Boa Safra Sementes (SOJA3) Q3 2025 earnings summary

Executive summary

• Achieved record sales and gross operating revenue growth of 58% in Q3 2025, with net operating income rising 56% year-over-year to R$1,131 million, driven by strong soybean seed shipments and portfolio diversification.

• Gross profit increased by 51% to R$148 million, while adjusted EBITDA grew 54% to R$114 million, and net income rose 26% to R$68 million in Q3 2025.

• Expanded production capacity and geographic presence through acquisitions, new leases, and operational units in southern Brazil and São Paulo.

• Maintained operational resilience and quality standards despite challenging agribusiness and climate conditions, with a 94% average germination rate for soybean seeds.

• Order backlog reached a record R$1,203 million in Q3 2025, up from R$730 million a year ago, reflecting robust demand.

Financial highlights

• Gross operating revenue for Q3 2025 was R$1,862 million, up 58% year-over-year, with net operating revenue at R$1.1 billion, up 55%.

• Adjusted EBITDA for the quarter reached R$114 million, a 53% increase year-over-year, with a margin of 10%.

• Net income for Q3 2025 was R$68 million, up 25% year-over-year, but LTM net income fell 35% to R$190 million due to a high comparison base.

• CapEx for 9M25 was R$39 million, focused on automation and infrastructure for regenerative agriculture.

• Inventory levels rose nearly 30% year-over-year, reaching 625 million bags.

Outlook and guidance

• Q4 2025 is expected to be strong, with higher sales and margins anticipated as treated seed sales increase in southern regions.

• Management anticipates a more normalized year in 2026, with improved profitability and working capital efficiency.

• Portfolio diversification continues, with revenue from new crops and services reaching R$1,008 million in 9M25.

• Market conditions suggest soybean prices will improve due to lower inventories and reduced competition.

• Focus remains on converting a robust order backlog into revenue, leveraging diversified crop offerings and operational efficiency.