Tegma Gestão Logística (TGMA3) Q2 2025 earnings summary

Executive summary

• Net revenue in Q2 2025 increased 14% year-over-year to R$541 million, driven by higher vehicle transport volumes and improved operational indicators.

• Net income rose 6% year-over-year to R$67.1 million, with a net margin of 12.4%.

• Dividend and interest on equity distribution of R$89 million was approved, representing 80% of net income and an 8.3% yield over the last 12 months, with payment scheduled for August 19, 2025.

• Strategic expansion included the acquisition of 70% of Buskar.Me for R$15.1 million and customs clearance of a 200,000 sqm plot for logistics operations, increasing storage capacity by 20%.

• Free cash flow in Q2 2025 was R$41 million, reflecting strong operational performance and a reduced cash-to-cash cycle.

Financial highlights

• Automotive Logistics division net revenue grew 15–17.4% year-over-year, driven by tariff adjustments, warehousing, and Fastline's performance.

• Integrated Logistics division net revenue declined 2–2.6% year-over-year due to a lost contract, despite new contracts adding R$4.3 million.

• GDL segment net revenue increased 11% year-over-year, with stable joint venture net income but lower margins due to rent adjustments.

• Consolidated EBITDA margin was 17.5% in Q2 2025, down 0.5 p.p. year-over-year, impacted by lower gross margins and higher corporate expenses.

• CapEx for the quarter was R$11–11.4 million, focused on yard improvements and fleet expansion.

Outlook and guidance

• Management expects the green IPI tax cut and new vehicle launches to sustain or boost sales volumes in the short term.

• The framework of guarantees is expected to improve loan conditions and reduce NPL costs for financial institutions over time.

• Despite a lost contract, the Integrated Logistics division is focused on acquiring new, more profitable contracts and exploring M&A opportunities.

• Management continues to focus on operational efficiency and expansion in logistics services, with all operations assessed using EVA criteria.

• Stable ROIC and ROE in Q2 2025 reflect operating income growth in line with capital employed.