CALI3: quote, dividends and indicators for Construtora Adolpho Lindenberg

Construtora Adolpho Lindenberg S.A., issuer of the common shares traded on B3 under the ticker CALI3, operates in the construction and real estate development sector, with a focus on mid- and high-end residential projects. The company was incorporated on October 25, 1966 and obtained registration with the CVM on July 20, 1977. Over its history, it has built a track record of more than 500 projects delivered in Brazil, concentrating its activities mainly in the city of São Paulo, in the Greater São Paulo metropolitan area and in the interior of the State of São Paulo. The company has developed a business model based on real estate development, construction under a cost-plus/management structure and the provision of project management services, combining direct management of projects with intensive use of subcontractors to execute the construction phases.

The corporate purpose of Construtora Adolpho Lindenberg covers the purchase and sale of properties, leasing, subdivision and development of land, real estate development and construction of properties for sale, in addition to holding equity interests in other companies as a partner, quotaholder or shareholder. Revenue is generated mainly from the sale of mid- and high-end residential units and from the provision of construction, labor and project management services. With the consolidation of EZCAL Participações Ltda. and its special purpose entities, the company began to consider only one relevant operating segment, defined as real estate development, unifying the managerial, operational and commercial view of the business. Revenue is generated entirely in Brazil and there is no material concentration in any single client accounting for 10% or more of net revenue, reflecting a diversified buyer base, both in developments and in construction services.

The production process of Construtora Adolpho Lindenberg is structured around its own in-house team for engineering, project management and supervision, while the physical execution of services is mostly carried out by specialized subcontractors. The company does not own heavy construction equipment, acting instead as project and site manager. Subcontractors are selected based on pre-approved vendor lists maintained by the quality and procurement areas, considering criteria such as technical qualifications, reputation, reliability and price, as well as compliance with labor and social security legislation. On-site management is handled by permanent teams at each project, made up of engineers, site supervisors, building and safety technicians, specialized foremen and administrative staff, with a focus on physical and financial control, service quality, compliance with safety standards and meeting delivery deadlines.

The company’s projects follow standardized construction processes, especially in the structural concrete phases, with the aim of streamlining production, increasing productivity, reducing waste and maintaining quality control. Residential units are usually delivered with contemporary finishes and fittings, while common areas often include gardens, leisure areas, swimming pools, fitness areas, sports courts, recreation rooms and playgrounds, consistent with its positioning in the mid- and high-end segment. In terms of supply, Construtora Adolpho Lindenberg does not use exclusivity agreements, maintaining relationships with a broad base of pre-registered suppliers, without any material concentration in a single supplier. The company does not maintain significant inventories of materials, prioritizing project-by-project purchasing schedules, and it uses indexation of receivables to the INCC to mitigate the impact of input price volatility in construction.

The company’s commercial strategy combines the development of its own projects with partnerships with developers and participation in public and private tender processes. The internal prospecting and development team is responsible for mapping land opportunities, evaluating new deals and structuring partnerships with other players. In its more recent history, joint operations with other companies in the sector have gained relevance, such as the EZCAL joint venture, a partnership between Lindenberg and EZTec, which envisages significant investments in new projects with high potential gross development value. The most recent launches illustrate the focus on residential projects in the city of São Paulo, such as Lindenberg Guarará, and reinforce the geographic concentration in the São Paulo market, recognized for its depth of demand and real estate financing framework.

Construtora Adolpho Lindenberg and its subsidiaries operate in a competitive environment in which factors such as land availability and location, pricing, access to financing, quality of architectural design, construction standards, brand reputation and partnerships with developers play a central role in competing for market share. The company indicates that the usual seasonality of the sector, with a slower pace of transactions in vacation months, does not materially affect its operational performance over the year. From a capital structure and recent history standpoint, the company went through a corporate and financial restructuring cycle initiated after the acquisition of control by LDI Desenvolvimento Imobiliário S.A. in 2008, which involved capital increases and reductions to absorb accumulated losses, reverse negative shareholders’ equity and, in subsequent years, return to positive results and dividend distributions. CALI3 shares reflect this trajectory of adjustments, capital strengthening and the resumption of project launches, with a focus on real estate development projects.

On the regulatory front, Construtora Adolpho Lindenberg’s activities are subject to oversight by professional and industry bodies related to engineering, architecture and real estate brokerage. Notable among these are CREA, CAU and CRECI, at the State of São Paulo and national levels, due to the provision of construction, project management and real estate commercialization services. In addition, the company is subject to environmental legislation at the federal, state and municipal levels, with monitoring by public agencies that can impose sanctions in case of non-compliance with environmental protection regulations. The company maintains registration of the “Construtora Adolpho Lindenberg S/A” brand with the INPI, under the class for property construction, architectural projects and engineering, seeking to preserve its corporate identity and recognition in the real estate market.

In sustainability and environmental, social and governance practices, Construtora Adolpho Lindenberg adopts internal processes for managing ESG indicators and uses an integrated management system audited by Fundação Vanzolini. Although it does not publish a specific annual sustainability report, the company states that it bases its indicator structure on the Global Reporting Initiative (GRI) standard and uses a materiality matrix to identify relevant topics. This matrix guides objectives and targets aligned with various UN Sustainable Development Goals considered material to the business, such as good health and well-being, sustainable cities and communities, decent work and economic growth, reduced inequalities, gender equality, innovation and infrastructure, life on land, climate action, responsible consumption and renewable energy. The company also carries out inventories of greenhouse gas emissions under scopes 1, 2 and 3 using the CECarbon calculator, sharing data at an industry level with Sinduscon-SP.

The combination of a traditional presence in residential development, geographic focus in the State of São Paulo, intensive use of subcontractors, standardized construction processes and the development of governance and ESG practices defines the current corporate profile of Construtora Adolpho Lindenberg. As a publicly held corporation, with CALI3 shares traded on B3, the company has a business model centered on generating revenue through the sale of real estate units and the provision of construction services, organized as a single operating unit for real estate development and supported by a diversified base of clients and suppliers in the Brazilian market.