Terra Santa Propriedades Agrícolas (LAND3) Q4 2025 earnings summary

Executive summary

• 2025 marked the consolidation of a strategy focused on operational predictability, capital discipline, and strengthening the economic fundamentals of the rural real estate portfolio.

• Revenue and net income grew significantly year-over-year, driven by renegotiated lease contracts and higher soybean prices, despite non-recurring negative impacts from contingencies and asset write-downs.

• Operational efficiency improved, with a reduction in general and administrative expenses and a focus on cost rationalization.

• The company completed a major real estate review, resulting in the write-off of non-existent or non-possessed land, impacting equity but not current results.

• The company maintained strong governance, ESG initiatives, and compliance with regulatory requirements.

Financial highlights

• Net revenue reached R$96.6 million in 2025, up 41.3% year-over-year; gross profit was R$92.3 million, up 45.2%.

• Adjusted EBITDA was R$66.5 million, a 69.8% increase from 2024, with a margin of 68.9%.

• Net income for 2025 was R$4.7 million, down from R$7.3 million in 2024, mainly due to non-recurring effects from reclassification of contingencies and asset write-downs.

• Gross margin improved to 95.6% in 2025 from 93.0% in 2024.

• Net Asset Value (NAV) at year-end was R$2.7 billion (R$27.29/share), up 1.7% from December 2024.

Outlook and guidance

• 100% of the 2025/26 soybean crop volume was price-fixed at an average gross price of R$108.85 per sack by year-end 2025.

• Hedging strategies covered 68% of the 2025/26 and 22% of the 2026/27 soybean crops for USD, and 66% and 15% for soybean prices, respectively.

• The company continues to focus on operational discipline, risk management, and sustainable value creation.