EBITDA Margin Expansion
EBITDA margin increased to 22.4% in 4Q25 (up vs 4Q24) despite revenue pressures; EBITDA reached BRL 2.3 billion (a 4% decrease YoY) but margin improvement was credited to a better product mix and tariff-mitigation actions.
Resilient External Market Deliveries
Strong deliveries in power generation, transmission & distribution (notably in North America) and robust long-cycle equipment shipments (especially high-voltage motors). Commercial & appliance motors showed sales growth in China and North America; coatings & varnishes revenue grew driven by Mexico and the Heresite U.S. site acquisition.
Robust Investment and CapEx Program
Investments during the quarter totaled BRL 814 million (50% Brazil / 50% abroad). Management approved a substantial CapEx plan for 2026 of BRL 3.6 billion (disclosed split ~46% domestic / 54% abroad) to support capacity expansion and growth.
Strategic M&A and Manufacturing Expansion
Acquisition of Sanelec (India) to strengthen power generation control offerings and international footprint; integration of Heresite site in U.S. for coatings; announced construction of a dedicated battery energy storage systems (BESS) plant in Itajaí targeting completion in H2 2027.
High Financial Returns Maintained
Management reported 'main financial indicators' at a high level of 32.5% and a healthy ROIC, reflecting continued strong operating profitability even after an increase in invested capital from recent investments and acquisitions.
Growing Solutions & Services Positioning
Company is expanding from product sales toward solutions and services (including large-machine services, maintenance contracts, software/monitoring and electric mobility services), indicating a strategic shift to higher recurring and value-added revenue streams.