Ultrapar Participações S.A. (NYSE:UGP) Q3 2024 Earnings Call November 14, 2024 9:00 AM ET

Company Participants

Rodrigo Pizzinatto - Chief Financial and Investor Relations Officer
Marcos Lutz - Chief Executive Officer
Tabajara Bertelli - Chief Executive Officer, Ultragaz
Decio Amaral - Chief Executive Officer, Ultracargo
Leonardo Linden - Chief Executive Officer, Ipiranga

Conference Call Participants

Monique Greco - Itaú BBA
Pedro Gama - Citi
Matheus Enfeldt - UBS
Pedro Soares - BTG
Eduardo Muniz - Santander
Leonardo Marcondes - Bank of America
Bruno Montanari - Morgan Stanley

Operator

Welcome to Ultrapar’s Third Quarter ‘24 Results Conference Call. There is also a simultaneous webcast that may be accessed through Ultrapar’s website at ri.ultra.com.br. and through MZiQ platform. The presentation will be conducted by Mr. Rodrigo Pizzinatto, Ultrapar’s Chief Financial and Investor Relations Officer. And in the Q&A session, we will have the presence of Mr. Marcos Lutz, Ultrapar’s CEO; and the CEOs of the businesses, Mr. Tabajara Bertelli; Mr. Decio Amaral; and Mr. Leonardo Linden. We would like to inform you that this event is being recorded. [Operator Instructions] A replay of this call will be available immediately after it for 7 days.

Before proceeding, I would like to state that forward-looking statements are being made under the safe harbor of the Securities Litigation Reform Act of 1996. Forward-looking statements are based on the beliefs and assumptions of Ultrapar management and all information currently available to the company. They involve risks, uncertainties and assumptions because they relate to future events and therefore, depend on circumstances that may or may not occur in the future. Investors should understand that general economic conditions, industry conditions and other operating factors could also affect the future results of Ultrapar and could cause results to differ materially from those expressed in such forward-looking statements.

Now I would like to turn the conference over to Mr. Rodrigo Pizzinatto who will start our conference. Mr. Pizzinatto, you may begin.

Rodrigo Pizzinatto

Good morning, everyone. It is a pleasure to be here once more to talk about Ultrapar’s results. And before I begin, I want to remind you of the reporting criteria and standards presented in Slide 2.

And now moving on to Slide #3. As you can see in the chart in the top left side, our recurring EBITDA totaled BRL1.506 billion in the third quarter of ‘24, 24% lower than that of the third quarter of ‘23, mainly due to Ipiranga’s lower EBITDA year-over-year. As you can also see that the accumulated EBITDA for ‘24 is BRL4.93 billion, 4% higher than that of the previous period. Ultrapar’s net income was BRL698 million, 22% lower year-over-year due to the lower EBITDA I’ve just mentioned, partially offset by the lower net financial expenses. The net income year-to-date is BRL1.645 billion, 17% higher than the previous period. I want to highlight that the share of profit of Hidrovias was recorded with a 2-month delay, contributed positively with BRL9 million in the third quarter of ‘24.