Profits rose 40% in the fourth quarter to R$192 million. Project revenues for 2024

Positivo (POSI3) made a profit of R$192 million in the fourth quarter of 2023 (4Q23), according to the balance sheet released on Wednesday evening 20. The net profit published was 40.4% higher than the 4Q22 figure. In 2023, the figure reached R$251 million compared to R$360 million in 2022.

Earnings before interest, taxes, depreciation and amortization (EBITDA) amounted to R$ 261 million in the fourth quarter of 2023, an increase of 8.2% compared to the same period in 2022. Despite this, the EBITDA margin decreased by 3 percentage points compared to In the fourth quarter of 2022, it stabilized at 16.1%. EBITDA for the year amounted to R$564 million, down 16.4% year-on-year. The margin reached 14.4%, as a result of recovery in consumption margins, and healthy margins in other businesses, in addition to private projects.

The company's total revenue reached R$1.9 billion in the fourth quarter of 2023, an increase of 32% compared to the same quarter in 2022. This figure was driven by a recovery in consumption and strong sales in payment solutions and special projects. In the year, revenues amounted to R$ 4.7 billion, a decrease of 19.4% compared to 2022. Thus, the company justified the decrease with the “strong basis for comparison”.

Despite unfavorable seasonality, operating cash generation in the fourth quarter of 2023 amounted to R$116 million, due to lower working capital. The generation in 2023 exceeded what was provided in 2022 and amounted to R $ 541 million. Leverage in turn decreased by 0.1 times, i.e. 1.5 times the ratio between net debt (which decreased) and EBITDA.

Guidance for 2024

The company provided guidance for 2024 with expected total revenues for 2024 between R$4.0 billion and R$4.5 billion. This forecast takes into account the growth of the enterprise sector, especially payment solutions and servers, stable sales to public enterprises and the continued recovery of consumer sales. The guidance does not include revenue from Algar TI Consultoria.