Track & Field Co (TFCO4) Q2 2026 earnings summary

Executive summary

• Achieved strong growth in 2Q26, with net revenue up 15.5% year-over-year to R$279.7 million, driven by franchise expansion, robust consumer demand for seasonal collections, and strong performance in both own and franchise stores.

• Sell-out reached R$493.4 million (+20.7% YoY), with same-store sales up 15.9% and renovated stores outperforming the network average.

• Omnichannel integration and digital ecosystem expansion advanced, with 423 stores supporting ship-from-store and pick-up, accounting for 74% of e-commerce sales.

• Expansion included 7 new stores and 9 remodels, with international growth in Portugal and ongoing franchisee recruitment in other countries.

• Cash generation was significant, with operating cash flow reaching R$47.8 million (+96.2% YoY), net cash equivalents at R$144.6 million (+51.6% YoY), and zero debt.

Financial highlights

• Consolidated net revenue: R$279.7 million (+15.5% YoY); 1H26: R$530.9 million (+16.7% YoY).

• Gross profit: R$158.6 million (+14.4% YoY); gross margin 56.7% (-0.6 p.p. YoY).

• Adjusted EBITDA: R$65.6 million (+15.9% YoY); margin 23.5% (+0.1 p.p. YoY). 1H26: R$127.2 million (+14.3% YoY).

• Adjusted net income: R$44.3 million (+8.2% YoY); margin 15.8% (-1.1 p.p. YoY). 1H26: R$85.8 million (+7.3% YoY).

• Operating cash flow: R$47.8 million (+96.2% YoY); net cash: R$50.3 million (+112.5% YoY); net cash equivalents: R$144.6 million (+51.6% YoY).

Outlook and guidance

• Management expects continued growth through disciplined execution, further store modernization, and digital ecosystem enhancements, with 70% of the store base to be modernized by end-2026.

• Anticipate a strong Q3 with attractive seasonal collections and early franchisee engagement.

• International expansion continues, with two new stores planned in Lisbon and exploration of other markets.

• Expect normalization in gross margin as channel mix stabilizes and royalty realization increases.

• Focus remains on efficiency, leveraging technology including AI, and sustainable value generation.