In the third quarter of 2026 (3Q26), JSL (JSLG3) reported net income of R$ 24.5 million, with net revenue of R$ 2.6 billion, an increase of 5.7% compared to 3Q25. Of the total, R$ 2.5 billion came from services and R$ 112 million from asset sales, with a positive gross margin in the quarter. Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) totaled R$ 522.8 million, with a margin of 19.9%.
On an annual comparison, consolidated gross revenue reached R$ 3.1 billion, up 5.9% vs 3Q25, with R$ 3.0 billion in services (+6.4% vs 3Q25) and R$ 114 million in asset sales. Excluding the intentional reduction of unprofitable contracts and grain transportation in 2025, growth in gross revenue and net service revenue would have been 12.4% and 12.1%, respectively, versus 3Q25.
Adjusted net income was R$ 40.3 million in 3Q26, an increase of 12.6% compared to 3Q25 and 33.3% versus 2Q26, driven by an improvement in financial results. The company generated R$ 660.5 million in cash after growth in the quarter and R$ 318.8 million in free cash after growth, already considering interest payments, right-of-use leases and acquisitions of companies; over the last 12 months, free cash flow generation reached R$ 915.2 million, equivalent to a free cash flow yield of 55.1%.
JSL’s gross debt closed 3Q26 at R$ 7.0 billion, with net debt of R$ 5.2 billion, a decrease of 10.1% compared to 3Q25. On a comparable basis, excluding the effects of Sistema S in 1Q26, leverage stood at 2.63x net debt/EBITDA and 2.20x net debt/EBITDA-A, below the 3.03x and 2.48x seen in 3Q25. The company ended the quarter with R$ 1.8 billion in cash and financial investments, an amount equivalent to 1.5 times short-term debt.
Gross capex in 3Q26 was R$ 135.7 million, down 25.9% year over year, with 68% allocated to expansion and 20% to asset renewal; asset sales totaled R$ 113.7 million, resulting in net capex of R$ 22.0 million, a reduction of 65.0% vs 3Q25. In the quarter, the company signed R$ 2.8 billion in new contracts, with an average term of 42 months, and reported return on invested capital (ROIC) on a running-rate basis of 14.8% over the last 12 months.
