Sonda (SONDA) Q3 2025 earnings summary

Executive summary

• Consolidated revenues for 9M25 reached US$1,154 million, up 3.1% year-over-year, with a strong pipeline and notable contract wins in banking, oil & gas, and healthcare sectors.

• EBITDA for 9M25 was US$85 million, down US$11 million from 9M24, while net income was US$6 million, a decrease of US$10 million year-over-year.

• Operating income decreased 22.8% year-over-year to $41,724 million, and EBITDA fell 11.7% to $82,224 million, mainly due to higher provisions for bad debts, increased commercial expenses, and the absence of prior year non-recurring gains.

• The 12-month pipeline surged to US$7.6 billion, up 43% from December 2024, with Brazil showing a 52% increase.

• Sequential improvements in financial results were noted, and the business outlook for the last quarter is favorable.

Financial highlights

• 3Q25 consolidated revenues were US$395 million, up 8.7% year-over-year; EBITDA was US$33 million, flat year-over-year.

• 9M25 consolidated business closures totaled US$1,294 million, up 2.9% year-over-year.

• Transactional business grew 12.7% year-over-year in 9M25, while digital business and digital services declined 1.2% and 2.5%, respectively.

• Gross profit for 9M25 was $147,627 million, down 1.8% year-over-year; gross margin declined to 13.3%.

• Operating margin fell to 3.8% (down 120 bps), and EBITDA margin to 7.4% (down 120 bps) year-over-year.

Outlook and guidance

• The pipeline as of September 2025 suggests a strong close to the year, with significant opportunities in smart cities, cloud, cybersecurity, and sectoral verticals.

• Strategic focus on commercial expansion, digital transformation, and new service models, including AI and cloud migration projects.

• Fitch Ratings affirmed long-term rating at AA- with a Negative outlook; ICR reaffirmed AA- with a Stable outlook.