#Brazil #São Paulo #Itaú Unibanco #Itaúsa #Aegea

Itaúsa Reports Strong Earnings

In a recently released statement, Itaúsa, Brazil's foremost publicly traded investment holding company, announced an impressive recurring net income of R$5.1 billion for the third quarter of 2026. This figure not only signifies a robust 25% increase from the same quarter last year but also reflects Itaúsa's effective strategic planning amidst an uncertain economic landscape. The company’s recurring return on equity (ROE) reached 21.1%, marking an increase of 3.3 percentage points compared to the previous year.

The Growth Journey

As of the first nine months of 2026, Itaúsa's recurring net income totaled R$13.9 billion, reflecting a 16% year-on-year improvement. The company's Chief Executive Officer, Alfredo Setubal, stated that the results signify the effectiveness of Itaúsa's strategic allocation of capital and its commitment to creating long-term sustainable value for shareholders and society. He mentioned that the solid performance of Itaú Unibanco and significant advancements in their non-financial portfolio companies contributed greatly to these results.

Portfolio Performance

The recurring income from Itaúsa's portfolio companies reached R$5.2 billion in Q3 2026, an upward trend of 22% from Q3 2025. This growth was fueled largely by contributions from Itaú Unibanco, whose loan portfolio expanded by 10.2%, combined with a historically low non-performing loan (NPL) ratio. Notably, the non-financial portfolio companies exhibited extraordinary results with a whopping 122% increase over the same period, driven by several key players:

• - Alpargatas reported escalating net revenue and profitability thanks to higher sales volumes and an optimized product mix.
• - Motiva benefitted from new asset additions and resilient traffic, culminating in a successful airports platform sale.
• - Copa Energia showed promising results due to its effective commercial strategy.
• - NTS showcased a positive change in asset valuations, adding to its overall performance.

Furthermore, Dexco experienced operational advancements, particularly in its Wood Division, while Aegea maintained robust operational results despite facing financial expense pressures. The results recognized by Itaúsa were positively impacted by capitalizations during the period.

Financial Strength and Future Outlook

By the end of September 2026, Itaúsa held R$2.2 billion in cash, while its net debt stood at R$0.9 billion. The strategic liability management efforts over recent years have successfully reduced debt expenses by 41% and have effectively eliminated principal maturities through to 2031. In a significant strategic move, in August, Itaúsa invested R$732 million into Aegea, bolstering their equity interest.

Both Moody's and Fitch reaffirmed Itaúsa's AAA rating in September and October, indicating strong liquidity and low leverage, as well as the increasing contributions of non-financial companies to its overall dividend income.

Shareholder Value Creation

Itaúsa's commitment to shareholder remuneration is evident as the company declared R$3.5 billion in net distributions in the first nine months of 2026, which is an 18% increase compared to the same timeframe in 2025. The 12-month dividend yield reached an impressive 7.7%. Transcending market expectations, Itaúsa achieved a total shareholder return (TSR) of 42.5%, significantly outpacing the Ibovespa index's 27.4% return.

Itaúsa’s market capitalization reached R$164.0 billion, reflecting its robust financial structure and readiness to explore new avenues for long-term value creation.

About Itaúsa

Founded over 50 years ago, Itaúsa (B3: ITSA4) has established itself as Brazil's largest investment holding company. Its diverse portfolio includes significant stakes in several leading companies across multiple sectors, including financial services, building materials, consumer goods, infrastructure, energy, and water management. With a community of more than 980,000 shareholders, Itaúsa continues to drive initiatives that foster societal transformation in Brazil while yielding positive impacts for its partners and investors.