Zenvia (US:ZENV)2025-09-10 22:30Financial Performance - Revenue for Q2 2025 reached R$285.7 million, a 23.6% increase from R$231.2 million in Q2 2024[10] - Gross profit for Q2 2025 was R$56.4 million, down 35.6% from R$87.5 million in Q2 2024[10] - Operating loss for Q2 2025 was R$10.2 million, compared to an operating gain of R$10.0 million in Q2 2024[10] - Loss for the period in Q2 2025 was R$41.98 million, compared to a loss of R$15.94 million in Q2 2024[10] - For the six months ended June 30, 2025, Zenvia reported a loss of R$38,321, a significant improvement from a loss of R$72,193 in the same period of 2024, indicating a reduction in losses by approximately 47%[12] - The company reported a net loss of R$38,321 thousand for the six months ended June 30, 2025, compared to a net loss of R$72,419 thousand in the same period of 2024, indicating a 47% improvement in loss[113] - Basic and diluted loss per share for the six months ended June 30, 2025, was R$0.732, compared to R$1.477 for the same period in 2024, reflecting a 50% reduction in loss per share[113] Assets and Liabilities - Total assets decreased to R$1,672.3 million as of June 30, 2025, down from R$1,743.6 million at the end of 2024[7] - Current liabilities increased to R$715.4 million as of June 30, 2025, compared to R$674.8 million at the end of 2024[8] - Total equity decreased to R$742.2 million as of June 30, 2025, down from R$771.4 million at the end of 2024[8] - Zenvia's consolidated working capital as of June 30, 2025, was negative R$444,234, with current assets of R$271,140 and current liabilities of R$715,374[14] - As of June 30, 2025, total liabilities were R$821,742, down from R$868,993 on December 31, 2024[114] - The net debt increased to R$60,001 as of June 30, 2025, from R$9,971 at the end of 2024, resulting in a net debt/equity ratio of 0.08[128] Cash Flow and Financing - The company's cash flow from operating activities was negative R$17,643 for the first half of 2025, compared to a positive cash flow of R$5,269 in the same period of 2024[12] - Zenvia has initiated a strategic focus on its SaaS business, particularly the recently launched Zenvia Customer Cloud, and is evaluating divestment opportunities for non-core assets[15] - The company expects a cash outlay of R$114,786 for the next 12 months to meet short-term financial obligations, including interest and payments due from acquisitions[15] - The company has a total of R$457,911 in trade and other payables as of June 30, 2025, slightly down from R$461,332 at December 31, 2024[114] - The company is committed to obtaining funding to ensure regular operations over the next twelve months, including raising new credit lines[124] Expenses and Costs - Research and development expenses for Q2 2025 were R$9.5 million, a decrease from R$14.1 million in Q2 2024[10] - Key management personnel compensation totaled R$6,173,000 for the six months ended June 30, 2025, down from R$8,804,000 in 2024, a reduction of 30%[97] - The cost of services for the six months ended June 30, 2025, was R$463,626,000, an increase from R$275,403,000 in 2024, reflecting a rise of 68.2%[101] - Total expenses amounted to R$594,098 thousand for the six months ended June 30, 2025, an increase from R$443,494 thousand in the same period of 2024, representing a 34% increase[106] Shareholder and Equity Information - The company issued 504,617 Class A common shares in the first half of 2025, generating gross proceeds of R$7,908,000[98] - Zenvia's controlling shareholder injected R$50,000 as new equity in February 2024, and the company secured R$80,000 in new credit lines from local banks[15] - As of June 30, 2025, the company has 7,221,751 outstanding shares, an increase from 4,683,913 outstanding RSUs on December 31, 2024, reflecting a growth of 54.5%[96] Tax and Regulatory Matters - The company recognized a corporate tax surcharge in Brazil starting January 1, 2025, as part of the new Pillar 2 regulations[42] - The effective tax rate for the six months ended June 30, 2025, was 1.78%, significantly lower than 25.85% in the same period of 2024[109] Strategic Initiatives - The company plans to focus on market expansion and new product development in the upcoming quarters[10] - Management has implemented a 25% workforce reduction since 2022 to enhance profitability, contributing to improved cash generation in FY 2024 and early 2025[15]