Valid Soluções (VLID3) Q3 2025 earnings summary

Executive summary

• Q3 2025 delivered the highest revenue and EBITDA of the year, with new businesses growing 30% year-over-year and representing 15-16% of total revenue and 26% of total EBITDA.

• ID and mobile verticals showed strong year-over-year growth, while the pay vertical returned to positive margins after structural adjustments.

• Recurring net income reached BRL 67 million, the best period of the year, despite a 13% year-over-year decline.

• The company is executing a strategy to shift its revenue matrix toward high-growth, resilient digital government and onboarding solutions.

• Consistent growth in new businesses with healthy margins, supported by traditional business segments.

Financial highlights

• Q3 2025 net revenue ranged from BRL 540 million to BRL 580 million (up 10% from Q2, down 6-7% year-over-year).

• Q3 2025 EBITDA ranged from BRL 115 million to BRL 157 million, with margins up to 32.6%, the highest of the year.

• Year-to-date EBITDA: BRL 311 million (down 18-19% year-over-year); net income: BRL 180 million; EPS: BRL 2.30.

• Recurring net income for Q3: BRL 67 million, best period of the year.

• Operating cash flow for Q3: BRL 122 million, with 106-107% EBITDA conversion.

Outlook and guidance

• On track to reach BRL 350 million in new business revenue and over BRL 100 million in EBITDA for the year.

• Digital government and onboarding expected to expand, with new integrated identity platform revenues anticipated in 2026.

• Mobile segment poised for potential upside, especially with eSIM adoption in China.

• Continued focus on long-term growth, technology investment, and shareholder remuneration.

• New Businesses expected to continue as main growth driver, with annualized 3Q25 revenue indicating a 54% YoY increase.