The tourism group CVC Brasil said this Tuesday (8) that it had a net loss of R$75 million in the third quarter, reducing a negative result of about R$84 million recorded in the same period of 2021.
Cash generation measured by earnings before interest, taxes, depreciation and amortization (Ebitda) was R$50.9 million between July and September, reversing a negative performance of R$19.5 million suffered a year earlier.
“Our results continue to record the effects of the sector’s recovery, with double-digit growth in Brazil and Argentina in consumed reserves, driven in particular by the greater number of shipments during the month of July”, said CVC in the balance sheet.
“Confirmed bookings also showed a positive performance during the quarter, and grew by approximately 35% when compared to the same quarter of the previous year.”
The company added that it remains focused “on managing the capital structure, evaluating solutions that allow us to continue growing in a sustainable and profitable manner”.
The travel operator’s net revenue rose 46.6% in 12 months, to R$337.6 million. The so-called “take rate”, the rate of net revenue generated by the reserves consumed, given a close look by analysts, was 8%, compared to 8.9% on an annual basis and 7.6% in the second quarter of 2022.
A change in the company’s sales mix, with a greater share of the operation in Argentina and sales to other travel companies in Brazil, as well as the acceleration of the resumption of international travel, hampered the take rate in the second quarter and generated questions from analysts. On the occasion, the company’s president himself, Leonel Andrade, admitted that the data “was not good”.
The company’s third quarter showed a 34.7% increase in confirmed bookings (new sales and rescheduling minus cancellations) compared to the same period last year, while consumed bookings, which are the basis of net revenue, jumped 61.5%.
The balance was pressured by the increase in the negative financial result, which totaled R$ 69.2 million compared to R$ 13.9 million a year earlier, due to the increase in financial charges due to the increase in interest.
CVC ended September with R$402.4 million in cash, compared to R$663.5 million in the third quarter of 2021.
The company raised BRL 403 million with an equity offering in June to bolster its working capital amid sales growth following the impact of the pandemic, and Andrade said in August that debt extension was a priority for the company.
Source: CNN Brasil
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