Três Tentos Agroindustrial (TTEN3) Q2 2025 earnings summary

Executive summary

• Revenue grew 30% year-over-year, with strong gains across all business segments and record profitability.

• Net income increased 127.2% year-over-year, with net margin reaching 9.3%.

• Geographic diversification, especially in Mato Grosso, mitigated climate impacts and supported record harvests.

• Industrial capacity reached full utilization, with optimism from B15 biodiesel blending and ongoing expansion projects.

• Ongoing investments in capacity, biofuels, and retail expansion are delivering positive results.

Financial highlights

• Gross revenue reached R$7 billion, up 29% year-over-year; net operating revenue for 2Q25 was R$3.6 billion, up 27.4%.

• Adjusted gross profit increased 44.3% to R$575.9 million, with margin at 16.2% (+1.9 p.p.).

• Adjusted EBITDA rose 118.7% to R$182.4 million, with margin at 5.1% (+2.1 p.p.).

• Net income reached R$523 million, a 73% increase, and net margin was 7.4% (+1.9 p.p.).

• Net debt stood at R$1.8 billion, with net debt/EBITDA at 1.47x.

Outlook and guidance

• Guidance for Porto Alegre do Norte ethanol plant remains Q1 2026 for completion, with potential for earlier delivery.

• Positive outlook for biofuels and renewable energy, with B15 and E30 mandates supporting future demand.

• Continued expansion of stores and industrial facilities, with a focus on sustainable agriculture and technology adoption.

• Management emphasizes continued geographic and product diversification.