PDG Realty SA Empreendimentos e Participações (PDGR3) Q1 2026 earnings summary

Executive summary

• Gross sales in 1Q26 reached R$22.8 million, up 2% year-over-year and 70% sequentially from 4Q25.

• Net sales were R$14.4 million, a 15% decrease compared to 1Q25, impacted by a 55% increase in cancellations.

• Gross profit was R$1.5 million with a 21% margin; net loss reduced by 85% year-over-year to R$15.1 million.

• Achieved a significant milestone with the successful handover of keys for ix.Tatuapé, with 90% of units sold and 50% delivered, initiating R$9.5 million in mortgage transfers and debt amortization.

• SG&A expenses fell 4% year-over-year, with general and administrative down 15%.

Financial highlights

• Gross profit of R$1.5 million in 1Q26, gross margin at 21%–21.4%, down from 43%–45.3% in 1Q25.

• Net loss of R$15.1 million, an 85% improvement from the R$100.8 million loss in 1Q25.

• Financial losses reduced by 94% year-over-year, mainly due to fair value adjustments on debt.

• Inventory at market value fell 25% year-over-year to R$171.2 million, with a 38% reduction in units.

• Selling expenses rose 23% due to inventory-related costs.

Outlook and guidance

• Construction progress accelerated on key projects, with the start of mortgage transfers for ix.Tatuapé.

• Continued focus on operational recovery, efficiency, and sustainable growth, with disciplined new launches and asset monetization.

• Ongoing review and optimization of the landbank to align with market conditions and maximize future project potential.