Cyrela Brazil Realty SA Empreend e Part (CYRBY) Q3 2025 Earnings Call Highlights: Strong Growth …

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• Net Revenue: BRL6.2 billion, a year-on-year increase.

• Gross Margin: 32.7% for the quarter.

• Net Income: BRL1.3 billion, a 15% increase year on year.

• Adjusted ROE: 19.9% for the last 12 months.

• Cash Generation: BRL423 million in the quarter.

• Adjusted Net Debt to Equity Ratio: Reduced by 4.6 percentage points to 8.2%.

• Launches: BRL9.7 billion in the first nine months of 2025.

• Resales: BRL6.8 billion from January to September 2025, a 19% growth year on year.

• Sales in Cyrela Stake: BRL2.4 billion for the quarter, with a 10% growth quarter on quarter.

• Inventory: Total inventory at BRL15 billion, with BRL11 billion in Cyrela’s stake.

• Delivered Units: BRL4.9 billion year to date, a 68% growth year on year.

• Leverage Level: Decreased from 12.7% to 8.2% this quarter.

Release Date: November 14, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

• Cyrela Brazil Realty SA Empreend e Part (CYRBY) demonstrated resilience in its operating and financial performance amid a complex global scenario with high interest rates and trade tensions.

• Launches in the first nine months of 2025 totaled BRL9.7 billion, surpassing the entire 2024 volume, indicating strong growth.

• Net revenue reached BRL6.2 billion with a gross margin of 32.7%, and net income totaled BRL1.3 billion, showing year-on-year growth.

• The company generated BRL423 million in cash in the quarter, reducing the adjusted net debt to adjusted shareholders’ equity ratio to 8.2%, reinforcing financial discipline.

• Sales performance in October and November exceeded expectations, particularly in the Vivaz Sao Paulo projects, indicating strong market demand.

• The sales of finished units this year are below last year and previous years, indicating a potential challenge in moving inventory.

• The revenue backlog decreased on a quarter-on-quarter basis, raising concerns about future revenue recognition.

• The company faces challenges with high interest rates impacting customer affordability, particularly for finished units.

• There is concern about the inventory level, especially in Sao Paulo, with a potential need to stabilize inventory at a lower level.

• Cash generation in the fourth quarter is expected to be neutral, with potential for slight negative or positive outcomes, indicating uncertainty in financial performance.

Q: Are you concerned about your inventory level, or do you intend to launch fewer units to stabilize your inventory at a lower level? Also, what are your plans regarding dividend payouts? A: Miguel Mickelberg, CFO, explained that the increase in inventory is mainly due to this year’s launches, which are at a healthy sales speed. The company is more concerned about finished units due to high carrying costs. Regarding dividends, there is a possibility of paying extraordinary dividends, likely in December, pending Board approval.