Grupo SBF (SBFG3) Q1 2025 earnings summary

Executive summary

• Achieved record net revenue of R$1.6 billion in Q1 2025, up 4% year-over-year, with gross profit of R$772.3 million (+5.8%) and net income of R$74.2 million (+40.6%).

• Gross margin improved to 49.7% (+0.9 p.p. YoY), reflecting focus on profitability and operational efficiency.

• Working capital management improved, reducing the financial cycle by 19 days and leverage to 0.61x from 1.33x in 1Q24.

• Centauro delivered strong performance, while Fisia faced a temporary wholesale decline but expects recovery in the second half of the year.

• Initiated reinvestment in strategic initiatives to support future growth and market leadership.

Financial highlights

• Net revenue: R$1.6bn (+4.0% YoY); gross profit: R$772m (+5.8% YoY); gross margin: 49.7% (+0.9 p.p. YoY).

• EBITDA: R$144.5m (-9.2% YoY); EBITDA margin: 9.3% (-1.3 p.p. YoY).

• Net profit: R$74.2m (+40.6% YoY); net margin: 4.8% (+1.3 p.p. YoY).

• LTM net revenue: R$7.2bn (+2.8%); LTM EBITDA: R$757m (+19.8%); LTM net profit: R$439m (+66.5%).

• Net debt reduced by 44.9% to R$378.7m; leverage at 0.61x (-0.72x YoY).

Outlook and guidance

• Expect wholesale recovery in H2 2025 as new orders materialize and fixed costs are diluted.

• Continued focus on digital growth, store modernization, and leveraging tax incentives to support profitability.

• Confident in capital structure to support growth initiatives despite macroeconomic challenges.