Iochpe-Maxion (MYPK3) Q1 2026 earnings summary

Executive summary

• Sales remained stable year-over-year, with declines in North and South American commercial vehicles offset by strong light vehicle performance and recovery signs globally.

• Profitability improved due to operational discipline, efficiency projects, and North America restructuring, despite market volatility.

• Operational discipline and supply chain resilience enabled uninterrupted customer service and new business wins.

• Regional performance varied: North America stabilized, Europe resilient in commercial vehicles, Brazil's light vehicle segment offset weak truck demand, and Asia, especially India, showed strong growth.

• Strengthened relationships with Chinese automakers, serving over 16 brands and winning new business.

Financial highlights

• Net revenue reached R$ 3.8 billion, stable excluding FX, but down 3.3% including FX, with gross profit at R$ 441.5 million (11.6% margin).

• EBITDA was R$ 357 million (9.4% margin), up 0.4 p.p. year-over-year; recurring EBITDA at R$ 363.1 million (9.5% margin).

• Net income was R$ 3.9 million, down from R$ 10.9 million in 1Q25, with prior year positively impacted by a one-time effect.

• Leverage (Net Debt/EBITDA) improved to 2.49x from 2.65x in 4Q25.

• Capex increased over 10% year-over-year to R$ 112 million, focused on efficiency and new business in Europe and Brazil.

Outlook and guidance

• Global vehicle production expected to grow 1% in 2026, with light vehicles up 2% and commercial vehicles up 1%; ex-China, production forecast to rise 6%.

• Consulting forecasts for 2026: global light vehicle production to decline 1.8% (1.5% ex-China), commercial vehicle production to rise 1.0% (6.3% ex-China).

• Management is optimistic but cautious, expecting meaningful growth but not necessarily at the pace of official projections.

• Second half of 2026 expected to be stronger, especially in North America, to offset a weak first half.

• South American outlook remains uncertain due to macroeconomic factors and interest rates.