Camil Alimentos SA (BOVESPA:CAML3) presented its third-quarter 2025 results on January 14, 2026, revealing a complex financial picture characterized by declining revenue but substantially improved profitability. The company's stock responded positively to the results, rising 0.85% to close at R$5.89, approaching its 52-week high of R$6.05.
The Brazilian food producer, known for its diverse portfolio of brands across rice, beans, pasta, coffee, and canned fish categories, demonstrated resilience in a challenging market environment by focusing on operational efficiency and strategic segment growth.
Quarterly Performance Highlights
Camil reported net revenue of R$2.9 billion for Q3 2025, representing a 5.1% year-over-year decline and a 1.2% sequential drop from the previous quarter. Despite this top-line pressure, the company achieved impressive growth in other key metrics.
EBITDA surged 39.4% year-over-year to R$238.8 million, while EBITDA margin expanded significantly to 8.1%, an increase of 2.6 percentage points compared to the same period last year. Total sales volume reached 616,000 tons, growing 14.0% year-over-year despite a 2.9% sequential decline.
Segment Analysis
Camil's performance varied significantly across its three main segments, revealing the company's evolving business mix.
The Brazil High Turnover segment, which includes traditional rice, beans, and sugar products, experienced volume declines of 8.2% year-over-year and 11.8% quarter-over-quarter. Net prices in this segment fell 18.9% year-over-year to R$3.45/kg, reflecting significant decreases in raw material costs, particularly rice (-49.6% YoY) and sugar (-25.9% YoY).
In contrast, the Brazil High Growth segment demonstrated remarkable momentum with volume increases of 22.7% year-over-year and 23.6% quarter-over-quarter. This segment, which includes pasta, cookies, coffee, and canned fish, saw net prices rise 30.7% year-over-year to R$16.52/kg, despite declining wheat costs (-13.4% YoY).
The International segment, covering operations in Uruguay, Chile, Peru, and Ecuador, posted the strongest volume growth at 59.4% year-over-year and 5.3% quarter-over-quarter, reaching 249,400 tons. Net prices in this segment decreased 39.7% year-over-year to R$3.51/kg. The company also completed its acquisition of Villa Oliva in Paraguay as of September 1, further expanding its regional footprint.
Financial Performance
Camil's financial results show substantial margin improvement despite revenue challenges. Gross profit increased 25.3% year-over-year to R$669.2 million, with gross margin expanding from 17.2% to 22.7%. This improvement reflects the company's successful focus on higher-margin products and operational efficiency.
Cost of goods sold (COGS) decreased 11.4% year-over-year, outpacing the revenue decline and contributing significantly to margin expansion. However, SG&A expenses increased as a percentage of revenue, rising 2.9 percentage points year-over-year to 17.3% of net revenue.
The year-over-year financial comparison highlights the company's improved profitability metrics:
Sequential quarterly performance showed more modest changes, with net revenue declining 1.2%, gross profit decreasing 0.7%, and EBITDA falling 4.7% compared to Q2 2025. Net profit experienced a more significant 44% sequential decline.
Debt and Capital Allocation
Camil's total debt increased to R$6.37 billion in Q3 2025, representing a 7.5% increase year-over-year and an 18.6% rise quarter-over-quarter. Working capital decreased year-over-year but increased slightly from the previous quarter to R$2.95 billion.
Capital expenditures reached R$95 million in the quarter, primarily directed toward the new grain plant in Cambaí (RS) and a new thermal power plant. The company maintains a Moody's National rating of BrAA+ with a stable outlook, reflecting its solid financial position despite increased leverage.
Forward Outlook
Camil's Q3 results demonstrate the effectiveness of its strategy to focus on higher-margin products and international expansion while managing traditional segment challenges. The company's ability to grow EBITDA significantly despite revenue pressure highlights its operational discipline and strategic shift toward value-added categories.
The completion of the Villa Oliva acquisition in Paraguay further strengthens Camil's regional presence and aligns with its international growth strategy. The strong performance in the High Growth segment, particularly in coffee and canned fish, provides momentum for continued margin improvement.
While revenue challenges persist, particularly in the traditional rice and beans segment, declining raw material costs provide an opportunity for margin stabilization. The company's continued investment in manufacturing capacity through its capital expenditure program positions it for future growth.
Looking forward, investors will be watching whether Camil can maintain its margin improvements while returning to top-line growth, particularly as it continues to integrate acquisitions and expand its presence in high-value categories across South America.