Brazil’s latest results day offered a compact snapshot of how different sectors are navigating a high-rate, slow-growth economy.
A bank (Banco BMG), an education group (Yduqs), and a São Paulo developer (Eztec) each posted solid—if uneven—quarters. The real takeaway: profitability now hinges less on chasing volume and more on mix, discipline, and cash returns.
Banco BMG — Retail bank focused on payroll and personal credit
Banco BMG’s recurring profit rose 27% to R$148 million ($27 million) as return on average equity climbed to 16.6% and 90-day delinquency eased to 3.9% from 4.7% a year earlier.
Behind the headline, BMG is deliberately a smaller bank for now: the credit book shrank to R$23.5 billion ($4.35 billion) from R$25.2 billion ($4.67 billion) last year, tilting toward payroll-deducted and personal loans with better recurrence and spreads.
Net interest income after credit costs increased to R$881 million ($163 million), helped by cleaner assets, while the Basel ratio of 13.1% remains comfortable.
The story behind the story is about sequencing: first fix risk and spreads, then re-accelerate growth. If funding costs stay sticky and the consumer heals slowly, BMG’s “profitability over volume” stance is rational—and replicable for other mid-tier lenders.
Yduqs — University operator with on-campus rebound, digital plateau
Yduqs’ net income fell 35.5% to R$98 million ($18 million) even as adjusted EBITDA rose 5.8% to R$508 million ($94 million) on revenue up 3.5% to R$1.35 billion ($250 million).
The student base reached 1.38 million: on-campus enrollment grew 13.4% to 305,200, while digital was essentially flat at 1.05 million.
Net debt ended September at R$4.345 billion ($805 million), with leverage at 1.52x and no maturities in 2025; the average borrowing cost sits near CDI+1.07%.
The underlying narrative is a pivot back to face-to-face learning, which supports pricing and brand but carries near-term cost and capex needs while digital demand normalizes.
Margin repair is underway, yet earnings will track execution on intake cycles, course mix, and the pace of any fee adjustments against household budgets.
Eztec — High-end homebuilder emphasizing margins and cash returns
Eztec posted net profit of R$183.4 million ($34 million), its best quarter in eight years, as gross margin widened to 44.7% despite a 2% revenue dip to R$469.3 million ($87 million).
Launches were selective at R$475 million ($88 million) in PSV, down 31.6% year on year, signaling discipline on new inventory.
Crucially, the board approved R$220 million ($41 million) in dividends, split between roughly R$87.1 million ($16 million) on November 28 and R$132.9 million ($25 million) on December 17.
The deeper message: in a slower cycle with volatile input costs, execution—construction efficiencies and sales velocity—matters more than headline launch growth. Eztec is converting operational gains into shareholder cash while preserving dry powder for better-priced land and future releases.
Across the three, a common thread emerges: quality of growth is beating quantity. Banks that clean up risk, educators that rebalance formats, and developers that protect margins are better placed to compound returns when Brazil’s rate backdrop finally eases.