In This Article:
Release Date: November 13, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Tecnisa SA (BSP:TCSA3) resumed its launches, achieving 1.6 billion reals in the first nine months of the year.
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The company has five building projects underway, indicating strong ongoing development activity.
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Gross sales increased compared to the third quarter of last year, reflecting effective commercial and marketing strategies.
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Tecnisa SA (BSP:TCSA3) generated 86 million reals in cash over the first nine months of the year.
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The company's backlog gross profit stands at 190 million reals, showing potential for future profitability.
Negative Points
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Tecnisa SA (BSP:TCSA3) reported negative earnings, influenced by past events and debt interest rates.
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The speed of sales decreased slightly due to the timing of the Flamboyant project launch.
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The company faced legal challenges with the Beata project, leading to a temporary halt in sales.
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Net revenue decreased in the third quarter compared to the second quarter, partly due to sales adjustments.
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Tecnisa SA (BSP:TCSA3) reported a net loss of 43 million reals in the third quarter.
Q & A Highlights
Q: Can you provide an update on the progress of your building projects and any new launches? A: Fernando Perez, CEO: We have three building projects currently underway, and we are expecting to start the CGIIS project soon. After December 1st, we will begin the Flamboyant building project. We aim to complete the year with five building projects underway. Our focus remains strong on our commercial and marketing strategy, with an increase in gross sales compared to the third quarter of last year.
Q: How is the financial performance, particularly in terms of cash generation and backlog gross profit? A: Anderson, CFO: We generated 86 million in cash over the first nine months of the year. Our backlog gross profit stands at 190 million reals in Q3. Despite negative accounting results due to past issues and debt interest rates, our operations are generating cash and showing positive performance.
Q: What is the status of the Beata project and its impact on your financials? A: Fernando Perez, CEO: The Beata project faced a lawsuit from the public prosecutor's office, which led us to halt the project temporarily. We decided to return the clients' money and wait for the legal situation to be resolved. This decision was made to be cautious, and it was not due to client cancellations.
Q: Can you elaborate on the new low-income brand, 10 CASA, and its initial launch? A: Fernando Perez, CEO: The first launch of our low-income brand, 10 CASA, was in partnership with Plano and Plano in July. The PSV of the first phase is 198 million reals, with our share being 10%. It includes 917 units in the district of Interlagos. This partnership is part of our strategy to diversify and strengthen our market presence.