Trisul (TRIS3) Q3 2024 earnings summary

Executive summary

• Gross profit reached R$92.7 million in Q3 2024, up 58.3% year-over-year, with gross margin at 30.2%, a 7.1 p.p. increase year-over-year.

• Net income was R$39.5 million in Q3 2024, up 64.1% year-over-year, with a net margin of 12.9%.

• Net revenues for Q3 2024 were R$306.5 million, up 21.1% year-over-year.

• Major launches included Eleve Parque Sacomã (R$115 million PSV, 62% sold by Nov 5) and The House/The Rose (R$754 million PSV, 45% sold by Nov 5), with strong sales in both high-end and Minha Casa, Minha Vida segments.

• Released first Sustainability Report aligned with GRI and UN SDGs, reinforcing ESG commitment.

Financial highlights

• Adjusted EBITDA reached R$66.5 million in Q3 2024, with margin at 21.7%.

• Net debt at end of September 2024 was R$548.1 million; net debt to equity ratio improved to 37.4%.

• Cash and cash equivalents increased to R$381.9 million at quarter-end.

• Receivables at end of September 2024 totaled R$358.6 million.

• Land bank reached R$5.6 billion in PSV in Q3 2024, supporting future launches.

Outlook and guidance

• On track to meet 2024 gross sales and launch guidance set in September 2023, supported by strong sales in new projects.

• Management expects continued strong performance, supported by favorable market conditions and new product launches.

• Expect continued deleveraging in Q4 2024 due to project deliveries and SFH transfers.

• Focus remains on acquiring larger land plots for major developments and expanding in the Minha Casa, Minha Vida segment.

• Robust backlog of unrecognized revenue (R$604 million) and gross margin to be appropriated of 37.5%.