Track & Field Co (TFCO4) Q1 2026 earnings summary

Executive summary

• Consolidated net revenue rose 18.0% year-over-year to R$251.2 million in 1Q26, driven by network expansion, store revitalization, and strong product acceptance.

• Sell-out reached R$442.9 million, up 16.4% year-over-year, with same-store sales growing 12.1% and e-commerce sales up 28.5%, now representing 12.6% of total sell-out.

• Adjusted EBITDA increased 12.6% to R$61.6 million, while adjusted net income grew 6.3% to R$41.5 million.

• Physical network expanded to 441 stores, including 6 new franchises and 3 remodeled stores, with international expansion in Portugal progressing.

• Omnichannel and digital strategies advanced, with 388 stores connected to the endless aisle platform and 418 integrated with e-commerce.

Financial highlights

• Gross profit reached R$150.2 million (+15.7% YoY), with a gross margin of 59.8% (-1.2 p.p. YoY) due to channel mix.

• Adjusted EBITDA margin was 24.5% (-1.2 p.p. YoY); adjusted net margin was 16.5% (-1.8 p.p. YoY).

• Operating cash generation was R$51.4 million; net cash position reached R$63.6 million (+26.2% YoY); total liquidity including receivables was R$163.9 million.

• Operating expenses were 35.3% of net revenue, stable year-over-year.

• No financial debt at period end; zero-debt capital structure maintained.

Outlook and guidance

• Management expects normalization of gross and EBITDA margins as the channel mix effect subsides and royalty recognition increases.

• Continued focus on omnichannel integration, digital expansion, and physical network modernization, targeting 70% of stores in the new format by year-end.

• International expansion in Portugal progressing, with additional stores planned.

• Positive trends anticipated for sell-out and gross margin in Q2, supported by new collections and improved logistics.