to multi-product platforms, expanding into new verticals such as rentals, healthcare, construction, education, and retail with tailored, AI-driven solutions.

• Launch of the DTA platform and agent store, enabling clients to build, manage, and deploy AI agents with low/no-code tools for customization and scalability.

• Integration of financial services (ERP banking/Techfin) directly into ERP platforms, offering embedded credit, payments, and receivables management to over 100,000 clients, with strategic partnerships to expand reach.

• Cloud and SaaS adoption is accelerating, reducing total cost of ownership and enabling scalable, purpose-specific solutions.

• High R&D investment and unmatched distribution platform drive above-market growth rates, with recurring revenue outpacing GDP and sector averages.

Client engagement and operational excellence

• Strategy centers on increasing relevance as a trusted advisor, with cross- and up-sell initiatives, take rate as a key metric, and a focus on maximizing share of wallet.

• Enhanced client support through AMS, Prime, and tailored service packages, with NPS improvements and expanded application management services.

• Data intelligence and AI are used to personalize offerings, improve customer journeys, and support compliance with evolving regulations such as tax reform.

• Sales and support processes are increasingly automated and data-driven, with AI tools for proposal development, benchmarking, and documentation.

• Ecosystem approach combines field and digital sales, management, and Techfin, with AI enhancing distribution and client engagement.