Vulcabras (VULC3) Q1 2026 earnings summary

Executive summary

• Net revenue reached R$ 776.4 million in 1Q26, up 10.7% year-over-year, with gross volume of 7.6 million pairs/pieces, a 6.8% increase from 1Q25.

• Achieved 23rd consecutive quarter of growth, driven by a strong brand portfolio, disciplined commercial strategy, and expansion in higher value-added products.

• Maintained resilience despite a challenging retail environment with high promotional intensity.

• Recurring EBITDA grew 11.8% to R$ 156.9 million, while recurring net income fell 18.9% to R$ 86.1 million, with net margin dropping 4.0 p.p. to 11.1%.

Financial highlights

• Gross profit rose 11.2% to R$ 313.5 million, with gross margin slightly up to 40.4%.

• Recurring EBITDA margin expanded by 0.2 p.p. to 20.2%.

• Net income was R$ 80.1 million, down 24.5% year-over-year, impacted by higher financial expenses and a R$ 6.0 million non-recurring write-off.

• Net financial result deteriorated to -R$ 27.8 million from R$ 2.3 million in 1Q25.

• Net debt/EBITDA (LTM) was 0.2x, with net debt reduced to R$ 658.9 million as of March 31, 2026.

Outlook and guidance

• Order backlog for 2026 indicates strong demand, supported by recent product launches and portfolio evolution.

• Strategy for 2026 prioritizes financial deleveraging and operational efficiency.

• Focus remains on consistent growth, innovation, and value generation for stakeholders.