Plano & Plano Profit Falls 30% to 54 Million Brazilian Reais, Missing Consensus
Key Facts
Plano & Plano posted net profit attributable to shareholders of about 54 million Brazilian reais in the third quarter of 2026, down 30% year over year and up 3% from the previous quarter. XP Investimentos said in a report on the results that profit was 23% below its estimate and 26% below analysts’ consensus. The report was published on November 11 and updated on November 12, the day Investing.com published its story about the company. The stock’s movement in the November 12 session could not be verified. The earnings gap puts the result at the center of coverage, without by itself establishing a price reaction in that session.
Net revenue was 873 million Brazilian reais, up 7% year over year but down 5% from the previous quarter. Revenue was 6% below XP’s estimate and 5% below analysts’ consensus. XP attributed the quarterly decline to lower net sales during the quarter, affected by increased contract cancellations. By contrast, it said progress on projects launched earlier supported annual revenue growth. The comparison shows that year-over-year revenue growth did not prevent a decline from the previous quarter or a miss against expectations.
Adjusted gross margin was 30.2%, up 0.5 percentage points from the previous quarter but 0.9 percentage points below its level a year earlier. The margin was also 0.6 percentage points below XP’s estimate. The company said updated construction costs weighed on adjusted gross margin in the third quarter. Adjusted earnings before interest, taxes, depreciation and amortization reached 127 million Brazilian reais, down 2% year over year and 1% quarter over quarter. The metric came in 11% below XP’s estimate, extending the shortfall in operating results against expectations.
Operating data published on October 14 showed contract cancellations of 260.4 million Brazilian reais, equivalent to 25.1% of gross sales in the quarter. XP said the increase was affected by seasonality tied to customers with informal income who had not secured financing approval after the tax filing period. This group’s share of gross sales rose to 21.5% in 2025/2026, compared with 8.1% in 2022/2023. Net sales calculated using the company’s share totaled 722.4 million Brazilian reais, down 22.3% year over year and 12.8% quarter over quarter. The sales-to-supply ratio for the twelve months ended in the quarter was 48.6%.
Despite the decline in net sales, the company launched 5 new projects comprising 3.819 units during the quarter. The potential sales value of these projects was 1.0699 billion Brazilian reais, up 29.5% from the previous quarter. On liquidity, operating cash burn was 115 million Brazilian reais. After distributing 100 million Brazilian reais in dividends, net debt rose to 378 million reais, compared with 163 million in the second quarter. The company attributed part of the cash burn to delayed receipts from Caixa and the “Pode Entrar” program.
XP said pressure from “Pode Entrar” projects and contract cancellations could ease, as the program becomes less important to revenue recognition and cancellations return to normal levels. It added: “We expect better results from Plano & Plano.” The brokerage linked this outlook to the program’s smaller contribution to revenue and the return of contract cancellations to normal levels. XP also maintained its buy recommendation on the stock. These forecasts and the recommendation are attributed to XP; its report was dated November 11 and updated on November 12.