. Simpar (SIMH3) - the holding company that manages the JSL (JSLG3), MOVIDA (MOVI3), VAMOS (VAMO3), Automob, CS Brasil, CS Infra and Banco BBC Digital brands - ended the second quarter of 2022 with net revenue of R$ 5.5 billion, which represents 73% growth compared to the same period last year and reached Record EBITDA of R$ 1.7 billion, crescence of 94% in the annual comparison.
"This quarter's results once again reflect the discipline in the execution of strategic planning in each of the businesses controlled by SIMPAR and the sustainable growth capacity of the company, which operates in sectors of the real economy, not to mention the excellence of our people who make all the difference." says Fernando Antonio Simões, CEO of Simpar.
The holding company held a net investment (after asset sales) greater than R1TP4Q12 billions in the last twelve months, a substantial increase of 137% in the year-on-year comparison, deliberately aimed at expanding the group's subsidiaries. It is worth noting that the expansion of the fleet in the rental business accounts for more than 90% of these investments.
O Net Profit in the period totaled R$213 million38% lower year-on-year when excluding non-recurring items, as a result of higher financial expenses in the period with the increase in net debt resulting from investments that were not converted into cash and the substantial evolution of interest rates in the country.
"It is important to emphasize that the figures presented do not yet reflect a large part of the investments made by the company in recent quarters, mainly due to the implementation times of the operating assets, which take an average of 90 days to be consolidated so that they can generate cash." adds Denys Ferrez, Simpar's CFO.
Still for the second quarter, the ROIC was 13.8% and ROE of 27.9%in addition to Net Capex of R1TP4Q3.7 billion, 74% growth compared to the second quarter of 2021.
In the period, Simpar and its subsidiaries JSL, Movida and Vamos increased their Fitch Ratings from "AA-" to "AAA". On a global level, Simpar was classified as a BB, the holding company joined the select group of companies with a rating above Brazil's sovereign rating.
Highlights among subsidiaries
With its high execution capacity, the JSL showed strong growth in revenue and expansion in operating margins, even amid a very challenging scenario for input prices. In the period, the company acquired Truckpad, one of the largest platforms for connecting truck drivers and cargo in Latin America, accelerating its technological development and expanding its range of products and services.
JSL had organic growth of 27% and, in future revenues, R$1.4 billion in new contracts signed in the second quarter of 2022. EBITDA totaled R$251 million and doubled year-on-year, with an EBITDA Margin growth of 4.5 p.p. compared to the same period last year due to cost control and equalization of the return on contracts with suppliers and customers.
. Movida proved the assertiveness of its fleet renewal and customer-focused innovation strategy and reached a new level of growth and profitability with records for the fifth consecutive quarter: ROIC of 17.1% and ROE of 36.2% in the last twelve months. In the RAC (rent a car), Movida recorded, for the first time, an increase in average gross revenue per car in 2Q22 compared to 1Q21, thanks to successful pricing strategies that mitigated the effects of the period's lower seasonality. In GTF (fleet management and outsourcing), there was a strong expansion of the fleet and an increase of 30.2% in average monthly gross revenue compared to the previous year. In Used Cars, 18,474 cars were sold in 2Q22, an all-time record, with an average ticket of R$66.6 thousand and a margin of 16.7%.
Once again, the Let's go showed records in the main operating and financial indicators. The backlog of contracted revenues to be performed totaled R$11 billion and contracted Capex was R$1.5 billion (+67% year-on-year), indicating a strong acceleration in operational growth. The return indicators show that the business is generating value, with ROIC of 14.4% and ROE of 22.3% over the last twelve months.
In 2Q22, the company opened the largest FENDT agricultural machinery dealership in the Americas, reinforcing its presence in the Midwest, the fastest-growing region in the country's agribusiness sector.
. Automob, started consolidating Sagamar this quarter and, with the acquisitions carried out by SIMPAR, is pursuing its strategic plan of becoming a benchmark in the sale of light vehicles in Brazil. In May, the company acquisition of the Green GroupIn addition to the acquisition of the Volkswagen, Peugeot and Citröen brands, the company has strengthened its presence in the city of São Paulo and added 9 stores to its portfolio. Added to the four acquisitions announced recently, it reached Gross Revenue of R$5.2 billion in the second quarter of 2022.
The CS Infra continues to develop SIMPAR's concession portfolio. Ciclus, the only operating asset to have an impact on this quarter, grew by 12.2% year-on-year; on the other hand, it recorded a reduction in EBITDA and Net Profit explained by high operating costs due to the rains and higher interest rates in the period.
At the Aratu port terminals, the first cargo movements have already begun, with no impact yet on the 2Q22 results. With regard to the Transcerrados highway, three toll plazas and the paving of 144km of roads have been contracted - the first toll plaza is expected to start operating in September/22.
. CS Brasil showed growth of 20% year-on-year in GTF with labor - the company's main segment after the incorporation of CS Frotas into Movida - and had Net Income of R$13 million, given the receipt of the replacement of retroactive tariffs from the intercity passenger transport consortium Unileste in the amount of R$20 million (net of IR), whose operation was sold by CS Brasil in 2016.
O BBC Digital Bank continues to expand its capacity to operate new products and promote access to credit and other financial services within the SIMPAR ecosystem. In 2Q22, the company increased its total funding balance by 45% to R$236 million - including leasing bills and CDBs - and originated R$57 million in new loans (+8% year-on-year), supported by a solid capital structure, with a comfortable Basel Index of 17%.
About Simpar
Holding company that controls seven independent companies - JSL, Movida, Vamos, CS Infra, CS Brasil, Automob and Banco BBC Digital. The group has more than 40,000 employees aligned by a strong Culture and Values that guide the way the Company is and does things. A member of B3's ISE portfolio, the company has a management model that produces sustainable results and adheres to strict ESG practices. Operating throughout Brazil and in five other countries in South America and Africa, Simpar has been listed on B3 since 2010 (SIMH3). Find out more at: https://simpar.com.br.