Ultrapar (UGPA3) sees profit rise more than 10 times in the third quarter, to R$891 million

Results

Owner of Ipiranga released quarterly numbers this Wednesday (8)

Ana Paula Ribeiro


8 Nov 2023 6:46 pm

Ipiranga Station (Photo: Disclosure)

Ultrapar (UGPA3), owner of the Ipiranga and Ultragaz stations, recorded a net profit of R$891.2 million in the third quarter of 2023 (3Q23), more than ten times higher (978.9%) than R$82, 6 million reported in the same period of 2022, the company reported this Wednesday (8).

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) totaled R$2 billion in 3Q23, an increase of 139% compared to 3Q22.

The improvement in results, according to the company, is due to the better performance of all operations, but mainly the Ipiranga network.

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Net revenue totaled R$32.5 billion in the third quarter of this year, a drop of 18% compared to the same stage in 2022.

The most important business segment is Ipiranga gas stations. Net revenue from this operation alone was R$29.5 billion, a drop of 18% compared to the third quarter of last year. According to the results report, this drop reflects the drop in the cost of fuels sold and the lower sales volume.

On the other hand, adjusted Ebitda rose 199%, to R$1.4 billion, due to the increase in margins and the normalization of the commercial environment.

Ultrapar’s net financial result was negative R$301 million in the third quarter of 2023, an increase of 8% over the financial losses in the same stage of 2022.

On September 30, 2023, the company’s net debt was R$7 billion, a drop of 4.9% compared to the same stage in 2022.

The financial leverage indicator, measured by net debt/adjusted EBITDA, was 1.4 times in September/23, a drop/rise of 0.5 pp compared to the same period in 2022.