PBG (PTBL3) Q1 2026 earnings summary

Executive summary

• Net revenue reached R$597.2 million in 1Q26, up 0.9% year-over-year but down 7.0% sequentially, reflecting a competitive market and seasonality.

• Gross margin improved 1.9 p.p. sequentially to 33.4%, driven by premium product mix and operational improvements, but declined 4.5 p.p. year-over-year due to pricing and mix pressures.

• EBITDA rose 25.0% year-over-year to R$94.6 million (margin 15.8%), boosted by non-recurring gains from a sale and leaseback transaction; adjusted EBITDA was R$51.2 million (margin 8.6%).

• Net loss was R$41.1 million, a 25.7% increase year-over-year, mainly due to higher financial expenses; adjusted net loss was R$84.5 million.

• Operational efficiency initiatives and cost controls were advanced, but profitability remains pressured.

Financial highlights

• Net revenue: R$597.2 million (+0.9% YoY, -7.0% QoQ).

• Gross margin: 33.4% (+1.9 p.p. QoQ, -4.5 p.p. YoY).

• EBITDA: R$94.6 million (+25.0% YoY, +79.2% QoQ); EBITDA margin: 15.8%.

• Adjusted EBITDA: R$51.2 million (-51.0% YoY, +28.1% QoQ); margin: 8.6%.

• Net loss: R$41.1 million (-6.9% margin); adjusted net loss: R$84.5 million (-14.2% margin).

• Net debt: R$1,120.2 million (Net Debt/EBITDA 3.29x), up from R$1,064.0 million in 4Q25.

• Working capital: R$151.9 million, with a 10-day increase in cash conversion cycle (CCC) to 21 days.

Outlook and guidance

• Market expected to remain challenging in 2026 due to overcapacity and high inventories, with stable net revenue in Brazil.

• Gross margin expected to remain above 37% in 2Q26 and through 2026, supported by price increases and improved mix.

• Focus on reducing operating expenses and working capital, with organizational restructuring to offset inflation.

• Ongoing efforts to optimize capital structure and reprofile bank debt.