Grupo Vamos (VAMO3) Q4 2025 earnings summary

Executive summary

• Achieved record consolidated net revenue of BRL 5.8 billion in 2025, up 22% year-over-year, and record EBITDA of BRL 3.6 billion, up 7% year-over-year, with all-time highs in leasing and used vehicle sales.

• Net income for Q4 2025 grew 54% sequentially to BRL 78 million; full-year net income reached BRL 319 million, though annual net income dropped 54.7% year-over-year.

• Focused on operational efficiency, contract selectivity, and capital allocation prioritizing profitability, organic deleveraging, and operational cash flow.

• Delivered all 2025 guidance targets, demonstrating resilience and adaptability in a challenging macroeconomic environment.

• Leverage reduced to 3.16x, the lowest since 2022, with strong operating cash generation and organic debt reduction.

Financial highlights

• Rental/leasing revenue rose 12% to BRL 4.1 billion, with fleet utilization at 87%, the highest since 2020.

• Used vehicle sales revenue grew 85–98% year-over-year to BRL 1.3 billion, with units sold up 116% quarter-over-quarter and a 3.8% gross margin.

• Adjusted EBITDA grew 7% to BRL 3.6 billion; EBITDA margin for leasing reached 90% in Q4 2025.

• Allowance for Doubtful Accounts (ADA) as a share of net rental revenue dropped to 0.8% in Q4 and 2.2% for the year.

• ROIC for 2025 was 13.9%, with after-tax cost of debt at 10.8%.

Outlook and guidance

• 2026 guidance targets net revenue between BRL 6.3–6.9 billion, EBITDA between BRL 3.75–4.0 billion, and occupancy rates of 88–92%.

• Net CapEx expected at BRL 1.5–5.0 billion, with used vehicle gross revenue projected to exceed BRL 1.7 billion.

• Consolidated net revenue expected to grow 9–20% in 2026.

• Leverage targeted at 2.9–3.1x net debt/EBITDA by year-end.

• Continued focus on contract extensions, Sempre Novo product expansion, and digital sales channels.