Unifique Telecomunicações (FIQE3) Q1 2025 earnings summary

Executive summary

• Gross revenue reached BRL 335.9 million in Q1 2025, up 8.5% year-over-year and 2.4% sequentially, driven by organic growth and new client activations.

• Net revenue was BRL 269.7 million, up 8.21% year-over-year, with net income at BRL 37.0 million and net margin at 13.7%.

• Recurring EBITDA reached BRL 133.6 million, a 5.4% increase quarter-over-quarter, with a margin of 49.6%.

• Mobile accesses surged 38.4% sequentially to 131,926, with 87% of mobile customers on combo plans and 57% of new lines ported from competitors.

• The company completed the incorporation of Vex Telecomunicações Ltda, streamlining its corporate structure.

Financial highlights

• Gross profit for Q1 2025 was BRL 138.2 million, with a gross margin of 51.2%.

• SG&A expenses reduced by 8.4% sequentially, supporting margin recovery.

• Cash and equivalents at end of March 2025 were BRL 419.3 million, with gross debt at BRL 828.8 million and net debt at BRL 371.2 million.

• Net debt/LTM recurring EBITDA at 0.74x, with more than 50% of financial commitments due within two years.

• Paid BRL 20 million in interest on equity and BRL 35 million in dividends in Q1 2025.

Outlook and guidance

• Targeting 300,000 additional mobile accesses by year-end, supported by ongoing network expansion and prepaid mobile launch in Q2 2025.

• Focus on expansion, innovation, and customer experience, with obligations to expand 5G/4G coverage to 670 cities in Southern Brazil by December 2029.

• Ongoing investments in 5G and new business segments such as telemedicine, cybersecurity, and cloud to drive future growth.