Grupo Vamos (VAMO3) Q1 2025 earnings summary

Executive summary

• Achieved record consolidated net revenue of R$1,332.0 million in 1Q25, up 23.6% year-over-year, driven by strong leasing and used asset sales performance.

• Leasing segment revenue grew 25.4% to R$1,251.1 million, with net revenue from services up 14.6–15% and asset sales up 81.9–82%.

• Fleet utilization improved to 85%, with a 19.5–30% reduction in asset repossessions compared to 1Q24 and the 2024 average.

• Net income declined 45.6% year-over-year to R$107.8 million, impacted by higher financial expenses and tax rates.

• Completed spin-off of dealership business in November 2024; results reclassified for comparability.

Financial highlights

• Net revenue: R$1,332.0 million (+23.6% vs. 1Q24); Leasing: R$1,251.1 million (+25.4%); Used asset sales: R$290.5 million (+81.9%), with a gross margin of 7.2%.

• EBITDA: R$886.7 million (+10.1%); EBIT: R$643.2 million (+0.4%).

• Net income: R$107.8 million (-45.6%); Net margin: 8.1% (-10.3 p.p.).

• Net debt: R$11.8 billion (+15.7%); leverage at 3.3–3.4x Net Debt/EBITDA.

• Cash and financial investments at R$4.5 billion, with liquidity to cover maturities through mid-2027.

Outlook and guidance

• 2025 guidance: EBITDA R$3,850–4,150 million; Net profit R$450–550 million; Net CAPEX R$2,000–2,200 million; leverage 3.0–3.2x.

• Targeting fleet utilization rate of 90% by year-end and continued improvement in ROIC.

• Focus on increasing occupancy, reducing inventories, and improving profitability and deleveraging.

• Q1 2025 results are on track with guidance for EBITDA and net profit, with CAPEX front-loaded due to fleet investments.