SIMPAR S.A. ($SIMH3)

Good morning, ladies and gentlemen. Welcome to SIMPAR's conference call to discuss the results for the fourth quarter 2025. This session is being recorded, and a replay will be available on the company's website, ir.simpar.com.br. The presentation will also be available for download. Before we proceed, I would like to remind everyone that forward-looking statements are based on the beliefs and assumptions of SIMPAR's management and on information currently available to the company. These statements are subject to risks and uncertainties as they relate to future events and therefore, depend on circumstances that may or may not occur. Investors, analysts and journalists should be aware that macroeconomic conditions, industry trends and other factors may cause actual results to differ materially from those in the forward-looking statements. Joining us today are Mr. Fernando Simoes, Chief Executive Officer; and Mr. Denis Perez, Executive VP of Corporate Finance and IR Officer. Now I'd like to turn the floor over to Mr. Simoes, who will begin the presentation. Sir, please go ahead.

Good morning, everyone. We are now beginning SIMPAR's earnings presentation for the fourth quarter of '25 and full year '25. On behalf of our more than 56,000 employees, I would like to thank you all for joining us. We'll begin on Page 3. It's important to highlight that when we reported our 2024 results, we communicated to the market in line with our transparency and our strategic planning for this new cycle. Our focus would be on extracting value for everything we have built. We made significant investments in 2, 3 and 4, positioning the companies to gain market share, increase volumes, reduce CapEx, enhance cash generation and when appropriate to execute divestments. Page 3 already reflects our operational efficiency mark in the beginning of this new cycle. But what gives us great confidence is our belief that we still have room to improve operational efficiency, productivity and cash generation. Some of the key figures that illustrates this transformation gross revenue reached BRL 12.4 billion in 4Q '25, up 6% compared to the same period last year. EBITDA increased by 55%, reaching BRL 4.1 billion. Excluding the divestment of [indiscernible], which was part of our strategic plan, EBITDA grew by more than 20%, with gross revenue up 6% and significant lower net CapEx compared to '24. This clearly demonstrates our efficiency and our ability to extract value from what was built. Net income totaled BRL 543 million, excluding Ciclus, net income would have been negative BRL 69 million. For the full year, we closed 25% with gross revenue of BRL 47.8 billion, growth of approximately BRL 700 million. EBITDA excluding Ciclus, grew more than 15%, which is more than double the gross revenue growth for the period, again, reflecting the operational efficiency we are extracting from our asset base. We grew and ended '25 with EBITDA of BRL 12.8 billion. Among the key financial highlights, we achieved record revenue EBITDA growth of 24% in 2025, our lowest leverage in the past 15 years at 3x and the lowest net CapEx in the past 5 years. In line with our strategic plan, we executed the divestment of Ciclus for BRL 1.8 billion, which shows an annual return of 27% and from '21 to '25. It's important to emphasize our commitment to transparency and governance. This company was originally acquired from the holding company of [indiscernible] controlling family. The transaction was duly approved by minority shareholders and generated this return over 4 years. This demonstrates the quality of the asset, the strength of execution and the effectiveness of this strategy. Still on this page, we also highlight our recent the funding transactions, our strong ability to access capital in the financial markets. These figures reflect our team's ability to extract value from what has been built, operating markets that offer both resilience and opportunities, and we hold leading our second leading position in most of our segments above all thinking of our companies. We are innovative, customer focus, and we continue to gain market share. thanks to our people. Our business and revenue diversification is significant, all within the real economy with strong growth opportunities and high resilience regardless of economic conditions, supported by long-term contracts. On Page 4, we highlight the execution of our strategic plan. The foundation is built over recent years, the quality of our managed guided by this model of management, our way of doing things, and this approach has consistently delivered results and efficiency regardless of the macroeconomic [indiscernible]. With 35% lower net CapEx, we achieved 7% revenue growth and approximately a 2 percentage points increase in EBITDA margin, excluding the Ciclus Real divestment that is what we achieved. EBITDA grew 24% in 2025 and leverage declined from 3.6x to 3x, which is the lowest level in the past 15 years in the company. Now moving on to Page 5. We're starting talking about JSL. The company delivered strong cash generation, higher asset utilization and significantly lower CapEx, therefore, deleveraging all in line with our strategic plans. You can see that JSL numbers, revenue grew 6% in 2025 and EBITDA more than 16%, reflecting operational efficiency. More than that, JSL is now structured into 3 independent business units, Intra-Lock, a newly established intralogistics company operating inside the companies are with warehousing, logistics, operations inside the industrial facilities, so 1 of the main companies in Brazil. This is to say that you can assess the business as well as possible. We also have dedicated services, basically transportation, but most with owner 30-part fleets with 75% of revenue. Intra-Lock is completely independent. It was established in April with 20% of revenue, and JSLDigital accounts for 5% of revenue with a significant growth potential, completely asset like, a company that is still at an early stage. And here, we have some of the key deliveries in cash generation, investment discipline and profitability. That is JSL operates in a highly fragmented market with substantial growth potential. And these 3 avenues structured as independent units are now being presented to you so that you can better assess and understand how JSL is a diversified company. Now on Page 6, we have mov. In line with our strategic plan, over the past 3 years, Movida has transformed its fleet mix, anticipated customer needs. As a group, we are typically customer focused. We anticipate demand, and through this approach, Movida has digitalized process, improves operational efficiency, enhance service quality, aiming to deliver an outstanding customer experience. in '25, it added more than 600,000 new clients. It improved its return on invested capital, now the highest in the sector in Brazil, reflecting excellence in execution. So now a lot lower CapEx. Revenue grew 9% and EBITDA increased more than 20%. This clearance demonstrates the transformation and execution. More importantly, there is still significant room for further improvement, cost reduction, operational utilization, asset turnover and continuous enhancement of the customer experience. While we continue to attract new customers, we focus on customer retention. And this way of being has contributed to transforming the rental market and continues to bring more clients into the segment, which is a source upgrade satisfaction for us. Page 7, we have Vamos, the largest company in the market for leasing trucks and equipment. The company has been executing its strategic plan by reducing CapEx, increasing diversification across the sectors it operates and actively managing its inventory. And the most important thing that I would like to highlight for 2025 is the renewal rate. The same assets of contracts that are closing after 5 years, more than 50% have been renewed using the same asset for an additional average period of over 21 months. This reduces the need for CapEx, improves yield as extending the contract with the same asset is more cost effective for clients. It's better for our clients than replacing with a new asset. A second important point is the same [indiscernible] strategy, whether through return or early return to assets, which has also been redeployed for additional periods of 2, 3 years. This demonstrates our ability to redeploy assets efficiently, lower CapEx, higher yields. Since the launch of Vamos, we have highlighted the opportunity, and now we are clearly demonstrating its effectiveness, which contributes to reducing inventory levels, improving results and increasing utilization. That's it. Vamos operates in a highly attractive market, significant growth opportunities. And as we consistently highlighted, our asset model and fleet mix have high liquidity. This is reflected in our team's strong execution in asset sales, which have reached record levels quarter after quarter and continue to improve, which demonstrates both the quality of our assets and the execution of our team. Page 8, we have Automob, our dealership group. I'd like to highlight some transformational metrics that we had with the company, including growth in used car sales, increased sales of light vehicles per store and improvements in our F&I indicators. And remember, despite the improvements already observed in sales, EBITDA, gross margin and F&I performance, Automob is still, during '26, undergoing a consolidation phase, including administrative processes, systems integration. It has just completed the construction or renovation of stores, and now we are entering a new phase focused on integration and optimization of the network. I strongly believe that this transformation will be completed by end '26, with each quarter showing progressive improvement, but starting '27 at a differentiated level. And it's already differentiated, both in terms of portfolio diversification, light vehicles, trucks, agricultural equipment and geographic diversification. In the region where it operates, it has scale and volume, which significantly enhances operational efficiency and enables value extraction from what has been built. Page 9, we talk about CS Infra. As we have always said, we are focused on opportunities in social infrastructure, environmental and mobility. Brazil offers significant opportunities through new PPPs and concessions, and we believe our core competency lies in service provision without compromising our capital structure while generating long-term contracts. This strategy has been successfully executed by CS Infra with strong discipline, governance and excellence in budgeting, execution and delivery. Recently, we delivered to the Board in Bahia with assets up to 12 and 18 with assets now fully operational, demonstrating our execution capacities and adherence to both physical and financial time lines. We also are happy to say we secured the north and south lots for the construction of 40 schools in the state of Parana. With a well-structured tender, strong guarantees and high-quality project design, we're able to prepare a highly efficient proposal. We are very pleased with the achievement, which marks our entry into social infrastructure. [indiscernible], mobility projects in Sao Paulo, another important milestone, which is the port in Amapa, although smaller, with strong belief in the region's development, particularly through logistics solutions and the ports playing a key role there. We also have broad concessions in Mato Gros with [indiscernible], further expanding our portfolio with strong execution discipline. Starting in '26, you will begin to see EBITDA contributions, reflecting this value creation as detailed in our materials. Ciclus Benko with proven operational expertise, the quality of our assets is reflected in the valuation achieved through the divestment of Ciclus [indiscernible], demonstrating both asset quality and execution capability. You see with the prices and Ciclus and [indiscernible] continues to present strong growth opportunities, including this waste treatment facility in [indiscernible] located in [indiscernible], which is now ready for operation, great opportunities for growth and further expansion potential. CS Brazil, focus on service efficiency, mobility and fleet outsourcing for the state-owned sector, including driver services. What is different about CS Brasil, is that we operate services directly, and we see an improve in margins, revenue, cash generation and new contracts. On Page 13, we have BBC, our bank, with the credit portfolio to finance our used assets. We have focused on that. We have the lowest delinquency rate in the market with growth in revenue, but quality growth. Again, this is a bank that is niche, but it's quality. Our average entry level is 35% to 40% and average spreads from 9% to 10%. In other words, these are transactions backed by real collateral. And this is still a developing business. As it gains scale, it will benefit from cost dilution, which should translate into a differentiated level of profitability. We strongly believe in this opportunity and see significant potential within our ecosystem. Page 14, we highlight some of our key consolidated financial metrics. Now I'll turn the call over to Danys, who will walk you through the main financial figures. Danys, please go ahead.

Thank you, Fernando. Good morning, everyone. On Page 14, our consolidated financial highlights. Net revenue in the quarter totaled BRL 11.177 billion, up 7% compared to the same period last year. For the full year '25, net revenue reached BRL 43,147 billion, an increase of 8% versus 2024. Regarding EBITDA and EBITDA margin, we reported EBITDA of BRL 4 billion in 4Q '25, margin of 36.4%. For the full year, EBITDA totaled BRL 12.754 billion with a margin of 29.6%. I'd like to remind you that 4Q '25 was the quarter in which we monetized our investments in Ciclus, effectively doubling our invested capital and generating an internal rate of return of approximately 30% per year. If we normalize those figures to exclude this effect, EBITDA would have been in the quarter BRL 3.1 billion, is still 20% higher year-over-year, and BRL 11.8 billion for the full year, representing growth of 15% compared to the prior year. Operating income on the lower left was BRL 2.9 billion in the fourth quarter, up 78% year-over-year. And if we adjust for the Ciclus divestment effect, it would have increased by 22%. And operating income measured by EBIT totaled BRL 8.170 billion, up 24% compared to '24, and it is our business, but if we exclude the Ciclus divestment, without this event, operating income would still have increased by 10%. Net income in the fourth quarter, benefiting from the divestment, reached BRL 543 million, reversing the negative results reported in 4Q '24. For the full year '25 consolidated net income totaled BRL 213 million compared to the BRL 94 million in the previous year. A brief comment on EBITDA margin. On the right-hand side, we present different views of EBITDA margin, including consolidated services and asset sales. I'd like to highlight the services EBITDA margin, which improved by 8 percentage points. Again, this clearly reflects our focus on execution which will continue into 2026. Now Page 15, we confirm our strategic directions as we have mentioned before. Net CapEx decreased in the quarter, it decreased by 16%, but more importantly, on a full year basis, we delivered a 35% reduction in net investments. Even with the reduction of 35%, as shown in the table below, we achieved revenue growth across all our business units as well as in EBITDA in all of them, once again, reinforcing our focus on extracting value from what has been already built. Page 16, we bring the magnitude of net CapEx compared to cash generation measured by EBITDA. So here, we show a time line since 2020. From 2020 to '22, we invested above our cash generation, resulting in a ratio below 1. And then as of '23, '24, as the heavy investment phase began to taper off, the ratio moved toward a balance now around 1x net CapEx compared to cash generation measured by EBITDA. This year, however, the dynamic changed significantly. EBITDA is now approximately twice the level of net CapEx. So not only is net CapEx lower in '25 and the lowest since '22, but the company itself is larger. Therefore, in relative terms, net CapEx is much less significant compared to cash generation as clearly reflected in the ratio where EBITDA is nearly 2x higher than net investments. Moving to Page 17. We discuss the group's consolidated liquidity and debt maturity profile. Total liabilities, excluding Banco BBC, as we have historically presented, amounted to BRL 39.6 billion, representing a 4% decrease compared to '24. Cash position remains very strong as has been our practice, totaling BRL 14 billion, which, when combined with other liquidity instruments and funding already secured, reaches approximately BRL 18 billion. Average maturity of net debt around 4 years. Short-term debt coverage stands at 2.6x, and alternatively, looking at the coverage of future amortizations, this extends to approximately 2028. Despite a highly volatile macroeconomic environment, we have continued to access funding under normal conditions. This is supported by our business model, which is anchored economy and remains resilient even in adverse scenarios as well as by our diversified customer base and revenue generation predominantly backed by long-term contracts. These factors, combined with capital allocation in assets with strong secondary markets have ensured continued access to financing even under more challenging conditions, whether in Brazil or globally. As clear evidence of this, in '25, we completed 53 issuances across the group, totaling BRL 11.2 billion with an average tenor of 4.3 years and average cost of CDI plus 1.9%. Even in the fourth quarter alone, there was a significant portion of this volume with BRL 4.6 billion raised of the total of BRL 11.2 billion of the year. So far this year, as of March, we have already completed 9 issuances totaling BRL 4.2 billion with an average cost in line with '25, CTI plus 1.9% a year with an average longer-tenor 5.1 years. Before moving on, I'd like to highlight that although we present consolidated net debt of BRL 39.6 billion, this debt is allocated into the different business units, each with a strong governance structure and shareholder base. That is events at [indiscernible] do not affect its subsidiaries. They are independent. And subsidiaries do not affect one another, particularly those that are publicly listed. This is very important for you not to just add up the numbers. While in part as a holding company reports consolidated covenants, these do not fully reflect the individual financial structures, obligations and governance of each business unit. So I would just like to highlight that to you. And with that, move on to Slide 18. On this slide, we focus on SIMPAR at the holding level. We reported net debt of BRL 2.7 billion at year-end '25, cash position of BRL 3.6 billion. This strong liquidity profile results in an average net debt maturity of more than 5 years, 5.5 years, and coverage of future amortizations through 2031. In '25, we'd also had debt repurchases of BRL 190 million face value across 3 SIMPAR issuances. Now I will go to the next slide, 19. Here, we would like to once again reinforce the predictability of our cash generation. We have segmented cash generation between operations backed by long-term contracts and those that are short term as detailed in the caption below what we considered in each 1 of this case. The important thing here is to highlight that of the BRL 4.2 billion in free cash flow after gross and before interest, 82% is generated by operations supported by long-term contracts. It is this, combined with our diversification across services, clients and sectors as well as our capital allocation into assets with strong residual value in a country where secondary markets are highly active that has ensured our continued access to capital across different economic environments. Moving on to the next slide. I would like to briefly address leverage. On Slide 20, we highlight that we have reached the lowest leverage level in the past 15 years based on net debt-to-EBITDA ratio that we report. We closed '25 at 3x net debt-to-EBITDA ratio compared to the prior year, reached 3.6x, so a reduction of 0.6x even. In a scenario with average interest rate of 14.56%, we're able to deliver the deleveraging, which was a key commitment and part of our strategic plan. This is now delivered the lowest level in 15 years. Looking at an alternative metric that is based on net debt to adjusted EBITDA ratio, we also saw a decline, reached 2x, a reduction of 0.3x compared to year-end '24. So this reinforces yet another commitment that we had made and was part of our plan. We always maintain a strong internal focus on return on invested capital. In this context, our productive return on invested capital closed 25 at 16.6% and representing a spread of 2.9 percentage points over the after-tax cost of gross debt for the year. Now I'm going to move on to Slide 22, where we bring to you the private capital increase announced earlier this March '26, with the support of B&T Spark. This transaction is aligned with our strategic plan and long-term execution priorities focusing on efficiency, sustainable development and the enhancement of logistics, mobility and infrastructure value chains, fostering innovation and contributing to the country's competitiveness. The capital increase may reach up to BRL 3.1 billion allocated across SIMPAR, Movida and Vamos. It is important to highlight that preemptive rights and the terms of the capital increase are fully equitable for all shareholders of SIMPAR, Movida and Vamos. In terms of allocation, just to give you more color, the maximum capital increase for SIMPAR is BRL 2 billion. of which a minimum BRL 1.4 billion is already secured. And for Movida and Vamos maximum amounts are BRL 750 million and BRL 600 million, respectively. In the case of JSL, [indiscernible] holds a call option to acquire up to 5% of the company's [indiscernible] within 30 days following the approval of SIMPAR's capital increase. With that, I will now turn the floor back to Fernando. Fernando?

Thank you, Denys. Page 33, we continue highlighting the opportunities we see to further extract value for the foundations we have already been built across our businesses. Before that, I'd like to take a moment building on Denys' comments on capital increase to express our satisfaction, pride and honor in having [indiscernible] choose to partner with us, not only a shareholder, but as a long-term partner. As Brazilian, this is something that truly makes us proud. The process involved a thorough diligence, deep technical expertise, including site visits, direct engagement with our teams, which ultimately led to the capital increase. While the capital increase itself is important, what matters even more to us is the endorsement, confidence and the price of having [indiscernible] with us. You're very welcome. Now turning to Page 23, and the continued value extraction from the foundations we have already built. I'll go through briefly, so that we can move on to the Q&A session. As we move into a phase of lower investment needs and greater operational maturity, all our companies have opportunities. Movida with an optimized fleet mix, differentiated position and scale that is it needs less investment while continue to grow revenue. Vamos, substantial opportunities, contract extensions through the SIMPAR [indiscernible] strategy. JSL, we continue to increase utilization of lease debt expense service provision to long-term clients, further improving operational efficiency. Automob has completed the entire transformation of network in new constructions and renovations. Now it has to extract value. When you talk about ongoing cost reduction is, this is our focus, our cost reduction program. it is ongoing and executed with a high level of efficiency across all our companies and with we see [indiscernible] to improve continually. I'd like to reinforce again that our company is celebrating 70 years this year. And we have never priced our services based on market pricing alone, we price our services based on cost discipline, governance and a fair return, ensuring efficiency while contributing to our clients. I often say that we need to remain strong and sustainable to continue serving our clients. Selling at lower prices just to match the market leads to short-lived relationships. So we do not control interest rates. We do not control the market, but we do control our companies and our people that lead each business and drive execution, allowing us to navigate any level of volatility, interest rates, demand, asset prices. We must navigate the concessions we are giving rather than complain about them. This is how we approach pricing and contribute to the sustainable long-term development of our company. Maximizing asset utilization is our responsibility. During periods of strong growth, this is not so efficient, but with moderate growth, greater focus on efficiency, we are extracting more value, improving asset turnover and execution. [indiscernible] Vamos, Movida, JSL with the focus on leasing. This is what is happening. However, we still have more efficiency to be captured. The full impact has not yet been reflected in the numbers. And when we talk about capital structure enhancement, we have multiple opportunities across SIMPAR and subsidiaries. Higher utilization rents in the rental car, asset sales that Vamos is carry inventory and we cannot sell assets cheap. They have to be sold at fair value, not a discounted process. And Vamos is being executing this very well. JSL has shifted its focus towards leasing always at [indiscernible] pricing levels. With us, it will have strong cash generation, lower leverage and greater efficiency. Automob has significant opportunities, particularly in reallocating assets from the agricultural segment and improving vehicle sales per store, both used and new as well as increasing utilization of used car stores. So the efficiency will translate into improved returns and results. That's it. These are some of our key commitments, our responsibilities to generate value in a sustainable long-term manner. This is what we have been doing, focusing on our business, we recycle capital as demonstrated in Ciclus [indiscernible], and we see many opportunities within our ecosystem to extract value through operational efficiency, fair pricing and cost discipline. More importantly, we continue to focus on customer loyalty. Our business is not just about price, it's about delivering the best cost benefit proposition to the industries that choose us and rely on our services. Thank you very much. I appreciate your participation. And now we open the floor for questions, so we can address any points you may have. Thank you very much, and we are here for you. Thank you.

[Operator Instructions] Our first question comes from Andre Ferreira from Bradesco BBI.

Congratulations on your results. I have 2, first is the deleverage process that is more clear now, especially with the divestment of Ciclus. What other moves do make sense for the group for you to continue deleveraging and decreasing the net debt at the holding level? And going back to the last slide, do you believe that amongst operational improving best for your return on invested capital would be increased utilization and decreased inventory levels? And do you see an opportunity to improve EBITDA margins at the subsidiaries?

Andre, this is Fernando. Andre, first, within our strategic plans set by the Board of Directors, deleveraging is part of what we have to do as everything we did before by leveraging the company and raising credit from financial institutions that trusted us. So we always build the company like this. This year, we are turning 70 years old. And we always did that. You have a period of construction, then extracting value and then deleveraging. So you did see deleverage by cash generation, improvement of our businesses and the divestment of cycles. And the divestment of Ciclus is part of the strategy. More than the sale, it's a lot of things together. First, it shows the level of our governance. 4 years ago, we went to market. This was a company that became -- belong to the family holding. And we told shareholders that we would follow their decisions, minority shareholders. They decided to acquire this asset from the family holding. We did that, continued to develop it, and now we had a return of more than 27% a year. An asset that was unlisted, but it was within CS [indiscernible] connected to. [indiscernible] So an example that shows return capacity of execution, and then deleveraging happens also by operational improvements. Operational improvements have to do with reducing inventory levels, lower maintenance costs. You were before a group where people are our greatest difference, quite modestly we are tireless. We always think we can do today better than yesterday. So from now on, you're going to see lower costs. We have the program for cost reduction, what we call PRC. We want to improve asset with turnover, improve maintenance costs, so all these improvements, we believe, will make you see for the future, and this is not guidance, improved cash generation and operating margins for the future. This is what I wanted to tell you. This is a trend. I think you asked something else that I did not answer. Denys ask any strategic move you see. We are paying attention to all the businesses that we have. We want to extract the best value. Can we have other movements? Yes. This is also part of our strategy. to mark, generate value and consolidate our operations. So we are always looking into opportunities, and we do truly believe in our assets and values that are not perceived in the business. Proof of this is Ciclus [indiscernible] that showed the amount of value it had. But again, the main focus is execution, gaining market share, extracting more value from what has been built and developing the business. Thank you very much, Andre, again, and thanks for joining us.

Our next question comes from Joao Ramiro from XP.

I would like to have some color on new projects. You did mention in the release that you were awarded 2 new concessions in the beginning of the port of '26, road of Amapa and the school infrastructure in Parana. Could you give us a bit of expected returns? And what could we expect from CS infra in '26? We are seeing a ramp-up of concessions that were awarded in '25 as CS Mobi last year. What could we expect from this company in terms of revenue, EBITDA for the end of '26?

This is Denys speaking. I'm just going to talk about expected return on projects, including those projects and then Fernando is going to talk about the business strategy. As we mentioned, and we say that again, we look into returning of perceived risks. So we are talking about return to shareholders about 20%, which can be higher depending on the risk, so this is 20% to 30%, considering the degree of uncertainty in executions. We have been executing things successfully as you saw in Ciclus that Fernando mentioned, but that remains. This is not something that is written in stone. You have to consider competitiveness of participants. But this is the parameter that we consider. And within the flow of this concession that we were awarded and Infra social structures, CapEx is modest for 3 years, and then it is more maintenance CapEx. This is the profile that we are seeking. So cash generation starts fast, and there is not too much of demand in terms of CapEx that can hurt the group. With that, I'll turn to Fernando.

Just to add to what Denys said. First, I want to make it clear that it's part of our strategy to diversify our concessions portfolio. This is our strategy. That is, we want to depend on all concessions, but not on a single market niche. And we believe that CS Infra models in environmental infrastructure, social infrastructure, they all have something common in these concessions. First, the main focus is services, not CapEx; two, revenues start coming fast. I'm not talking about CapEx for 5, 6 years; third and very important, all of them have secured receivables. And almost all of them, you almost have like a take-or-pay that is you have the school projects, but that depends only on the execution of services. And this is something that we can control. So these are the points in common that all concessions that we bid for half. And this is what Denys mentioned. We want long-term concessions, significant return and almost secured like revenues. This is the strategy for CS Infra.

Next question comes from Pedro Tineo from Itau BBA.

I would like to explore a bit of leverage, and you' got to close to 3x. You now have the SPA in the short term. We have relevant moves in the subsidiaries. We are seeing JSL focusing on asset light, Movida on reducing net debt, Vamos as well. When can we think -- where do you think leverage is going to? And does it open room for you to make other investments in new assets, focus on concessions? Does it make sense in the mid, long term?

Okay. Thanks for your question, first of all. We have been very vocal in talking about deleveraging the company to below 3x. That may not necessarily be linear because we know that monetization of assets do not happen immediately. But as Fernando mentioned, our focus is to extract value from set businesses. So first thing is that we continue to focus on continued deleveraging. Again, that's not necessarily being a linear movement. Now for the other points, I think Fernando did mention that -- I'm sorry, what's that? Yes. The focus is to grow on concessions. Okay. In infrastructure, with our history of execution, we are also looking into partnerships with other sources of capital given that our capacity to execute has been demonstrated despite all the projects that are already going on. So I don't think we are going to change our focus, but just continue with what has been built.

This is Fernando. Just to add to what Denys mentioned. Part of our strategy, as I mentioned, is what happened. We are very much honored in terms of governess to have been chosen by DMDS after a full due diligence process. Quite honestly, we did not think on this part because we are going to reduce leverage. That was not the objective. It was to have a party that can contribute to our strategic planning, but also to the sector because they know the sector so well. So we're very proud of having been chosen by [indiscernible] and also contributing to deleveraging. That was not the main point. It was our choice and again, in line with our strategic plans and the direction of our Board, we try to anticipate needs to generate value to our shareholders. And we believe [indiscernible] is great value. And also adding to what Denys has mentioned, we are not going to stop the developing of our companies to focus on concession. Concessions are businesses on theirselves. And as Denys mentioned, we believe that this is good business. We are going into very specific concessions and there are people that are already wanting to come with us, and we don't rule out the possibility of having partners in concessions. And in terms of CapEx to our subsidiaries, we are gaining market shares in our segments. The less CapEx is not because we don't want to invest, but there is no need. Vamos, even with the inventory, we can grow on our metrics, the same for Automob, Movida, improving operating indicators. This is what I'm saying. We are not not growing or not gaining market share because we reduced our investments. And one business will never hurt the other. This is how we see our ecosystem.

[Operator Instructions] Our next question comes from Andre [indiscernible] from Cash Economic.

This is not Andre, this is Tai speaking. My question is just for me to try and understand about BBC Bank. I'd like to understand the percentage of BBC's portfolio that is lent to the group. Just an approximate amount. And why a Basil index so close to the minimum required by the Central Bank?

This is Fernando. Let me try to answer your question first. The peso index is a choice of ours. We don't need to have a higher index because if we are generating funds, we are going to invest whenever we have the need. I don't believe that leaving the money without being used is not intelligent. This is optimization of our resources. Accelerating financing or not depends on us, but I think your question because our bank is strategic, it's part of the strategy to have the bank to understand what car financing is all like, but we were -- more than 95% of our cars are up to 4 years out with 30% to 40% down payment and a spread of 30%. We want to do a bit more than that, but about 15% of our portfolio, 85% will be cars up to 4 years. The portfolio now is BRL 2.2 billion approximately, and this is the strategy that we are going to increase capital as needed. And today, 60% of cash generation comes from outside the group but with the same focus, cars used with this profile with the size spread. This has been the focus of the group. Denys?

No, nothing to add. This is the plan of the bank being executed to the latter. And the highlight is that delinquency rates for the bank is slightly lower than the average reported by the Central Bank, which shows the quality of our credit concessions.

We'll now start the questions that came in writing. You may go on.

The first question comes from Jonathan [indiscernible]. Is there a possibility of the increase of capital of [indiscernible] not to happen? How about Movida? So the answer is no. The capital increase for CMPA is 100% secured. -- and for Movida and vemos that will depend on market conditions and other participants. But it is anchored at 75% with SIMPAR and BNDESPAR, both for Movida and Vamos. And what [indiscernible] mentioned, the bank finances customers of the group and outside the group, but not companies of the group. This is something that is very important. And the final question that we have comes from Nicolas. He talks again about deleveraging. And he would like an update on the process and time line to achieve the goal in terms of reduced debt at simple holding level to 0. I think that we answered that in the answer to Itau. We continue with our strategic plans. We are now deleveraging the companies. As we have built the foundations, we are going to continue that. Fernando did mention that we are seeking operational efficiency. In terms of time line to get to the holding level to 0, we do not give you guidance, but this is the focus. It was part of our plan to develop all the companies from the IPO to here, we multiply the company's revenue by 50x. So now after we had the social reorganization in 2020. We are working on the company's net debt. The focus is to reduce it, and we are going to continue that, but I cannot give you a hard date. I don't know if Fernando would like to add anything. If not, I don't know if we have any more questions.

Our next question comes from Afourer from [indiscernible] Asset.

Congratulations on your results. My question is a follow-up on [indiscernible] comment on the partnership with BNDESPAR. What kind of synergies have you mapped that the partner can bring, cost of debt? Anything that you could share, we would highly appreciate.

[indiscernible], I do not see a synergy in itself. What I can say is that BNDESPAR has a structure that we have always admired. We have been always very close to them. So we have always admired their governance, how they contribute to their to their work they work with agribusiness, pulp and paper, so many things. In the last 8 to 10 months, we have been able to learn how the due diligence processes happens and et cetera. So I think that to us, it is an honor, and it is a seal of guarantee a seal to our governance, to our business model. And more than that, we are having that without having changing anything in terms of governance management. They are the ones that are just to refer member to our Board, and we do believe they are going to help us with our strategic plans, but the management continues as is. and by the opposite. And I believe this is what they want to invest in the quality of our management, not to change our governance. So this is what I have to say. Now what do I believe you to give you a bit more color of the answer. They are going to be close to the largest logistics company with the largest portfolio of logistics services, intralogistics, truck drivers, other operations. So they are going to be able to have a good vision on the sector. And with that, it can be contributed to the analysis of the sector throughout the whole of Brazil, like Vamos. Vamos is leasing services that replace financing, contributes to fleet renewal, to the monetization of the Brazilian road system and to the industry as a whole. Because when the industry does not have to invest in assets, but rather in their core business, they develop better. And BNDESPAR is going to be closer to these operations, closer to the real economy. And I think this can help the sector as a whole. This is not, of course, the objective, but I think this is the consequence of working together with BNDESPAR. I think that this partnership will contribute to the whole. Movida contributes, for instance, to fleet renewal in Brazil and access to leisure and to business for people. So these kinds of things that having been BNDESPAR close to us will really contribute to the whole of our ecosystem and the Brazilian economy. This is what I believe in. And certainly, they will contribute to us.

And I also see -- this is Denis speaking, a huge alignment in terms of investments, having a clearly defined controller with long-term views, and as Fernando mentioned, this will bring greater productivity to all our customers. And so if you think that in a private company, you're able to build a holding company in 8 subsidiaries, 5 IPOs, different investment alternatives for people to allocate their funds at the holding level or individually, now having an investment partner in the company's structure is fantastic to be close to so many opportunities that the group created and will continue to create. And I'm sure that BNDESPAR will support us whenever needed. So I think this is an alignment that is very interesting if you think of a long-term view for the businesses as a whole.

SIMPAR's Q&A session is now closed. We are going to turn now to Fernando Simoes for the company's final remarks.

Once again, I'd like to thank you all for joining us and to tell you that we are very happy with everything that we accomplished. But our greatest happiness is to know that we still have so much more to do. And quite humbly, I'm not creating any guidance, but very briefly, we are going to tell you all our expectations in terms of businesses. And again, without creating any guidance, I would like to tell you, you look at our business and many people say, where can you do more and better. Well, you are before a company with an ecosystem that has the right people. This is what we believe in. We can always improve what we do. And now when we talk about our businesses, Automob just started systems integration. We have so much more, sales per location, more revenues in after sales, integration is just now we renovated more than 92 stores either constructed or renovated. So this is going to happen along '26, and value extraction, we believe, will come in full in '27, again, without guidance, but Automob did give guidance for 2027. JSL, take a look at JSL's numbers, cash generation and the creation of Intralock that was inside JSL. 100% intralogistics, no equipment that is being established with close BRL 500 million in EBITDA, and it was inside JSL. So it is part of our plan for JSL to be a company in the U.S. And you know very well, you have operational leasing. Here, we don't. But it is through leasing that JSL can be an asset-light company. This is in line with our plans to also creating value. So a moment of huge opportunities. A company consolidated JSL to generate new businesses. When we talk about Movida, and again, Movida has contributed, and I always say that to transform the sector, bringing more clients to the business with our DNA of services, our intelligence to manage assets and our relationship with OEMs. This was the construction of Movida. But now there are several of our metrics, if not all of them, that are the best in the market. We still think we have so much more to do. We can have less cost. We can use our fleet better. We have pricing intelligence and better turnover of assets. And Movida is working on that so that we can extract more value and the market is huge for everyone. And at Movida, we have 600 new clients, new taxpayers just in 2025. That shows how Movida has been able to attract new customers through its services and not only attract new customers, but retaining them. Vamos, and we always say that we have more than BRL 1.5 billion in inventories, so on opportunities to reduce inventory levels and more important than that, that I would like to highlight. And we said that since the beginning of 5-year loan contracts can be extended. And more than 50% of contracts maturing have been extended for more than 20 months with the same assets and price adjustments. In addition, there are several same SIMPAR's assets that were returned before time that are being leased for 2, 3 years. This is going to be a recurring business from now on, which shows less need for CapEx. So that's it. CS Infra, I mentioned in more details, but again, to highlight the capacity of our people. The 212 and 218 are fully operational with equipment, cranes, state-of-the-art technology and starting operations with great productivity and a high demand of contracts. BBC, we talked about its focus. We are very happy with the BNDESPAR. And in line with our plans, the divestment of Ciclus Hills was part of our strategy to create value and to show the market the quality of our assets that are in SIMPAR. Sometimes that are not listed and people cannot see. I talked about the listed companies opportunities and listed businesses can generate new businesses and can also create value to the group as a whole. That's it. We believe that the way we are operating our ecosystem, we are extracting value, but we still have a lot more to extract. This is what I had to share with you. On behalf of Danis, Victor, we would like to thank the IR team. We are presenting the numbers, but it's them that make the material and also our employees that are our stores operations making things happen. So we think the more than 260 participants that joined us today. Thank you very much for your trust and for your contributions on the day today asking questions and make us reflect on the business. Thank you very much. Have a very good week, everyone. Thank you.

SIMPAR's conference call is now closed. We thank you very much for joining us and wish you a good day.