Terra Santa Propriedades Agrícolas (LAND3) Q1 2026 earnings summary

Executive summary

• Operates in rural real estate, focusing on long-term agricultural land leases, ensuring predictable cash flow and stable margins; revenue is recognized linearly over the crop cycle, with main receipts in Q2.

• Q1 2026 net revenue was R$22.5M, stable year-over-year, reflecting the resilience of the long-term rural lease model.

• EBITDA reached R$15.7M (vs. R$16.3M in Q1 2025), maintaining high profitability; net income was R$8.3M (down 15% YoY), mainly due to higher financial expenses.

• The company raised R$40M in new funding to reinforce liquidity and support working capital needs, aligned with business seasonality.

• Shares traded at a 68% discount to NAV, with NAV at R$2.7B (R$27.76/share) and market cap at R$840.1M.

Financial highlights

• Consolidated net revenue: R$22.5M in Q1 2026, up from R$22.0M in Q1 2025; net lease revenue: R$21.3M (+16.4% YoY).

• EBITDA: R$15.7M in Q1 2026, compared to R$16.3M in Q1 2025; adjusted EBITDA: R$16.7M (+7.9% YoY).

• Net income: R$8.3M in Q1 2026, down from R$9.7M in Q1 2025 (-15% YoY); net margin: 36.6%.

• Financial result: Net expense of R$5.6M in Q1 2026, higher than R$3.8M in Q1 2025, mainly due to higher financial expenses.

• Cash and equivalents: R$40.5M at 31/03/2026, up from R$11.6M at 31/12/2025.

Outlook and guidance

• Revenue predictability is supported by long-term lease contracts indexed to commodity prices, mainly soybeans, and by the use of hedging instruments to mitigate price and FX volatility.

• 100% of 2025/26 soybean volume fixed at R$108.85/bag; hedging covers 68% of USD exposure and 66% of soybean price for 2025/26.

• The company expects continued operational stability and high margins, with cash flow concentrated in Q2 due to lease payment schedules.