Link: https://links.sgx.com/1.0.0/corporate-announcements/6SWB4R67B0ET3KT2/2119f2b022e700080336f0ddd2ea19efd95e287ff6e4fc9777ad82f3eb5e3407

Summary:

• Company posted a loss of BRL 842.3 million for the six months ended June 30, 2025, compared to a profit of BRL 191.1 million in the prior year period.

• Current liabilities exceeded current assets by BRL 9.44 billion as of June 30, 2025, highlighting financial stress and uncertainty over going concern status.

• Primary causes: rising interest rates, penalties on defaulted debt, reduced monetary gains from Argentina segment, and reclassification of senior notes and debentures as current liabilities after defaults.

• Judicial reorganization plan approved in October 2025 by over 99% of creditors, but effectiveness awaits court ratification and further conditions.

• Company expects cost containment and gradual gross margin recovery through 2025, with ongoing operational restructuring.

• Disinvested Mozambique and South Africa business segments in 2024; proceeds used for debt and operational stability.

• Net sales were BRL 3.13 billion; gross profit reached BRL 639.5 million for the period.

• Cash and cash equivalents increased slightly to BRL 1.89 billion; net cash from operating activities was BRL 126.2 million.