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Good morning one and all, and welcome to EZTEC's presentation for the first Q of 2022. [Operator Instructions] You may find that link and ID, as well as the slides for this presentation at our website ir.eztec.com.br.
Before we start, we'd like to mention that any statements during this call pertaining to EZTEC's business projections, operational and financial targets are based on management beliefs and premises as well as on currently available information. Future considerations do not constitute an assurance of performance. They involve risks, uncertainties and premises. Investors may take into account that general economic conditions, industry and operational circumstances may ultimately affect EZTEC's future performance. They may cause the company's results to differ materially from those expressed in those forward statements.
I would like to introduce myself. I am Pedro Tedeu, Investor Relations Coordinator. And here with me, I have Emilio Fugazza, our CFO and IR Officer of EZTEC. Let's start going to the Slide #3, when we talk about the launches of the first quarter of 2022. The total amount of ESG that we launched was exposed in the screen. So we close to BRL 500 million and that's because we launched 2 main -- 2 big project that is Exalt and Expression, both of them located in Vila Clementino neighbor and they are very well sold.
The first one Exalt that you can see in the left of the screen is already 42% sold. And in the other hand, Expression is 51% sold. Almost both of them, they were launched in February -- at February. Along with those launches, we acquire a safe acquisition of Villa Nova Fazendinha. That is a low end kind of product that we are bounded [indiscernible] with BP 8 casual partner from EZTEC that we have other previous launches that we have made together.
Moving to the Slide #4, then we'll be able to see our operational performance. We started in the last one. We can see a chart that is pointing our launches and sales and how those launches are being performed. As you can see, we will be able to launch a sale BRL 186 million from our launches of 2022. And the majority of our main [indiscernible] here are attached for those launches that we have made in 2021 that you can see where we are only BRL 442 million sold. That's why you will -- you have been able to see in our release from 2021 reprimand in our inventory and we're going to talk then further in this presentation.
Gross sales for this quarter ended at BRL 351 million. And I would like to highlight the performance of our rent unit sales of units that are performing because they increased significantly when compared to the amount that we had set on the fourth quarter of 2021.
Still on the right part of the slide, we're able to show cancellations. And it's easy to see that our cancellations are now at BRL 480 million, and it sounds that incremented significantly when we compare to the BRL 33 million that in average present in our previous year. But despite these increments, I would like to highlight that the majority of these cancellations are indeed downgrades or separations of units for large units or smaller units or other projects inside the company. So that's why those FX directly. Our financial results affected for this BRL 48 million in that cancellation. So there is a result net sales that we reached a BRL 303 million in this first quarter.
Moving to the next slide, I would like to present you our next and future launches. Those 3 launches that you can see in the screen are those launches that we are indeed able to see a feasibility to launch in the next months of this year. So to begin, we will start to Unique Green - Tourmaline place. This is the second part of the first phase that we launched in the last quarter of 2021.
Then moving to Hub Brooklin and Houte Brooklin, you can see that they are in the same land bank, let's call it [indiscernible]. So there will be at the same as see -- in the same -- they are the same launched. The same effect that they see in our house in expression loans that have maybe the first part of this year. Those are towers of smart living standard units and high-end units that are 100% EZTEC and which you can see with our next launches. We are aiming to achieve something close to BRL 800 million in terms of future PSV.
Going forward to Slide #6, I would like to show you the composition of the landbank of the company. We don't make any huge acquire -- we do not acquire any huge land during this quarter. The variation that you can see coming from BRL 11 billion -- to almost BRL 11 billion in the first quarter is mainly attributed by the launch that we have made in changes in products in our landbank.
With this almost BRL 1 billion, we have some products that are already with deals and contracts, sign a good cancellation causes, and we put all this together which almost is BRL 13.5 million in landbank ready for the company. This landbank in the bottom in the last you'll able to -- in the last you'll be able to see how it's being distributed across the standards inside the company. BRL 7.2 billion is a [indiscernible] for products in standards that you are bounded with EZTEC label, 2.7 attaches Fit Casa, our low and economic brands and 3.6 attached to EX Inc, our commercial bank for the company. This land is well located and spread across Sao Paulo City, but it is mainly focused in the South Zone of Sao Paulo.
Moving to the Slide #7, then you'll be able to see the composition and variation this side of inventory map. You'll be able to see that now we carry BRL 2.4 million. But at the beginning, I would like to draw your attention to the chart that is in the corner at your right, inventory evolution, then you would be able to see that we reported BRL 2.8 billion in the fourth quarter '21. And now with the launches that increment these amounts and the sales that we have done, the cancellation. And here is the thing that I would like to point to you that this suspension of the sales from our previous product EZ Infinity. The EZ Infinity is that high-end tower that we launched in the last year in Bayes neighbor. And now we suspended those units from our inventory. And then further maybe this year or the next year, we would be re-launching or repositioning those sales again to be able to be pushed for our clients.
So we'll be able to see that it is changing and made our BRL 2.8 million now arriving at BRL 2.4 billion in this first quarter. These BRL 2.4 billion, you can see in inventory red suspension and this is why it is well distributed. The majority of it is in the south Sao Paulo. This is a very huge and attractive part of Sao Paulo neighbor and only 15% of these unit -- of these inventory is attached to residential ready units. You can see in this chart above and below it is that the residential unit is only 579 of it is ready in terms of residential units that we carry in our inventory.
Now I would like to pass to Mr. Emilio Fugazza. Then we'll able to talk more about the financial performance of the company.
Thank you very much, Pedro. Financial performance is Slide #8, net revenues that's -- let's start with the information that we got, BRL 287 million in first Q 2022, an increment of 63% over 4Q 2021, mainly because much more completion of construction this quarter, something around 25% more compared to the previous quarters.
Apart from this fact, here is an information on the launches and a very good performance of Exalt and Expression [indiscernible] southern of Sao Paulo. We have already recognized this project in our results in this first Q. That's important. Apart from the fact, let me just remind you that all the facts mentioned by Pedro regarding the sanction of sales of Infinity are fully impacted this first Q results. So talking about gross profit, these were soft now because of implementing net revenues was BRL 113 million compared to the gross margin of 39.3%.
There was an oscillation about the gross margin dropping from 44% in the fourth -- in the last 4Q mainly because we got in this result, the cancellation of the core units sold of WZ Infinity. And much more than that the incremental cost above the [indiscernible] regularly in the last 6 quarters. It's important to bear in mind that if I were talking about an average increment over [indiscernible], it would be something around 50% in the less 6 quarters or 18 months.
And so apart from the fact that the company is trying to protect itself by buying materials, buying equipment in advance upon the use of those in our construction in order to keep the budgets under control. But regularly increasing above [indiscernible] is the kind of thing that is a huge effort to manage and to keep the margins in a very healthy and steady level.
Talking about selling and G&A expenses, as you can see, more net revenue means that the dilution of those over net revenues are through this quarter. So 4% over gross sales in terms of selling expenses, meaning that the volume of expenses are pretty much the same compared to the average full quarters of the last year and also for G&A expenses, BRL 29 million, is pretty much the same we have been carrying in those quarters. Only to bear in mind if you go deeply in our release, you're going to see all the expenses related to pay growth, you're going to see an incremental less than the IPCA, the regular index, to provide incremental salaries here in Brazil.
Talking about, again, financial performance and financial results on Slide #9. I would like to start talking about those BRL 41 million of financial results, which means that 2/3 of these amounts is regarding the provided by our receivables that we are financing to our clients. So this actually has its business model. The idea of us providing finance [indiscernible] over 20 years, charging something around 10% to 12%. Plus IGP plus IPCA, which are regular indexes for inflation during this year.
In the last 2 months, we started the campaign in order to try to attract new clients to be or to hold in our portfolio, and we have attracted so far 50 clients offering something around 8% to 10% plus IGP and plus IPCA. 1/3 of these financial results is provided by the increment of the base interest rate as is that carrying something around BRL 800 million of cash. This is majority rate compensated by 100% of the base interest rate, meaning that we had an increment of 12.75% yield as we have been even now impact loss providing more than 100 [indiscernible] in a full year of financial results regarding our cash position.
Equity income on top right, you can see the projects that we are providing. We are doing the construction or we are launching products in partnerships. One very interesting example with the project [indiscernible] under construction industry [indiscernible] region of Sao Paulo is approximately over BRL 700 million of our units and the projects going forward in the right schedule, in the right budget, in the right quality, and this is one example.
And another example is [indiscernible] project over 1,400 units to be delivered by the end of this year, first phase by the end of this year on the right schedule, on the right budget that's important to mention. And third project is [indiscernible], a high-end project in the South of Sao Paulo [indiscernible] neighborhoods, all in all, providing BRL 21 million of results coming from equity income from these projects.
Finally, net income. Net income is about BRL 105 million, an increment of more than 30% for our net margin of 36%. Let me remind you that regarding financial results and equity income, we can offset the SG&A expenses for the company, providing a net margin, very close to the growth margin for this company. And let me mention, after all the results to be reorganized BRL 228 million for a backlog margin of 40%. 40% is a proxy of the backlog for EZTEC. Let me remind you that this drop of 2% from the fourth quarter or 5% from the first Q 2021 is mainly the impact of these adjustments in cost or these adjustments -- this regularly adjustments of cost coming over the [indiscernible] quarterly-over-quarterly.
Page #10, portfolio of the receivables provided by -- which EZTEC provide the financing to our clients. We ended the first quarter pretty much the same of -- we started at [indiscernible] BRL 382 million. Let me make sure that this means that we are providing finances to a little bit more than 1,000 people. For this quarter, the origination was something around 20 new contracts and the foreclosure was something about 11 units. The whole year of 2021 was 40 units over -- of foreclosure, which means that we are pretty much in the same pack of the last year despite the fact that the IGP increased much more than 50% -- we were at the 15% last year, meaning that the whole amount of the receivables only in the full year of 2021 increases by something around 25% and only in the first quarter 2022, something around 5%.
So going to Slide #11. Slide #11 is the big picture of the shareholders equity [indiscernible], which means that the total amount we got up to 2021 was BRL 4.3 billion, and the result of the first quarter was at an order of [indiscernible], all in all, very close to BRL 4.5 billion.
The breakdown is, you can see on the right side, the right side means that the asset of our company is mainly cash, cash means that the cash and equivalent and the finished units receivables, only it's about BRL 1.3 billion, pretty much 1/3 of the total amount of shareholders equity of this company. Landbank, when Pedro mentioned that the landbank of this company is about BRL 11 billion, the cost booking in our shareholder equity is about BRL 1.2 billion or BRL 1.1 billion, something around 26% of our equity. And let me remind you that this on average, the amount of landbank we bought. We bought between 2015, 2019, even 2020.
So taking in consideration all inflation regard here in Brazil in the last 24 months, it's important to remind that the cost -- the value, I'm sorry, the value of this landbank is following to the inflation here in Brazil. So all the -- so, which mean that we can take from this landbank above 50% of value over the cost, all of the costs we have already paid for it. Units ready to live in meaning BRL 255 million, which means that the total amount of potential sales value, something around BRL 500 million meaning that the gross margin provided by this line is about 50%.
And finally, inventory under construction means that even Esther Towers is within this number. So something around BRL 400 million to BRL 500 million we have already spent for Esther Towers. Esther Towers is the [indiscernible] project of over 88,000 square meters of leasable area is a project under construction that we are doing in order to ramp and send it with [indiscernible] this country and is the kind of asset that we are doing for a whole cost of around BRL 9,000 to BRL 10,000 per square meter expected to be sold for over BRL 20,000 per square meter which means gross margin of pretty much 50%.
All in, let me reminder you that the equity per share is about BRL 20 per share because we have already bought 6 million shares of this company. So, meaning that when you see demand to cap up this company, which is about BRL 16 per share, we are discounted by 20% at least the value of this company is 0.8% or 80% of the shareholders' equity or [indiscernible].
Finally, talking about subsequent events, all of those 3 events are very important to our company and very good decisions for our shareholders. First of all, interim dividends, which means that all of the dividends regarding the 2021 results, we have already paid by the end of March, by the end of the first quarter 2021. And the Board of Directors took the decision this year of paying the dividends like using the same matrix of the obliged dividends. Every single quarter we provide divide results. This quarter, the first quarter 2022, we got something around BRL 105 million of net income, which means that we're going to pay pretty much 25% of this, meaning pretty much BRL 25 million, BRL 0.11 per share. The payment date is going to be 5th of May -- sorry, by the end of May. And then the company shares would be traded [indiscernible] to the events of including 18th of May [indiscernible].
Secondly, the share buyback program. So far, we bought 6 million of shares, and the Board of Directors yesterday has approved the cancellation, the cancellation of those 6 million shares mean that we are making room to buy another 9.5 million shares in this [ tall ] program of this new phase, which means to expand something around the current price, pretty much BRL 150 million of the cash, of EZTEC's cash in order to add value to our shareholders. We are going to start now.
Finally, debentures. We took the decision to raise money through debentures through this task -- the fourth emission of this task, which means BRL 300 million. In order to protect ourselves, protect the company from this, I would say, upward environment we have been passing through. So this administration has never passed to a moment that there is a pandemic with COVID, the effects after the pandemic, there is a war and the effect of the war, there is a huge inflation, an inflation where the IPCA is about 10%, the [indiscernible] over 10%. The IGP is over 15% and the base interest rate in Brazil is coming to very close to 30%. So we don't know for sure what's going to happen. We don't know for sure what's coming and that's why we took the decision to, I'd say, increase liquidity for our company, given the fact that this company is a company that is staying all in case, staying all in advance, we are doing our share buyback program. We are paying interim dividends.
So doing all of this in order to bring back to our shareholders a very good results means that we have to put ourselves in a position -- in a position that if something wrong happens or a good opportunity happens, we have cash enough to take this advantage or to avoid any kind of a struggle for this administration.
So saying this -- saying that, I would like to open for further questions to our shareholders. Thank you very much guys.
Thank you, Emilio. Now we will open the Q&A session. For those who wish to manifest itself, we request that you use the functionality raise hand. As long as times allows, we will also answer the question that arrive via share. If it's not possible to answer them within the time allocated, we will request that you, for the forward questions, send by e-mail for our contact at eztec.ir. So for those who want to now ask, please let us know.
Since there isn't any raising hands appearing for us, I would like to close this conference call. And thank you all for your time. I appreciate to be here with us in this operational results for the first quarter 2022. Thank you all. Have a nice day. Have a nice weekend.