Core Insights - The NuviniAI program is a strategic initiative aimed at accelerating AI adoption and digital transformation within Nuvini, showcasing its commitment to becoming a leader in enterprise-grade AI integration [1][10][12] - The program has demonstrated significant ROI, with an average return of 523% and a payback period of 4.2 months, validating AI as a key growth driver [2][12] Program Overview - Launched in June 2025, the NuviniAI program received ten project submissions, highlighting the company's focus on embedding innovation and operational efficiency through technology [2][12] - The program's success aligns with Nuvini's vision of leveraging AI for measurable business results and scalability [2][12] Finalist Projects - AIMÊ, an intelligent public tender analysis tool, achieved a 1400% ROI and a payback period of 6 months, processing over 2,050 tenders with 75% response accuracy [4] - Business Scout, an automated acquisition intelligence platform, has a database of over 3 million companies and promises a payback period of 6 months, enhancing M&A decision-making [5] - LeadIA, an AI marketing assistant, serves over 10,000 accounts and is expected to increase user activation by 35% and reduce churn by 20%, with a payback period of 3 months [6] Industry Context - The NuviniAI program is launched at a pivotal moment in the Brazilian technology landscape, where AI adoption is essential for survival rather than just a competitive advantage [10][12] - The SaaS sector is undergoing significant transformation driven by AI integration, with companies investing heavily in AI-enhanced products [11][12] Future Outlook - The success of the NuviniAI program lays a foundation for ongoing innovation and positions the company for future growth opportunities [13][14] - The initiative provides a replicable framework for future technology projects, contributing to Nuvini's competitive positioning in the global market [14]

Core Insights - Nuvini Group Limited is experiencing growth through strategic acquisitions and operational improvements, highlighted by the acquisition of Munddi, which enhances its B2B SaaS ecosystem in Latin America [1][2] - The company is focused on increasing operational efficiency and revenue growth through disciplined cost management and the implementation of AI initiatives [3][4] Acquisition Strategy - The acquisition of Munddi is part of a broader strategy involving four planned acquisitions this year, aimed at creating synergies and cross-selling opportunities within Nuvini's portfolio [2] - Nuvini has a strong M&A pipeline and anticipates further accretive acquisitions in the near future [2] Operational Performance - Nuvini reports continued strength in recurring revenues and disciplined cost management, with AI initiatives already reducing overhead by 8% [3] - The company expects further margin enhancement as its AI and shared services platforms scale [3] AI Initiatives - Nuvini is advancing its AI initiatives through the NuviniAI challenge, which has identified ten high-potential projects, with three expected to launch by the end of the year [4] - The implementation of AI-first products is planned for the third quarter, enhancing the company's service offerings [4] Leadership and Management - Gustavo Usero has been appointed as the new Group Operating Director, bringing experience in value creation and integration strategies to enhance operational excellence [5] - The focus of the new leadership includes strengthening budgeting discipline, expanding EBITDA margins, and implementing performance management frameworks [5] Company Overview - Nuvini is a leading acquirer of B2B SaaS companies in Latin America, focusing on profitable, high-growth businesses with strong recurring revenue [7] - The company's long-term vision is to create value through strategic partnerships and operational expertise [7]

Summary of NuVini Group Limited (NVNI) Conference Call - May 22, 2025 Company Overview - **Company**: NuVini Group Limited (NVNI) - **Industry**: Software as a Service (SaaS) in Latin America, specifically Brazil - **Business Model**: Acquires profitable, cash-generating B2B SaaS companies, focusing on niche markets similar to Constellation Software's approach [2][8][12] Core Insights and Arguments - **Market Position**: NuVini is positioned as a unique M&A platform in the Latin American SaaS market, which is currently valued at $9.2 billion and expected to double by 2030 [12][13] - **Growth Metrics**: - Organic growth of approximately 14% last year - EBITDA margin at 26% with a 30% growth in EBITDA [11][20] - 20,000 customers with no single customer contributing more than 0.25% of revenue [10][22] - **Acquisition Strategy**: - Focus on established, profitable companies rather than startups - Targeting companies with annual revenues between 10 to 30 million reais (approximately $2 to $6 million) [30] - Current acquisition multiples range from 4 to 6 times EBITDA [43] - **Financial Performance**: - Achieved first operating profit recently - Adjusted EBITDA increased by 30% [20][37] - 72% conversion ratio from EBITDA to cash, indicating strong cash flow generation [37] Industry Dynamics - **Market Growth**: The Latin American SaaS market is growing faster than the global average due to being underserved, with significant opportunities for companies transitioning from traditional methods (e.g., Excel) to SaaS solutions [13][14] - **Economic Environment**: - High interest rates in Brazil (14.5%) are creating a lack of liquidity and a unique acquisition environment, as no IPOs have occurred since 2021 [26][27] - The current economic climate is seen as an opportunity for NuVini to acquire companies at favorable terms [59] Additional Important Points - **Management Team**: The management team has extensive experience in tech and investments, enhancing the company's ability to execute its strategy [38][39] - **Investor Value Proposition**: NuVini offers investors access to a diversified portfolio of profitable SaaS companies in Latin America, emphasizing predictable revenue streams [20][22] - **Future Reporting Plans**: The company plans to transition from annual to quarterly reporting to enhance transparency and visibility for investors [48] - **Market Perception**: The company believes it is undervalued compared to peers due to a lack of visibility and understanding of its business model as a capital allocator rather than a traditional software company [65][66] Conclusion NuVini Group Limited is strategically positioned to capitalize on the growing SaaS market in Latin America through a disciplined acquisition strategy, strong financial performance, and a focus on creating value for both investors and acquired companies. The current economic environment presents unique opportunities for growth and expansion.

NEW YORK, May 19, 2025 (GLOBE NEWSWIRE) -- Nuvini Group Limited (Nasdaq: NVNI) ("Nuvini" or the "Company"), a leading acquirer of private B2B SaaS companies in Latin America, today announced that management will participate in the Sidoti Virtual Micro-Cap Conference being held on May 21-22, 2025. Nuvini Chief Executive Officer and Founder Pierre Schurmann will present virtually on Thursday, May 22 at 8:30a.m. Eastern Time. A link to the webcast and associated presentation materials can be accessed here and ...

Core Insights - Nuvini Group Limited has successfully completed the acquisition of Munddi, marking the first of four planned acquisitions in 2025 as part of its expansion strategy in Latin America [1][2] - The acquisition aims to create new synergies that will drive revenue growth and enhance Nuvini's ecosystem of B2B SaaS solutions [1][2] Company Overview - Nuvini is a leading acquirer of private B2B SaaS companies in Latin America, focusing on profitable, high-growth businesses with strong recurring revenue [4] - The company is headquartered in São Paulo, Brazil, and aims to foster an entrepreneurial environment to help its portfolio companies scale [4] Munddi Overview - Munddi, founded in 2015, is an online platform that connects brands with consumers, suppliers, and retail chains, helping small retailers acquire new customers [3] - The platform provides strategic insights and facilitates online product sourcing from regional suppliers, streamlining connections in the retail supply chain [3] Strategic Goals - Nuvini's CEO emphasized the importance of the Munddi acquisition in unlocking cross-selling opportunities within its ecosystem, particularly in retail and supply chain solutions [2] - The company expects to close three additional acquisitions by the end of the year, further enhancing its position as a leading B2B SaaS solutions provider in Latin America [2]

Financial Data and Key Metrics Changes - The company reported a top line revenue increase of 14.4% and EBITDA growth of 30% for 2024 [18][19] - Net cash from operating activities increased to 38,600,000 reais, marking a substantial rise [18] - The company achieved its first operating profit since inception five years ago, indicating consistent historical growth in top line and improved margins [19][22] Business Line Data and Key Metrics Changes - The company has acquired seven companies across different segments, with a diversified client base of 22,000 clients, where no single client represents more than 0.25% of total revenue [13][14] - The average revenue per user increased to 8,500.0 reais, and the lifetime value of clients grew by 50% [20][21] - The company has maintained a high recurring revenue rate of 90% and low churn rates across its portfolio [20][21] Market Data and Key Metrics Changes - The total IT spend in Brazil is approximately $9.2 billion, driven by the digital transformation of small and medium businesses [11] - Brazil represents 44% of the market, with plans to expand into Mexico, Colombia, Chile, and Argentina over time [12] - The SaaS market in Latin America is growing at twice the pace of the rest of the world, presenting significant opportunities [13] Company Strategy and Development Direction - The company focuses on acquiring multisector SaaS businesses that are established, profitable, and have growth potential, differentiating itself by targeting companies too small for private equity [6][7] - The management team has a clear acquisition strategy, having evaluated over 2,500 companies since inception, emphasizing the predictability and diversification of revenue [23][40] - A partnership with Oracle is anticipated to enhance AI capabilities, driving efficiencies and margin expansion [20][46] Management's Comments on Operating Environment and Future Outlook - The management expressed confidence in the current market conditions, noting a lack of IPOs in Brazil and high interest rates, which create favorable acquisition opportunities [9] - The company aims to utilize cash flow for acquisitions while maintaining operational efficiency, with a focus on EBITDA and cash flow generation as primary KPIs [34][43] - Management acknowledged the challenges of compliance with Nasdaq, including notifications regarding market cap and stock price, and outlined plans to address these issues [36][39] Other Important Information - The company has a strong governance structure, being audited by a top four auditing firm and utilizing Oracle for operational governance [26] - Employee churn has been reduced by 60% after companies are integrated into the NuVini portfolio, indicating effective management practices [25] Q&A Session Summary Question: How should success be tracked? - Management emphasized the importance of cash flow generation, EBITDA, and revenue diversification as key performance indicators [34][35] Question: What is the plan to stay compliant with Nasdaq? - Management acknowledged concerns regarding market cap and stock price, stating efforts are underway to improve compliance [36][39] Question: Does the growing pipeline impact acquisition criteria? - Management confirmed that while the pipeline is expanding, the criteria for acquisitions remain firm, focusing on revenue predictability and diversification [40][41] Question: What is management's view on the current share price? - Management stated that the market will ultimately determine the stock price, while they continue to execute operationally [42] Question: What are the capital allocation priorities? - Management clarified that excess cash generated by profitable companies is allocated for acquisitions and related expenses [43] Question: What are the current capital needs outside of acquisitions? - Management indicated that operational needs are minimal, with a focus on servicing existing obligations [44] Question: What role does AI play in the portfolio? - Management highlighted the importance of implementing AI solutions for various operational efficiencies and announced a partnership with Oracle to enhance these capabilities [46]

Financial Data and Key Metrics Changes - The company reported a top line revenue increase of 14.4% for 2024, with EBITDA growth of 30% [21] - Net cash from operating activities reached 38.6 million reais, marking a substantial increase [21] - The company achieved its first operating profit since inception five years ago, indicating consistent historical growth in top line and improved margins [22] Business Line Data and Key Metrics Changes - The company has acquired seven companies across different segments, with a diversified client base of 22,000 clients, none representing more than 0.25% of total revenue [15][16] - The average revenue per user increased to 8,500.0 reais, and the lifetime value of clients grew by 50% [23][24] - The company has maintained a high recurring revenue rate of 90% and low churn rates across its platform [23][24] Market Data and Key Metrics Changes - The total IT spend in Brazil is approximately 9.2 billion dollars, driven by the digital transformation of small and medium businesses [13] - The SaaS market in Latin America is growing at twice the pace of the rest of the world, with Brazil representing 44% of the market [14][15] - The company plans to expand into other Latin American markets such as Mexico, Colombia, Chile, and Argentina over time [14] Company Strategy and Development Direction - The company focuses on acquiring multisector SaaS businesses that are growing or profitable, positioning itself as an M&A platform in the SaaS segment [8][9] - The management team emphasizes a clear investment thesis with a focus on cash flow generation and operational efficiency [12][25] - A partnership with Oracle is expected to enhance AI capabilities, driving efficiencies and margin expansion [23][48] Management's Comments on Operating Environment and Future Outlook - The management highlighted the current high interest rates in Brazil and the lack of IPOs as opportunities for acquisitions [11] - The company aims to utilize cash flow for further acquisitions while maintaining a focus on improving EBITDA margins [25][44] - Management expressed confidence in executing operational strategies to enhance market position and stock performance [43][44] Other Important Information - The company has a thorough due diligence process for acquisitions, focusing on predictable cash flow and revenue quality [27][41] - The management team has extensive experience in both operational and investment roles, contributing to the company's strategic direction [32][34] Q&A Session Summary Question: How should success be tracked? - The company emphasizes cash flow generation, EBITDA, and revenue diversification as primary KPIs [36] Question: What is the plan to stay compliant with Nasdaq? - The company is addressing notifications regarding market cap and stock price, with plans for operational execution to improve compliance [38][40] Question: Does the growing pipeline impact acquisition criteria? - The company prioritizes revenue predictability and quality in its acquisition criteria as the pipeline grows [41][42] Question: Management's view on current share price? - Management refrains from commenting on stock price, focusing instead on operational execution [43] Question: What are the capital allocation priorities? - The company allocates excess cash generated from profitable companies for acquisitions and related expenses [44] Question: Current capital needs outside of acquisition pipeline? - The company has minimal operational needs apart from M&A activities, with a debenture reduced from 12 million to about 4 million [45] Question: Role of AI in driving efficiencies? - The company is actively implementing AI solutions for various operational aspects and has plans for a major partnership with Oracle [48]

Nuvni's Next Chapter: From Collector to Compounder NEW YORK, May 06, 2025 (GLOBE NEWSWIRE) -- Nuvini Group Limited (Nasdaq: NVNI) ("Nuvini" or the "Company"), a leading acquirer of private B2B SaaS companies in Latin America, today issued a letter to shareholders from Nuvini Founder and CEO Pierre Schurmann. Dear Fellow Shareholders, I wanted to take this occasion having recently announced our 2024 Full Year results and celebrated over 18 months as a public company to reflect on our journey thus far and dis ...

Core Insights - Nuvini Group Limited reported record FY24 revenue of R$193.3 million, representing a 14.4% increase from R$169.0 million in FY23, driven by higher SaaS subscription revenue and improved customer retention [1][6] - The company achieved its first operating profit of R$16.5 million, a significant turnaround from a loss of R$(189.2) million in FY23 [1][6] - Adjusted EBITDA rose to R$57.4 million, marking a 30% increase compared to R$44.3 million in FY23 [1][6] - Nuvini plans to complete a minimum of four acquisitions in 2025 as part of its expansion strategy [5] Financial Highlights - Gross profit increased to R$122.5 million with a margin of 63.4%, up from R$102.8 million and 60.8% in FY23 [6] - Adjusted free cash flow improved to R$22.5 million, an increase of R$31.9 million compared to the previous year [6] - Cash and equivalents at year-end were R$18.0 million, up from R$11.4 million at the end of FY23 [6] - Churn rate improved to (2.9)% from (3.3)% in FY23, indicating better client satisfaction [6] Strategic Developments - The company announced the acquisition of Munddi, an online platform connecting brands with consumers, suppliers, and retail chains in São Paulo, Brazil, which is expected to close in Q2 2025 [3][4] - This acquisition is part of a broader strategy to enhance profitability and expand the revenue base through targeted acquisitions [4]

Financial Performance - Nuvini reported net losses of R$78.2 million, R$247.9 million, and R$114.2 million for the years ended December 31, 2024, 2023, and 2022, respectively, with a working capital deficit of R$348.3 million as of December 31, 2024[73]. - Nuvini's net operating revenue for the year ended December 31, 2024, grew 14%, from R$169.0 million in 2023 to R$193.3 million in 2024[81]. - Nuvini's future profitability may take time to achieve, as it continues to incur significant expenses and losses during its growth phase[73]. - The company has incurred an increasing amount of debt in recent years to support acquisitions, impacting its financial flexibility[242]. - Nuvini's financial performance may be significantly affected by general economic conditions and fluctuations in currency exchange rates[246]. Client Retention and Revenue Risks - As of December 31, 2024, 97.1% of clients renewed their subscriptions to Nuvini Group services or products every month, compared to 96.7% in 2023 and 95.4% in 2022[91]. - Nuvini S.A.'s future revenue flow is uncertain due to clients' ability to terminate engagements at any time, potentially leading to significant revenue loss[92]. - If a significant number of clients reduce their usage of Nuvini's SaaS solutions, the company may need to increase sales and marketing expenditures, adversely affecting its financial condition[93]. - Demand for Nuvini's SaaS solutions may fluctuate due to economic conditions, affecting clients' capital spending and, consequently, Nuvini's revenue[106]. Growth Strategy and Acquisitions - Nuvini plans to continue acquiring other SaaS businesses to expand into new markets in Latin America, with a focus on Brazil[77]. - Nuvini has completed seven acquisitions since its inception and aims to integrate these businesses while maintaining their independent operations[79]. - Nuvini's growth strategy is dependent on the successful identification and acquisition of suitable SaaS business candidates[77]. - The company faces risks related to its rapid growth, including potential strains on management and operational capabilities[81]. Cybersecurity and Data Protection - The Nuvini Group's proprietary data platform processes and stores sensitive data, making it vulnerable to security breaches that could harm its reputation and demand for its services[117]. - Cybersecurity threats, including ransomware and phishing attacks, are prevalent and increasing, posing significant risks to the Nuvini Group's operations and client data security[118]. - Security breaches could lead to litigation, regulatory actions, and significant liabilities, adversely affecting the Nuvini Group's business operations[121]. - The Nuvini Group may incur additional costs to comply with increasing cybersecurity demands from clients, which could affect its financial performance[127]. Intellectual Property and Legal Risks - The Nuvini Group's inability to protect its proprietary technologies could adversely affect its competitive position[135]. - The Nuvini Group's intellectual property rights may not provide adequate protection in jurisdictions with less stringent laws, impacting its competitive position[144]. - The Nuvini Group may face significant legal expenses and operational delays due to claims of infringement against its proprietary technology[138]. - The Nuvini Group's businesses could be adversely affected by unauthorized use of its proprietary technology, which may be difficult to police[135]. Economic and Political Environment - The Nuvini Group's business is significantly impacted by the economic conditions in Brazil, which has experienced uneven growth and mild recessions recently[156]. - Ongoing political instability and corruption investigations in Brazil have led to a decline in market confidence, adversely affecting the Nuvini Group's business and share prices[161]. - Economic and political uncertainties in Brazil may lead to adverse effects on the Nuvini Group's operations and the trading prices of its shares[159]. - The Brazilian government's fiscal reforms are uncertain, which may adversely impact Nuvini's business and financial condition[164]. Compliance and Regulatory Risks - The Nuvini Group's consolidated effective income tax rate could be adversely affected by changing tax laws and interpretations[203]. - The Nuvini Group may face increased exposure to regulatory actions and fines if unable to lawfully transfer personal data from the EEA[197]. - The evolving nature of privacy and data protection laws may require the Nuvini Group to expend significant resources to adapt to changes[202]. - The Nuvini Group operates in jurisdictions with high corruption risks and must comply with anti-corruption laws, which if violated, could result in significant liabilities[220]. Internal Controls and Financial Reporting - Nuvini has identified material weaknesses in its internal control over financial reporting, which could result in material misstatements in future financial statements[229]. - Nuvini expects to incur approximately US$1.0 million on remediation efforts to address identified material weaknesses in internal control over financial reporting in fiscal year 2025[235]. - The company plans to hire accounting and finance personnel with public company reporting experience to strengthen its internal controls and compliance[232]. - Nuvini's management has concluded that its internal controls over financial reporting were not effective as of December 31, 2024[229]. Debt and Financing - Approximately 97.5% of Nuvini's loans and borrowings were subject to floating interest rates as of December 31, 2024, primarily linked to the CDI floating rate[170]. - Nuvini's ability to generate sufficient cash flow from operations is critical to service its debt obligations, which may limit its operational flexibility[252]. - Non-compliance with financial covenants may lead to defaults, potentially resulting in accelerated debt obligations and adversely affecting cash flows and liquidity[257]. - The Company requested waivers for covenant violations on December 13, 2024, and April 24, 2025, which were granted by debenture holders, alleviating concerns regarding potential early debt maturity[255][256].