Ultrapar (UGPA3) Q4 2025 earnings summary

Executive summary

• Achieved record recurring adjusted EBITDA for a fourth quarter and record operating cash flow of R$5.5 billion in 2025, driven by disciplined execution, strategic focus, and lower working capital needs.

• Distributed R$1.4 billion in dividends for 2025, with a yield of 7%, and maintained leverage at 1.7x, or 1.5x excluding dividend anticipation.

• Advanced regulatory and institutional agendas, including approval of persistent debtor and single-phase taxation for naphtha, measures to combat irregularities in the fuel sector, and approval of "Gás do Povo".

• Completed key operational expansions and acquisitions, including Ultracargo's Rondonópolis base, a 37.5% stake in Virtual GNL, and the acquisition of Hidrovias.

• Leadership transitions and SAP migration strengthened governance and operational efficiency.

Financial highlights

• Recurring adjusted EBITDA for Q4 2025 was R$1.75 billion, up 36% year-over-year; full-year recurring adjusted EBITDA was R$6.18 billion, up 15%.

• Net income for 2025 was R$2.54 billion, up 1% year-over-year, supporting strong dividend distribution.

• Operating cash flow reached a record R$5.5 billion in 2025, up 46% year-over-year, mainly from higher operating results, Hidrovias consolidation, and lower working capital needs.

• CapEx totaled R$2.54 billion in 2025, up 15% year-over-year, driven by Ipiranga and Hidrovias investments.

• Net revenue for 2025 was R$142.5 billion, up 7% year-over-year.

Outlook and guidance

• Announced an organic investment plan of up to R$2.6 billion for 2026, with 42% allocated to expansion and the rest to maintenance, efficiency, and safety.

• 2026 investments to prioritize branding, logistics, new energies, and productivity improvements.

• Company prepared to navigate a challenging global environment in 2026, emphasizing operational efficiency, financial discipline, and sustainable growth.

• Ultragaz anticipates stable performance and similar EBITDA in Q1 2026 as in Q1 2025.

• Ultracargo expects gradual demand recovery and higher Q1 2026 volume and recurring EBITDA versus Q4 2025.