CVC Brasil Operadora e Agência de Viagens (CVCB3) Q1 2025 earnings summary

Executive summary

• Achieved 30% year-over-year sales growth in Q1 2025, adding BRL 1 billion in sales, with robust expansion across B2C (+9%), B2B (+22%), and Argentina (+102%) segments.

• Opened 39 new stores in Q1, reaching 1,523 total, with expansion in both Brazil and Argentina.

• Phygital sales model penetration reached 44% of B2C sales, driving higher conversion rates and average ticket values.

• Largest convention in company history aligned teams and partners for ambitious 2025 sales goals, with over 2,000 participants.

• Adjusted net income reached BRL 24 million, six times higher than Q1 2024.

Financial highlights

• Consolidated net revenue rose 14.1% year-over-year to BRL 362.2 million in Q1 2025.

• EBITDA increased 21.4% to BRL 104.7 million, with margin up 1.7 p.p. to 28.9%, nearing pre-pandemic historical averages.

• Adjusted net profit (cash profit) margin reached 6.6% in Q1 2025.

• Net debt reduced from 1.9x to 0.9x EBITDA year-over-year, with net debt at BRL 358.3 million.

• Free cash flow consumption in Q1 was BRL 73.6 million, higher than Q1 2024 due to seasonality but lower than Q1 2023.

Outlook and guidance

• Continued store expansion and phygital strategy expected to support further sales growth, with a focus on technology transformation and price competitiveness.

• Franchise expansion into lower-density cities and continued investment in technology are key priorities for 2025.

• Argentina's economic recovery and new franchise openings signal positive momentum, with growth normalizing but remaining above historical averages.