Três Tentos Agroindustrial (TTEN3) Q4 2024 earnings summary

Executive summary

• Net operating revenue reached R$12.8 billion in 2024, up 42.5% year-over-year, with robust growth and margin expansion across all business segments.

• Adjusted EBITDA increased by 101.4% to R$974 million, with margin improvement in all segments.

• Net income rose 31.8% to R$756.4 million, despite a 22.6% drop in 4Q24 due to negative financial results.

• Expansion in Mato Grosso now accounts for 35% of total net revenue, supporting risk mitigation and market reach.

• Seven new stores opened in 2024, with 70 stores and 196 consultants serving producers in RS and MT.

Financial highlights

• Net operating revenue for 2024 was R$12.8 billion, a 42.5% increase year-over-year.

• Adjusted EBITDA reached R$974 million, up 101.4%, with a margin of 7.6%.

• Net income for the year was R$756.4 million, up 31.8% year-over-year.

• Adjusted gross margin improved by 6.8 percentage points to 24.7%.

• Net debt at year-end was R$224.7 million, with leverage at 0.17x annual EBITDA.

Outlook and guidance

• Positive expectations for 2025, with Brazil set to harvest record soybean and corn crops.

• Ongoing industrial expansions and new store openings in Mato Grosso and Rio Grande do Sul.

• Continued focus on diversifying feedstocks, including canola and sorghum.

• Guidance remains cautious due to agribusiness uncertainties, but growth is expected to continue.