Technos (TECN3) Q1 2026 earnings summary

Executive summary

• Achieved 5.3% year-over-year net revenue growth to R$91.2 million in 1Q26, with gross profit up 5.7% and net income rising 44.6% to R$6.5 million.

• Adjusted EBITDA increased 16.4% year-over-year to R$14.0 million, marking the 23rd consecutive quarter of growth.

• Sales volume rose 6.9% to 521,300 watches, offsetting a 1.4% decline in average price per unit.

• Maintained strong operational efficiency and a positive work environment, earning Great Place to Work certification for the fifth consecutive year.

Financial highlights

• Gross revenue grew 5.5% year-over-year to R$107.3 million; net revenue up 5.3% to R$91.2 million.

• Gross margin improved by 0.2 p.p. to 53.6%; adjusted EBITDA margin rose 1.5 p.p. to 15.4%.

• Net financial result improved to R$1.1 million from R$0.2 million, aided by higher Selic rates and increased accounts receivable.

• Working capital increased 16.8% year-over-year to R$324.8 million, with inventory up R$19.8 million.

Outlook and guidance

• Focus remains on value creation, disciplined capital allocation, and sustainable business expansion amid macroeconomic and geopolitical uncertainties.

• Anticipates continued impact from major events like the World Cup and presidential elections on seasonality and consumer trends.